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Build a competitive advantage in a modernizing farmland market with Granular’s FMS and AcreValue

Three years ago, Mike and I set out to build farm management software (FMS) to help farms make better business decisions by making better use of their farm data. We realized early on that while farms were using Granular FMS to optimize their existing operations, they also wanted tools to help them grow their farms.
Helping Farms Grow Bigger with AcreValue
Our customer had to make a big land related decisions. These are just a few examples of the hard questions farms had to answer:

What rent should I pay for my existing land?
Do I have the right profit margin and management controls to expand?
If so, what ground can I add to my operation and at what price?
How do I market myself effectively to prospective new landlords and capital partners?

That’s why Granular acquired AcreValue and launched it as our second product in January 2016. Patterned after Zillow and similar tools in residential real estate, AcreValue aggregates real estate and agronomic data on every parcel of farmland in the U.S., offers valuation estimates and publishes comparable sales.
Farms commonly use AcreValue to foster relationships with their landowners. When they are looking to rent or purchase land, they come to the table with professional AcreValue reports on the value of the land, soil ratings, crop history, sales data and more. This puts them in a much stronger position to market themselves to a new landowner or a capital partner and have a successful negotiation.
Launching New and Powerful AcreValue Features
AcreValue has taken off in the last year, attracting not just farmers, but also landowners, brokers, appraisers and bankers. AcreValue’s 30K+ registered accounts visit the site over 100K times each month and usage has been doubling every six months.

Over the next few months we will be adding valuation estimates in more states, water rights data, custom mapping tools, and sale listings. We will also be launching a paid version of AcreValue, called AcreValue PRO, with powerful search tools that allow users to prospect for land nationwide using screening criteria like owner, valuation, size, soil quality and more. With both its FMS and AcreValue products, Granular is working to give its farm customers a competitive advantage in the modernizing land market.
Integrating AcreValue with Granular FMS
The farmland real estate market and the farming market are both professionalizing and consolidating. Both markets are becoming less local, less relationship-driven and more business-oriented. We believe that the relationship between landowner and farm operator is going to become more professional, more transparent and more data-driven over time.
Granular FMS already helps farms share production data with landlords, calculate share rent, and analyze rental rates relative to yield history. Using our relationships with large institutional land investors, Granular has brokered many introductions that have helped our FMS customers connect with institutional capital partners interested in their geographic area. But this is just the beginning.
In the coming months, we will launch advanced AcreValue features that are only available to farms using Granular FMS. These features will allow Granular farms to market themselves on a confidential and pre-qualified basis to landlords and get early notification on land coming up for sale.
We believe Granular FMS and AcreValue together give our customers the right tools to manage better (profit per acre) and bigger (more acres) farms.

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Farmers have invested in technology for decades. Auto-steer, variable rate, biotechnology and other innovations were all quickly adopted by farms. But farms have not invested as heavily in Crop Management Software versus other technologies. Why not?

The real reason has little to do with farmers themselves. Until recently, Crop Management Software (CMS) couldn’t deliver significant value to farms because four critical foundational technologies were lacking:

  • Mobile networks to make software available outdoors across the whole farm
  • Smartphones to give everybody on team a powerful, easy-to-use computing devices
  • Broadband internet to allow any computer in office to access cloud applications without installing anything
  • Connected machinery to allow data to be pushed and pulled from the cab, irrigation equipment, etc.

These have finally come together and become reliable enough to support Crop Management Software (CMS). CMS supports team’s daily operations, monitors and optimizes field-level profitability, and manages inventories.

Granular has seen rapid adoption of CMS from farms of all sizes and in all geographies, even at a time when commodity prices are in a down cycle. So what’s so compelling? It essentially comes down to being able to get more done with less, and making better decisions for the farm’s profitability.

But CMS is a significant investment decision, one that requires resources, time, and team buy-in. Most farms use Microsoft Excel today to perform many of these functions, so upgrading to new software that costs thousands per year is a big deal. Successfully adopting CMS also requires the farm team to part with some old habits, to evolve the way they work together, and to believe that their data is very valuable.

Before buying CMS you should evaluate the product and the company that sells it carefully. No CMS product on the market is going to have every single feature you want today, but technology is evolving quickly. You should choose a CMS partner that you believe listens carefully to their customers and is expanding its product very quickly. Here are some of the questions you can ask when evaluating your CMS options:

  • Who owns your company?
  • Do I need an engineering degree to use this?
  • Who’s using this already?
  • How quickly do you update the product?
  • Who’s running the numbers?
  • Who’s available to help me?

Click the link to receive a Demo of our Crop Management Software.

Latest

How a Potato Grower Found 11% More Profit Using Granular

Learn how Granular helped a real farm discover that their variety choice was costing them $800 per acre

Karl Wozniak, Role
  |  
September 11, 2017

Company News

Our Continued Committment to Independence and Data Privacy

Karl Wozniak, Role
  |  
September 11, 2017

Our Continued Committment to Independence and Data Privacy

Karl Wozniak, Role
  |  
September 11, 2017

Our Continued Committment to Independence and Data Privacy

Karl Wozniak, Role
  |  
September 11, 2017

Industry Insights

Three Ways to Run a Successful Harvest

Three Ways to Run a Successful Harvest

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Events

Grow 2018

Granular's Annual Customer CEO Summit

March 21-33, 2018

California Academy of Sciences, San Francisco, CA

All Posts

Show All (50)
Industry Insights (6)
Granular Suite (12)
AcreValue (12)
Company News (1)
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