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Documente Cultură
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Planning Your
Produce Marketing Strategy You will never
know what great
things you can do
until you really try.
Norman Vincent Peale
Theresa J. Nartea, Assistant Professor
Extension Specialist‐Marketing & Agribusiness
Virginia Cooperative Extension
Virginia State University, Petersburg, VA
Plan Your Market Marketing is like a Pizza
Photo Credit: http://www.vammencamping.dk/billeder/billeder/mad/pizza/pizza3.jpg
Purpose: To engage small farms to write out their own marketing plan 1
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Strategic Marketing Flow Chart
Learning Objective:
Make Your Marketing Pizza Market
Analysis
Market
Selection
Marketing
Get
Customers
Mix
• Awareness
• Customer Needs • Market
Segmentation • Product • Interest
• Company
and Selection
• Price • Purchase
Capabilities • Segment
Targeting • Place
• Competition
• Collaborators
• Product
Positioning
• Promotion
Customer
Loyalty /
Retention
• Share Educational Info (toppings)
What does What do I sell,
Who do I How do I
the market where do I sell
pursue to keep
look like? it, how do I
and how? customers?
sell it?
What is Marketing Strategy? 4 Ps of Marketing
Marketing Strategy Actively
Identifies Targeted Customers
and Meets Identified Customer
Needs for Desired Products &
Services and Passionately
Pursues Customer Loyalty
Purpose: To engage small farms to write out their own marketing plan 2
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Class Folder
Define Specific Goals
I want to sell 25
percent more
Let’s Go Through
heirloom tomatoes
Marketing Plan than last year by
Worksheet Handout September 1.
Purpose: To engage small farms to write out their own marketing plan 3
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
What is Competitive Advantage?
The advantage gained
over competitors by
offering consumers a
greater value.
Why Do I Have To Define My Product?
What Do Customers Value?
• Price
So you can have
• Product Benefits
Competitive
• Customer Service
Advantage
in your marketplace
Purpose: To engage small farms to write out their own marketing plan 4
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Strategy to Thrive, not just Survive Top Three Food Trends
Differentiation Focus
Locally Sourced
Unique/Rare Products, Differentiation Meats & Seafood
Made to Order, Recipes, Virginia Grown, Local,
“Over the Top” Customer Organic, Artisan Products
Service & Satisfaction
Locally Grown
Produce
Cost Focus Cost Leadership
Lower Cost Discount on Lowest Cost Product
Specific Products Available
Sustainability
“Farmers, Foresters, and Agribusinesses‐The Original
Environmental Stewards.”
2010 Critical Issue for Virginia Agribusiness Council
Reference: National Restaurant Association (2010). Chefs survey: What’s Hot in 2011. Retrieved from http://www.restaurant.org/pdfs/research/whats_hot_2011.pdf
Top Consumer Trends Putting Trends Together
Ranking #13 on Ranking #3 on #1 Locally Sourced
Food Trends: Food Trends: Meats & Seafood
Purpose: To engage small farms to write out their own marketing plan 5
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Define Product‐Part 2 What are your Ultimate Benefits?
• Personal Health
• Personal Fulfillment
• Emotional Well‐Being
• Environmentally Conscious
• Nostalgic Memories
Purpose: To engage small farms to write out their own marketing plan 6
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Products Need a Story
Make A Simple Logo
Photo Credit: http://99designs.com/logo‐design/
Photo Credit: http://www.bradfitzpatrick.com/
More ideas at: http://buntonlogo.com/egallery1.htm
http://www.backyardfarms.com
Farm Signs are Vital
http://www.stockrainbow.com/
How do customers find you?
1% Radio
1% TV
4% Phone book
11% Newspaper
29% Word of Mouth
54% They Saw the Sign!
Claus, R. James, Susan L. Claus and Thomas A. Claus, 2005. The economic context of on‐
premise business signs and how to establish value in the marketplace. The Signage
Foundation, Inc.
http://www.eatmyfish.com/
Purpose: To engage small farms to write out their own marketing plan 7
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Other Promotional Items Customer Identification Handout #2
Small Batches: http://www.vistaprint.com/
Large Batches Bid: http://www.printindustry.com/
Who is the FACE of your Customer?
•Young Adults (18‐24)
• Organics Purchasers
• Natural Foods Purchasers
• Food Allergy Sufferers
• Older Adults (40+)
• Mothers of children 0‐18
Purpose: To engage small farms to write out their own marketing plan 8
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
What Are Customers Thinking? (Psychographic)
Definition
How Can I Eat Healthier? I am a food that is considered
Concerned about…Aging,
to be very good for your
Cancer, High Blood Pressure,
Heart Attacks, Diabetes,
health and that may even
Getting Fat, Looking My Best, help some medical
Feeling Happy… conditions
Macmillan Publishers Limited. (2011). Superfood definition. Retrieved from
http://www.macmillandictionary.com/dictionary/american/superfood
Solve a Problem: Grow Superfoods Consumer Perception of
Over half (55%) of US adults believe
in the disease‐preventative
properties of natural foods such as
fruits, vegetables and cereal grains.
