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Reading Review Coleman suggests that quality is the “lynchpin” of a small grower’s business. What are ways that producers can communicate the quality.

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Presentation on theme: "Reading Review Coleman suggests that quality is the “lynchpin” of a small grower’s business. What are ways that producers can communicate the quality."— Presentation transcript:

1 Reading Review Coleman suggests that quality is the “lynchpin” of a small grower’s business. What are ways that producers can communicate the quality of their food to consumers? What are Enterprise Budgets? What type of information is required to complete one? What type of decisions can growers make with a completed Enterprise Budget ?

2 Whole Farm Plan Peer Review
Highlight the areas in your own plan that you think need further development or detail Exchange plans with a partner Take 10 minutes to read through the plan Come up with 3 strengths of the plan and 3 suggestions for improvement Take 5 minutes to discuss each plan as a pair

3 10 Ways to Market your Products… Locally and Regionally
Sell What You Grow 10 Ways to Market your Products… Locally and Regionally Sustainable Small Farming & Ranching

4 The Basics of Direct Marketing
Capture more of the profit Reduce agricultural risk Develop unique product identity What is direct marketing? Marketing a product in a way that involves the farmer as the direct source for the end user. In this way, the middleman, broker, wholesaler, etc. is eliminated in the buying chain. The farmer assumes more of the work in making that connection but also receives a higher percentage of the total value of the product. Many farmers are processing and distributing their products direct to restaurants or retail store, therefore capturing more of the consumer dollar. In addition, the customer is often looking to know more about their food, and getting to know and purchase directly from the farmer growing their food has a increased appeal to many. It is not that small acreage farmers cannot sell their crop or livestock products through a broker or to a wholesale entity. In fact, many producers of specialty or niche products may find that selling through a broker is a much more lucrative venue for selling due to volume purchasing. These products will generally be processed food products, with a shelf life and a unique identity (huckleberries jam from Idaho, Organic frozen vegetables from Stalbush Island Farms, or natural beef from Oregon County Beef).

5 “Direct to Consumer” Connection
This works to the advantage of both Both develop relationship – TRUST Producer can provide fresh product tailored to customer needs Customers can provide input to grower and refine the product line based on what they purchase Selling your products direct to the consumer is the key to economically sustainable small acreage farming. But it is much more than an economical reality of capturing more of the consumer dollar. It is about building a trusting relationship with the consumer. Customers can rely on the quality of the product, know how it is grown and support the local economy by purchasing from local growers. Producers can provide the quality and extra services that customers want. In essence, they are working in a win-win situation. Direct marketing is often called “relationship marketing.”

6 Direct Marketing Skills
“Relationship marketing” - need people skills More intensive management Produce the highest quality of product Direct marketing is another aspect of farming and very different than the production side. It involves a different set of skills. One of the most important of the necessary skills is being able to work with customers on a one–to-one basis. People skills are as essential as production skills. Having to market your own product adds another layer of management to the complexity of your operation. Because you have direct contact with the consumer you will want to have a high quality product. That is your key to keep customers coming back week after week or year after year.

7 Direct Marketing Options
Grocery stores, Restaurant, Food Banks Farmers’ markets U-Pick Farm to School Farm stands Cooperatives or Food Hubs Ag Tourism Internet Community supported agriculture (CSA) Custom sales Let’s start by going over the 10 most common ways to direct market your products. We will go into each of these marketing venues in more detail.

8 Farmers Markets Farmer’s markets have been around for many years. There is great variation of what might be called a farmers’ market from one town to the next. Historically the producer’s all harvest their food, load it on their wagons and brought it to the center of town to sell once a week. The level of sophistication has advanced far beyond that, especially in the past 10 – 15 years as both the number of people wanting fresh food and the number selling it has grown. The FM is a great starting place – it is a place to secure a good customer base, get input from customers on quality, services, variety and how to attract more customers. Many CSA farms started out marketing at the local FM. FM have ( and are still) developing in their operational and management structure. Most have Boards of Directors and rules governing sales. Some have no manager, some have volunteers and at the far end of the spectrum there are some markets with full time paid managers. There are different methods of collecting stall fees (either a set price or a percentage of sales). Most states have information about FM through the state Department of Agriculture. ( Idaho Dept. of Agriculture marketing information on-line at Idaho has a directory of Farmer’s markets put out by RR and UI in It is available on the RR website at One of the most common methods of getting your product to the people who want to buy it Good starting point – can help develop customer base for other methods such as subscription sales (CSA).

