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Clean lin Resp ess: on The F der For lu p First T H E O R I G I N A L M A G A Z I N E F O R A N I M A L H E A LT H R E TA I L E R S age 6 HELPING YOU GROW YOUR BOTTOM LINE SUMMER 2015 Bob Hormann VOL. 14 / ISSUE 2 www.durvet.com HE DID IT ‘THEIR’ WAY horse sense Find Success In A Challenging Market GENERIC DRUGS Bio-Equivalents Get Big Endorsement NEW Spectra Sure PLUS IGR POS & UP TO $120 REBATE! ® For additional New Products for SUMMER see page 20 SUMMER 2015 VOL. 14 | ISSUE 2 CONTENTS F E AT U R E S SMART LEADERSHIP Ideals for individual & staff development 4| "I Did It Their Way" BOB HORMANN, RETIRING DURVET PRESIDENT, TALKS ABOUT HOW HE GUIDED EMPLOYEES, SHAREHOLDERS AND CUSTOMERS TO GROW THE COMPANY AND GROOM INDIVIDUALS. UP FRONT INDUSTRY: 1 0 | EQUINE TRICKY BUSINESS BUT STILL A GOOD BET The trick to earning more money in a challenging equine market is to help your horse owning customers save more of it. News and trends in retailing 6| Pet Savvy: Clean Up The Canine Flu Bug ANIMAL HEALTH SPECIALISTS ARE ADVISING DOG OWNERS TO USE TIME-TESTED PREVENTIVE MEASURES TO DEAL WITH THE FLU OUTBREAK. 6| Pigeon Fever Spreads Its Wings ONCE RESTRICTED TO DRY CLIMATES, THE DISEASE IS ON THE MOVE EASTWARD. 8| Generics Get Thumbs Up From Veterinarians VETERINARIANS BELIEVE OFFERING PET OWNERS AFFORDABLE GENERIC ALTERNATIVES IS THE “RIGHT THING TO DO.” I M PA C T Facts, tips and ideas to help your business 14 | Ranchers Beef Up Their Herds As Rain Returns MANY CATTLE PRODUCERS FEEL THE WEATHER AND THE ECONOMY HAVE IMPROVED ENOUGH TO START EXPANDING THEIR HERDS. 16| Sales Edge: Keeping Your Team Sharp E V E RY I S S U E 2| PRESIDENT’S MESSAGE A message from Todd Muenstermann At the core of our business philosophy, it is our people who have made Durvet successful, and they will continue to be the driving force. 3| FIRST GLANCE A look into what’s new in the industry Todd Muenstermann and Durvet’s new executive leadership team take hold of the reins from Bob Hormann who retires as Durvet president after 40 years. 20| NEW PRODUCTS An overview of new animal health products ! ON THE COVER A special thanks to: Jordan Sanders, Hannah, Derrick Peterson Rope Horses & Peterson Ranch Jordan Sanders, a member of Durvet’s sales team, knows the importance of high quality, high value equine health care. Sanders is a veteran rodeo athlete who has performed at the collegiate and professional levels. HELPING YOU GROW YOUR BOTTOM LINE SUMMER 2015 | VOL. 14 | ISSUE 2 S U M M E R 2 0 1 5 P r o f i t B u i l d e r | w w w. d u r v e t . c o m | 01 P CR OE NSTIEDNETNST ’ S L E T T E R On Course For A Bright Future With his retirement after 40 years as president of Durvet, Inc., Bob Hormann leaves big shoes to fill. But you can be sure none of us here needs to take baby steps to follow his footprints. That’s because Bob’s leadership – in addition to building one of the largest animal health distribution organizations in the U.S. – cleared the way for the Durvet team to continue to expand the mission he envisioned. He mentored, trained and encouraged each of us to develop our own unique skills that in turn will enable us to carry on his legacy. As the new president, it is my responsibility to guide Durvet’s continued quest to be the leading supplier of animal health and related products to your dealer and OTC markets. The dealer market is very strong and the future is very bright. As with any business, though, challenges will arise. But our leadership team at Durvet will face them down with over 170 years of experience and knowledge of the animal health industry. Average animal health industry tenure for this group is 28 plus years. For the most part, this team has accumulated all that know-how while working at Durvet for most of their careers. For that matter, longevity, loyalty, low-turn-over, or whatever you want to call it, are key traits of our entire family at Durvet. 02 VOL. 9 | ISSUE 2 WINTER 2013 "My firm belief is that it is our people who make us successful" My firm belief is that it is our people who make us successful, and they will continue to be the driving factor that truly makes the difference for our customers. Their hardwired dedication ensures that every encounter, every transaction you have with Durvet reflects our core values: Customer Service: This is Bob’s creed and one which we will continue to embrace. We exist to serve our member distributors and you their customers. In partnership with our members and valued vendors, our mission is to be your best supplier. People Focused: We follow the Golden Rule – treating people the way we like to be treated. Passion For Animals: We are in the business of helping people keep and care for their animals. In a nutshell, we’re in the “healthy animals” business. Our goal is to market products that help animals live better, healthier lives whether its livestock for high quality food production or pets for the joy of pet parenthood and companionship. Economic Operations: Especially in today’s economy (but really in any economy), getting your money’s worth is very important. We watch every penny in order to bring the highest quality products to the market at a price folks can afford. We always strive to provide healthy savings and healthy value. Introducing a steady flow of new products (both Durvet brands and vendor partner brands) will always be a key commitment and component of our company mission. But maintaining our position as a leading resource of industry information