AG Growth International (TSX:AFN) operates a farm business that includes the sale of grain and fertilizer handling equipment, aeration products, storage bins and grain management technology. AG Growth International (AGI) primarily sells product to farmers in North America where on-farm storage practices are conducive to the sale of portable handling equipment and storage bins for grain and fertilizer.
AGI’s commercial business includes the sale of larger diameter storage bins, high capacity stationary grain handling equipment, fertilizer storage handling systems, feed handling and storage equipment. The company’s customers include large multinational agri-businesses, grain handlers, regional cooperatives, contractors, food and animal feed manufacturers. Commercial equipment is used at port facilities for both the import and export of grains, inland grain terminals, corporate farms and fertilizer distribution sites.
Robust marketing strategy
AGI’s marketing and advertising strategy builds and maintains awareness of AGI as a leading provider of equipment and technology solutions for agricultural commodities including fertilizer, seed, grain, feed and food systems. To achieve this objective, AGI uses various mediums to advertise the company’s brands, project the company’s product portfolio and engage consumers, dealers and other customers.
Advertising mediums include print, radio, digital, point-of-sale, social media, events and tradeshows. AGI’s marketing and advertising efforts are used to build global brand and product awareness, increase both direct and channel sales and support key partnerships. Digital marketing plays a central role in building brand awareness and engaging current and new customers. From a leading digital web platform to an advanced dealer support portal, AGI provides product-first content experiences that have won numerous awards for excellence and effectiveness.
Culture of innovation
AGI has a long history of conceiving, designing and introducing attractive new products and enhancements to existing products. The company has the capability to move new product concepts from the design phase to commercial implementation on a timely basis. AGI is continually improving the company’s product development process to further improve concept-to-delivery time.
The company is now in the process of establishing a global product management team in order to further leverage AGI’s resources into strategic product road mapping, product development as well as product rationalization. AGI’s significant investment in value added technologies should provide the company with a strong product catalogue offering into the future.
Diverse product platforms
AGI’s five product platforms include fertilizer, seed, grain, feed and food. Grain continues to be AGI’s core platform, including handling, storage, and conditioning equipment for on-farm use by individual growers, as well as bulk and high-capacity applications for grain handlers and marketers. AGI grain equipment includes storage bins, portable and stationary handling equipment, fans and dryers, hazard monitoring equipment, bin monitoring equipment as well as complete technology solutions for grain production and farm management.
In addition to establishing and growing the company’s five platforms, AGI is focused on developing a global presence to better serve the company’s multi-national customers. While North America continues to provide the majority of AGI’s sales, recent investment and initiatives on the other five continents are expected to provide growth and geographic diversification over the long-term.
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Fool contributor Nikhil Kumar has no position in any of the stocks mentioned. The Motley Fool recommends AG GROWTH INTERNATIONAL INC.