9 People seek locally grown products
Studies by Leopold Center showed consumers in Iowa are influenced to buy products that connect freshness to locally grown. Ecolabel Value Assessment Phase II: Consumer Perceptions of Local Foods Check out the Food Routes web site for numerous articles about consumer purchase of local foods. Food Routes - Reasons for buying local foods include: Freshness, taste, quality, and value ranked as very important in the Iowa study. Respondents in both phase I and II of study indicated that support of local farmers was even more important than environmental concerns when purchasing local foods.

10 Market tips: Colorful, layered displays of your products are enhanced by signs and packaging. Booth design, product display and customer service are all important aspects of farmer’s market sales. Horizontal layers of products creates a visual effect that attracts more customers. There are numerous methods of packaging and signage used at markets. Visit a local farmer’s market near you to assess some of the various display methods.

11 Accepting other currencies:
Credit Cards- Square Farmers Market Nutrition Coupons- WIC and Senior EBT- through the market or separately (double up bucks too!) Some farmers have scales on-site for weighing, others prefer to have set prices for a certain package or amount. Many feel that you provide easier sales transactions with rounded numbers such as $1.00/bag or $3 per carton etc.

12 farmers markets, visit:
To learn more about farmers markets, visit: seattlefarmersmarkets.org

13 U-Pick Operations U pick operations are nothing new. Farmer’s have sold fruits and vegetables by having customers come and pick their own since early in the last century. U-Pick operations are regaining popularity as small acreage farms increase in numbers and the demand for fresh produce increases. Some farmers are looking for ways to diversify their enterprises and their marketing venues to reduce risk and increase income. Others are beginning farmers with small parcels of land that want to start a farm businesson a small acreage parcel. Also urban dwellers are looking for on-farm experiences for their families to reconnect with nature and a part of life that is gone from our modern day urban hubbub. continue to be an effective method for direct marketing. Farmers are finding that consumers are often looking for a farm experience and this is one way to provide that. Many producers are offering a variety of fun activities on their farms to supplement the U-pick operation.

14 Producers considering pick-your-own will need:
Liability insurance Space for parking Ability to supervise customers Farmside manners Before deciding to do a u-pick operation farmers must consider several issues. Check with your insurance provider to find out details and requirements for liability for the type of business you are planning. You will need parking space and the capacity to supervise customers. Some farmers have detailed signs that direct customer to the proper picking areas and relay additional instructions. As with most types of direct marketing – the ability to welcome people to your farm and provide friendly helpful guidance is important.

15 The success of pick-your-own is in the details:
Good signage location Targeted advertisement Effective answering machine message Creating a pleasant and safe setting for families Location of quality signs on a main road will increase success in attracting customers. Other targeted advertisement is essential. Consider being included in (or starting) a brochure or listing of U-pick farms in the area to be distributed at the local visitor information center. A good phone answering machine and message maybe your saving grace. Be sure and list prices, product availability, conditions & operating hours (including evenings and weekends). “Conditions” might include things like telling customers it is muddy and recommend they wear appropriate shoes. Creating a pleasant and SAFE atmosphere for families is essential. Think of kids and/or people with limited mobility as you plan.

16 Farm Stands Customers develop loyalty to the farm
Consider costs to build your “stand” structure No transportation cost Farm stands are another method of direct marketing that has its roots in the early part of the 19th century. Like the u-pick operations customers will now go to the farm itself – often out of their way – looking for the freshest produce and a connection to the farmer and farmer who grows their food. Customers develop a relationship with “their” farmer and a loyalty to purchasing from the farm. The farmer benefits by reduced transportation cost (versus selling at a downtown market), but must also consider the cost of building a farm stand structure.

