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DESCRIPTION
marketingTRANSCRIPT
Biery Hill Poultry Farm
Individual Marketing Plan
Integrative Strategies in Marketing
Michele Delawder
Dustin Biery
FS 45
Executive Summary
Situation Analysis
Biery Hill Poultry Farm is beginning from scratch with production of show quality poultry that are true to standards, are good representatives of the breed, yet at a reasonable price. At Biery Hill Poultry Farm, we are targeting all others who share the passion for poultry and their conservation through local poultry shows and through online forums. Biery Hill Poultry Farm will distribute their product only when purchased, with some solicitation.
Marketing Objectives
Biery Hill Poultry Farm’s marketing objectives are to help remove breeds off the Society for the Preservation of Poultry Antiquities critical list, increase the number of breeds raised by one breed per year and maintain a breeding flock of 25 of each breed at all times. Breeds to be focuses on first:
Aseel (Asil) Sumatras
Marketing Strategies
To be successful in their marketing objectives, Biery Hill Poultry Farm will use the following strategies:
1. Target Market Strategy: Biery Hill Poultry Farm will begin taking their product (show poultry) and entering birds into the local poultry shows, as well as setting up in the sale area to allow those who may be interested in the product the chance to buy them
2. Positioning Strategy: Biery Hill Poultry Farm will position its product in high traffic areas of the sale area, as well as on high traffic poultry sites via sponsored ads.
3. Product Strategy: Biery Hill Poultry Farm will begin with two different breeds and will focus on those for the first year:
a. Biery Hill Aseelsi. Bantam and standard sizes
ii. Coloration will vary with each breedingb. Biery Hill Sumatras
i. Bantam and standard sizesii. Come in seven different varieties, with work being done on others
1. Blue2. Black3. Splash4. Platinum
5. Chocolate6. Khaki7. White
iii. Focus on dark faces and comb and multiple spur4. Pricing Strategy: It is a primary focus of Biery Hill Poultry Farm to keep birds at a price
that is affordable to all walks of life. Pricing will remain the same for future product lines (breeds)
5. Promotion Strategy: As a start up business, Biery Hill Poultry Farm will begin by donating birds to FFA and 4-Hers. Biery Hill Poultry Farm will also sell birds through the first show season for a reduced amount in efforts that other breeders will help with the conservation of these breeds.
6. Supply Chain Strategy: Biery Hill Poultry Farm will be the sole vendor of their direct product, however efforts will be coordinated with other breeders to bring in outside genetic information.
Implementation and Control
Biery Hill Poultry Farm will be controlled by Dustin Biery, founder and CEO. As a sole proprietorship, all responsibilities will be carried out by him. He will be the responsible part in insuring that flock goals are met and sustained. He will also be responsible for selecting future breeders for the future breeding lines. The initial dollar value that will be budgeted for getting Biery Hill Poultry Farm off the ground will be $5000.00. All flock records will be maintained in Chick Chart Software, published by WhiteHouse Software.
Situation Analysis
Biery Hill Poultry Farm was been raising poultry for nearly ten years, but has only recently stepped up to becoming a small scale hatchery, with the main goal of helping to minimize the number of breeds listed on the Society for the Preservation of Poultry Antiquities’ critical list. Biery Hill Poultry Farm has stepped up production as there have been an ever increasing number of consumers who are going to small scale, organic poultry farms in urban environments. At the same time, there are an ever increasing number of large scale hatcheries and breeding farms that will be selling comparable products, but in the ideal situation, they will not compare on a quality level.
Internal Environment
Mission Statement
Biery Hill Poultry Farm is driven by their mission statement:
Biery Hill Poultry Farm strives to increase awareness in poultry and decrease the number of breeds listed by the Society for the Preservation of Poultry Antiquities as critically
endangered by selecting birds that are only exemplary models of their standard and allowing ease of access to their genetic lines to outside breeders.
Organizational Structure
With the status of current business and being a ground floor company, Biery Hill Poultry Farm is a one man operation. Dustin Biery will be responsible for all duties that are to be done or taken care of.
Corporate Culture
There is not a corporate culture within Biery Hill Poultry Farm. It is our firm belief that the corporate culture of breeding poultry for quantity and not quality is what has gotten so many breeds in a state of duress.
