1 intro and marketing trends overview - cornell small farms€¦ · restaurant trends 30 20 10 the...

Preparing Small and Mid-scale Farmers to Enter Food Hubs, Groceries,

Restaurants and Cooperatives

Welcome & Meet Your Hosts• VioletStone,ProjectManager.CornellSmallFarmsProgram, NESARE

• DavidCox,CornellCooperativeExtensionofSchoharieandOtsego

• Mariane Kiraly,CornellCooperativeExtensionofDelawareCounty

• RebeccaMorgan,TheCenterforAgriculturalDevelopment&

Entrepreneurship(CADE)

Meet Today’s Instructors

LizHiggins,Business

Management

Specialist,EasternNew

YorkCommercial

Horticulture

of Cornell Cooperative

Extension

CrystalStewart

ExtensionVegetable

Specialist,EasternNew

YorkCommercial

Horticulture

of Cornell Cooperative

Extension

RichTaber,Grazing/Ag

Economic

Development

Specialist,Cornell

CooperativeExtension

ofChenangoCounty

Goal of the Training

In this 2 day workshop, producers of all

enterprises will learn how to produce and market product to wholesale

buyers, particularly food hubs, groceries,

restaurants and cooperatives.

For institutional markets, please see FINYS

You’re Invited!

Farmer-Buyer

Mixer

Monday, March

6th, 2017

3:00pm – 6:00pm

Meet LOTS of

Buyers

Day 1: Session Agenda

10:00am– 10:15amOverviewoftheTraining|Introductions

10:15am– 10:30amConsumerTrendsandtheDemandforLocal

10:30am– 11:00am Grading

11:00am– 12:00pmUniformity,ConsistencyandScheduling: BREAKOUTSESSION

forProduceandLivestock

12:00pm– 1:00pmLunch&Socializing

1:00pm– 1:15pm MorningRecap,Q&A

1:15pm– 2:00pm Labeling

2:00pm– 2:30pm Packaging

2:30pm– 2:50pm PalletStacking

2:50pm– 3:00pm StretchBreak&Socializing

3:00pm– 3:30pm KeepingProductionRecords

3:30pm– 4:00pm MeetingYourMarket’sFoodSafetyNeeds

testTraining Introduction

Opportunities AboundConsumer Trends & the Demand For Local

This powerpoint presentation is a companion resource to the curriculum “Baskets to Pallets” available for download at www.smallfarms.cornell.edu

Photo Source: Photo of Greenstar Coops Produce Display. Courtesy of

http://www.ithacaweek-ic.com/

GeneralTrends

20

10

GroceryTrends RestaurantTrends FoodHubTrends

20

10 10 10

GeneralTrends

30

20

10 Localfoodpurchaseswereestimated

at$12billionin2014,andare

expectedtogrowto$__billionby

2018.

Local Food Sales in the US Food Market

0.27

0.48

0.33

0.09 0.09 0.09 0.09 0.09

0.00

0.05

0.10

0.15

0.20

0.25

0.30

0.35

0.40

0.45

0.50

0

2

4

6

8

10

12

14

16

18

2008 2012 2013 2014 2015 2016 2017 2018

Sales(nBillions)

Year

LocalFoodSales %Change

Note:Theyellowportionofthelinegraphindicatesprojectedgrowth,notactual

DataSource:AT Kearney:

https://www.atkearney.com/documents/10192/6773369/Firmly+Rooted+the+Local+Food+Market+Expands.pdf/863737a6-

0b44-40d0-b339-da25c4563dc3

GeneralTrends

30

20

10

Direct-to-Consumer(D2C)sales

decreasedfrom2007-2012.

