As farm equipment dealers continue to emphasize areas of opportunity, precision growth remains a priority for many. So what areas are dealers targeting as long-term precision profit centers?
According to the recently published 4th Annual Precision Farming Dealer benchmark study, dealers view variable-rate systems, seeding and application technology as their best bets for increasing revenue during the next 5 years.
Based on a categorical evaluation by dealers, variable-rate planting and fertilizing technology topped the list with 64% identifying this area as most important or important for precision growth.
Ranking second was planter and seeding control systems at just over 60%, followed by application technology hardware at about 52%. Rounding out the top 5 were data management service at 46% and GPS and guidance systems at about 42%.
Looking at how these rankings compare to last year’s benchmark study, variable-rate technology again topped of the list, with more than 70% of dealers viewing this area as most important or important. Planter and seeding control ranked second at just over 58%, followed by a third place tie between application technology and data management service, both with about 55%.
Rounding out the top 5 last year, were GPS and guidance at 50% and signal subscriptions at about 46%.
Even as dealers begin to transition into more service-based revenue sources, it’s clear that many will continue to rely on hardware and components as the backbone for precision revenue in the coming years.