Ruminant animals were designed to digest grass. When fed a grain diet, they tend to be less healthy, requiring more medications and vaccines. A grain-fed diet also contributes to less nutrient-dense meat. Grass-fed meat tends to have more healthy fats (like omega-3's) verses conventionally raised meat.
It is common practice in industry to advertise a ruminant animal as "Grassfed" although they to be fattened at a feed lot. There is a significant difference between "Grassfed" and "100% Grassfed & Finished".