Revealed Characteristics of Guidance Systems Adopters in Cotton Production

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Steven W. Martin, and Swagata Banerjee, Delta Research and Extension Center, Mississippi State University, Stoneville 38776; Roland Roberts, Burt English, and James Larson, Department of Agricultural Economics, University of Tennessee, Knoxville 37996; Sherry Larkin, Department of Food and Resource Economics, University of Florida, Gainesville 32611; Michele Marra, Department of Agricultural and Resource Economics, North Carolina State University, Raleigh 27695; Kenneth Paxton, Department of Agricultural Economics & Agribusiness, Louisiana State University, Baton Rouge 70803; and Jeanne Reeves, Cotton Incorporated, Cary, NC 27513

Abstract

A mail survey of cotton producers in Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Virginia was conducted to establish the use of precision farming technologies in these states. Producers who used one of the GPS guidance systems were asked to evaluate their experience with the guidance systems. Farmers who indicated they did not use guidance systems were asked if they thought guidance systems would have value to them in the future. Eighty-one percent of adopters reported using lightbar systems and 28% reported using auto-steer systems. Some producers (14%) had both systems. Eighty percent of the guidance system adopters reported that the technology had met their expectations with an average perceived value of $11.85/acre. The most common use adopters reported for their guidance systems was spraying, although over 50% of the adopters used the guidance system for all field operations.

A mail survey of cotton producers (obtained from the Cotton Board in Memphis, Tennessee) in Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Virginia was conducted in late winter, 2005 following Dillman’s (1) general mail procedure to establish the use of precision farming technologies in these states. Of the 12,243 questionnaires mailed, 18 were returned undeliverable and 182 indicated they were not cotton farmers or had retired, leaving a total of 12,043 cotton producers. Of those cotton producers, 1,215 individuals provided data, giving a usable response rate of 10%. Out of the 1,215 respondents, 281 (23%) were adopters of guidance systems. Adopters represented 63% of the surveyed acreage in 2004. The survey instrument is available from the authors upon request.

Respondents to the questionnaire were asked if they used lightbar, auto-steer, or other forms of guidance systems. Producers who used one of the GPS guidance systems were asked to evaluate their experience with the guidance systems. Farmers who indicated they did not use guidance systems were asked if they thought guidance systems would have value to them in the future.

Results (Table 1) suggest that adopters of GPS guidance systems tended to be younger than non-adopters of guidance systems. Typical adopters had less farming experience, but more education. Adopters were more likely to use a computer for farm management. Additionally, guidance system users were more likely to use laptop computers that they could carry to the field. Guidance system adopters farmed more total acres than non-adopters as well as more cotton acres. Users of guidance systems reported higher average yields than non-adopters. These findings may suggest that guidance system adopters are not only on the forefront of technology adoption but are also more ambitious and growth oriented than non-adopters. Additionally, adopters of GPS guidance were more likely to use more standard precision farming equipment such as yield monitors, grid and zone soil sampling, aerial photos, satellite images, and PDA handheld devices.

Table 1. Characteristics of survey respondents by GPS guidance system adoption status.

Survey respondent characteristic	Adopters of GPS guidance system	Non-adopters of GPS guidance systems
Average year born	1958 *	1952 *
Average years farming experience	24 years *	28 years *
Average formal education	14.6 years *	14 years *
Computer ownership	95% *	79% *
Computer used for farm management	75% *	46% *
Laptop used for farm management in field	35% *	7% *
Average acres owned	869 *	380 *
Average acres rented	1799 *	804 *
2003-04 average cotton acreage	953 *	539 *
2003-04 average cotton yield (lbs/acre)	991 *	919 *
Percentage of respondents requiring more GPS education	74% *	69% *

* Denotes a statistically significant difference between adopters and non-adopters at the 95% confidence level.

Of the adopters of GPS guidance systems, 81% reported using lightbar systems and 28% reported using auto-steer systems. Some producers (14%) had both systems. Eighty percent of the guidance system adopters reported that the technology had met their expectations. Average perceived value (worth to the producer) from adopters was $11.85/acre. The most common use adopters reported for their guidance systems was spraying, although over 50% of the adopters used the guidance system for all field operations.

When non-adopters were asked their perceived value of a guidance system, they reported an average value of $16.72/acre (Table 2). While the mean value is higher than for adopters, median values were much lower. Sixty-nine percent said they thought guidance systems would have value to them in the future.

Table 2. GPS guidance system perceptions of non-adopters.

Purchase intention within 3 years	No. of responses	Perceived value ($/acre)
Purchase intention within 3 years	No. of responses	Average		Median	Minimum	Maximum
Yes	106	$12.90	$7.25		$1.00	$75
No	355	$17.83	$5.00		$0.00	$200
Don’t know	448	$16.46	$7.00		$0.50	$500
All non-adopters	909	$16.72	$6.25		$0.00	$500

As technology advances are rapidly increased, traditional farming methods are quickly being replaced. With 74% of adopters and 69% of non-adopters suggesting the need for more education on GPS guidance systems, the results of this study suggest sufficient demand for additional information and training related to precision agriculture.

The authors express appreciation to Cotton Incorporated and their respective Land Grant Universities for support of this research.

Literature Cited

1. Dillman, D. A. 1978. Mail and telephone surveys, the total design method. John Wiley & Sons, New York.