1. Cattle Marketing: Cash Market Basics
Derrell S. Peel
Extension Livestock Marketing Specialist and
Breedlove Professor of Agribusiness
Oklahoma State University

2. Marketing Tactics Shrink and weighing conditions Price slides
Marketing channels

3. Price Slide or Rollback OK combined auction, 2000-2016
Weight
(lbs.)
Price
($/cwt.)
Change
Slide
(Cents/lb.)
% Slide
375
163.78
425
155.26
-8.52
17.04
10.4
475
147.83
-7.43
14.86
9.6
525
141.32
-6.51
13.02
8.8
575
135.19
-6.13
12.26
8.6
625
130.51
-4.68
9.36
6.9
675
126.93
-3.58
7.16
5.4
725
124.19
-2.74
5.48
4.3
775
121.15
-3.04
6.08
4.9
825
118.38
-2.77
5.54
4.6
875
115.36
-3.02
6.04
5.1
925
112.50
-2.86
5.72
5.0

4. Market Channels
Choice of marketing channel affects information and negotiation requirements
Local/regional auctions
Video auctions
Direct sale

5. Cattle Marketing: Tactical Considerations
Establish Price
Risk management
Transfer ownership
Legal (determine buyer)
Physical (shipping)
Marketing
Alternative
Establish Price
Establish Buyer
Transfer Ownership
Cash Auction
Now
Video Auction
Later
Forward Contract
Futures Hedge

6. Marketing Cull Cows Improve profits from cull cows
Utilize excess forage/feed resources

8. DEPARTMENT OF AGRICULTURAL ECONOMICS