and market insight for our customers, such as you can find regularly in ProfitBuilder, will also remain an emphasis and a differentiator for Durvet in the years to come. And while we’re at it, we intend to adhere to another edict on our list of core values: Work hard, have a good time. I look forward to working with you and sharing the fruits of one of the greatest industries in world. Sincerely Todd Muenstermann Todd Muenstermann, President of Durvet, Inc. | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 FIRST GLANCE PROFITBUILDER DURVET DISTRIBUTORS Search for distributor locations by zip code at www.durvet.com. Click on the DISTRIBUTOR button and enter your zip code. A Publication of Durvet Distributors TODD R. MUENSTERMANN President MARK FICKEN Sales Director Livestock & Fleet (Key Accounts) BRADLEY CALDWELL, INC. (800) 257-9100 COASTAL AGRICULTURAL SUPPLY, INC. (800) 856-6000 COLORADO ANIMAL HEALTH, INC. (800) 235-2636 DUBOIS DISTRIBUTORS, INC. (800) 264-3772 FULLER SUPPLY COMPANY, INC. (800) 633-4960 Dealer / OTC Retail IVESCO - A DIVISON OF MWI (800) 457-0118 K&K VETERINARY SUPPLY, INC. (479) 361-1516 MARK NIBLO Marketing Director LITTLE-WOODALL SUPPLY COMPANY, INC. (800) 554-1049 MIDLAND VET SERVICES (866) 723-5727 MID-WESTERN VETERINARY SUPPLY (800) 392-8219 MIDWEST SUPPLY & DISTRIBUTING (800) 397-6972 MISSISSIPPI SERUM DISTRIBUTORS (800) 647-7137 MITCHELL’S ANCHOR SERUM CO., INC. (800) 876-1290 NELSON WHOLESALE SERVICES, INC. (800) 592-1428 RJ MATTHEWS COMPANY (800) 578-9234 STEVE REGAN COMPANY (800) 888-4545 STOCKMEN’S SUPPLY, INC. (800) 437-4064 VETERINARY SERVICE, INC. (800) 350-1874 WEST PLAINS VETERINARY SUPPLY (800) 442-4921 WESTERN RANCH SUPPLY (800) 548-7270 WESTERN STOCKMEN’S, INC. (800) 632-3005 W&W SUPPLY(863) 763-0650 JOHN MILLER Operations Manager JON MOOSE Sales Director VALARIE PARIS Controller BILL BOOTS Livestock Brand Manager KERRY GLAKELER Companion Animal / Hobby Farm Brand Manager DEREK SIMPSON East Regional Sales Manager JAMES WEATHERLY West Central Regional Sales Manager STACYE WYATT Dealer Support Specialist TERRY NESBIT Dealer Support Specialist CARLY BAILEY Dealer Support Specialist RUTH VENTELA Dealer Support Specialist FIRST GLANCE Board of Directors New Durvet Leadership Continues Legacy of a Service-Driven Culture Todd Muenstermann is the new president of Durvet, Inc., taking on overall management duties and responsibilities from Bob Hormann who retired June 1 after guiding the company for the last 40 years. A key executive at Durvet for 19 years, Muenstermann joined the team in 1996 as Marketing Manager, a position he held until 2012 when he was promoted to Vice President of Sales and Marketing. Muenstermann is a 22 year veteran of the animal health industry having started his career at Pfizer and later with Thompson Pet Products. He earned a BSBA in marketing and management at the University of Central Missouri. “I will be turning over the reins to a very capable group, headed by Todd, which will do an even better job of taking the company forward,” said Hormann. “I feel very secure in turning over the operation to such a qualified group of people.” The executive leadership team includes seasoned industry leaders Mark Ficken, Sales Director – Livestock & Key Accounts; John Miller – Operations Manager; Jon Moose – Sales Director - Dealers; Mark Niblo – Marketing Director; Valarie Paris – Controller. “It is people who make us successful,” Muenstermann noted, “our talented and dedicated employees, our supplier partners, and our valued customers. Building and nurturing successful relationships will continue to be the driving force behind our mission of serving our member distributors and you – their customers. Our goal is to be your best supplier!” ◊ BOB HORMANN Durvet, Inc. JIM BRADLEY Bradley Caldwell, Inc ERIC BRITTAIN Coastal Ag. Supply BILL FULLER Fuller Supply Company, Inc KENNY LIPSMEYER K&K Veterinary Supply, Inc ED MCMILLAN Outside Board Member Durvet, Inc. 100 S.E. Magellan Drive Blue Springs, MO 64014 Phone 1-800-821-5570 www.durvet.com © 2015. All rights reserved. VOL. 14, No. 2 SUMMER 2015. Published quarterly for farm, pet and equine stores and animal health retailers. ProfitBuilder® will consider manuscripts and photos for publication but shall not be responsible for loss or damage. All materials must be accompanied by self-addressed stamped envelope. Editorial content researched, prepared and written by McLaughlin Writers Group, LLC. Lenexa, KS 66215. ProfitBuilder® reserves the right to alter any submissions at its discretion for use in the magazine. Send changes of address to ProfitBuilder®, 100 S.E. Magellan Drive, Blue Springs, MO 64014, or email [email protected]. If you have any questions or comments about the editorial content please contact Editor, ProfitBuilder® at 1-800-821-5570. S U M M E R 2 0 1 5 P r o f i t B u i l d e r | w w w. d u r v e t . c o m | 03 SMART LEADERSHIP and end-users. But Hormann felt strongly that distributors could benefit both manufacturers and consumers. With that in mind, he and founder Jim Bradley launched Durvet, which became the first entity in the OTC animal health market to be involved with manufacturing and distributing. It wasn’t smooth sailing at the outset. Five years into the enterprise, some Durvet members questioned Hormann about the goals and outlook. At one point, Hormann asked a skeptic why he had joined Durvet since he was so negative. He answered, “I don’t want to miss the potential.” We designed ProfitBuilder’s ‘Smart Leadership’ column to