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Shared Commercial Kitchen Roundtable
          October 29, 2011
            Rita Resick



       Farming at the Next Level:
        Overcoming the Barriers
Here’s our local market …
A SHORT HISTORY OF LAUREL VISTA …
Us…




Ken, Marian, Rita and Rick
Once upon a time, we grew
       potatoes …
We used this two row
 potato harvester…
Stored potatoes in this
        barn…
Delivered them in this
       truck…
And they ended up in this bag…
BUT ECONOMICS CHANGED
 THE MARKET CHANGED
    AND WE CHANGED
Now we harvest with a new
      harvester…
We store in a new
   building…
We deliver in a new
refrigerated truck…
And our potatoes end up in a
  bag with a new brand…
.. and we sell to stores instead
       of a chip factory.
Consumer reaction…

• Ed and I were grocery shopping at
  Giant Eagle and spotted the
  "Somerset Spuds". Naturally, loving
  and wanting to support our local
  produce, we picked up the bag of
  potatoes and saw the epistle… What
  a neat surprise!…Lynn and Ed
  Philibin
Consumer reaction…

• Suddenly, we see a large display
  advertising "Somerset White
  Potatoes” Let's get these, I
  say, they're local. The packaging is
  great, kind of like the J. Petermen
  catalog for the spud set…Ken
  Zapinski
Consumer reaction…
• ...went to the McIntire Giant Eagle
  before Christmas and found the
  Somerset Spuds... I loved the
  personal nature of your
  packaging...makes them feel special
  and a stand-out-from-the-crowd
  among all the anonymous potatoes
  from somewhere in Idaho (all the way
  on the other side of the country....
  how fresh is that??!!) …Rhonda
  Schuldt
And we added
Somerset Snaps Green Beans….
But our farm’s pride is …
Somerset Sweet Onions
But, it’s not enough to be a good
   or even the best grower of
           Green beans,
           Sweet Onions,
           and Potatoes.
At our scale.

You can’t support a family.
So we thought …
if only we could sell our
 products year round …
…something like this
So when we had the chance
   to do a Value Added
        Product …
We jumped on it:
Consumer reaction…

• “I have to tell you that tonight I made
  squash fritters for dinner and put the
  onion and garlic jam you gave us on
  top. DELICIOUS! But the best part is
  that the kids liked the jam so much that
  they licked it off each and every fritter
  before eating.” Alana Cole Faber
So we are adding added
    value products:
WHY VALUE ADDED

• ADDED REVENUE AT LOW COST

• LOCAL FOOD BUZZ

• YEAR ROUND

• NEW USE FOR EXISTING PRODUCT
BARRIERS TO PROCESSING
• FARMERS NOT KNOWING THAT IT IS AN OPTION

• FEW SMALL SCALE CO-PACKERS LIKE GOURMET
  CENTRAL

• NO DIRECTORY TO EXISTING ONES

• AGGREGATING, STABILIZING, STORING, SCHEDULING

• RECIPES

• FEW (IF ANY) OPTIONS FOR LOW ACID INGREDIENTS
  (e.g., POTATOES, SQUASH)

• PROCESSING COST
BARRIERS TO DISTRIBUTION

• PACKAGING (BARCODES, LABELS DONE RIGHT)

• SALES OUTLETS BEYOND FARM STAND/STORE
  (FOOD SHOPS, GROCERY STORES)

• PRODUCT PLACEMENT

• PRODUCT PORTFOLIS VS LONE WOLF

• UNDERSTANDING MARGINS AND PRICING

• LOCAL BRANDING
SO WHAT IF THERE WAS A
    PLACE WHERE …
• A FARMER COULD SELL HER UNSOLD OR OFF GRADE
  PRODUCT

• AND IT WAS PROCESSED, STABLIZED, AND STORED FOR USE
  LATER

• AS AN INGREDIENT FOR A VALUE ADDED PRODUCT

• WITH A BRAND NAME PROMISING LOCAL INGREDIENTS

• AND THERE WAS AN ARRANGEMENT WITH THIS PLACE BY
  WHICH

• THESE PRODUCTS WERE MERCHANDISED AND SOLD IN
  GROCERY STORES THROUGHOUT THE REGION

• ?
WITH THAT, I GIVE YOU …

GREG BOULOS AND
ANDREW ELLSWORTH
TO TELL YOU ABOUT RFEC!

