Media Channel Study 2012

2012 Media Channel Study - 1 Contents Main Objectives2 Survey Method3 Media Channels Studied4 Executive Summary5 Detailed Findings6

2012 Media Channel Study - 2 Main Objectives  Continue the periodic examination of media channels that serve the agricultural industry and their impact.  Determine if digital media has had an effect on the overall use of traditional media among farmers and ranchers.  Understand the future use of digital media and how digital may affect the future use of traditional media in the agricultural community.  Examine how the integrated media model may need to be re-evaluated based on the use of digital media.

2012 Media Channel Study - 3 Survey Method  Total sample of 3,700 selected from Agri Council member databases to cover a broad range of farm / ranch commodities.  Mailed December 2011 to March  Received 1,122 total responses (30%).  30% response in  Results only include the 1,062 who indicted they are owners, operators, and/or managers of farms or ranches.  Data was weighted to reflect the proportion of farms / ranches in the economic sales class of $100,000 or more in each of the four US Census regions according to the USDA Farms and Ranches, Land in Farms, and Livestock Operations 2009 Summary.

2012 Media Channel Study - 4 Media Channels Studied  agricultural magazines or newspapers  agricultural newsletters (printed)  agricultural e-newsletters  farm shows  agricultural dealers / retailers  agricultural conferences or seminars  agricultural radio programs  agricultural TV programs  general daily newspapers  agricultural websites  agricultural-related social media (blogs, social networks, etc.)  agricultural manufacturer or supplier publications  agricultural-related text / SMS messages  agricultural-related websites on a mobile device  agricultural-related apps on a mobile device

2012 Media Channel Study - 5 Executive Summary  All forms of digital communications are playing important roles as information sources for US farmers and ranchers, and will continue to play increasingly important roles in the future.  While digital media may have become dominant in other B2B markets, agricultural magazines / newspapers continue to be the most important information resource, reaching and influencing the most farmers / ranchers – even among the younger age segment. In the future, agricultural magazines / newspapers will continue to be the leading information resource.  In addition to magazines / newspapers, ag dealers / retailers are also used most for informing and validating purchase decisions.  As measured by revenue, larger operators are more actively engaged with media channels, seeking information to run their businesses and inform decision making.

DETAILED FINDINGS

2012 Media Channel Study - 7 Farmers / ranchers use a variety of sources, but printed information is used most frequently – specifically, ag magazines / newspapers base: 1,062 owners/operators/managers of farms or ranches How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? (TOP MENTIONS) PRINT

2012 Media Channel Study - 8 Use of each top resource has remained consistent since 2010 base: 1,062 owners/operators/managers of farms or ranches (1,219 in 2010) How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? (“AT LEAST WEEKLY” TOP MENTIONS)

2012 Media Channel Study - 9 Age does not affect the use of ag magazines or newspapers How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? (“AT LEAST WEEKLY” ) base: owners/operators/managers of farms or ranches in each age segment % 81% 77% 79%

2012 Media Channel Study - 10 About half of farmers / ranchers use DIGITAL ag resources at least weekly; websites and e-newsletters are most common base: 1,062 owners/operators/managers of farms or ranches How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources?

2012 Media Channel Study - 11 Use of digital ag resources is more common among the youngest age segment base: owners/operators/managers of farms or ranches in each age segment (1,062 total) How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? (“AT LEAST WEEKLY” ) *ag e-newsletters, ag websites, ag-related social media, ag-related text / SMS messages, ag-related websites on a mobile device, ag-related apps on a mobile device

2012 Media Channel Study - 12 Those at larger operations are more likely than others to use ag magazines / newspapers and ag digital media base: owners/operators/managers of farms or ranches reporting each category of annual gross receipts How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? (“AT LEAST WEEKLY” )

2012 Media Channel Study - 13 The introduction to new ag products, services, or suppliers is far more likely to come from ag magazines / newspapers than any other source What are the top two sources from which you first learn about new agricultural products, equipment, services, or suppliers? (TOP MENTIONS) base: 1,062 owners/operators/managers of farms or ranches 81% 37% 15%

2012 Media Channel Study - 14 The top two sources for first learning about new ag products / services are ag magazines / newspapers regardless of age or size of operation base: owners/operators/managers of farms or ranches in each segment What are the top two sources from which you first learn about new agricultural products, equipment, services, or suppliers? (TOP MENTIONS)

2012 Media Channel Study - 15 The majority of farmers / ranchers continue to use both traditional AND digital ag media to help them run their farms / ranches base: 1,062 owners/operators/managers of farms or ranches (1,219 in 2010) What is your level of agreement with each of the following statements?