feature authorities in the fields of personal development and leadership training, like Dave Ramsey who helped us inaugurate this special editorial department in the winter issue. For this edition, though, we only had to look to the corner office at Durvet’s headquarters for our expert – Bob Hormann, who retired this month as president of Durvet for 40 of its 45 years in business. While at the helm of Durvet for nearly half a century, he didn’t publish a management book, but his legacy of leadership speaks volumes. Here’s what he recently had to say about getting the most out of people, about achieving goals and about a few other things: ■ About Commitment: “If you make a commitment and live up to it, you can get anything done.” For Hormann commitment is multi-dimensional – a good manager has to be committed to employees, suppliers and customers. When Durvet was incorporated in 1970, many manufacturers were selling directly to retailers 04 ■ About That Potential: The rationale behind an OTC venture with manufacturing and distribution capabilities was to improve the ethics and economics of the animal health distributor, says Hormann. “Durvet is an organization owned by distributors, run by distributors for the benefit of distribution.” But he stresses a key distinction: “When I use the term distribution it is meant not only to include distributors but also to embrace the universe of dealers and farm, garden and pet store retailers – and your customers.” As for the potential? Well, it can be measured in many millions of dollars disbursed over four decades to Durvet members as ROI or profit sharing. In one deal, Hormann asked members to ante up about $800 for an interest in a manufacturing operation. Years later, a major animal health company acquired controlling interest, and each member received a $200,000 check. ■ About Capitalizing on Potential: It was no small feat for Hormann and the Durvet board to create an OTC animal health distribution and manufacturing company. Convincing its 20 or so members on the potential of making their own products, creating a | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 PROFITBUILDER brand and establishing it in the market wasn’t easy. “There was little agreement among the members,” Hormann recalls. The board formed product committees to study strategies and programs. Hormann relied on the board a great deal. He also had to consider how the move would impact relations with other manufacturers whose products he carried. ■ About The Biggest Challenges: ■ About Your Biggest Assets: ■ About What He Just Said: It’s always people at all levels. It’s always people at all levels. In dealing with people, Hormann says, “I can’t stress enough the importance of being a good listener; and when you do talk, talk in terms of others’ interests.” While presentations of statistics, theories, analyses, plans and models to support your case are necessary, Hormann maintains the best way to get your ideas accepted is to be a good listener. “Instead of wondering how people can do ‘this’ or think ‘that,’ put yourself in their position.” THEN Solutions often become crystal clear; and more often than not they come from your staff. Another management tenet has always rung true for Hormann: You can accomplish almost anything as long as you are not worried about who gets the credit. And for the record, Bob notes that behind every effective leader is a dedicated, persevering spouse; in his case, Beverly, his wife of 54 years. And then there is his variation of Frank Sinatra’s song “I Did It My Way.” Bob says he could never get the tune out of his head, but he did manage to change the lyric a bit: “I did it their way.” ◊ UPFRONT PROFITBUILDER Clean Up The Canine Flu Bug An ounce of disinfectant worth a pound of prevention The outbreak of a new strain of Canine Influenza A this past spring portends increasing incidence as the virus spreads from its origins in Wisconsin, Illinois, Indiana and Ohio to other parts of the country – especially when vacation season begins and more dogs travel with their families. The outbreak has prompted dog owners to seek immunization, putting pressure on existing short supplies of vaccine. Immunologists aren’t yet sure if current vaccines will provide protection against this new virus (H3N8) related to Asian strains of Canine Influenza A H3N2 afflicting dog populations in South Korea and southern China. Animal health specialists, meanwhile, are advising concerned dog owners to adhere to old school preventive measures during the outbreak, like avoiding dog parks, grooming parlors, some day-care facilities and other places where dogs congregate. (Even veterinary clinics can harbor the virus when patients with flu symptoms are waiting to see the doctor.) With a scarcity of vaccines and development of specific vaccine for this new outbreak still underway, dealers and pet product retailers can be on the frontline in the fight against the virus. It is important you help your dog-owning customers understand how flu virus is spread and how they can prevent it. Influenza A is transmitted among animals when they are in close contact with each other or come into contact with surfaces contaminated by infected animals. Key to controlling flu viruses is treating surfaces that infected animals have touched with effective disinfectants and cleansers. Most animal health product dealers carry these products. Now would be a good time to promote and merchandise them prominently – highlighting their role as ‘first responders’ and