Chapter XII Marketing Farm Products
The distribution of farm products on an efficient basis is one of the most difficult problems in agriculture. Because of the demand of the consumer for small quantities of products at each purchase, the breaking up of wholesale packages, involving additional labor and containers and the elimination of unfit specimens, increases handling costs and delays the arrival of the product from the farm to the consumer. In recent years the producer has sought various means of eliminating some of these costs of distribution so that he could get a larger share of the consumer’s dollar, and the consumer has welcomed the opportunity of buying products direct from the producer.
Unquestionably, one of the best means of selling farm commodities is through the medium of roadside markets that have now become so common along the principal highways of the country. These range in type from the display of a few baskets of farm commodities on the ground or on a table, with sales of $100 a year or less, to those of a more pretentious nature in which buildings and equipment are erected suitable to the purpose. That there are great possibilities of developing a successful business in selling products in this manner is evidenced by some of the more elaborate markets, transacting an annual business of $30,000 or more. In most cases these have been developed from small beginnings and the facilities have increased as the good reputation of the market has spread.
Advantages of Roadside Marketing.—From the standpoint of the producer or the operator of the roadside stand, there are certain advantages that have contributed to the growth of the movement. For example, there is no expense or time involved in delivering the products to a distant market, since the produce is sold by a member of the household, or by the operator’s employees in the larger types of markets. It is possible through such a market to build up a clientele of buyers who will return for further purchases. They will tell their friends about the good quality, dependable produce which they have been able to purchase at some particular stand. Furthermore, a wide variety of products can be sold in this way at one stand, which might have to be segregated and shipped to different markets if some other method of marketing were being followed. This would add considerably to the expense of selling, especially where the volume of each commodity is small. Furthermore, in such a method of selling, the producer comes in direct contact with the consumer. Ideas are exchanged, mutual confidence is developed and both should share financially in the advantages accruing from eliminating ordinary means of distribution.
Problems in Roadside Marketing.—On the other hand, there are certain disadvantages of roadside selling which operate against successful merchandising in such a manner. These should be fully considered in deciding how the surplus farm products are to be disposed of. Due to the difficulty experienced by many potential buyers in getting satisfactory produce, they have become discouraged and will often drive by all roadside markets rather than take a chance on buying commodities that may be misrepresented. Naturally, this works against the development of adequate business and makes it necessary for the individual to spend considerable time and effort in selling himself and his market to the public and in creating confidence and good will.
There is necessarily some loss due to depreciation in the quality of perishable commodities. In many cases it is necessary to expose these commodities to the sun and weather, and if they are not sold promptly they will not long maintain the standard of quality which the operator must have identified with his market. The operator has no knowledge of the number of customers he will have when he displays his products, nor does he know the whims of the individuals who may patronize his market that day. To avoid the losses resulting from unsold products it is desirable to have some other outlet which will absorb unused quantities, even though the price is not so good as would be secured from ordinary sales at the market. Many of the commodities can be delivered to some wholesale market to be sold for what they will bring. Another outlet that is available is through canning or preserving the commodities and selling them later in the season under the label carried by the roadside stand.
It should be borne in mind that the business of operating a roadside market has its own peculiar problems and success in it depends upon following good merchandising principles, to which are added those finer points which pertain to direct selling. The attitude of the public must be studied and plans for promoting sales must be adopted which will result in attracting and holding customers. Beyond doubt, the two most important factors in the operation of a successful roadside market are attractiveness of the stand itself and the quality of the products that are offered for sale.
Plans for a Roadside Market.—A roadside market need not be expensive to be attractive. The thought motivating the whole project should be to create in the buyer’s mind a farm scene, laying emphasis upon such factors as are easily associated in the public mind with farming. These include neatness of the establishment, cleanliness and honesty in every phase of the operation. One should not undertake to run a roadside market in competition, so far as appearance goes, with the corner grocery store in the city. It should have an individuality of its own and be of the country as well as in the country.
The location of the market has a great deal to do with its attractiveness. It is well to locate it a short distance from the house, so that it stands out as a market, and it should be placed back from the highway to permit motorists to drive off the highway in making stops for purchases. In some states, highway regulations require that such stands be located far enough from the highway to permit all four wheels of a standing vehicle to be off the road surface. If the stand can be located under some good shade trees, that in itself constitutes an invitation to the sun-blinded traveler to stop and partake of the commodities offered for sale.
