Agritourism: ideas for making money and providing funEric Barrett

1. Agritourism: ideas for making money and providing fun! Eric Barrett – OSU Extension

2. Our Agenda • Stages of retail agriculture • The concept of agritourism • Your family & mission • Keys to profitability • Trends to watch • Activities to evaluate

3. Stages of Retail Agriculture

4. Stages of Retail Agriculture • Level 1 • Simple – roadside stand, being a good grower, maybe a small school tour – mostly no interaction w/customer • Level 2 • Intermediate – PYO, Wagon rides, Corn mazes, festivals, shopping, animal areas, prepared foods • Level 3 • Complex & Sophisticated (many will never reach this level) – Major shopping, full service restaurant, permanent restrooms, paved parking

5. With that in mind, what can you do on your farm to make money?

6. The Concept of Agritourism

7. Agritourism: Getting the public closer to agriculture through on-farm experiences. • If this is agritourism in general—what is the mission of your farm? Why do you exist?

8. Your Family & Mission

10. Farm theme park or educational farm? • Family run or many employees? • Part-time or full-time? • Seasonal? • Grow it all – or buy it?

11. Keys to Profitability

12. Some keys to profitability • Stay true to your mission • Know your limits • Be know as GREAT • Be a destination • Extend your season(s) • Grandparent market for tours • Family market for local foods • Price to make a profit

13. Trends to Watch

14. Marketing is… Anything you do that increase the perceived value of your product

15. Somewhat our grandparent’s ag! …with a twist!!

16. Shopping with the Farmer • Tomatoes that have not been shipped 2,000+ miles • Tomatoes that taste flavorful – not hard and rubbery • Tomatoes that split and dent when you drop them ?

18. Trends - The Food Channel • Home on the Range --Downsized economy breeds new generation of home chefs – but more savvy • Foodie 2.0 --Growth of virtual and non-virtual food communities • Going, Going Green --Kitchens go eco-conscious • Living La Vida Locavore --Eating locally/seasonally – home & away • TMI? – Calorie Counts on menus

19. Reduce Microbial Contamination with Good Agricultural Practices • FrankenFood -- The rise of bioengineering and genetically modified • Food Philanthropy -- Individuals & companies address world hunger • Food Insecurity -- The call for tighter food controls – food safety! GAPs • Brewing Business --The divide widens between the ‘wants’ and day-to-day food needs • Where in the World ... -- is the next flavor trend coming from?

20. taking these to the farm… • cooking/canning/preserving help • offer seconds for preservations • sell comfort foods and small portion meals • veggies & berries • food safety • tout the healthfulness • natural, local and other key marketing words

21. grandparent market • generations removed • today’s public cannot “feel” their grandparent’s experiences – thus, they don’t mean as much! • ag practices have changed • this is our challenge • what is a good image to project – old or new? • education should be our priority!?

22. what do consumers want? to understand agriculture? • Ag in the classroom • Farm Bureau, growers assns., etc. • 4-H & Extension • agritourism! • why not? • encourage near large farms?

23. what are travelers looking for? trends in travel • shorter trips • increasingly using cars to get there • planning at the last minute • looking for new experiences • strengthening family ties

24. what are travelers looking for? things experienced on trip

25. the experience economy… • people will pay more for experience than product • want vs. need (all retail) • marketing farm products with an experience attached • -eliminates “commodities” • wal-mart struggles with providing an experience other than “convenient and cheap” the world is a stage… why sit and watch?

27. implications for you • know who your customer is • pay attention to media • follow instincts • act like a retailer • browse retail publications • http://xtremeretail.com • http://www.plunkettresearch.com

28. Activities to Evaluate

29. Top 10 Agritourism Opportunities • No particular order… • PYO • Educational Tours • Interactives - Mazes & Games • Local Foods • Cooking • Wineries • On-Farm bakeries & Coffee Shops • Farmers Markets • Specialty & Ethnic Veggies • Locally focused meats

30. Some Evaluation Criteria • Fits mission • Manageable liability concerns • ‘Pencils’ out • Fun for customers in target market • Staff to manage activity?! • Length of season available • Potential customer base • Fun for you!

41. PYO • One of the healthiest fresh foods • Tons of promotional materials available • We are good growers • Family experience • Berries, veggies, etc… • Overcoming the ‘grannies stocking up’ old paradigm for pyo • Charging enough

42. Farm tours & activities • People long to be close to the farm • Grandparents • Alternative to non-interaction entertainment • Liability • Infrastructure • Mindset

43. Farm Stays / Bed & Breakfasts • People will… • Volunteer to help you • Pay to work • Continue to love farmers • Want a different experience • Talk your ear off! • Ask lots of questions

44. The internet and you… • the customers who really spend live here • they long to be somewhere else • sometimes we aren’t comfortable • still expensive to promote site • moving forward to texting & pda’s

45. Contact me: barrett.90@osu.edu This presentation will be posted at: http://vegfruit.wordpress.com

46. http://directmarketing.osu.edu