AccordingtotheUSDAEconomic

ResearchService,thisisdueto

___________________________

Declining Sales in Direct-to-

Consumer Outlets

DataSource:USDAERS:

http://www.ers.usda.gov/media/1763057/ap068.pdf

a) Consumerdemandforlocalfood

throughD2Cmarketingoutlets

plateaued

b) D2Cmarketingoutletsarecompeting

forthesamedollar(marketsaturation)

c) Wherelocalfoodsystemshavebeen

thriving,farmersmayhavebeenableto

increasesalesthroughintermediated

marketingchannels.

test

GroceryTrends

30

20

10 Inasurveyof1500shoppers,96%

nowdescribe_________asproducts

grownorproducedwithin100miles

fromthepointofsale.

Grocery Trends

• 96%ofsurveyrespondentsdefinedLOCALas

beinggrownorproducedwithin100mils

frompointofsale

• 78%ofsurveyrespondentsarewillingtopay

apremiumof10%ormoreforlocalfood

• 67%ofrespondentswerewillingtomakea

separatetriptoaretailertheyknewhadlocal

produceontheshelves

Photo Source: Photo of Wegman’s Produce Display. Courtesy of pinterest.com

DataSource-AT Kearney:

https://www.atkearney.com/documents/10192/6773369/Firmly+Rooted+the+Local+Food+Market+

Expands.pdf/863737a6-0b44-40d0-b339-da25c4563dc3

test

GroceryTrends

30

20

10 93%ofgroceryshopperssaythat

__________isthemostimportant

attributeofthefoodtheypurchase

a) Fresh

b) Quality

c) Sustainable

d) Healthy

• 93%ofsurveyrespondents

associatelocalwith“fresh”,

whichistheprimarypurchasing

factorforgroceryconsumers

• Spotlightisexpandingfromlocal

produce,meatandseafoodto

preparedfoodsanddriedgoods:• Canned/jarredfoods:increased

from5%in2014to13%in2015

• Prepared:increasedfrom10%to

23%

• Bread:increasedfrom9%in2014

to18%in2015

Grocery Trends

DataSource:ATKearney:https://www.atkearney.com/documents/10192/6773369/Firmly+Rooted+the+Local+Food+Market+Expands.pdf/863737a6-0b44-40d0-b339-da25c4563dc3

RestaurantTrends

30

20

10 TheNationalRestaurantAssociation

surveyed1,600chefsinFallof2015

todetermine‘Hot’trendsfor2016.

TheNo.1trendwas:a) Locallysourcedmeatsandseafood

b) Fresh/house-madesausage

c) Locallygrownproduce

d) House-made/artisanpickles

DataSource-NationalRestaurantAssociation:http://www.restaurant.org/News-Research/Research/What-s-Hot

Restaurant Trends: What Words Stand Out?

Restaurant Trends: What Words Stand Out?

DataSource-NationalRestaurantAssociation:http://www.restaurant.org/News-Research/Research/What-s-Hot

Restaurant Trends

https://www.youtube.com/watch?v=3mZLjToejy0

FoodHubTrends

30

20

10 Inthe2015NationalFoodHub

Survey,79foodhubswereasked

“Howmanyfarmssellproductsto

you?”Themeannumberoffarms

was:a) 10

b) 40

c) 80

d) 120

Food Hub Trends

• Meannumberofsuppliersto79surveyed

hubswas80farms

• 92%ofhubsthatrespondedsaidthat

“most/all”producershadlessthan$500Kin

sales-FOCUSONSMALLANDMID-SIZED

FARMS

• Manyaredrivenbyasocialmissionwiththe

number1driverbeing“Increasingsmalland

mediumsizedfarmers'/ranchers'accessto

markets

Photo Source: Photo of Eden Valley Growers

http://www.buffalonews.com/city-region/food-hub-to-serve-small-farmers-help-them-

sell-to-large-buyers-20150217

DataSource:2015NationalFoodHubSurveybyMichiganStateUniversityandWallaceCenter

test

Pallet Stacking Activity

FirstLayerStackingPattern

9boxesperlayer

SecondLayerStackingPattern

9boxesperLayer