So far as the design of the market itself is concerned, there are endless opportunities for one’s genius to be brought into operation. It should be borne in mind that, while there are certain standard requirements in the way of display shelves and facilities for keeping reserve stocks immediately available, as well as a safe container for funds, originality in design attracts attention. Here again, the design should not be obtrusive, but one that blends with the atmosphere of the place where the stand is set up. It must convey the impression that the owner of the property is himself the operator of the stand and has transferred to the stand the same interest which is manifested in his home and its immediate surroundings.
Most purchasers at roadside stands want to see the whole display without having to stumble over baskets and other articles to find out what is offered, and they expect prompt attention. As a general rule, the more nearly the stand can supply the complete needs of the purchaser in that field, the more likely are buyers to stop and become regular patrons. In addition to the display of seasonable fruits and vegetables, it is desirable to have eggs and dairy products, including butter, cottage cheese, canned fruits or jellies that have the home-made farm atmosphere about them.
In most cases, ice is available or electric refrigeration can be utilized for keeping cold milk, buttermilk, cider and other products available for immediate consumption for the hot and thirsty traveler in the summertime. Hot coffee or hot chocolate can be made available for service in colder weather. Very often the road-stand operator destroys the genuine sales appeal that such stands have by specializing in manufactured concoctions that have no relation whatever to the location where they are sold. Too often the stands are covered with advertisements of such commodities, and this immediately creates sales resistance so far as the promotion of fresh farm products is concerned.
Origin of Products Offered.—The ordinary purchaser at a roadside market likes to think that he is buying products raised or processed on the place where they are sold, and believes that he is thereby securing fresher and better commodities in which the seller has had an interest from planting time to harvest. Certainly some of the commodities sold should come directly from the tract where the market is located, and visual evidence should be given of that fact. On the other hand, there is no objection to the addition of other commodities so long as they are in accord with what a producer might be expected to have for sale at that season of the year. Many operators have found that the sale of gasoline and lubricating oil and tobacco in various forms can be offered for sale to good advantage simply as a part of the service being offered by the market to the public.
Quality the Keystone.—The fundamental basis for success in the operation of any roadside market lies in the quality of the products that are offered for sale. This is a rather difficult condition for the operator to maintain consistently, but it is fundamental in securing customers and in keeping them. Products that have become stale, unattractive or unpalatable for any reason should never be offered for sale and should be discarded, made into some by-product or sold through some channel which will not identify the article with the stand itself. A satisfied customer who develops confidence in the integrity and good faith of the stand operator is a decided asset, and no effort spent in cultivating such confidence is wasted.
Every successful roadside stand operator has built his business on honest dealing and a personal interest in seeing that the buyer is satisfied. This contact between the owner of a small business and a buyer is one that can be capitalized to a very great extent. It is one of the handicaps which a chain-store organization has to face and one that must be developed by the person who wishes to establish a permanent and satisfactory business in this merchandising field. Very often the sale of farm products can be supplemented to the advantage of the stand by offering small ornamental plants or by the display of pet animals, particularly for the younger members of the traveling public.
Success Factors.—A definite program of advertising can be developed with many original features that apply directly to the type of business. If the operator has pride in his products he will be glad to have his name on every package of commodities that he sells. This is good sales propaganda even if it only indicates the confidence of the seller in his products and his willingness to stand behind them. Besides that, however, it creates a knowledge of his name or the designation of his farm or stand among purchasers who will then have a means of identifying it to their friends. A small leaflet, describing the products that are offered for sale and the intention of the operator to give the customer service, can be put in each package at very small cost with good results. It is also possible to prepare leaflets dealing with methods of cooking or of preparation of the commodities sold that will build good will on the part of customers.
The most successful operators, again, are those who do not depend upon casual visitors for their trade but who make of the casual visitor a regular customer and one who will speak a good word to others. In other words, genuine effort must be made to identify the location as a place to which buyers will wish to return as they do to any other place of business that gives satisfactory service. In this way the operator distinguishes himself from his fly-by-night competitors who exist during a week or two when surpluses of commodities are available at low prices and who have no thought beyond that of the immediate sale.
Wherever possible, the attention of the passing consumer should be directed to the stand before he reaches it so that he will be prepared to stop when he comes upon it. Signs of this type on either side of the stand, but some distance each way from it, are more important than is generally recognized. They constitute invitation cards and should be so worded as to excite curiosity and create a feeling in the intending purchaser’s mind that he will make no mistake in stopping to fill his wants at the stand. It goes without saying that both the advertising and the stand itself must be so planned as to attract the purchaser, and every effort should be concentrated on the psychology of such an appeal, avoiding any appearance of slouchiness, which would be more repellent than attractive. The purchaser forms a quick opinion of the stand from the way in which it is conducted and from the appearance of the one who is there to make sales. An attitude of cordial cooperation on the part of the attendant, who is, of course, appropriately dressed and in the right mental attitude, is a factor that must not be overlooked in the effort to create a favorable impression.