barricades against the advance of flu viruses. Ask your distributor reps for literature, display and other merchandising materials. ◊ Pigeon Fever Spreads Its Wings Well, not exactly: Pigeon fever doesn’t have wings and it is not transmitted by its namesake bird species. But it is spreading. Pigeon fever, aka ‘dryland distemper’ or ‘dryland strangles,’ is a bacterial infection in horses that causes the ventral chest to swell like a pigeon’s breast as a result of abscesses occurring deep within the tissue. It was once restricted to a few states with dry, somewhat arid climates. “We’re seeing more incidence of pigeon fever this year around the country...” “We’re seeing more incidence of pigeon fever this year around the country,” says David Heinje of Boehringer Ingelheim Vetmedica. Until recently, the disease was prevalent in environments like California and Arizona’s dry climates. However, it has been moving eastward, and has been found in other states such as Texas, Louisiana, Arkansas, Kentucky and Florida. Most cases emerge in late summer and early fall. Dealers operating in these states and in other regions affected by drought should keep an eye peeled for outbreaks. Pigeon bacteria is vectored to equine environments – soil and forage, bedding, stalls, feed buckets et al. – by flies, pests and fly bites. “These pests can transport the bacteria to another horse’s wound or mucous membranes or provide the bacteria with a port of entry through its own bite,” reports Dr. James Little, Veterinary Tech Services, Bayer Animal Health. While immunologists are getting close to offering a vaccine for pigeon fever, none is available. The best way you can help horseowning customers deal with the disease is to promote prevention – and to help them implement strategies to build biosecurity programs using, of course, your products, i.e., cleansers, disinfectants and insect and fly control. ◊ 06 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 UPFRONT Generics Get Thumbs Up From Veterinarians It might not mean money in the bank for dealerships or pet retail stores just yet. But a recent survey of veterinarians seems to be signaling the tide is turning toward greater acceptance of generic drugs in the animal health industry. Granted, veterinarians in the survey are talking about ‘prescription’ generic pharmaceuticals that won’t necessarily find their way to OTC channels in the near future. But it is still good news that veterinarians have endorsed generic prescription drugs. It puts the whole universe of bioequivalent products in a much better light. As the saying goes, a rising tide lifts all boats. Promoting your house brands should be easier – especially with an affirmation from a professional group that Americans hold in high regard. Putney, Inc., Portland, Maine, a pet pharmaceutical company that develops generic prescription medicines for pets, found that 100 percent of veterinarians completing an online survey last February, believe offering pet owners “affordable generic alternatives is the right thing to do.” 08 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 Jean Hoffman, Putney president and CEO, says veterinarians understand that prescribing FDA approved veterinary generics is not only the right thing to do for pet owners, it is also the right thing to do for their practices. In follow-up conversations with veterinarians, practitioners said affordable generics of expensive brand pet medicines build pet owner trust, which leads to customer loyalty and repeat clinic visits. Putney’s analysis of the carprofen caplet market supports the fact that veterinarians prescribe and sell more of a pet medicine when they offer a generic. After generic carprofen caplets became available, the number of carprofen caplet units sold through veterinarians increased threefold, indicating more pets were treated when veterinarians had an affordable generic option. Generics now account for over 70% of carprofen caplets dispensed by veterinarians. ◊ See Dealer Rebate Offer on Insert! S U M M E R 2 0 1 5 P r o f i t B u i l d e r | w w w. d u r v e t . c o m | 09 F E AT U R E Equi ne Industry: Tricky Business But Still A Good Bet Especially If You Can Save Customers Money If you were to gauge the strength of the U.S. horse industry based on the record-breaking attendance at last month’s Kentucky Derby or the record-setting $194 billion wagered on the race, you’d have to say business is robust. But picking a winning strategy in the equine trade remains challenging. Placing a bet on a horse race is less chancy these days than handicapping sales trends in the equine market. Global technology research firm, TechNavio, forecasts the worldwide equine health market will decline at a 1.24 percent compound annual growth rate (CAGR) over the period 2015-2019. Read that as an improvement. The market had been shrinking 4 percent annually since 2009, according to Package Facts, a division of Market Research Group. Package Facts further projects “as the economy slowly recovers, things should be looking up for the industry.” Packaged Facts is putting retail sales in the equine market close to $24 billion, while the American Horse Council estimates the horse industry has a $40 billion direct economic effect on the U.S. economy. About the same as last year. So the good tidings for dealers and farm stores is this: Modest success in the equine market is not a longshot. The odds favor your getting a fair share of the feeds, supplements, dewormers, vaccines, pest control, grooming