17 Farm Stands Feature high-demand items, such as fresh-picked sweet corn
Pick locations near busy roads Familiarize yourself with regulations governing food products Farm stand involve the same considerations as u-pick operations in terms of location, quality signage, parking space, knowing the liability and food handling regulations. Farm stand featuring high demand items – fresh corn, berries and melons tend to do best to draw customers.

18 Ag Tourism Agri-tourism or Entertainment farming
Great diversity in what farms can offer Provides an “on-farm” experience Ag tourism, entertainment farming or agritourism are all names for combining tourism adventures, fun or relaxing activities and lodging into the farm setting. The possibilities of what people can and ARE doing is endless. Everything from dude ranches and B&B’s to stores filled with value-added products and pony rides. These operations bring fun into the farming experience. They often have entertainment seasonally or in conjunction with harvest of particular fruits or vegetables ( apple festivals, pumpkin patches, corn mazes).

19 Agritourism http://www.outstandinginthefield.com/

20 Entertainment Farming Tips
Producers need good “people” skills Tourism offices can help bring customers Contact the state Dept. of Agriculture for help with farm festivals and other events People planning an entertainment based farming operation should contact the tourism agencies and companies to be linked into their travel information packets. Tours and many other activities could be supplemented

21 If considering an Ag Tourism enterprise…
Natural Resources Conservation Services (NRCS) has an excellent publication Taking the First Step, NRCS, helps growers to evaluate their idea of a new farm based enterprise, particularly a recreational based farming operation.

22 Community Supported Agriculture
Subscription farming What? How often? Where? Cost? Requires advanced planning Experience in production The Community Supported Agriculture ( CSA) concept of marketing came into vogue in the United states in the 1980’s. Theoretically it is referring to the community or customers of a farm buying into the farm or offering support to help the farmer produce the crop. Ways that is done is by offering to volunteer hours in exchange for food or paying up front to support purchase of seeds and equipment to reduce the farmer’s risk in growing and marketing the crops. Some situations are set up that customers actually buy an apple tree or a share of a cow’s milk and then their milk or apples are delivered to them in the appropriate timeframe. Most often it is a weekly supply of vegetables that you pay for ahead of time and have delivered to a certain location or at your home. CSA vary widely in format and pricing structure. In 2000, there were over 1000 CSA in the United States and that number continues to grow. To be successful requires experience in production. Many farmers start with other venues while they build a loyal customer base and then grow gradually into CSA’s. Preplanning of how much to grow, what will you offer, how much to charge and how it will be delivered is essential.

23 Community Supported Agriculture
“We want our customers to be more sensitive to the farm situation. The more they understand the connection of family farms to healthy communities, the better for us.” -- Molly Bartlett, CSA farmer, Hiram, OH Sentiment of one CSA farmer ( above) reflects the importance of the farmer consumer connection.

24 Check out Helsing Junction Farm at http://www.helsingfarmcsa.com
Here is a web site to visit that has pictures of the CSA in varying stages of preparation.

25 When evaluating CSA, consider:
Proximity to customers Willingness to give customers something extra Variety of products Ability to distribute produce CSA marketing is not for all producers. Having the capacity to produce a wide variety of produce over a long range of time is important. Determination of a convenient delivery method that works for both farmer and customers is critical.

26 CSA information For more information and to view the directory visit the “Robyn Van En Center for CSA Resources” Robin Van En is one of the people credited with starting the first CSA in the US. She and partners sold shares in their apple orchard in the late 1980’s. She went on to become the pioneer of the CSA movement in the US and is credited with helping over 200 farmers to start their own CSAs. Sadly, Robin died of cancer in The Robin Van En Center is a national CSA resource center named in honor of this remarkable woman. This site has many additional resources on Community Supported Agriculture.