Meal Service Amid Farm Surroundings.—Many operators, located at strategic points near main highways, have found that maximum profits are obtained by serving meals prepared from the vegetables supplemented by poultry or other products of the little farm. These meals may be served in a booth or building adjoining the roadside stand or in a room of the house turned into a seasonal dining room. Persons who are city residents quickly learn to appreciate the virtues of fresh vegetables and freshly killed poultry that may be thus served. A schedule of reasonable prices must be maintained if trade is to be built up. Usually special dinners or lunches can be prepared from available products in season, thereby giving the customer more for his money at the least cost and trouble to the operator.
This small home restaurant business can be handled frequently by members of the operator’s household and countless examples can be given of real financial success following such ventures. Expansion can take place as consumer demand develops. Cleanliness, good home cooking, generous portions and prompt and courteous service will work wonders in such a project.
Tourist Guest Houses.—A large number of country homes are now open to the public as tourist guest houses, their owners finding that they can obtain a modest but worth while supplement to other forms of income from them. These tourist guest houses are largely a development of the past several years. Their popularity with automobile travelers appears to be increasing, and there is genuine opportunity for the housewife on a small farm to operate one of these establishments.
It should be kept in mind by the housewife who thinks of opening her home to tourists that the proposition has its drawbacks as well as its advantages. Only a modest fee, often $1.00 for a room and 30 or 35 cents for breakfast, is obtained from each tourist guest. However, a great number of American women have found that the work and trouble occasioned by taking in tourists are worth while and actually enjoy their contacts with the traveling public.
The tourist guest house, obviously, should be located on a road that is well traveled by tourists. A simple and attractive “Tourists Accommodated” sign and a neat and pleasing front yard are needed to interest passers-by in the place. The porch should be neat and attractive and the interior of the house should give the appearance of restfulness, simplicity and comfort.
Tourists usually inquire about prices and look over a place before deciding to stop there; if there are women in the party, one of them usually makes the inquiry. The family should be courteous in answering questions and showing the prospective customers about. They should not be indifferent, and yet must not seem to be too anxious for business. When the travelers decide to stay, the family should endeavor at once to make them feel at home. The guests will frequently ask questions about roads, local resorts and near-by recreational facilities, and the family will find it useful to be informed on these matters.
Dog Breeding as a Source of Income.—Many persons who have located in the country, and who have a liking for domestic animals, have found dog breeding an interesting and frequently profitable enterprise. By placing a wire cage along the highway the attention of the traveling public is attracted to the puppies. Some of the more popular breeds of dogs include the Airedale; the Boston, Fox and Irish Terriers; the Chow Chow; the Collie, and the English and Irish Setters.
The breeding of dogs is a highly specialized activity, particularly where it is carried on under intensive conditions and with little range. Dogs are subject to external and internal parasites requiring preventive and curative measures. As in the case of all other animals, sanitation is an essential factor to success and feeding methods must be adjusted to the age and the breed.
The beginner in dog raising should consult a recognized veterinarian who specializes in small animal practice, and observe his recommendations. Such professional men are located in most communities and their advice will be found most helpful.
The prices obtainable for male and female young animals vary with the locality. There is usually an established scale of prices which may easily be obtained and which it will pay to observe. Dog shows are growing in popularity and exhibitions at these expositions will serve to advertise the breeder’s stock. Advertising in local papers is effective in bringing to the public the availability of stock of distinctive breeds. Fashions in dog breeds change with the times and the public must be catered to along the lines of current interest.
Do’s
Use the roadside market or near-by outlets for disposing of excess farm products.
Fully utilize the possibilities of roadside stands in building a permanent business.
Road stands, as well as the products on display, must have sales appeal.
Produce at home all farm products offered for sale, if possible, and make the growing area the background of the market.
Stress quality of products and the responsibility of the operator.
Advertising of the right type will multiply sales.
Offer meal service with farm surroundings wherever possible.
If considerable traffic passes the premises, try out possibilities of accommodating tourists.
Don’ts
Don’t try to dispose of miscellaneous surplus of farm commodities by shipment to market if a roadside market can be set up.
Don’t ruin standing of roadside market by selling inferior or stale products.
Don’t try to run a city fruit stand with a farm background.
Don’t destroy country home life by over-commercialization.