As direct marketers gear up for
the summer season, they will be
interested in a timely report on
marketing strategies to improve
operations and profits prepared by
Penn State extension economists^.
According to marketing project
director, James G. Beierlein,
associate professor of agricultural
economics extension, Penn
sylvania’s direct marketers could
increase their profits by paying
closer attention to consumer
preferences preferences
detailed in the report.
While most consumers are quite
satisfied with the produce they
purchase at supermarkets, there is
a growing number who like to buy
locally grown fresh fruits and
vegetables at roadside stands,
outdoor markets or pick-your-own
farms. In Pennsylvania alone that
preference has turned into more
than $47 million in sales.
Background for the report came
from surveys of 400 randomly
chosen households and all 350
roadside operators in the state.
The Pennsylvania Department of
Agriculture sponsored the $96,000
project to analyze the state of
direct marketing in the Com
monwealth and to identify factors
that encourage or inhibit con
sumers from purchasing produce
at direct markets. /
Who buys direct? According to
the report, 78.7 percent of those
surveyed use one or more types of
direct market outlets at least once
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Strategies For Direct
a year and have been shopping at
their local direct market for over
10 years. Women are the most
frequent customers. Some take
husbands along, but take children
less frequently. Most users shop at
roadside stands, followed by
farmers’ markets and pick-your
own outlets. Three-fourths of those
surveyed who do not now have a
direct market in their area said
they would shop at one if it were
nearby.
And why do they shop direct?
Survey participants judged
locally-grown produce to be
fresher, to keep better, to taste
better, look better, and to be more
nutritious. However, participants
noted shortcomings of some
markets, including poor parking,
dirty markets and crowded
shopping conditions.
“Farmers want to be growers.
But if some don’t also become
marketers and managers, they
may have to get out of fanning
altogether. Direct marketing can
work in many areas if marketers
are willing to put consumer
preferences into their operation,”
says Beierlein.
By selling directly to consumers
and performing some of the in
termediate preparation,
packaging and management
themselves, farmers can capture a
larger portion of customers’ food
dollars. Taking cues from survey
participants, direct marketers can
tailor promotions, inventory and
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service to increase customer sales.
Highlights of the marketing
surveys are the subject of the
May/June issue of Farm
Economics, titled “Meeting the
needs of Direct-Market
Customers.” The report suggests a
number of strategies for
managers.
• Most shoppers prefer to shop
at direct markets on Thursday,
Friday and Saturday mornings.
Since some shoppers say that
direct markets (especially far
mer’s markets) are too crowded, it
may be advisable to add personnel
for these peak shopping times.
• Most shoppers spend about $6
to $8 per visit and buy only what
they can carry. Managers might
be able to increase that amount by
having shopping baskets or carts
in the Sales area.
• Almost twice as many direct
market shoppers process fresh
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tnuts and vegetables by canning,
preserving, or freezing than those
who do not shop at direct markets.
Thus, any effort to promote home
processing would be will received
demonstrations, recipe ex
changes, how-to pamphlets,
nutrition information, and
processing safeguards.
• Most shoppers travel less than
10 miles to reach their favorite
market and find out about direct
markets in their area by passing
by or by word-of-mouth. Roadside
signs should be large, legible,
clearly visible, and include the
times and days the market is open.
Radio and newspaper ad
vertisements could increase
patronage, but should be con
centrated within the market area.
The May/June issue of Farm
Economics was prepared by
Cathleen M. Connell, research
associate in agricultural
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economics, and is available free
from the Department of
Agricultural Economics and Rural
Sociology Extension, 2 Weaver
Building, University Park, PA
16802.
“By connecting consumer
demand to targeted production,
farmers are creating real
economic opportunities in rural
areas,” says Beierlein. “And by
doing the background work and
conducting workshops, Extension
has become an important partner
in making these opportunities
possible.”
A Manager’s Manual for
Roadside Operators will be
available early this summer and
will be sent to all County Extension
Service offices and the roadside
marketers who participated in the
survey. Additional copies will be
available through your county
extension office.
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