27 Farm to School USDA Pilot Project in Washington
Requires Food Safety (GAP) certification

28 Direct Sales to Restaurants
Upscale restaurants and specialty stores pay top dollar for quality produce and hard-to-get items. Farmer Fisher Chef Connection, March-Seattle Many farmers near urban areas with upscale restaurants are finding that selling produce and/or meat to chefs is a lucrative marketing strategy. There are many pitfalls and challenges in marketing through restaurants to consider: knowing how to the work within the chefs schedule and meeting their stringent demands for quality, timeliness and reliability. Farm to Table Trade Meeting February-Bellingham

29 This publication is a compilation of ideas about successful marketing to restaurants and retailers. It is on the UC SAREP website at the URL listed above. Included are suggestions for: Homework to do before meeting with retailers or restaurants Who to talk to during the first contact Key points of discussion on first contact at restaurants Key points for retail contacts How to maintain a good relationship Marketing to Restaurants February 2nd and 3rd, 2016

30 Let the Internet work for you
Promote your products and availability Sell your products Have your own web site or get listed in a online guide or directory If you are using the internet to promote your products and availability there are numerous web based listings, nationally and regionally here in the PNW. Food Routes has a national database but the local database for Idaho, Washington, Oregon and Montana is maintained by Rural Roots ( see URL above). A new local (Inland Northwest) online Farmers’ Market vending site is at Another on-line database that is focused on making connections between producers and chefs or retail buyers in Pacific Northwest can be found at

31 Cooperative Marketing
Group of farmers pool their products to meet a demand for a specialized product Legal cooperatives or collaborative agreements Someone to lead the marketing and management efforts Cooperatives are not a new concept to farmers, but have become increasingly popular among sustainable or organic producers. This is at least partially because the food processing and marketing chains often require a different channel than conventional growers use; and also because many sustainable and organic growers are small and there is efficiency in numbers. There are specific reasons why a group of farmers might pool together to market their crops. To establish an identity on a larger scale, to market more successfully, to be able to fix their own prices rather than take the going price for beef or other agricultural products or all of these reason combined. Some farmers work together in collaborative arrangement to purchase supplies and market crops. Others enter legally binding contracts a s a joint member cooperative. What a group decides to do is based on the goal and many other details.

32 Puget Sound Food Hub Post what you have Drop off at agregation sites
Post what you have Drop off at agregation sites Requires Liability Insurance

33 Custom Meat Sales Sell whole, half or quarter animals Andle’s Meat
Del Fox Meat Sylvana Meat Lynden meat Keiser meat, USDA Custom meat sales is a common way that ranchers sell their livestock to friends, relatives and local customers. Animals are usually sold as whole, half or quarter animals, which a custom butcher processes and packages. Eggs and other products are also sold direct to neighbors and other local people who contact the producer.

34 Mobile Meat Processing
Mobile meat processing unit owned by Lopez Community Land Trust Mobile Poultry Processing NABC services/mobile-poultry-processing-unit Producers wishing to sell meat by the cut at a local farmer’s markets will need to find a local processing facility. Custom meat handlers often can not handle the volume of a larger producer. Processing facilities are limited and if meat is being sold across borders or to stores for resale it will need to be processed at a USDA inspected processing plant. Producers on Lopez Island developed the design and financed a mobile meat processing facility to allow area producers access to a butchering facility that could be parked right on their farms (the closest facility was 2 -3 hours away). Several other groups in different states have duplicated their efforts. Partnering agencies, including WSU extension and Washington State Dept. of Agriculture helped to finance a mobile poultry processing unit for NE Washington. Every state has laws regulating meat processing. This is part of the detailed research a livestock producer must do when planning to sell meat direct to customers.

35 Resources WSDA Greenbook ook/ USDA Farmer Direct Marketing North American Farm Direct Marketing Assn.

36 Introduction to Enterprise Budgets
Refer to the information from Crop Production Section of Whole Farm Template for one crop (choose one from your review group) Choose a sales outlet for that crop Compile a list of costs associated with that crop Create a list of labor tasks associated with that crop FOR THOSE THINGS YOU DO NOT KNOW, BRAINSTORM HOW YOU WILL FIND THAT INFORMATION!!!!!

37 Upcoming Events November 12th: Bean Threshing Party at Highland Farm West 10am-2pm November 17th: Long Live Farms Film Event 6:30pm Lincoln Theatre Meet out front to get your ticket November 19th: Field Trip #2 Reading for next week: New Organic Grower Chapter 12 and 13 Whole Farm Plan: Marketing and Assessment Plan


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