Precision Risk Management leverages your data for your benefit. Profitability is the ultimate goal for todayโs farmers, yet the very technologies that could significantly boost their bottom line often go untapped. Many are comfortable using precision tools for auto-guidance and some variable rate applications. A smaller group takes it a step further by using precision data in crop insurance decisionsโbut this only begins to reveal the full potential of the data at their fingertips.
According to Farm Journalโs State of Sustainable Ag Report, 76% of farmers ranked profitability as the top measure of success. In pursuit of that goal, the USDA projected record-high planting across the country in 2023. But more acres donโt always mean more profit. Is maximizing every possible acre really the smartest route to financial success?
The truth is, not all acres deliver the same return. Every grower knows which parts of their fields underperform. Precision data not only verifies these trouble spotsโit offers a powerful new strategy for managing them.
Top producers have an opportunity to set the standard. By turning low-return acres into revenue-generating assets, precision technology becomes a key player in profitability. With farm margins tighter than ever, losing money on any part of the field is no longer an option. Once those unproductive zones are identified, Profitability Partners helps growers tap into new revenue streams and lower operational costs.
It all starts with embracing a four-step journey through your data.
1: Create Accurate and Actionable Precision Dataย with Precision Risk Management Data Specialists
You may already be collecting data, but its potential is only as great as its accuracy. Quality data is the foundation of any successful endeavor, and agriculture is no exception. Precision technology must be correctly set up and calibrated to yield accurate and actionable insights. While some growers are adept at this, others might benefit from an expert data partner that sets up and fine-tunes their technology to ensure quality data is collected. If poor data goes in, poor products come out. PRM Data Specialists ensure the quality of the precision data by going on-farm to set up and calibrate the equipment.
2: Apply Data Immediately to Make Insurance Faster and Easier with Precision Risk Management
Precision technology can be leveraged to take crop insurance to a new level. This integration can streamline reporting, protect against audits, reduce premiums by ensuring only precision-planted acres are insured, and boost Average Production History (APH). The immediate application of precision data in crop insurance is a game-changer that should be applied immediately. PRM was founded on utilizing precision technology to the fullest for crop insurance purposes.
3: Analyzing Where It Is Costing Money to Put Seed in Soil
The largest yields during harvest should not be the sole aim; profitability reigns supreme for large operations. Once the precision technology has been set up and data are collected, a comprehensive analysis can pinpoint exactly where money is being lost in every field. This analysis can inform crucial adjustments in yield or expenses to flip a loss into profit. For instance, in a PRM profitability case study, one field increased returns by 6.9%, reduced expenses by $5,868, and increased profits by $663. This was achieved by simply not planting where precision data shows itโs not worth it.
4: Turn Unprofitable Acres into Money Makers with Precision Risk Management
Leaving acres unused is never the goal. After identifying the unprofitable acres, itโs essential to transform them into profitable ones. Itโs not as hard as you may think. Now is time to bring in the โProfitability Partnersโ who can offer tailored solutions. Organizations like Pheasants Forever can turn unprofitable acres into habitat with stackable financial incentives through a variety of programs. LandTrust is another great example. They connect landowners and outdoor enthusiasts with rental-like agreements that can pay $10,000 per year โ on top of government payments to restore the land. PRM takes the extra step for our customers to create new opportunities for our customers with our Profitability Partners.
Why Arenโt We Turning Acres Profitable?
There are many ways to generate better revenue. For example, USDA pays good money for prairie strips where you might be losing money now. Yet, nearly two-thirds of farmers (59%) said they have never calculated the economic benefit(s) provided by conservation practices, according to Farm Journal.
The data opportunities listed here are just the beginning and one possible path. The potential of precision technology is vast, and every farmer seeking to maximize their operationโs profitability must fully embrace it. It begins with recognizing the power of the data at our disposal and using it to its fullest potential.
Unlocking these opportunities requires the right support. At Precision Risk Management, weโre at the forefront of integrating advanced precision technology into crop insurance strategies. Our team of Data Specialists will come directly to your farmโat no cost to youโto configure your precision systems exactly how you need them. Plus, weโll connect you with trusted Profitability Partners who can help drive even greater returns. Explore the possibilities at PrecisionRiskManagement.com.