Consumer belief in the nutraceutical
foods category has increased
significantly.
Childs, N. M., & Poryzees, G. H. (1998). Foods that help prevent disease: consumer attitudes and
public policy implications. British Food Journal, 100 (9). 419‐426. ISSN 0007‐070X
D. Piraro, (2011, February 16). 4 is for fun. [Web log post]. Retrieved from http://bizarrocomic.blogspot.com/2011/02/4‐for‐fun.html
Purpose: To engage small farms to write out their own marketing plan 9
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Consider How Customers Access Info
Women purchase the majority of foods
Photo Credit: http://www.digitalbuzzblog.com/2011‐mobile‐statistics‐stats‐facts‐marketing‐infographic/
for household consumption.
Photo Credit: http://www.digitalbuzzblog.com/2011‐mobile‐statistics‐stats‐facts‐marketing‐infographic/
Photo Credit: http://www.digitalbuzzblog.com/2011‐mobile‐statistics‐stats‐facts‐marketing‐infographic/
Purpose: To engage small farms to write out their own marketing plan 10
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
http://factfinder.census.gov/
Be sure to also
look up racial,
income, and
college
education
statistics
Photo Credit: http://www.digitalbuzzblog.com/2011‐mobile‐statistics‐stats‐facts‐marketing‐infographic/
Consider that most of
your farm customers will
tolerate about one hour
of driving. Focus on large
populations up to 50
miles away.
Purpose: To engage small farms to write out their own marketing plan 11
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Look Up Prices in One Place! Run a Custom Report
http://www.marketnews.usda.gov/portal/fv
Run a Custom Report
Run a Custom Report
Purpose: To engage small farms to write out their own marketing plan 12
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
21,000 US Retail Grocers Report Prices! Be Observant of e‐Pricing
http://www.ams.usda.gov/mnreports/fvwretail.pdf
Pricing Check Breaking Even, not Going Broke
What do you need to know: High Tunnel Tomatoes
1,000 square feet (1/2 high tunnel) planted 6 feet apart
Selling Price Direct: $1.12/lb. wholesale; $3.00/lb. direct
http://www.localharvest.org/
http://www.rodaleinstitute.org/Organic‐Price‐Report
http://www.vdacs.virginia.gov/marketnews/fruitveg.shtml
http://www.harristeeter.com/
Review High Tunnel Economic Budget
Purpose: To engage small farms to write out their own marketing plan 13
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Step One: Unit Contribution Margin Target Profit
Variable Costs: Fixed Costs ($155.25) + Target Profit ($1,500.00)
$1,549.50 833 lbs (170 plants X .7) x7 lbs./plant)
Unit Contribution Margin
Fertilizer $1,549.50
Pesticides $3.00/lb price $1.12/lb price
Transplants Unit Variable Cost: 54¢
Labor $155.25 + $1,500 $155.25 + $1,500.00
Fuel
$1.12 ‐ $0.54 = $0.58
Break Even Point, in Units A Farm Value Menu?
Photo Credit:http://fastfood.ocregister.com/files/2010/02/extra‐value‐menus.jpg
Fixed Costs ($155.25)
Unit Contribution Margin
$3.00 price $1.12 price
$155.25 $155.25
$2.46 $0.58
63 lbs. large tomatoes 268 lbs. large tomatoes
Purpose: To engage small farms to write out their own marketing plan 14
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Hint:
Think about your
customers and how
a mother thinks…
“If I buy 2 apples for
$1, then I will have 2
snacks, one for each
child. So I need to
buy $5 of apples or
10 apples so I can
have lunch snacks for
the week.”
Let’s Try It Together! Wholesale to Retailers & Restaurants
So write it like this:
3 for $2.00
1 USDA Agricultural Marketing Service. (2012). National fruit and vegetable retail report. Retrieved from http://www.ams.usda.gov/mnreports/fvwretail.pdf
Shenandoah Valley Produce Auction
Photo Credit: http://farm6.static.flickr.com/5239/5891918678_f3f74dc22d.jpg
Purpose: To engage small farms to write out their own marketing plan 15
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Roadside Farm Stand Community Supported Agriculture
Photo Credit: http://www.stateconservation.org/california/images/csa.jpg; http://www.samcoren.com/wp‐content/uploads/2010/08/farm‐share‐community‐supported‐agriculture‐
massachusetts‐enterprise‐farms.jpg
Farmers Market Agritourism
http://www.tnvacation.com/agritourism/produce‐plants/gardens‐greenhouses‐florists/
Purpose: To engage small farms to write out their own marketing plan 16
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
E‐Commerce: Internet Sales E‐Commerce: Online Coop
http://www.localharvest.org/fresh‐tomatoes‐in‐season‐lbs‐C20893
http://flf.luluslocalfood.com/about/about_cycle.php
E‐Commerce: Online Grocery
Did you ever
consider the idea of
working together?
