The Farmers Club Newsletter

The “Club Notes” for Monday, the 27th of November 2023

By Dwain Duxson

If you can, please get your family, friends and colleagues to sign up. See the website link here.

Back to basics

We are hearing that retail spending is down by around 30%. And I was talking to a guy on the weekend who runs a successful hospitality business, and he said the same, that their business was down 30 per cent. He said alot of people he is talking to are tightening their belts. It got me thinking that some Farmers are going through the same types of scenarios, and the question I want to ask is, what do Farmers give up first when things are tighter? I know when we were on the Farm breeding Rams, we used to give away the AI and ET programs and join naturally. Other Farmers might look at what assets they can sell, like Machinery that is not used anymore. I honestly think that constantly assessing your assets and cashing them in is an underutilised resource in Farming. I think too many Farmers hold onto stuff, thinking they might need it one day. The old two-year and no-use, then-sell rule is a good one. Where are the belt-tightening savings coming from in your business? Reply to [email protected]

All go in Dubbo

Dubbo, NSW, is a go-ahead busy place with alot of industry. Roger Fletcher is an Ag entrepreneur we all admire. They have built a large business from a base in Dubbo. Wes Maas is another who has built a big business ($1.2 billion in fact) from his base in Dubbo. Although not as Agriculturally focussed as Roger, having these types of guys building these types of businesses in your Rural area helps the local economy so much. It's a fascinating story about Wes Maas, which you can read below at the bottom of the page. Which business or business person do you admire in your area? Reply to [email protected]

Great model

I broke down in the Ute the other day. It just died as I was driving along. Paula wasn't home, so I rang the RACV (Victorian). I thought I was a member, but it had lapsed. Anyway, previously, if you weren't a member, then you were simply stuck. But now things have changed, ring them, and they can offer one year's membership on the spot if you want to get someone to come out and help. It's a new edition, and I think it's a great idea because A), for you, it gets you out of trouble, which is the immediate plan, and B), for them, it gets you back in their system, and they can start earning income from you again and potentially keep you in the system for longer than one year. I am not sure of the revenue outcomes for the RACV, but you think it would be favourable; otherwise, they wouldn't do it. Very good model. Is there a business model you have seen that has impressed you? Reply to [email protected]

Messing with the market

We spoke about the fake meat industry the other day and how it was on life support as far as the industry is concerned. I read somewhere a saying that goes like this, "If you mess with the market, at some point, it will come back to mess with you". That statement would apply to the fake meat industry because what they did was replicate all the meat names like Burgers, Chicken, Beef, Nuggets, etc. This riled the Meat industry as they were marketing off the back of what was already established. Perhaps if they went about it a different way and established a whole new Food category, they might have had more success. But, what they did was mess with the already established market, and it came back to bite them. Have you seen other instances where the market has been messed with, and it's gone pear-shaped? Reply to [email protected]

End of message.

Dwain Duxson
0427 011 900

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