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Selling at BC’s Farmers' MarketsSelling at BC’s Farmers' MarketsA Resource for New Farmer VendorsA Resource for New Farmer Vendors
BCAFM ConferenceMarch 12, 2011Richmond, BC
With assistance from:
David J. Connell, University of Northern British ColumbiaChris Hergesheimer, Consultant
Why sell at a farmers’ market:Why sell at a farmers’ market:
The demand for farmer vendorsThe demand for farmer vendors
• Substantial, continual growth of markets
• 70 of 74 BC farmers’ markets are looking for more farmer vendors– Some niche markets– Some general producers– Some specific meats
The standard pitchThe standard pitch
The bottom line…Farmers’ markets offer producers a
consistent, low cost, low risk and viable method to market, display, and distribute BC farm products
directly to customers.
The bottom line…Farmers’ markets offer producers a
consistent, low cost, low risk and viable method to market, display, and distribute BC farm products
directly to customers.
Why sell at a farmers’ market:Why sell at a farmers’ market:
The standard pitchThe standard pitch
Financial
• Higher profit margins
• Greater control to get retail prices
• Different source of revenue
• Minimal start up costs
• Cash flow: instant cash on hand
Why sell at a farmers’ market:Why sell at a farmers’ market:
The standard pitchThe standard pitch
Marketing
• Cheap way to promote your products
• Targeted demographic: consumers looking for local, fresh products
• Go direct – cut out the ‘middle man’
• Instant customer feedback
Why sell at a farmers’ market:Why sell at a farmers’ market:
The standard pitchThe standard pitch
Geography
• Easy access to customers
• Alternative to farm gate sales
Why sell at a farmers’ market:Why sell at a farmers’ market:
The standard pitchThe standard pitch
Ideology• Social, economic, environmental, and
educational benefits to the community
What is the
CORE BUSINESS of farmers’ markets?
What is the
CORE BUSINESS of farmers’ markets?
Why sell at a farmers’ market:Why sell at a farmers’ market:
Making ‘the match’Making ‘the match’
Farmer Market Customers
Producer options
Customeroptions
HIGH LOW
LOW
HIGH
Match types
Urban
Suburban
Rural
City
Neighbourhood
Producer options
Customeroptions
HIGH LOW
LOW
HIGH
Match types
In what
INDUSTRY do farmers’ markets compete?
In what
INDUSTRY do farmers’ markets compete?
Volume
Price
LOW HIGH
HIGH
LOW
Food retail
Farmers markets
Shoppers WholesaleSave-On
WalMart
Convenience stores
Volume
Price
LOW HIGH
HIGH
LOW
Food retail
Farmers markets
Save-OnWalMart
Convenience stores
Social experience
Relationwith
farmer
LOW HIGH
PERSONAL
IMPERSONAL
Food retail
CSA
Shoppers WholesaleSave-On
WalMart
Corner store
Farmers markets
U-Pick
Farmgate
Farm Direct
Why should YOU
sell at THATfarmers’ market?
Why should YOU
sell at THATfarmers’ market?
What are your priorities as a farmer? What are your priorities as a farmer? As a farm business?As a farm business?
• Money• Marketing• Mobility• Morality (ideology)
Business case resources:Business case resources:‘Assess your match’‘Assess your match’
• Farmers’ markets
• Market customers
• All vendors
• By product sold– Vegetables
– Fruit
– Fruit & veg
– Meat
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Farmers Gardeners Bakers/cheese
Crafts FoodProcessing
Other
All types of market vendors
Urban
Suburban
Town
City
Neighbourhood
Producer options
Customeroptions
HIGH LOW
LOW
HIGH
Farmers’ markets
0
5
10
15
20
25
30
First timer Rarely (1x/yr) On occasion (2-
3x/yr)
Often
(1x/month)
Frequently (2-
3x/ month)
Regularly
(almost weekly)
Per
cen
t o
f re
spo
nd
ents
Market customers are loyal
Markets are #2 source for groceries
Larg
e G
roce
ry
Farm
ers M
arke
t
Specia
lty/e
thni
c
Small
Gro
cery
Health
Foo
d Sto
re
Ware
hous
e
Conve
nienc
e Sto
re
Direct
from
farm
1-2x/yr
1x/2-3mo
1x/mo
1x/2w ks
1x/w k>1x/w k
Never
Relation between food purchases and shopping at markets
Frequently Weekly Bi-weekly Occasionally Not Very Often RarelyNutritional content In season Nutritional content Nutritional content In season In seasonIn season Nutritional content In season Appearance of product Nutritional content Nutritional contentFood safety Grown/produced locallyGrown/produced in BC In season Appearance of product Appearance of productAnimal welfare Animal welfare Food safety Food safety Food safety Animal welfareAppearance of product Food safety Grown/produced locallyGrown/produced locallyAnimal welfare Food safetyGrown/produced in BC Grown/produced in BC Animal welfare Grown/produced in BC Grown/produced locallyFair tradeGrown/produced locallyAppearance of product Appearance of product Animal welfare Grown/produced in BC Grown/produced in BCNatural (not certified) Packaging (materials) Fair trade Grown/produced in CanadaGrown/produced someone knownGrown/produced locallyPackaging (materials) Fair trade Grown/produced in CanadaFair trade Natural (not certified) Natural (not certified)Fair trade Grown/produced in CanadaPackaging (materials) Low price Fair trade Low priceGrown/produced someone knownNatural (not certified) Grown/produced someone knownPackaging (materials) Grown/produced in CanadaGrown/produced in CanadaCertified organic Grown/produced someone knownNatural (not certified) Natural (not certified) Packaging (materials) Ease of preparationGrown/produced in CanadaCertified organic Certified organic Grown/produced someone knownLow price Grown/produced someone knownLow price Low price Low price Certified organic Certified organic Packaging (materials)Packaging (aesthetics) Ease of preparation Ease of preparation Ease of preparation Ease of preparation Certified organicBrand name Packaging (aesthetics)Packaging (aesthetics)Packaging (aesthetics)Brand name Packaging (aesthetics)Ease of preparation Brand name Brand name Brand name Packaging (aesthetics) Brand name
Gross annual farm revenues
Area cultivated (acres)
Area cultivated by annual revenues
Types of farms by primary product
Products sold
Percent of sales at farmers’ markets
Other marketing channels used
0%
10%
20%
30%
40%
50%
60%
70%
Wholesale Retail Restaurant Farm Gate CSA Live Animals
Gross revenues and number of farmers markets used
All resources are available on-lineAll resources are available on-line
BC Association of Farmers’ Markets:
http://www.bcfarmersmarket.org/ind/bizcase.htm
Acknowledgements Acknowledgements on behalf of BCAFMon behalf of BCAFM
• Investment Agriculture Foundation
• Donna Anaka, Ministry of Agriculture
• All farmers, vendors, and market managers who shared their knowledge and time