http://www.relayfoods.com
Purpose: To engage small farms to write out their own marketing plan 17
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Supply Chain: Participation
Indonesian Case Study, 2010
Coopetition blends
competition with
cooperation to enhance Farmer
Farmer Processor Retailer
Group
marketing relationships • Grow • Pick Up
• Buy from • Place
Farmer orders with
(Osarenkhoe, 2010). • Work
together
from
Farms
Groups Processor
in Farmer • Sort/Grade • Sell B2B
• Aggregate • Process
Groups • Sell B2C
• Deliver • Sell to
• Liaison Retailer
Supply Chain: Production Supply Chain: Risks
Indonesian Case Study, 2010 Indonesian Case Study, 2010
Mariman, Feifi, D., Martini, S., Astuti, R., Suharjito, Hidayat, S. (2010). Added value and performance analyses of edamame soybean supply chain: A case study.
Operations and Supply Chain Management, 3 (3), 148‐163. ISSN 1979‐3561 *Case study location is Bogor, Indonesia.
Purpose: To engage small farms to write out their own marketing plan 18
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Supply Chain: Profitability
Indonesian Case Study, 2010
Supply Chain: Value Added
Indonesian Case Study, 2010
Farmer
Farmer Processor Retailer
Almost Done…
• Improved
Group
• Assist
• Offer • Point of A Few More Marketing Tips
crop different Purchase
inputs = farms with products (POP)
increased crop • Bulk displays
quality & inputs • Package • In store
high yield • Aggressive 1. Fresh cooking
contracts
2. Frozen demos
Purpose: To engage small farms to write out their own marketing plan 19
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Develop Advertising Methods A Business Card
Card Customers!
Brochure
Sign
Leads
Web
http://www.vistaprint.com/
A Business Card Example Free Car Magnet Sign
FRONT
•Product clearly indicated
•Unique “Virginia Raised”
•Contact
•GPS Coordinates
BACK http://www.victorystore.com/magnets/car_magnet/images/car_magnet.jpg
• Action oriented
• Come to our harvest
• Call for pre‐order
http://www.vistaprint.com/
Purpose: To engage small farms to write out their own marketing plan 20
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
www.localharvest.org
Free Local Harvest Web Listing Yellow Pages Web Listing
www.localharvest.org http://www.yellowpages.com
Purpose: To engage small farms to write out their own marketing plan 21
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Google Map Web Listing
Explore Low Cost Websites
• Facebook, Twitter, and Blogs are websites
• Self List Directories are webpages
• Wix.com; Vistaprint.com, and
smallfarmcentral.com
http://maps.google.com
List on Virginia Grown http://www.smallfarmcentral.com
http://www.vdacs.virginia.gov/vagrown‐directory/participationform.shtml
Purpose: To engage small farms to write out their own marketing plan 22
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Help Customers Make Healthy Choices Making QR Codes is Easy
This picture shows the nutritional balance of fresh tomatoes. Each spoke is a different nutrition
category. Dietary fiber is colored green. Protein is blue. Vitamins are purple. Minerals are white.
Yellow is saturated fat, cholesterol, and sodium. Tomatoes are high in vitamins and minerals!
http://nutritiondata.self.com http://www.interactive‐studios.net/barcode/createcode.aspx
Consider Educational QR Signage Consider Credit Cards!
I would lose one‐fourth
to one‐half of my
business if I didn’t accept
credit cards.
Sit Dog Sit Pet sitting Service Customers used to ask
me if I take credit
cards, I’d say “No” and
they would leave.
BBQ2U Catering
Photo Credit: http://4.bp.blogspot.com/‐uUWVuSapn8o/TtKhdAEXxtI/AAAAAAAAAQI/o3ydXGQjXjc/s1600/qkies2_600x479.jpg;
http://4.bp.blogspot.com/_NaaaxF1JRY0/TGNLLNf6x1I/AAAAAAAAAOs/SzsZKem7_j4/s1600/Food+Coop+QR+Code.jpg
Purpose: To engage small farms to write out their own marketing plan 23
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Smartphone Credit Card Acceptance Wrap Up
• Marketing is a Strategy
• Marketing is like a Pizza (crust, sauce, toppings)
• Fail to Plan, Plan to Fail
• Practice, Implement, Revise
https://squareup.com • You are in Control
Smartphone Credit Card Acceptance
Always Maintain
Hopefulness,
Especially when the
Going is Hard.
Norman Vincent Peale
http://payments.intuit.com/
Purpose: To engage small farms to write out their own marketing plan 24
Profitable Greenhouse Production of Local Produce Title: Write Your Own Marketing Plan
Theresa Nartea, Virginia Cooperative Extension Author: Theresa J. Nartea, tnartea@vsu.edu
Go Make Your Pizza!
Photo Credit: http://www.vammencamping.dk/billeder/billeder/mad/pizza/pizza3.jpg
Purpose: To engage small farms to write out their own marketing plan 25