;8-Grower & Marketer, Lancaster Farming, Saturday, May 17, 2003 El The Farmstead: Direct / UNDERSTANDING YOUR CUSTOMER’S PERCEIVED RISK John Berry Penn State Marketing Agent Perceived risk is that level of risk a consumer believes ex ists regarding the purchase of a specific product from a spe cific retailer, whether or not that belief is actually correct. In order to make a sale, you must overcome the customer’s perceived risk. The more im portant the purchase is to the customer, the greater the per ceived risk. As an illustration, if a customer is considering buying sweet com for dinner tonight, the perceived risk is relatively low. If they are buy ing com because the boss is coming over for dinner, the perceived risk goes up. Perceived risks are also greater if the customer has not dealt with you as a retailer be fore. New or unbranded items, such as produce, also raise perceived risk. As the cost of an item goes up, so does the perceived risk. Being on a tight budget, having little ex perience in purchasing the item, and having many alter natives to chose from all raise perceived risk. There are six types of per ceived risk: • Functional. Will the product perform as I expect? If the customer is buying sweet com, this means, “Wifi this com be as good as what I remember from last year or what I had last week?” If the customer is buying petunias, the risk is, “Will they make my garden look the way 1 want it to look?” • Physical. Can the prod uct hurt me, my children, or my pets? The use of pesticides in the production of food crops is frequently the concern here, but ornamentals that bear poisonous fruit can also be a concern. • Social. What will my peers think? If customers are buying sweet com to eat in the privacy of their home, the risk here is low. If they buy petuni as and plant them in the front yard and petunias are socially out this year, it’s like having a big sign in your yard for five months say ing, “geek lives I here.” I • Psychological. Am I doing the right thing? This can be a strong motivator in plant sales for the environmentally con cerned or an impos- sible obstacle for the truly paranoid. • Financial. Can I afford the purchase? This is not a major problem for most people buying sweet com or petunias. It is a major obstacle for customers consid ering a specimen 1 Z. r&►\ H • M trees that may cost $BO to $2OO. • Time. How much time and effort may I expend to make this purchase? This may be the greatest perceived risk for the plant and produce re tailer to overcome. Picture your potential customer in their car thinking, “Do I want to pull into that crowded parking lot? Do I want to stand in that line for a dozen ears of com?” This is scary! Many of the stands I visit fail to overcome this perceived risk. Their potential customers drive by. What do you do to over come perceived risk? You en counter examples every day. Why is a new car guaranteed for three years or 36,000 miles? This guarantee helps overcome the customer’s func tional perceived risk. Why does the MacDonald’s sign say billions and billions sold? It reassures the customers that the food will taste like they ex pect it to, it won’t hurt them, and it’s socially acceptable. The customer feels that he or she must be doing the right thing, because everyone else is doing it, too. Why do super markets have express check outs? These special facilities make the customer think that the time risk is low. In our roadside stands and garden centers, we can guar antee produce quality or the survival of costly perennials. We can reassure the customer our produce is fresh and pesti cide free or picked today. We can give personal endorse ments, like a sign that says ‘Sweet Corn-Best of the Sea son” or “Yellow Tomatoes- Bill’s Favorite.” We can dis play information about the nutritional value of fruits and vegetables or the environ mental value of planting a tree or flowers. Most of all, we can watch for the hesitant customers and give them an encouraging word. After all, they are only concerned about perceived risks. Ponds Meet Small Farm Needs Jim Ochterski Schuyler County Extension Educator Ponds can provide many benefits to small farms in New York if properly built and maintained. Many small-farm operators struggle with the de mands of production coupled with limited time because of off-farm employment. By pri oritizing the maintenance as pects of ponds, and preventing problems before they start, small farm operators can maintain a safe, clean, and de pendable supply of water for agriculture uses and recrea tion. This article provides guidelines for agriculture uses of ponds on small farms the recommendations apply to all sizes and types of agriculture operations. Irrigation Farm ponds are now an im portant source of irrigation water, particularly for small farms with permanent crops