products, apparel, accessories and tack markets. If you want it, and you want to help your customers save money. And if you do, here are some observations about horse owners to help you shape marketing strategies to go after them: ■ The relationship of horses and humans is one of companionship and commitment. Over 68 percent of respondents to a survey conducted by Fountain Agricounsel, LLC in 2013 said they would cut back expenses in other areas of their lives to compensate for any increased costs of keeping horses. ■ Annual expenses for backyard horse owners run a minimum $2,500-$3,600 a year (not including stabling). Any economies or values you can offer on equine products will build customer loyalty. ■ Almost 75 percent of horse owners have household incomes of $75,000 or less. ■ Understanding anticipated expenses can help owners – especially new ones – budget effectively and provide consistent, diligent care. ■ What horse owners value in a supplier is product availability, relationships, information, convenience and one-stop shopping. ■ As Baby Boomers retire, they are less likely to spend the amount of money in the horse market as they did in their thirties. Generation X, with only half the members as the Baby Boom generation, is the immediate heir apparent to the equine market which greatly reduces the number of potential horse owners. ◊ Source: 2012 American Horse Publications Owners Survey; 2013 Overview of the USA Equine Health products Market (Fountain Agricounsel, LLC; 2014 Equine Market Mega Study (Brakke Consulting/Ipsos Research). 10 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 PROFITBUILDER HORSE OWNERS Go It Alone ... Sort Of Who's Your Typical Horse Owner? The average horse owner is a married female, age 35-54, with kids between 12 and 17 years old. She enjoys country music, hiking and outdoor activities, read lots of publications, and own cats and dogs. So notes Brakke Consulting in its 2014 Equine Market Mega Study. Most of them own multiple horses: 14 percent own one; 12 percent have 10 or more; and the rest 74 percent, own between one and ten. Two-thirds keep their horses on their own property. “They own property because they own horses,” says John Volk, senior consultant in Brakke’s Chicago office. About 20 percent board their horses elsewhere. Horse owners are an intensely enthusiast community. They are heavy consumers of print media, spending five hours a week reading horse publications. They rely on horse journals as their number one source of information. However, what may be most noteworthy about them is how devoted and involved they are with their horses. “Horse ownership defines them,” Volk says, “They spend an average of 22 hours a week with their horses; they read equine publications, they use the web, and they are impulse buyers.” This last trait – impulse buying tendencies – ought to prompt several responses on your part: ■ Offering a wide range of equine products; promoting and merchandising them effectively. ■ Training your team to be service-driven and knowledgeable about the products you carry. ■ Realizing horse owners are a unique, special community. They talk among themselves, and could have a lot to say about you. Make sure it’s good. ◊ Horses are majestic, powerful animals, however they sometimes display tendencies toward frailty. If horse owners called for professional help each time they detected a problem, they’d double or triple their costs for an already expensive commitment. That’s why about 75 percent take full responsibility for health care decisions, although about a quarter of this group involve other experts and veterinarians in the decision process, according to the 2012 American Horse Publications Owners Survey (the latest to date). But equine owners don’t take horse health lightly. And that’s also why they try to develop trusted sources – like you – for input. They prefer, says the survey, to receive equine nutrition and supplement information through “face-to-face” interaction. Since most of them purchase these products at locally-owned dealer feed stores, that makes you their trusted source (as we mentioned in last year’s ProfitBuilder feature on the equine industry). Here are other tendencies horse owners display when it comes to horse health that you need to be aware of for your market planning: ■ Vaccination: The American Association of Equine Practitioners (AAEP) polled horse owners recently, and found that 50 percent of them gave at least some vaccines themselves, while 23 percent administers all of them. That’s close to Boehringer Ingelheim Vetmedica’s assessment of about 40 percent. Local dealers and stores are seeing vaccine sales grow as horse owners themselves take on more of the responsibility. Cost savings is the main reason owners vaccinate their horses, says Jennifer Wright, DVM, co-owner of Three Oaks Equine Veterinary Services in Manakin Sabot, Virginia. Those in the 18-40 age group are more likely to cite cost, she adds. [continued on page 12] S U M M E R 2 0 1 5 P r o f i t B u i l d e r | w w w. d u r v e t . c o m | 11 Dealer Promos PET FLEA AND TICK CONTROL DEALER MIX/MATCH REBATE DEALER REBATE DATES: June 1 - July 31, 2015 2 Purchase Options: • Receive a $40 OFF-INVOICE REBATE with the purchase of $600 assorted program products on one invoice. • Receive a $20 OFF-INVOICE REBATE with the purchase of $400 assorted program products on one invoice. MAXIMUM REBATE: $120/dealer location. Cannot be combined with any other promotional offer. TERMS & CONDITIONS: • All products must