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Value Added Products and Agriculture

  • 1. Shared Commercial Kitchen Roundtable October 29, 2011 Rita Resick Farming at the Next Level: Overcoming the Barriers
  • 2. Here’s our local market …
  • 3. A SHORT HISTORY OF LAUREL VISTA …
  • 5. Once upon a time, we grew potatoes …
  • 6. We used this two row potato harvester…
  • 7. Stored potatoes in this barn…
  • 8. Delivered them in this truck…
  • 9. And they ended up in this bag…
  • 10. BUT ECONOMICS CHANGED THE MARKET CHANGED AND WE CHANGED
  • 11. Now we harvest with a new harvester…
  • 12. We store in a new building…
  • 13. We deliver in a new refrigerated truck…
  • 14. And our potatoes end up in a bag with a new brand…
  • 15. .. and we sell to stores instead of a chip factory.
  • 16. Consumer reaction… • Ed and I were grocery shopping at Giant Eagle and spotted the "Somerset Spuds". Naturally, loving and wanting to support our local produce, we picked up the bag of potatoes and saw the epistle… What a neat surprise!…Lynn and Ed Philibin
  • 17. Consumer reaction… • Suddenly, we see a large display advertising "Somerset White Potatoes” Let's get these, I say, they're local. The packaging is great, kind of like the J. Petermen catalog for the spud set…Ken Zapinski
  • 18. Consumer reaction… • ...went to the McIntire Giant Eagle before Christmas and found the Somerset Spuds... I loved the personal nature of your packaging...makes them feel special and a stand-out-from-the-crowd among all the anonymous potatoes from somewhere in Idaho (all the way on the other side of the country.... how fresh is that??!!) …Rhonda Schuldt
  • 19. And we added Somerset Snaps Green Beans….
  • 20. But our farm’s pride is …
  • 22. But, it’s not enough to be a good or even the best grower of Green beans, Sweet Onions, and Potatoes.
  • 23. At our scale. You can’t support a family.
  • 24. So we thought … if only we could sell our products year round …
  • 26. So when we had the chance to do a Value Added Product …
  • 28. Consumer reaction… • “I have to tell you that tonight I made squash fritters for dinner and put the onion and garlic jam you gave us on top. DELICIOUS! But the best part is that the kids liked the jam so much that they licked it off each and every fritter before eating.” Alana Cole Faber
  • 29. So we are adding added value products:
  • 30. WHY VALUE ADDED • ADDED REVENUE AT LOW COST • LOCAL FOOD BUZZ • YEAR ROUND • NEW USE FOR EXISTING PRODUCT
  • 31. BARRIERS TO PROCESSING • FARMERS NOT KNOWING THAT IT IS AN OPTION • FEW SMALL SCALE CO-PACKERS LIKE GOURMET CENTRAL • NO DIRECTORY TO EXISTING ONES • AGGREGATING, STABILIZING, STORING, SCHEDULING • RECIPES • FEW (IF ANY) OPTIONS FOR LOW ACID INGREDIENTS (e.g., POTATOES, SQUASH) • PROCESSING COST
  • 32. BARRIERS TO DISTRIBUTION • PACKAGING (BARCODES, LABELS DONE RIGHT) • SALES OUTLETS BEYOND FARM STAND/STORE (FOOD SHOPS, GROCERY STORES) • PRODUCT PLACEMENT • PRODUCT PORTFOLIS VS LONE WOLF • UNDERSTANDING MARGINS AND PRICING • LOCAL BRANDING
  • 33. SO WHAT IF THERE WAS A PLACE WHERE …
  • 34. • A FARMER COULD SELL HER UNSOLD OR OFF GRADE PRODUCT • AND IT WAS PROCESSED, STABLIZED, AND STORED FOR USE LATER • AS AN INGREDIENT FOR A VALUE ADDED PRODUCT • WITH A BRAND NAME PROMISING LOCAL INGREDIENTS • AND THERE WAS AN ARRANGEMENT WITH THIS PLACE BY WHICH • THESE PRODUCTS WERE MERCHANDISED AND SOLD IN GROCERY STORES THROUGHOUT THE REGION • ?
  • 35. WITH THAT, I GIVE YOU … GREG BOULOS AND ANDREW ELLSWORTH TO TELL YOU ABOUT RFEC!