2012 Media Channel Study - 16 Digital does not replace traditional resources; use of both types of media is higher among digital users than all respondents What is your level of agreement with each of the following statements? base: 826 owners/operators/managers of farms or ranches who use digital sources at least sometimes; 1,062 total respondents

2012 Media Channel Study - 17 Younger farmers / ranchers are more likely to use both traditional and digital ag media and to consider accessing digital media an essential activity What is your level of agreement with each of the following statements? base: owners/operators/managers of farms or ranches in each age segment

2012 Media Channel Study - 18 Those at larger farms / ranches are more likely to use both traditional and digital ag media and to consider accessing digital media an essential activity What is your level of agreement with each of the following statements? base: owners/operators/managers of farms or ranches reporting each category of annual gross receipts

2012 Media Channel Study - 19 Farmers and ranchers continue to agree they spend more time with the editorial content and advertising in ag-related print media than in general business media What is your level of agreement with each of the following statements? base: 1,062 owners/operators/managers of farms or ranches (1,219 in 2010) “I spend more time reading and thinking about editorial content and product / service messages …”

2012 Media Channel Study - 20 While there are no differences for print media by size, ag-specific websites do have more appeal than general websites for respondents at larger operations What is your level of agreement with each of the following statements? “I spend more time reading and thinking about editorial content and product / service messages …” base: owners/operators/managers of farms or ranches reporting each category of annual gross receipts

2012 Media Channel Study - 21 Ag magazines / newspapers are second only to dealers / retailers as the source relied on most for validating / informing purchasing decisions Which two sources do you rely on most for validating / informing the purchasing decisions you make for agricultural products, equipment, services, or suppliers? (TOP MENTIONS) base: 939 owners/operators/managers of farms or ranches involved in purchasing decisions 62% 50% 15% 17%

2012 Media Channel Study - 22 The top two sources for validating / informing purchasing decisions do not change based on age or size of operation base: owners/operators/managers of farms or ranches involved in purchasing decisions in each segment Which two sources do you rely on most for validating / informing the purchasing decisions you make for agricultural products, equipment, services, or suppliers? (TOP MENTIONS)

2012 Media Channel Study - 23 Farmers / ranchers expect ag magazines / newspapers and dealers / retailers to be of the same or more importance, in terms of information sources, in the next 3-4 years How is the importance of each of these information sources likely to change for you in the next 3 to 4 years? base: 1,062 owners/operators/managers of farms or ranches 85% 78% 72% 76% 64% 63% 58% 59% 51% 46% 43%

2012 Media Channel Study - 24 Ag magazines / newspapers along with dealers / retailers will continue to be important sources regardless of age or size of operation base: owners/operators/managers of farms or ranches in each segment How is the importance of each of these information sources likely to change for you in the next 3 to 4 years?

2012 Media Channel Study - 25 Nearly all farmers / ranchers use TRADITIONAL ag resources at least weekly; nearly all plan to use them the same or more in the next 3-4 years How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? How is the importance of each of these information sources likely to change for you in the next 3 to 4 years? base: 1,062 owners/operators/managers of farms or ranches

2012 Media Channel Study - 26 About half of farmers / ranchers use DIGITAL ag resources at least weekly; 80% plan to use them the same or more in the next 3-4 years base: 1,062 owners/operators/managers of farms or ranches How often do you usually read, view, visit, attend, or use the following types of agricultural media or information sources? How is the importance of each of these information sources likely to change for you in the next 3 to 4 years?

2012 Media Channel Study - 27 Most traditional resources will be of the same or more importance to digital users in the future base: 826 owners/operators/managers of farms or ranches considered digital users; 216 not How is the importance of each of these information sources likely to change for you in the next 3 to 4 years?

2012 Media Channel Study - 28 Executive Summary  All forms of digital communications are playing important roles as information sources for US farmers and ranchers, and will continue to play increasingly important roles in the future.  In other B2B markets digital has become dominant, but agricultural magazines / newspapers continue to be the most important information resource across all age and revenue categories. At this time we don’t expect this to change in the foreseeable future.  Ag dealers / retailers as well as ag magazines and newspapers are used most for informing and validating purchase decisions.  As measured by revenue, larger operators are more actively engaged with media channels, seeking information to run their businesses and inform decision making.

2012 Media Channel Study - 29 Media Channel Study 2012