Products
Biery Hill Poultry Farm actually began raising poultry in late 1990. It was started as a general run of the mill, small scale poultry farm. Since becoming aware of the critical list as published by the Society for the Preservation of Poultry Antiquities, Biery Hill Poultry Farm has made it a high priority to reduce the number of breeds listed. Therefore, Biery Hill Poultry Farm will start with two breed in the first year, Aseel (Asil) and Sumatras, and increase the number of breeds raised by one breed each following year. Pricing will be done on a conservative basis. In the early life of this company, pricing will have to fall in with the current market values of quality birds which range from $20-$50 per bird. Once Biery Hill Poultry Farm has been able to show their quality and desire to help others learn from these endangered breeds, prices will fluctuate with the season. All of our birds that are sold or shipped will be tested and certified as Pollorum-Typhoid clean in accordance with state and federal United States Department of Agriculture regulations.
Approximate Going rate of birds (straight run)
Age Hatchery/Backyard Hobbyist
Breeder
0-2 weeks $1.99 $3.00-5.00
2-6 weeks $2.00-5.00 $5.00-10.00
8-12 weeks $5.00-10.00 $10.00-$20.00
1 year $10.00-up $20.00-up
After looking at the above table, you will see that a good breeder usually gets 50% more per bird than a hatchery or backyard hobbyist. Biery Hill Poultry Farm sees it that the same amount of resources are utilized by a bad quality and good quality bird just the same.
Previous Sales
Biery Hill Poultry Farm’s sales at this point in time are flat. Being a start up business, there have been no offering of our product to the consumers.
Markets
The markets in which Biery Hill Poultry Farm will focus on are all areas where there will be known poultry hobbyists. These markets will include, but not limited to: state and county fair, poultry and livestock shows, poultry auction sites, and online poultry forums. Being willing to ship our product/birds, it will allow for our birds to reach a greater number of people. Currently federal regulations do not allow for import or export of birds from beyond the contiguous United States, therefore doing international business at this time is not an option.
Distribution
In order to properly place the product, Biery Hill Poultry Farm will need to continue to expound on the current consumer relations within the poultry industry and the show arena. Distribution will be done on an availability basis. Distribution will take place face-to-face as well as through the United States Postal Service.
External Environment
Competitive Environment
Biery Hill Poultry will be in indirect competition with ever other breeder of quality poultry in the United States. Our direct competition will be all other breeders who are raising the same breeds that are being raised at Biery Hill Poultry Farm. With the focus Biery Hill Poultry Farm has on the breeds listed on the S.P.P.A.s critical list. Direct competitors will only be those breeders who raise Asil or Sumatras currently.
Economic Environment
The current economic state is regression. However, with the continued increase for organic foods and products, more and more Americans are beginning to raise their own eggs for consumption. This will help with sales of Biery Hill Poultry Farm. This factor should be the only economic tie Biery Hill Poultry Farm has.
Technological Environment
Being an animal based company there will be very limited technology impact. The technological impact is advertising on other organizations servers, relying on a system that is completely out of our control. The other front we will be impacted by technology is with our incubators and hatchers. They have progressed very slowly, so at this time there will be a very low impact if anything changes with them.
Political and Legal Environment
Because poultry is considered a livestock, all movements from state to state must be accompanied by USDA documentation that they free of disease. Biery Hill Poultry Farm also had to take into consideration city, state, and community regulations for poultry, keeping them, and their housing. In doing this, Biery Hill Poultry Farm felt that it was in the company’s best interest to locate them self within Crawford County Arkansas, where the regulations and restrictions are greatly reduced.
Sociocultural Environment
With the exception of those consumers who look for organic products, the social and cultural environment surrounding raising poultry for personal consumption has been on a continual decrease for a great while. However, high school FFA and 4-H programs have helped to keep showing and raising livestock, poultry in general, in the forefront because it is a inexpensive show project in comparison to the alternatives of sheep, cattle, horses, and swine. Raising poultry tends to have a negative connotation, but many of those who are of this opinion have never been privy to poultry or the experience of the joy they can bring. According to a study done by the American Poultry Association, “the average poultry breeder spends $2,000 within their community on items related to their poultry hobby.” In the same study, “the average poultry exhibitor spends $1,800 in travel expenses to participate at poultry shows, most of which is in small communities.” The American Poultry Association also boasts of 140 years of safety. “There is no record of a known outbreak of disease from co-mingling birds at poultry shows.”