ship and invoice together. • Maximum pay out $120.00 per store location. • Distributor to pay rebate to dealer. GET UP TO Dealer Promos EQUINE FLY CONTROL DEALER MIX/MATCH REBATE DEALER REBATE DATES: June 1 - July 31, 2015 2 Purchase Options: • Receive a $40 OFF-INVOICE REBATE with the purchase of $600 assorted program products on one invoice. • Receive a $20 OFF-INVOICE REBATE with the purchase of $400 assorted program products on one invoice. Order must include at least one (1) case of POWER Fly Spray & Wipe 32oz. MAXIMUM REBATE: $120/dealer location. Cannot be combined with any other promotional offer. TERMS & CONDITIONS: • All products must ship and invoice together. • Maximum pay out $120.00 per store location. • Distributor to pay rebate to dealer. GET UP TO $120.00 $120.00 Ask your sales rep for a list of qualifying products! Ask your sales rep for a list of qualifying products! OFF INVOICE REBATE NO-BITE MANGE REMEDY IS NOT FOR SALE IN CA. NO-BITE MIST IS NOT FOR SALE IN CA OR NY. OFF INVOICE REBATE Dealer Promos EQUINE SUPPLEMENTS DEALER MIX/MATCH REBATE DEALER REBATE DATES: June 1 - July 31, 2015 2 Purchase Options: • Receive a $40 OFF-INVOICE REBATE with the purchase of $600 assorted program products on one invoice. • Receive a $20 OFF-INVOICE REBATE with the purchase of $400 assorted program products on one invoice. MAXIMUM REBATE: $120/dealer location. Cannot be combined with any other promotional offer. TERMS & CONDITIONS: • All products must ship and invoice together. • Maximum pay out $120.00 per store location. • Distributor to pay rebate to dealer. GET UP TO $120. 00 OFF INVOICE REBATE Ask your sales rep for a list of qualifying products! Dealer Promos EQUINE FREE GOODS PROGRAMS SHOOFLY LEGGINS TM PROGRAM DATES: June 1 - July 31, 2015 1 FREE with 11 PROGRAM DETAILS: • Dealer orders must be on one invoice, shipping to one dealer location. (mix/match 3 sizes) Watch the One-Minute Challenge and be amazed! www.shooflyleggins.com PYRANHA ® 1 FREE with 5! PROGRAM DATES: May 1 - July 31, 2015 TERMS & CONDITIONS: • All products must ship to one location and invoice together. • Distributor to ship free goods to dealer. (LIKE PRODUCT) GERMAN HORSE MUFFINS PROGRAM DATES: June 1 - July 31, 2015 PROGRAM DETAILS: • Dealer orders must be on one invoice, shipping to one dealer location. Ask your sales rep for Free Goods Programs details! 1 FREE with 11 (1 lb. Pouch) 1 FREE with 9 (6 lb. Pouch) F E AT U R E PROFITBUILDER [continued from page 11] ■ Supplements: More than three-quarters of horse owners use at least one type of nutritional supplement for their horses. Supplements for joint support and hoof health, like Durvet's HoofSOLIDTM, top the list. Studies at Colorado State University’s Gail Holmes Equine Orthopaedic Research Center have centered on the prophylactic use of oral joint health supplements (OJHS) in young, healthy horses prior to the onset of any signs of OA. Researchers have demonstrated the safety of chondroitin sulfate, avocado-soybean unsaponifiables (ASU), and glucosamine-containing oral joint health supplements in horses. ■ Osteoarthritis: Osteoarthritis (OA), a painful, debilitating joint disease, affects an estimated 60 percent of the U.S. equine population, or about 4.3 million horses. There is no known cure for equine OA, and ongoing treatment can cost horse owners in a range of $1,220 to $5,000 a year, excluding any surgery and special treatment. “The financial commitment by the owner for a horse that develops OA during the course of its lifetime is likely to be substantial,” says David Frisbie, DVM, PhD, lead researcher at CSU. As dealers you can play a role in helping customers ease horse joint pain and mitigate their wallet woes. Talk to your Durvet representatives to learn more about the efficacy, safety and economy of these treatments. Durvet and its vendors offer product lines for joint health and muscle ailments. ■ Comprehensive Care: Horse owners take seriously their responsibilities to attend to routine preventive and well-horse care. So you might look to expand your comprehensive inventory of equine products that include feed and nutrition; supplements for digestive, joint and hoof health; deworming products, and grooming products, accessories and equipment. Fly and pest control products are also a necessity for equine owners. But as much as you need a full selection of equine health care products, you also need full knowledge of those products you carry – because horse owners will expect it. ◊ WHERE HAVE ALL THE HORSE OWNERS GONE? Where To Find More The decline in U.S. horse numbers has been a hot topic for several years, noted American Horse Council president Jay Hickey last year during an AHC forum. At the event, Tim Capps, director of the Equine Industry Program at the University of Louisville, compared statistics on yearling sales averages, race days and gross purses from the Great Depression (1928-1934) with figures from the Great Recession (2006-2011). He concluded, there wasn’t much difference. Capps maintains the equine industry experienced a bubble: “It was clear you were going to hit the wall at some point, and it came in 2004.” Bubbles always burst, he says. Still, the racing and breeding industry has proven very resilient. The horse population in the U.S. recovered from another bubble in the 1980s; and between 1994 and 2004, horse numbers climbed 33 percent to 9.2 million. Then it dropped precipitously to 7.2 million with the onset of the Great Recesssion. In the sense that dramatic declines in horse