Roadside Stands MARKETING IS AN ESSENTIAL PART IN THE SUCCESS OF A SMALL FARMER GROWING FRUITS AND VEGETABLES.

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1 Roadside Stands MARKETING IS AN ESSENTIAL PART IN THE SUCCESS OF A SMALL FARMER GROWING FRUITS AND VEGETABLES. Although many people who join the farming industry are drawn to the production and growing tasks, the farm will have no sustainable success without marketing. Marketing is what sets apart some small operations from simply being a hobby. This marketing publication is intended to be used as a starting point for small fruit and vegetable farmers in Northwest Florida. It will help these individuals identify different steps that need to be taken in order for them to have the opportunity to pursue marketing in new, emerging, or traditional marketing channels.

2 ROADSIDE STANDS A roadside stand is a temporary or semi-temporary structure that allows farmers to sell directly to consumers. They can be located on or off the farm, preferably in close proximity to a high traffic area. Roadside stands are more functional if they are mobile (pickup trucks and/or tents) and can be moved to accommodate consumer convenience and demand. Locally grown produce is sought after by consumers, but it is important to communicate the quality and freshness of the product, because some roadside stands are operated by vendors who buy and resell produce. Roadside stands serve as a great venue for produce that may not meet wholesale grades and standards for storage and shipping, but is fresh and local. CHECKLIST Requirements and recommendations for starting a roadside stand LOCATION OBTAIN LOCAL BUSINESS LICENSES AND PERMITS CONSTRUCTION PRODUCT AVAILABILITY PAYMENT AND SECURITY

3 LOCATION A roadside stand can be defined as a temporary retail store. Good location is a key component to a successful roadside stand. If your farm is located in a heavily traveled, easily accessible area, then you should strongly consider having an on-farm stand. However, you may want to establish an off-farm stand if your farm is not convenient to your customers. The stand should be on a high-traffic road to maximize visibility, but other considerations are ease of access and ample parking. Do not set up a roadside stand without first obtaining permission of the property owner. Permission from the property owner should be asked in-person and supported in writing. An attorney and an insurance agent should be consulted for liability considerations. Also consider the cost of operating the stand, a part-time worker may need to be employed if stand hours overlap with regular farm business. BUSINESS LICENSES AND PERMITS The Florida Department of Agriculture and Consumer Services (FDACS) is the regulatory authority for selling produce in the Florida. FDACS does not require a license or permit to sell fresh, unprocessed fruits and vegetables from a roadside stand. However, county and/or city permits may be required in your area to sell fresh, unprocessed produce. Please check with your local agencies before opening a roadside stand. It is always a good idea to purchase a business tax receipt (business license) for the county where your business is located. CONSTRUCTION Roadside stands can be temporary or semi-permanent structures, depending on location. Structures should be structurally sound and should not contain any elements that could harm you or your customers. The stand should be aesthetically pleasing to attract attention of potential customers. Even a stand in the back of a pickup truck with a tablecloth covering the tailgate can increase visual appeal of your product. The stand should be kept neat and clean in order to maintain customers and to keep food safe. Hours of operation should be well defined and communicated to the customer. Some methods to relay information include hand-made or commercially produced signs, social media, or establishing a business phone number for the stand. Consider options that are easy and inexpensive to update so that the most current hours of operation and product availability are accurate. Relying strictly on drive-by traffic will limit your customer base. Paw Paw s Peanut Shack takes advantage of high traffic along Highway 90 in Pace. A well-built structure and attention-getting signs draw customers who are driving by on their way to local shopping.

4 PRODUCT AVAILABILITY The consumer often assumes that produce sold at a roadside stand is locally grown. However, produce sold at stands is sometimes purchased from wholesalers and then resold. Product labeling and clear communication is essential to establish and maintain customer loyalty. If locally grown products are available at your stand, this is a desirable trait that many customers are looking for and should be advertised. If any items are purchased for resale, be sure to label with the place of origin on those individual products. Differentiating among locally grown and resale items will help to educate your customer about seasonal availability and allow them to make informed decisions when purchasing produce. A soft opening may be required during the first open season of a roadside stand to accurately determine the needs of your customers. The palate of your community may be defined by cultural traditions. You will most likely have a good idea of the demographic breakdown of your home county, however census data can be found at: 1.usa.gov/1TT9hFg. To maintain a consistent supply of high quality produce, it is important to harvest, cool, and store produce appropriately. A key factor to a timely harvest is to stagger your planting times based on market needs. This is an art that will come with experience and successful recordkeeping. A food safety plan that incorporates Good Agricultural Practices (GAPs) for production of the produce and Good Handling Practices (GHPs) for harvest crew sanitation is recommended for all farms. For more information about GAPS and GHPs visit: 1.usa.gov/1NqCJDr. Roadside stand payment systems range from the honor system with cash only payment to processing electronic payments. Regardless of the payment options you plan to provide, you will more than likely accept cash and additional change should be available. Your pricing strategy can be incorporated into your payment system. For example, encouraging customers to make purchases in five dollar increments (such as 3 watermelons for $10 or 1 for $5) can be a good marketing strategy and a good payment system strategy. Regardless of the payment system, some level of theft should be anticipated. FOR MORE INFORMATION REGARDING MARKETING FRESH VEGETABLES AND FRUIT, CONTACT YOUR LOCAL UF/IFAS EXTENSION AGENT.

5 This is one in a series of marketing checklists intended to be used as a starting point for small fruit and vegetable farmers in Northwest Florida. It will help these individuals identify different steps that need to be taken in order for them to have the opportunity to pursue marketing in new, emerging, or traditional marketing channels. Authors: Matthew Lollar - Horticulture Agent, UF/IFAS Extension Jackson Co. Julie McConnell - Horticulture Agent, UF/IFAS Extension Bay Co. References: Penn State University Extension: bit.ly/25aeaxp University of Kentucky Extension: bit.ly/1w0jny3 Texas A&M Agrilife Extension: bit.ly/1txupkf