Association Commentary: Quantified Cattle: The Future of the Beef Business

Going forward another step, assume this heifer group was sired by Red Angus bulls that rank genetically in the top half of the breed for both HerdBuilder (maternal traits) and GridMaster (growth and carcass traits). If the seller clearly communicates this information to prospective buyers, the heifer group’s selling price will likely be higher. Bidders will be more aggressive in trying to buy such heifers, because their Red Angus sires have been quantified for a host of economically important traits and found to be above average.

Quantified cattle are at the other end of the spectrum for both information and value. More information and more knowns typically produce an above-average price, particularly when those knowns reveal superiority. We should also expect the premiums associated with quantified cattle to increase as time passes. Every buyer values predictability, especially when cattle are predictably superior.

The best approach for seedstock and commercial breeders is to work vigorously in quantifying as many traits and characteristics in their herds as possible.

Quantified cattle are the opposite of commodity cattle. Little is known about commodity cattle (other than what the naked eye can see), and those unknowns make commodity cattle worth a mediocre price at best. The day is coming in the beef industry when price discounts on commodity cattle will become larger, simply because of the high risk attached to owning them.

After all, few of us want to stay in a low-margin commodity business. Quantified cattle are the way out. //

Editor’s note:

This is the second of a two-part series. Part I was published in the April issue.

Red Angus Commercial Marketing Team and Value-Added Programs

DIRECTOR OF COMMERCIAL MARKETING

Harold Bertz (816) 661-2289 | harold@redangus.org

ASSISTANT DIRECTOR OF FIELD SERVICES

Katie Martin Ext. 16 | katiemartin@redangus.org

COMMERCIAL MARKETING SPECIALIST

Nolan Woodruff (805) 861-0996 | nolan@redangus.org

COMMERCIAL MARKETING SPECIALIST

Rachael Oliver (406) 480-1569 | rachael@redangus.org

COMMERCIAL MARKETING SPECIALIST

Josh Taylor | josh@redangus.org 918-605-5139

ASSISTANT DIRECTOR OF VALUE-ADDED PROGRAMS

Chessie Mitchell Ext. 20 | chessie@redangus.org

VALUE-ADDED PROGRAMS SPECIALIST

Jeananne Drouhard Ext. 18 | jeananne@redangus.org

Weekly Email Marketing Service of Feeder and Finished Cattle

The Red Angus show list informs feedyard managers, order buyers and other interested parties of Red Angus-influenced cattle. Producers can market feeder or finished cattle through this free service when selling through a sale barn, video auction or private treaty. The weekly show list is emailed to potential buyers through the Red Angus FeederFax email service. To upload information about cattle or to view cattle available, visit RedAngus.org/showlist.

To receive the weekly FeederFax marketing service that will highlight that week’s show list, please email tags@redangus.org.