Direct Farm Marketing Boosts Income

This time of year, farmers' markets are brimming with fresh fruits, vegetables and a variety of other items, including such things as natural dog treats, hen eggs, bee pollen, massage oils, bird houses, catnip toys, jellies, honey and seasoned vinegars.

The farmers' market is direct marketing at its finest.

Instead of paying packers, shippers and brokers to market their crops, direct marketing allows farmers to sell directly to consumers -- keeping more crop receipts for themselves. In addition, consumers can expect fresher products, a personal environment, and the experience of supporting local farmers.

A second form of direct marketing is the "U-Pick" operations. In this situation, consumers travel to the farm and harvest the produce themselves. For farmers, there are advantages and disadvantages.

On the plus side, u-pick operations reduce harvest and transportation costs for the farmers. But, growers may need to provide additional management to handle sales. Insurance, traffic control, advertising, pricing, and picker supervision are also costs to consider.

According to the U.S. Department of Agriculture, u-pick operations became popular after the 1970s oil embargo. In a back-to-the-land movement led by Baby Boomers, people began to buy fresh produce in bulk and process their own foods.

Today's u-pick customers come to the farm to:

• experience the farm itself,

• reconnect with their rural roots, and

• buy quality produce at reasonable prices.

However, most customers will travel less than 15 miles to a u-pick operation, and will only shop once every couple of months spending $5 to $10.

To draw more customers, some farmers are turning to agri-tourism ideas like corn mazes, festivals, tours, gift shops, hay rides, petting zoos, and food services.

Whether selling at growers' markets or inviting customers to harvest produce fresh from the field, many farmers are finding the benefits of direct marketing. In one instance at a Santa Fe, N.M. growers' market in May, only one growers was selling fresh asparagus. His customers were willing to pay $4 per pound at the market. In town at one of the local grocery stores, asparagus was selling at $1 per pound.

The University of Arizona has an excellent handbook on direct farm marketing and agri-tourism, including topics on business planning, market analysis, tourism trends, and value-added products. To view or order this handbook, see ag.arizona.edu/arec/pubs /dmkt/dmkt.html.

See you at the market!

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