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Shopping with the Farmer. Tomatoes that have not been shipped 2,000 ... Range --Downsized economy breeds new generation of home chefs but more savvy ...
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Agritourism: ideas for making money and providing fun! Eric Barrett – OSU Extension
Our Agenda • Stages of retail agriculture • The concept of agritourism • Your family & mission • Keys to profitability • Trends to watch • Activities to evaluate
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
With that in mind, what can you do on your farm to make money?
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?
Farm theme park or educational farm? • Family run or many employees? • Part-time or full-time? • Seasonal? • Grow it all – or buy it?
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
Marketing is… Anything you do that increase the perceived value of your product
Somewhat our grandparent’s ag! …with a twist!!
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 ?
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
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?
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
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!?
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?
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
what are travelers looking for? things experienced on trip
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?
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
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
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!
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
Farm tours & activities • People long to be close to the farm • Grandparents • Alternative to non-interaction entertainment • Liability • Infrastructure • Mindset
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
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
Contact me: barrett.90@osu.edu This presentation will be posted at: http://vegfruit.wordpress.com