Developing a Marketing Strategy. Marisa Alcorta, NCAT Agriculture Specialist October 17, 2013 Katie Koch
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1 Developing a Marketing Strategy Marisa Alcorta, NCAT Agriculture Specialist October 17, 2013 Katie Koch
2 Photo: Photo: Katie Katie Koch Koch
3 Cloverleaf Farm photos
4 Developing a Marketing Plan Marketing and record keeping are the difference between farming for a living...and gardening. -Paul Underhill, Terra Firma Farm, Winters Katie Koch
5 Marketing Strategy Target market Product Competition Distribution Pricing Promotion Inventory and storage Customer relationships Cloverleaf Farm
6 Target market What income range? What region? What do they value or want from their food? Products Meat? Veggies? Fruit? Flowers? Dairy? Target market Distribution CSA? Wholesale? Grocery? Farm stand?
7 Target market What income range? What region? What do they value or want from their food? Products Meat? Veggies? Fruit? Flowers? Diary? Target market Your farming values Distribution CSA Wholesale Grocery Farm stand
8 Target market Where do they live? What s their demographic? Elderly, families, women, children, among others Low-income, upper-middle class, SNAP, among others What s their psychographic? Are they health conscious? Do they value convenience? Needs/preferences High-quality products, organic, food safety, local, convenience, among others Marisa Alcorta
9 Demographic information Find demographic information through the U.S. Census Bureau Fact-Finder Tool Public library Lifestyles Of Health and Sustainability (LOHAS) Carolina Farm Stewardship Association
10 Products Is there demand for your product? Are there marketing outlets nearby? Can you afford to produce it? Do you have the infrastructure? How much of it can you produce? Marisa Alcorta
11 Products NCAT photo Why is it going to be valuable to your customers? Taste Quality Price Story Location Variety Sasha Klein
12 Niche markets Organic produce Value-added meat products Ethnic markets (goat, organ meats) Staples like grain or beans Specialty crops - fancy garlic, ginger, salad mixes, colored cauliflower or radishes Bulk quantities such as root crops or crops for freezing or canning Early or late season produce Winter crops Edible Earthscapes
13 Competition Segment by product and by distribution channel. Who are your competitors? What are their unique characteristics? What are they charging? What are your strengths and weaknesses? Marisa Alcorta
14 Distribution channels Evaluate distribution channels based on: Target market Product Competition Demand Economics (cost) Labor Kate Broadwell Delivery schedule Packaging and infrastructure
15 NCAT s Marketing Tip Sheets
16 Cloverleaf s distribution channels Marisa Alcorta Marisa Alcorta Bi-Rite Market
17 Cloverleaf s distribution channels Evan George Marisa Alcorta
18 Value-added markets
19 Tips on wholesale markets
20 Inventory and storage Inventory and storage affect what markets you can access. Harvesting and delivering the same day limits your volume. NCAT
21 Pricing Current market prices Cost of production What your competitors are charging Farmers market CSAs Retail groceries Rodale Organic Index Wholesale price lists NCAT
22 Common pricing mistakes Marisa Alcorta Attempting to compete on price alone Pricing too high not in line with customers values Failing to test different price levels across distribution channels Failing to adjust prices for market trends and seasonal fluctuations
23 Promotion What s the first thing you create when you are starting a farm business?
24 Promotion What s the first thing you create when you are starting a farm business? A FARM NAME What s the second thing you make?
25 Promotion How are people going to learn who you are, whether their values are lined up with yours, and what you re offering?
26 Logos Developing a good logo takes time and thought. Be careful about what you include!
27 Printed materials Brochures provide more information and you can refer back to them important for retail.
28 Printed materials Doesn t have to be fancy or complicated. Balance text and photo (avoid clip art). Keep it clean. Don t be afraid of white space. Use these same tips for newsletters too. Developed by David Visher, photos Luis Sierra
29 Online marketing websites and Facebook Your people You, your spouse, kids, other folks who work on the farm, happy customers Your processes Daily life on the farm: pictures of planting, harvesting, dealing with the aftermath of bad weather Dave Scott Your products Maybe a photo of a great recipe you made for dinner using the chicken thighs you have for sale
30 Promotion What am I willing to spend? What can I do that s free? Online (webpage, Facebook) Events, workshops, tastings, among others Media (newspapers, TV, radio, blogs, newsletters) Evan George
31 Promotion Get to know non-profits Use your networks Road signage Collaboration cross-promotion (popsicles, local honey, almonds, pies, value-added products) Cloverleaf Farm
32 Building customer relationships Trust Commitment Consistency Quality Marisa Alcorta
33 Thank you! Marisa Alcorta NCAT Ag Specialist
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