Bayer launches new relationship program

Soon, farmers will have a new digital model to support them throughout their crop management journey. This is an evolution of the AgroServices Network's proposal for two new initiatives: Impulso Bayer, the new relationship program with producers, and Orbia, the platform that emerged from a joint venture in partnership with Bravium, which combines marketplace loyalty, commodities and inputs.

According to the president of Bayer's agricultural division, Gerhard Bohne, access to the internet, the younger generations who have been taking over the family business in the countryside and the need to bring the online shopping environment to both producers and to Bayer distributors were some of the main reasons that led the company to invest in this new business model. 

“The new scenario proposed by Bayer meets the current trend, in which we see customers purchasing in physical and virtual stores, in addition to participating in loyalty programs”, compares Gerhard. The producer will accumulate points within Impulso Bayer as a relationship program and exchange them for products and services on the Orbia platform. “The logic is quite similar to the airline frequent flyer system, in which people are already used to interacting with the two interfaces for different purposes. The idea of ​​this format is to bring more benefits to the farmer”, adds Gerhard.

Impulso Bayer is the new relationship program with rural producers and represents the Bayer way of being. “We were born with one motivation in mind: to inspire and propel farmers into the future through exclusive experiences”, says Thiago Junqueira, director of Customer Experience at Bayer's Crop Science Division. The program provides customer ratings from one to five stars, according to the level of relationship they maintain with Bayer. Stars provide access to exclusive experiences, such as personalized service from a concierge for online agribusiness, participation in events and even exclusive trips to international destinations. All experiences aim to promote dialogue, immersion in new technologies and discuss important topics for agribusiness, such as sustainability, innovation and digital transformation. “With this proposal, we want to offer something innovative to the producer, it is an unprecedented relationship program on the market”, explains Junqueira. 

The Orbia platform was born with the proposal to connect farmers to a network to facilitate their processes, do business and generate value. This new company aims to create a new value proposition for all stakeholders that make up the traditional chain through three distinct platforms. “The creation of a new company was necessary to enable this expansion into the market”, ponders Orbia’s CEO, Ivan Moreno.

The coalition loyalty program allows the expansion of the current model to a new format, in which other agribusiness companies also offer points in their transactions and expand the offer of products and services to be exchanged for points. “The model generates value for the end customer and significantly increases customer retention for participating companies”, explains Moreno. This coalition program focused on agribusiness already has a relevant catalog with more than 700 different products and services, in addition to a base with 140 thousand engaged producers, equivalent to 65% of Brazil's planted area.

The platform for selling inputs allows distributors and cooperatives to sell their portfolio through a virtual channel, using a simplified platform, which enables the negotiation and submission of digital agronomic prescriptions. The new purchasing tool also allows producers greater access to credit, as well as respecting the distribution policies established by the industry.

The platform for buying and selling commodities offers a modern tool for directly marketing production, expanding market access for producers and originators. Furthermore, it allows the mitigation of credit risks for trading companies and distributors and allows producers to use their production as a means of payment. The proposal expands the model of Made in Farm, a pilot project that has been operating for more than 2 years through direct sales from coffee farmers who sell their production.

Transformation

The new model built by Bayer aims to promote a new path of digital transformation within agribusiness “The company has been continuously investing in digital solutions, as well as focusing on research and development for new products for more than a century. Digital tools have transformed many sectors and we are only scratching the surface of their importance for agriculture", reinforces Bohne.

Furthermore, Bayer is careful to integrate the new models that are arriving into the company's existing businesses on the market. The digitalization proposal is premised on creating value for the entire chain and offering several advantages to commercial partners and customers. “The marketplace model will expand the business of our current distribution channels, supporting their entry into digital media and enabling access to new customers”, he explains.

The business model is linked to the open innovation strategy that has been adopted by the multinational in recent years. To help promote digital transformation in agriculture, Bayer seeks to be connected to agribusiness startups – so-called agtechs – through various initiatives and has a governance committee for the open innovation ecosystem.

Bayer Growth Ventures, for example, has allowed a series of companies to join Bayer's business. Examples are the fund's investments in the analysis company Tbit, through an initiative led by Microsoft and the BR Startups fund, and the direct contribution to Grão Direto, a marketing and intelligence platform for the physical grain market. These are companies that help put Bayer at the forefront of the digital transformation of agribusiness and that present several potential synergies with each other and with these new announced actions.

Another initiative aimed at startups is the partnership with AgTech Garage, the sector's main innovation hub, located in the city of Piracicaba (SP), a region considered the Silicon Valley of agriculture. The objective of the initiative is to establish collaborative relationships between all actors that benefit the production chain.

“Innovations extend to several areas and Bayer values ​​this. Many of the initiatives announced by the company in recent years demonstrate this focus of the company”, concludes Gerhard Bohne, president of the agricultural division.