Download Market Opportunities

Developing Your
Marketing Skills
Martha Goodsell
Fallow Hollow Deer Farm
Candor, NY
607-659-4635
[email protected]
The Marketing Process
1. Establish market goals and plan
2. Identify market opportunities
3. Select a specific target market
(Who is your customer?)
4. Decide your marketing mix (4 Ps)
5. Position yourself
6. Manage the marketing effort
Step 1: Market Planning Goals
Where are you going to go (goal) and how are you
going to get there (plan)?
Mission statements are best viewed as a process
of satisfying customer needs.
Maximize consumer consumption
Maximize consumer satisfaction
Maximize consumer choice
Maximize consumer’s quality of life
What’s YOUR Mission?
Step 2: Identify Market
Opportunities
The environment of the company contains threats and
opportunities.
The MACRO environment represents uncontrollable forces
such as economics, technology, political issues and culture.
The MICRO environment directly affects a business including
workers, suppliers, competitors, intermediaries and customers.
What threatens YOUR business?
Where does YOUR opportunity lie?
Growing Your Market
Check a box then write your new product or new market on the line provided.
Market penetration (existing product,
existing market) ________________
Product development (new product,
existing market) ________________
Market development (existing product,
new market) _____________________
Diversification (new product, new market)
________________________________
Products: What will you sell?
Live animals?
Meat?
Meat products?
By-products?
An “experience”?
Other?
Marketing Agricultural Products
• What are you selling today?
Pretend you bumped into a potential
customer. You have 2 minutes to tell him/her about yourself and your product. What will you say?
Your target market:
What are they like? (demographics)
Where are they located?
What will they buy?
Who are your targeted customers?
Other farmers?
Individuals?
Industrial consumers?
Resale customers?
International market?
Other? __________________________
TODAY’s Customers
• Customers are older and interested in learning
about farmers, their families and how the food
was grown/raised
• Spend an average of $12/purchase
• Learn about you by Word of Mouth
• Live within 40 miles
• Willing to shop 2x per month
• Have higher quality expectations
• 20% of customers lost each year
Targeted customers revised:
• Did the descriptions match the target? If
not, you may need to rethink or revise.
Step 3: Finding New Markets
Search for new markets by reading magazines, newspapers, journals;
attending trade shows and looking at the competition.
How will you find your markets?
Step 4: The 4 P’s of Marketing
• Product
• Price
• Promotion
• Placement
Market Mix– The PRODUCT
Quality: ________________________________
Features: ______________________________
Options: _______________________________
Sizes: _________________________________
Labeling
Packaging
Warranties
Customer service
Packaging
How long will my product be stored?
Under what conditions?
Freezer paper?
Trays and film?
Cryovac?
Labeling
• The following information must be on the label
for those products sold in New York:
–
–
–
–
–
–
–
–
Product name
Inspection legend and establishment number
Net weight statement (includes price and DATE)
Address line
Handling statement (ex. Keep Frozen)
Ingredient statement
Nutrition facts
Country of Origin
SAFE HANDLING INSTRUCTIONS
Product Claims
• Can’t Use:
– Antibiotic Free; Chemical Free; Hormone Free
• Can Use but Must Verify:
– Free Ranging, Grass Fed, Humanely Raised,
Naturally Raised
• Must Certify:
– Organic
• For Finished Product Can Use:
– Natural, No Animal By-Products, No Additives
Layout your label here:
Market Mix– PRICE
Cost based
Buyer based
Competition based
Why?
Terms?
Market Mix– PROMOTION
Advertising: ________________________
List one place you will pay to have your product advertised.
Publicity: __________________________
List one local newspaper who can help with free publicity.
Promotions: _______________________
List one event where your product can be promoted.
Sales: ____________________________
List one company (or farm) that may be able to help you with sales.
Market Mix– PLACEMENT
Location: _______________________________
Coverage: ______________________________
Retail, wholesale: ________________________
Channels: ______________________________
Inventory plan: __________________________
Transportation plan: ______________________
Wholesale Marketing Channels
Packers?
Wholesalers?
Retailers?
Brokers?
Distributors?
Market channels for
Selling Live Animals
Auctions
Livestock dealers, brokers, cooperatives
Live animal markets
On-farm slaughter
Freezer Trade (halves, quarters in
advance of slaughter)
CSAs (per advanced agreement)
Contract Raising (per agreement)
Legal obligations
if selling live animals
Unique ID (tag your animals)
Premise ID may be needed
Domestic Animal Health Permit (for
trailering)
Health records and birth certificates
Other?
Retail Market Channels
Mail order (catalog or web based)
Store front
on farm (back porch, farmstand)
off farm (farmer’s market)
Door to door
Hotels, Restaurants, Institutions
CSA or other ownership-type option
What you must know if you are
retailing meat:
Know the cuts, know where they come
from and know how to cook them
Know your dressing percentages (grade)
Know your yields
Know how to set your price
Merchandising
ARE YOU CUSTOMER FRIENDLY?
Displays- colorful, bountiful, changed often,
highlight specials
Highest Quality- if it’s not don’t bother with it
Packaging- promote and protect product
Hospitable and Comforting- chairs, coffee
Sensual- see, hear, smell, taste, touch
Staffing- available, friendly, reliable, trustworthy
Wherever you sell
Friendliness
Cleanliness
Service
Value
Step 5: Positioning yourself.
Who is your competition?
Identify your competition’s product:
Identify and differentiate your product
– Attributes
– Benefits
– Usage
– Users
 Should you position yourself next to or
away from this competitor?
Step 6: Managing the Mktg. Effort
• Implement your plan, then ask…
• What’s the competition doing now?
• How did your plan measure up?
Market Positioning
• What’s yours?
Leader
Challenger
Follower
Nicher
• How can you keep yourself in that
position?
My Marketing is…
Targeted
Guerilla-like
Tactical
Capturing
Penetrating
Educational
Builds Trust
Offers Values
Experiential
Reminders to myself…