Farmax Products and Services
Farmax is changing how its products (and services) are named, delivered and priced, to make them simpler and easier to understand.
Please click here to view our international prices.
Farmax is under-utilised. While we are slightly biased, we frequently get feedback from clients telling us that Farmax is an essential component in how they run their businesses. Farmax is a proven tool to help analyse farm businesses, work out the best path forward and then monitor progress against the original plan. Farmax is best business practice!
A few years back we analysed the gross margins of farms using Farmax over eight seasons and compared the results to B+LNZ’s Economic services average gross margins over the same seasons.
The outcome was that on average over those eight seasons the farms using Farmax were $100,000 better off than the average farm each year. It added up to $425 million in additional margin over the eight seasons. Let’s be clear: Farmax is not the only factor involved in that result, but it is a common denominator, and this type of information validates our faith in suggesting there is under-utilisation of Farmax on New Zealand farms.
That’s fine, but what do we do about it? We have key strategies to promote Farmax including increasing education and awareness; holding more training courses and industry presence; and initiating collaborations and integrations to combine resources and expertise, and remove the burden of double entry of data. Above all this, uniting these areas is a focus on development, ensuring Farmax stays relevant, delivers an excellent value proposition and increases its accessibility and appeal to the multiple customer segments in the pastoral industry that utilise Farmax tools.
Many of our investments are culminating in the second half of 2015. The first step is the rollout of Farmax Generation 7 or the Farmax Cloud which is currently underway (if you have not yet been upgraded to the Cloud, we will be in touch with you soon). Our friendly HelpDesk team have been assisting customers through the process of upgrading to the new version, and feedback from people who have experienced the new ‘drop box’ like functionality and flexibility has been extremely positive!
The second step and major initiative we are rolling out is a change to our pricing model. Unbelievably, Farmax subscription prices have not gone up in 12 years, while other on-farm costs over that time have risen close to 50%. The good news is that while the price of Farmax subscriptions will change, the overall effect will be negligible: some prices will go up slightly and others will go down.
Our new pricing will be simpler and clear paths will exist to upgrade to additional functionality.
Farmax for Modelling
To explain the new pricing, firstly we need to look at the two main uses of the Farmax tools and who utilises them.
Farmax is widely used across the pastoral industry to ‘model’ a farm system and then investigate and analyse different scenarios. While Farmax is used in this way by farmers, researchers, students, and others, agricultural consultants are the main user of Farmax in this manner.
Instead of forcing consultants to pay an upfront annual subscription to use Farmax, when the new pricing is implemented it will be the equivalent of a “pay as you go” system. This pay as you go system applies to the product: FARMAX Analysis. FARMAX Analysis allows you to create a Farmax model of a farm entity and do unlimited scenario analysis. Each Farm entity either real or hypothetical that is modelled using Farmax Analysis will incur an annual subscription of $200. Our strong recommendation is that Farmax models should only be created after you have been trained to use Farmax, or by accredited Farmax consultants.
Farmax for Monitoring
The second predominate use of Farmax is monitoring, and this is largely done by farmers. Monitoring functionality or the entering of actual information into a Farmax farm file cannot be done using FARMAX Analysis. To unlock that functionality the user needs to step up to the monitoring range of products. This is where Farmax really comes to the fore in providing the information for proactive tactical and operational decision making on farm within a season. The unique value Farmax provides is the constant ‘reforecasting’ of the likely outcome for the season as actual data is entered throughout the year.
Moving forward, anyone will be able to view (read only) Farmax models, as the Farmax application will be available for download at no charge. The ability to open and view a Farmax model will be granted by the owner of the Farmax farm file. This opens exciting opportunities and possibilities to share the information in Farmax files with other trusted parties. One area we are currently investigating is making Farmax demo farm files available online for public access.