SWOT Analysis
The SWOT analysis allows Biery Hill Poultry Farms to consider their strengths, weaknesses, opportunities, and threats in respect to their internal and external environments.
Strengths
These are strengths identified by Biery Hill Poultry Farms:
Breeder animals from top breeders across the country
Maintaining lower than average prices
Focusing on breeds that are not the commonplace at poultry shows
Weaknesses
These are the weaknesses identified by Biery Hill Poultry Farms:
Competition with other breeders with more recognized names
Length of time breeding show quality birds
Limited supply
Opportunities
Increase awareness in the Society for the Preservation of Poultry Antiquities critical list
Minimize the number of breeds listed on the Society for the Preservation of Poultry Antiquities critical list
Provide an ample opportunity for all kids interested to have quality birds and be able to compete
Threats
Predators
Electrical failure within the incubating/brooding house
Failure of marketing attempts
Other local breeders raising the same breeds
Marketing Objectives
These are the marketing objectives Biery Hill Poultry Farm has set:
Increase awareness and the need to help those breeds that are listed on the Society for the Preservation of Poultry Antiquities critical list
Have gross sales of at least $5000 after the first year, and increase by 25% annually after that
Increase the number of breeds by at least one breed per year, more if feasibly possible
Marketing Strategies
Target Markets
Consumer markets
Biery Hill Poultry Farm will continue to serve the few customers they had before becoming incorporated.
Demographics
Kids, teens, and adults
Ages: 6-100
Psychographics
Farm raised people who are familiar with poultry
Enjoy raising and showing poultry
Are enticed by the ability to help breeds in trouble
Media Habits
Those targets will be apt to appearing at poultry and livestock shows and swap meets
Consumers who shop for poultry online
Apt to reading the classifieds in the Poultry Press
Organizational Markets
Until now, Biery Hill Poultry Farm has put little effort into marketing. There will now be a push to advertise in a more diverse manor. Future options will include, but not limited to:
Backyard Poultry magazine
Banner space on Ultimatefowl.com and other like forums that are not currently being utilized
Flyers at local feed stores and cooperatives
These are all sources that many poultry fanciers are becoming more and more exposed to. If these sources are utilized properly, it will increase the likely hood that Biery Hill Poultry Farm will meet, and probably exceed marketing goals. Keeping our product in the forefront of our potential consumer’s mind will help keep our products moving as well as help with ‘word-of-mouth’ marketing.
Product Positioning
Product position will not be much of a factor for Biery Hill Poultry Farm. In the potential our potential market places, it will be setup much like a swap-meet; many different vendors all in the same area. The key to setting up in this type of environment is making sure the birds are in top
conditioning and that our cages are clean. Our chosen marketing strategies will support our goals for product positioning.
Product Strategies
To continue our endeavors to help minimize the number of breeds listed on the SPPA’s critical list, Biery Hill Poultry Farm has the goal of adding a new breed each year. The proposed breeds are:
1. Cornish (also called Indian Game)
a. Come in three recognized varieties
i. Dark
ii. White
iii. White Laced Red
b. Both bantam and standard sizes
c. Perpetual fertility issues, would have to have more knowledge on artificial insemination
2. Malay
a. Come in six different varieties
i. Black Breasted Red
ii. Black
iii. White
iv. Spangled
v. Red Pyle
vi. Wheaten
b. Thought to be one of the oldest breeds
3. Russian Orloff
a. Come in five varieties
i. Spangled
ii. Cuckoo
iii. Black
iv. White
v. Mahogany
b. Dropped from the APA standards because of lack of interest and number of available breeder birds
Pricing Strategies
The current pricing at Biery Hill Poultry Farm will remain the same through the first breeding season. Our price will show that Biery Hill Poultry Farm is focused on increasing awareness of their breeds while maintaining show quality standards. It is also imperative for Biery Hill Poultry Farm to maintain prices that are within a reasonable budget of FFA and 4-H members. It is the goal of Biery Hill Poultry Farm to keep pricing relatively flat as our product lines increase.