population have occurred before – and the industry subsequently recovered – there might be cause for optimism, though equine marketers are worried about the flat growth rate. And more specifically: the decline in horse riding participants. “Of significant concern is the long term market,” says Jeannie Miller, equine brand manager for Bimeda, Inc. “Both horse and participant numbers continue to de- 12 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 crease.” Miller explains that as urban development encroaches on rural pasture, trail and ranch lands, the costs to own a horse or to participate in riding activities becomes more expensive. Be ProActive There is something you can do, however. A number of stables and riding clubs around the country have been stepping up their efforts to attract what Miller describes as new “backyard horse owners” and riding enthusiasts. She applauds those stables that encourage recreational riding with free ride sessions and programs promoting the pleasures and values of horseback riding. You can make sure the equine sector of your business remains healthy by partnering with local stables and riding clubs to introduce people to the equine world. You can promote and sponsor equine educational programs, riding clinics and health care workshops. If you have adjacent property, perhaps stable operators can bring horses over for your customers to meet and ride in a controlled atmosphere. To get started, check out these organizations: ■ North American Trail Ride Conference: www.natrc.org ■ American Quarter Horse Association: www.aqha.com/riding ■ Directory of Horse Organizations and Riding Clubs: www.localhorse.com. ◊ I M PA C T PROFITBUILDER Ranchers Beef Up Their Herds As Rain Returns After five years of serious-to-severe drought in Great Plains cattle country, the perfect economic storm for cattlemen seems to be brewing, and it could enrich ranchers and producers as well as beef-eating consumers and farm and feed store dealers. Last year, Texas reported 83.4 percent of its ranch and rangeland was under stress for lack of water. As of early May this year, drought conditions affected only 29.6 percent of the Lone Star State’s agriculture acres. Nationwide last year almost half (48 percent) of the total U.S. cattle herd was located in drought-afflicted areas. This year it’s 37 percent. Some cattlemen are betting the farm that weather will continue to improve. As drought abates, they hope to be able to increase their herd population and at the same time feed their cattle cheaply with the abundant grains and forage the rains will bring. While production costs are going down, though, producers will continue to see retail meat prices rise 5 to 6 percent (as forecast by the USDA) in the short term – because ranchers are keeping more of their steers and heifers to build their breeding stock. But consumers will be winners, nevertheless. While prices are still going up, they’re climbing at only half the rate consumers have seen in the last couple of years. The U.S. cattle herd grew 1 percent to 89.8 million last year, according to the USDA. But the number of cows and heifers that have calved rose 2 percent indicating more cattle will be entering the beef supply chain in the coming years. The increase is larger in the traditional cattle states: Texas – 7 percent; Oklahoma – 5 percent; and Kansas – 5 percent. Rain Won’t Dampen Dealers’ Outlook “Three years ago, we didn’t have enough grass to feed a goat, let alone a cow,” a third generation Texas rancher told the Wall Street Journal in May. He and his sons are restocking their herd, especially their breeding stock, expecting high cattle prices to remain somewhat high while feed costs drop considerably. 14 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 It seems a good bet. In the meantime, here’s a wager with good odds for dealers: You can expect more farmers and ranchers to maximize the value of their breeding stock and the quality of their cattle by resuming Best Management Practices they may have let slide during the drought. Over the last year, livestock specialists and state and university Extension services have been urging cattle and cow/calf producers, feed lot and finishers to review their operations. You can reinforce that advice by promoting BMPs – through literature, workshops, presentations and seminars (in store and online) – and connecting those methods to the products you carry. Time is ripe for ranchers and cattlemen to purchase more of the supplies they need to manage their herds efficiently to maximize the return on their investment and ensure the wellbeing of their animals. Products include vaccines, dewormers, implants, supplements, wound care, fly control, disinfectants, among others. And it is a good use of your time to talk with cattle health specialists and university extension services, to see what practices and products in particular this year, they are recommending producers incorporate into their herd management. ◊ I M PA C T PROFITBUILDER SALES EDGE : Keeping Your Team Sharp Horse Hoof & Digestive Supplement Situation: Maintaining healthy hooves is a requirement for all horse owners. Without good hooves, horses will not come close to achieving even modest performance capabilities, let alone enjoying a decent quality of life. But treating equine hoof problems can take time. Hoof walls grow slowly, and it can take up to a year to see measureable improvement. So it is important that horse owners focus on hoof health before problems occur, and that means