such as brambles, fruit trees, trellised fruits, and nurseries. -Field crops and vegetables can also be irrigated with pond water during dry seasons. Irri gation is critical to meeting high yield goals and should be employed to meet the crop’s peak water use rate. Pond ca pacity must be adequate to meet crop requirements. Water requirements vary by crop, season, and weather conditions. Small farm opera tors should plan on applying water in the most critical stages of production to ensure high yield while retaining ade quate supply in the pond. For many fruits and vege tables, bud stage and fruit en largement are priority irriga tion stages. In assessing a pond’s potential as a source of water for irrigation, determine the actual dimensions of the pond: length, width, and aver age depth. Multiply these numbers to determine the Lancaster A review of your coverage costs nothing. Not reviewing it could cost you everything. Classified When was the last time you took a good hard look at your business Ads Get “ p § - I Chances are, a lot has KeSUIISS changed since then. Like dftMS —the value of your property. \' \!ls \\ Your Farm Family agent It makes good business sense. Talk to your Farm Family agent today. ¥rubino INSURANCE AGENCY INC. Farm CALL r ;i TOLL FREE 1-800-334-0998 ramny fax 1-610-253-6870 Qlenmont NY # a _ . . . E MAIL seth@rubmo msurance.com LifeinsuranceproduclsofferedbyFdrmFamilyLifelnsuranceCompanyinCT DE,MA MD ME NH,Nj,NY PA Rl VT and WV Property/casualty insurance produi ts offered by United Farm Family Insurance Company in MD and PA and Farm Family Casualty Insurance Company in CT,DE MA ME NH, NJ, NY, Rl, VI, and WV rough volume of the pond in cubic feet; to convert to gal lons, multiply by 7.5. The pond should have a history of maintaining consis tent water depth through the summer. Ponds whose levels fluctuate considerably will re quire an irrigation intake that can be adjusted to match water levels. The required storage capacity of a pond used for irrigation depends on water requirements of the crops to be irrigated, rainfall expected during the growing season, efficiency of the irriga tion system, losses because of evaporation and seepage, and the expected inflow to the pond. The second component of irrigation assessment is re charge. Ponds whose levels fluctuate considerably are typ ically sourced by runoff, ratti er than springs. Monitor the pond after heavy rainfall for sediments, cloudiness, and silt. These particles provide evi dence of an unstable recharge process that may not be de pendable over time. Runoff entering the pond should be free from road surface con taminants, manure, septic ef fluent, and floating debris. Nutrients entering the pond from runoff or groundwater can be detected with a water test or by excessive growth of algae and weeds. Proper site selection for new irrigation source ponds is essential. Test pits will provide the most di rect evidence of the water storage capacity of a particu lar site. Additional informa tion can be derived from topo graphic maps, soil surveys, aerial photos, and onsite ob servations. These products and services are often avail able from local NRCS or Soil and Water Conservation Dis trict offices. Pond water used for irriga tion must be filtered to pre- vent clogging by suspended particles, plants, and chemical precipitates, particularly in trickle irrigation systems. An irrigation pond should be at least 10 feet deep to create a zone halfway between the sur face and silty bottom to draw in water that is relatively con taminant free. Herbicides used for aquatic weed control pose a hazard to plants being irri gated from the same source of water. Follow label restrictions on aquatic herbicides and con sider using non-chemical methods for aquatic weed con trol in irrigation ponds. Field And Orchard Spraying Ponds can be used as a source of water to mix chemi cals for crop protection. The amount of water needed for spraying is small, but it must be available when needed. If possible, develop a consis tent method of conveying water from the pond to the spray tank. A series of check valves will prevent uninten tional contamination of pond water while a tank is being filled. Pond water is not rec ommended as wash water for tanks because of runoff and bacterial contamination of the equipment and hoses. Recreation There are many nonagricul ture uses of ponds, including swimming, boating, fishing, nature exploration, and aes thetics. The view of a well maintained pond can be pleas ing for non-farm neighbors and your community. The rec reational uses of a farm pond must be compatible with agri culture uses. Identify your goals for the pond before making decisions that will compromise other uses. Some small farms gain supplemental income by pro viding fee access to ponds for (Tum to Page E 9)