Promotion Strategies
In earlier times, Biery Hill Poultry Farm relied almost solely on the word-of-mouth. Our current promotional strategy will inform a wider customer base of our products and goals. Being a business unlike most others, Biery Hill Poultry Farm will have to take an alternative approach to promotion and advertising. Putting our product into the market will be more like testing products at trade shows. Below are a few listed methods of promotion that Biery Hill Poultry Farm plans to utilize:
1. Online forums: Biery Hill Poultry Farm has membership accounts to numerous poultry based online forums. All of these forums have either free classifieds and/or auction capabilities. A couple examples:
a. Ultimate Fowl—http://www.ultimatefowl.com
b. Backyard Chickens—http://www.backyardchickens.yuku.com
c. Poultry Connection—http://www.poultryconnection.com
2. Poultry Shows: Within a 300 mile radius of the Fort Smith area, Biery Hill Poultry Farm plans to attend over 50 poultry shows to exhibit our birds for display, as well as utilization of the sale arena. Upcoming shows include:
a. Heart of the Ozarks Poultry Association spring show, April 3-4, 2010;Washington County Fair Grounds
b. Crawford County Free Fair, April 10, 2010; Crawford County Fair Grounds
3. Magazine advertising: There are several magazines published that are focused on poultry, showing poultry, and breeding poultry. These magazines are not highly subscribed to, but one sale from each advertisement will cover the cost. Magazines to consider:
a. Backyard Poultry
b. Poultry Press
c. Homegrown Poultry
4. Sampling: This type of advertising will only be used on a local level. Having build relationships with Agriculture Education teachers, FFA advisors, and 4-H leaders, I will utilize their showmen and women to introduce my birds in all of the local shows. This will allow them to gather useful experience in showing poultry, as well as help them get more into the competitive spirit.
Supply Chain Strategies
As noted earlier, Biery Hill Poultry Farm will be the only distributor of our line of fowl. There will be no external sources of our birds. However, those who purchase our birds will more than likely state that their birds are of our line.
Implementation
The action plan details those items necessary to implement marketing strategies as well as key things that need to be done on the premises. The action plan will also set forth a timeline for these items to be completed. With only having their CEO and Founder, all duties will be the responsibility of Dustin Biery.
Action ItemsBeginning
DateClose Date Budgeted Remarks
Build ad for all magazines 04/01/10 04/30/10 0 One ad for all
Construct new breeding pens 05/01/10 05/31/10 $1,000 4x8x6 indoor and outdoor
Locate source of future breeds 11/30/10 $2,500 Minimum of 15 hens and 5 roosters
Price banner space on forums 04/01/10 04/30/10 $500 Uniformity is key
Measurement and Control Strategies
Sale of birds will be the determining measurement of Biery Hill Poultry Farms. Fertility of eggs will be tracked on the aforementioned software to ensure that all breeding males are viable and an asset to the breeding plans. Adjustments will be made accordingly.
Research
There will be continuing research to locate top breeders across the country in hope to introduce new blood into our flocks. Poultry also fall into a fad progression. There will be close monitoring of these fads to determine what is in season and determining if there is a possibility of providing a comparable product to help limit the strain on the current fad breed.
Market Trends
Market trends will factor into the success of Biery Hill Poultry Farm. As a current state, exhibition of poultry is on the rise. It is our hope that with an up-trend, Biery Hill Poultry Farm will continue to provide quality livestock to increase this trend and keep it climbing.
Conclusion
At Biery Hill Poultry Farm we are dedicated to working with the Society for the Preservation of Poultry Antiquities to minimize the number of breeds listed on their critical list and raise awareness in the exhibition poultry world of the need for others to focus their efforts on these breeds as well. We will continue our efforts help the local livestock and poultry shows gain exhibitors with our increased work with the local FFA and 4-H chapters. Poultry is a vital part of Arkansas’ economy, but from more than just an industrial aspect.
References
(2001). The American Standard of Perfection. Mendon, Massichusets: American Poultry
Association, Inc.. (Original work published 1873)
Henrichs, C., & Russell, C. (n.d.). S.P.P.A.. FeatherSite. Retrieved March 7, 2010, from
http://www.feathersite.com/Poultry/SPPA/SPPA.html
Orloffs, Russian. (n.d.). FeatherSite. Retrieved March 7, 2010, from
http://www.feathersite.com/Poultry/CGK/Orloffs/BRKOrloff.html
Russell, C. (n.d.). Orloffs. FeatherSite. Retrieved March 7, 2010, from
http://www.feathersite.com/Poultry/CGK/Orloffs/Orl_CraigR.html
Save Our Hobby. (n.d.). Welcome to the American Poultry Association. Retrieved March 7,
2010, from http://www.amerpoultryassn.com/savehobby.htm