Now that it’s mid-November, CropLife is busy placing its annual CropLife 100 survey findings to mattress. For these within the outcomes, remember to try each our web site and journal in early December.
For me, one attention-grabbing set of questions on this 12 months’s survey needed to do with e-commerce. Provided that so many ag retailers have been speaking about this subject for a few years now, I’d have anticipated the precise variety of firms doing enterprise this option to be fairly excessive among the many nation’s high ag retailers. But, in response to the 2020 CropLife 100, solely 48% of respondents have such enterprise fashions in place. This divides into three separate segments – these utilizing home-grown techniques (24%), these utilizing white label/third celebration applications (20%), and customers of auction-based providers (4%). The remaining, 52%, presently don’t provide e-commerce as a part of their enterprise operations.
I’ve to confess – these percentages sort of shocked me. I keep in mind not too a few years in the past, just about each firm inside the CropLife 100 gave the impression to be speaking about e-commerce and its potential affect on conventional ag retailers. Actually, in the course of the 2018 CropLife 100 survey, 14% of respondents stated that the rise of e-commerce firms corresponding to Farmers Enterprise Community posed “a critical menace” to their future enterprise prospects. Over the succeeding months, dozens of CropLife 100 ag retailers corresponding to Effingham Fairness and Asmus Farm Provide started experimenting (and adopting) e-commerce techniques into their common operations. Given this pattern, I’d have thought, two years later, the share of CropLife 100 firms utilizing e-commerce can be at the very least greater than half by now, if not two-thirds.
Nonetheless, there might be extra e-commerce adoption on the horizon. When requested in regards to the outlook for e-commerce enterprise fashions for the upcoming 2021 season, 55% of 2020 CropLife 100 survey respondents stated they anticipated utilization on this space to extend within the new 12 months. Nonetheless, 32% didn’t anticipate any such e-commerce uptick to happen. The remaining 13% weren’t sure which manner the market would lean throughout 2021.
The E-Commerce Query Stays Largely Unanswered for Prime U.S. Ag Retailers