ensuring horses are fed a balanced diet. Equine nutritionists recommend the use of supplements with zinc, calcium, protein (amino acid methionine) and biotin. If your customers are not feeding their horses a hoof supplement, you should encourage them to start. Studies have also shown omega 3 and omega 6 fatty acids to be a preventive to laminitis. The Edge: HoofSOLID™ is a pelleted hoof and digestive supplement formulated to provide optimum nutritional support for normal healthy hooves. The Omega 3 fatty acids in HoofSOLID™ help maintain pliability and moisture in the hooves. The Science: The nutrients in HoofSOLID™ work together to support cracked hooves and strengthen hoof walls while promoting normal hoof growth. They include the essential amino acids L-lysine and Methionine. A key nutrient is Zinc, a trace mineral to promote keratin development in hoof walls. Yea-Sacc® 1026 (Saccharomyces Cerevisiae) provides enzymes and other actions necessary for proper digestion. For research documentation on the efficacy of Yea-Sacc®: visit www.yeasacc1026.com. Bonus Tip: HoofSOLID™ is apple flavored to ensure palatability; it comes in a convenient 10 pound bucket with measuring scoop. ◊ 16 | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 Dealer Rebate Offer! $120. 00 GET UP TO OFF INVOICE ON SELECT EQUINE SUPPLEMENTS. See center insert for details. S U M M E R 2 0 1 5 P r o f i t B u i l d e r | w w w. d u r v e t . c o m | 17 NEW PRODUCTS INTRODUCING PROFITBUILDER NOW SHIPPING FREE Marketing Materials You know Spectra Sure® Plus IGR flea and tick control products are efficacious and economical – offering dog and cat owners savings up to 40 percent of what they could pay for FRONTLINE® Plus in a vet’s clinic. Now you can drive that “Why Pay More” message home to your customers with a set of free POS displays and merchandising tools. Currently available, the full Spectra Sure Plus IGR point of sale marketing tool box includes an Easel Counter Display with Rack Card Handouts and Rack Card Refills; Product Hang Tags for four canine weight ranges and one for cats weighing over a pound and a half; and Price Cards. All are designed for flexible display capability and easy, convenient set up. ® The featured item in the tool box is the Spectra Sure® Plus IGR Header Kit that fits a 3 foot gondola unit. The kit comes with one 36 inch x 24 inch “Why Pay More” header, two branding rail strips and three hook & loop Velcro dot sets. Cosequin® DS AMPROMED™ POWER WING GET A FREE An oral solution containing 9.6 % amprolium, AmproMed™ aids in the prevention and treatment of coccidiosis in beef and dairy cattle caused by Eimeria bovis and E. zuernii. It effectively disrupts coccidia life cycles. Palatable to calves in their drinking water, AmproMed™ is economical and convenient: One gallon of concentrate treats 1,600 gallons of drinking water based on a 21-day prevention regimen. This eye-catching display is supported by a multi-million dollar national television advertising campaign featuring Jungle Jack Hanna. The Cosequin® Power Wing pre-packed display is designed to hold 12 Cosequin® DS plus MSN and Bosweilla Soft Chew bags. Supplies are limited, so act now. Give your customers the opportunity to receive a free Spectra Shield® Medallion when they purchase one quart of POWER® Fly Spray & Wipe and one DuraMask™ Equine Fly Mask (any size or style). For more information, contact your Durvet distributor representative. Soluble Pig Dewormer LEVAMED™ DRENCH POWDER 20 SPECTRA SHIELD® Download consumer mail-in offer at www.durvet.com/promotions or www.spectrashieldpet.com. COMING SOON To request an order form for free POS materials to showcase your Spectra Sure® Plus IGR products send email to [email protected], or contact your Durvet distributor representative. FRONTLINE® IS A REGISTERED TRADEMARK OF MERIAL. SPECTRA SURE® PLUS IGR FOR DOGS AND CATS IS NOT MANUFACTURED OR DISTRIBUTTED BY MERIAL, SELLER OF FRONTLINE®PLUSFOR DOGS AND CATS. Mail-In Consumer Offer Coccidiostat For Calves An economical, broad spectrum anthelmintic for swine, LevaMed™ Soluble Drench Powder protects pigs against large roundworms, nodular worms, lungworms and intestinal threadworms. Its oral dosage form reduces handling and animal stress; its short 72 hour withdrawal period increases production efficiency. LevaMed™ is conveniently packaged in an easy-to-use screw top plastic bottle that serves as both a mixing and storage container. | w w w. d u r v e t . c o m | P r o f i t B u i l d e r S U M M E R 2 0 1 5 Poultry Nesting Herbs Cattle Fly Control JUSTIFLY LUV NEST™ An IGR larvicide administered with mineral feeds in cattle and dairy operations, JustiFLY® Feedthrough is approved for control of horn, face, house and stable flies. A 4-lb resealable bag of JustiFly® will treat five 50-lbs bags of mineral. Each bag contains a scoop calibrated to hold 360 grams of active JustiFly®, which when fed at a consumption rate of 3-4 ounces per head/day treats 200 hundred cow days for pennies a day. The Luv Nest™ line of organic herbal treats and blends are designed especially for chickens, ducks and other backyard poultry. Luv Nest Nibbles Treat is a blend of protein-rich mealworms, sunflower seeds and kale. Soothing Layer Blend supports laying and reproductive systems. Aromatic Critter Nest Blend is effective in controlling lice, moths and other pest; and Chick Mix Blend provides a natural aromatic environment for newly hatched chicks and ducklings. ® FEEDTHROUGH Shipping in July! HELPING YOU GROW YOUR BOTTOM LINE