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Anti farmers market
- 1. The Anti-Farmers’ Market FarmerSurvival Guide Cory Mosser Natural Born Tillers
- 2. • Business Planning •Efficiency Improvement • Project Management • Farm Development • Affordable Small Farm Coaching Cory Mosser www.naturalborntillers.com 912.257.9865 corymoss22@gmail.com
- 3. Why Markets AreGreat • Brand Identity • Business Incubator • Reliable Sales (depending on market) • Community Connection • Camaraderie and Trading!
- 9. Why Markets AreThe Worst • The Drive • The Exhibit • The Off Day • The Hustle • Competition
- 10. Consider Leaving If: •Sales are down consistently over two years. • You don’t consider yourself an anchor • Larger farmers are co-opted from other markets. • There are multiple new markets in your area.
- 11. Consider Staying If: •You are a Market Anchor. • Your Market is more than 5 years old. • You can promote value-added products, events and other services. • You have an awesome market manager. • You are making money!
- 12. But Are YouMaking Money? Product $1,400 Sales $1,000 Market Day Labor $200 Harvest Day Labor $360 Market Fee $25 Packaging $40 Waste $50 Aftermarket Run $200 Net $535
- 13. Marketing Trends • Foodcost is going up, less food dollars available to families. • Less people are preparing meals regularly at home. • There is increased competition to capture the interest in local foods, from other small farmers to giant companies.
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- 16. Is this aFarmers Market?
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- 18. The Sky IsThe Limit
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- 20. Business Cycle • Exploration •Involvement • Consolidation (We are here) • Stagnation • Decline • Rejuvenation
- 21. Alternatives To Farmers Markets •What is right for your farm? Does it flow with existing operations? • What is the opportunity cost for a new market? • What are your defined goals? Does this help meet them? • What are the margins?
- 22. EXAMPLE 1 FarmersMarket Institutional Market Selling Price $3.50 $1.50 Production Sales Cost $1.96 $0.83 Est. Profit $1.54 $0.67 Est. Markup 79% 81% Pounds Sold 760 800 Total Profit $1170.00 $536.00 EXAMPLE 2 Farmers Market Institutional Market Selling Price $3.00 $2.10 Production Sales Cost $1.96 $0.83 Est. Profit $1.04 $1.27 Est. Markup 53% 153% Pounds Sold 760 800 Total Profit $790.00 $1016.00
- 23. CSA • Lowest Hanging Fruit •Fairly easy to establish • Builds customer loyalty • Intense Competition from within and without • Administration time suck • High turnover
- 24. –Johnny Appleseed What doesyour customer want? • Convenience • Connection • Options • Deals
- 25. Digital Markets • LocallyGrown • Amazon Fresh • Your own Website • Produce Delivery Services
- 26. Traditional Wholesale • Easyto plan • Production efficiency • Allows Specialization • Easy to control growth • Giving up the marketing dollar • Weak negotiating position • Higher risk concentration • Food safety regulation
- 29. Intermediate Wholesale • FoodHubs • Meal services • Produce Delivery Services Attempt to be as close to the consumer as you can.
- 31. Restaurant CSA • Pricedat $300/wk per share for 12 wks • Typically 5-6 cases of veggies • Sold 4 shares to Hyatt Alone • Total of 8 shares sold each 12 wk period • $57k in income from 3 vendors!
- 32. On Farm Experience TimpsonCreek Farm Clayton, GA 3 acres Certified Organic Blackberry and Blueberry PYO Grade School and University Intensives
- 35. Retail • High visibility •Other sales opportunities • Rain or shine sales • Grueling hours • Extra labor • Licenses and taxes • Equipment Cost
- 38. Questions to Ask •Do You Have A Written Mission Statement? • What is The 3, 5, and 10 year vision for your farm? • Are there other marketing alternatives that are more in line with your goals? • How crucial is the market to the community? • Is your market better as a secondary outlet?
- 39. CORE VALUES 1. IncredibleQuality 2. Rare Variety 3. Competitive Price 4. Friendly Staff 5. Sustainable Practices 3-YEAR PICTURE Future Date: January 2021 Revenue: $95,000 Profit: $8,000 Measurables: Trays sold, referrals generated, varieties planted What does it look like? • 2 greenhouses producing throughout the year • Early transplants help growers start the season on time • Over 50 varieties of vegetables available • Plants shipped online through the Southeast • Primary producer for small organic farms in Georgia • Business has expanded to include organic fertilizer and other inputs • 50% of potting mix produced on farm • Referral discount system reduces marketing pressure • 4000 trays produced • Automated irrigation and seeding reduces labor • 2 wholesale contracts negotiated • Independent breeding program established CORE FOCUS Purpose/Cause/Passion: To help others grow great food. Our Niche: Whether you grow 1 plant or 100 acres, Pineywoods has the best organic plants on the market. 10-YEAR TARGET January, 2028: Record orders of transplants has necessitated the construction of a fourth greenhouse. Increased demand from home growers has led to a boost in larger pot sizes, increasing profitability. Goals: -7500 trays produced -$385,000 in income -15% net profit -50% retail clients MARKETING STRATEGY Target Market/“The List”: Small organic farms, mid-size organic gardeners, regional wholesale outlets Three Uniques: 1. We deliver on time 2. We plant the best adapted varieties in the south 3. Every plant is critical Proven Process: Using formulated fertilization, soil biology and climate control, we are able to produce incredibly healthy transplants. Guarantee: Every plant delivered will thrive.