1. New Trends Seminar, Shelby, MT March 23, 2016
Direct and Alternative Marketing: Trends and Strategies for Accessing New Markets
New Trends Seminar, Shelby, MT
March 23, 2016

2. Annie Heuscher Program Director annie@MissoulaCFAC. org www
Annie Heuscher Program Director

4. Direct and Alternative Marketing

5. Direct and Alternative Marketing
Non-commodity

6. Direct and Alternative Marketing
Non-commodity
Direct-to-consumer

7. Direct and Alternative Marketing
Non-commodity
Direct-to-consumer
Wholesale

8. Direct and Alternative Marketing
Non-commodity
Direct-to-consumer
Wholesale
Alternative commodity market

9. Direct and Alternative Marketing
Non-commodity
Direct-to-consumer
Wholesale
Alternative commodity market
Value-added market

10. Organics Nationally Power of the Market $39 Billion in Consumer Sales
$5.5 Billion in U.S. Farm Income
50% Through Grocery Stores
51% of families buying more than last year
ExpoWest 2016: 77,000 attendees

11. Organic Grains & Pulses
Power of the Market
Organic Grains & Pulses
Ardent Mills doubling organic acres
General Mills doubling organic acres
Companies starting to go overseas for grain supply
Market is expected to double/triple in next 5 years
International Year of the Pulse

12. Organic in Montana Power of the Market 1st in the nation for dry peas
1st in the nation for lentils
1st in the nation for wheat
2nd in the nation for flaxseed
8th in the nation for dry beans and oats

13. Local Food in Montana Power of the Market
Top ten in the nation
60+ farmers markets
6th in nation for direct sales per capita
$9.4 million direct-to-consumer
Sales increased 50% between

14. Other Market Trends Power of the Market
Non-GMO: $11 billion in annual sales
Non-GMO: Over 27,000 products
Gluten-free: $973 million in annual sales
Gluten-free: Grown 30%+ each year

15. How Do You Access Those Markets?
Customers
Competition
Channels

16. Customers

17. Customers

18. Customers

19. Customers

20. Customers

21. Customers

22. Market Research Proximity Friends and Family Buyers Similar businesses
Product testing
Trade shows
Surveys

23. Competition
Price
Product
Access
Service
Experience

24. Channels to the Consumer
Alternative Commodity Market

25. Channels to the Consumer
Organic Commodity Market
Lentils: cwt ($ /ac)
Chickpeas: 72 cwt ($1,000/ac)
Winter Wheat: $12/bushel
Spring Wheat: $15/bushel ($17-18 last year)
Peas: $13/bushel

26. Channels to the Consumer
Wholesale

27. Channels to the Consumer
Direct-to-Consumer
Farmers Market

28. Channels to the Consumer
Direct-to-Consumer
Community Supported Agriculture

29. Channels to the Consumer
Direct-to-Consumer
Community Supported Agriculture
$6.50/lb ($400/bushel)

30. Channels to the Consumer
Direct-to-Consumer
Mail Order and Internet Sales
Chickpeas & Lentils:
$2.99/lb ($299 cwt)
Hard Red Spring Wheat:
$2.39/lb ($143/bushel)

31. Channels to the Consumer
Other Markets
Grocery Stores

32. Channels to the Consumer
Other Markets
Schools & Institutions

33. Channels to the Consumer
Other Markets
Restaurants & Caterers

34. Steps to Access These Markets
Planning for On-Farm Success
Consider Cooperatives
Find the Right Scale
Be Buyer-Focused

35. Other Resources Made in Montana/Grown in Montana
Montana Department of Agriculture
Montana Organic Association
Farm Link Montana

36. Annie Heuscher Program Director annie@MissoulaCFAC. org www
Annie Heuscher Program Director