Measuring Farmers’ Market Performance

Why?What?How?

Monika Roth, Agricultural Development & Marketing SpecialistCornell Cooperative Extensionmr55@cornell.edu

Convergence of Movements Public Health/Obesity Local Economy/Local Foods Sustainable Agriculture/Environment Livable Communities/Smart Growth Civic Engagement/Social Integration Public Spaces, Historic Preservation

Market Claims vs Reality Alternative Marketing Outlet Increasing farmer/vendor income Ag/Small Business Development Entrepreneurship/Marketing skills Job Creation Downtown Revitalization Keeping land in farms Community Development Improved Nutrition –Food Access

Farmers’ Market Facts1994 USDA

1,755 Markets

2004 USDA3,700+30,000 farmers3 Mil consumers$1 Billion spent

Farmers’ Market Sales Greenmarkets NYC (18 markets) $20M Dane County, Madison, WI $ 5M Santa Monica, CA (Wed) $3.8M Santa Monica, CA (Sat) $1.8M Ithaca, NY $1.3M Crescent City, LA $1M Santa Fe, NM $750,000 Boulder, CO $695,0001996-99 Data Sources

Iowa Farmers’ Markets Economic Impact Study 180 Markets 60% increase in 10 years 135,000 customers $20.8 Million in Sales $31.5 Million economic impact

2004 Study, Iowa Dept. of Agriculture

Farmers’ Markets Canada Impact Study 508 Markets 28 Million Shoppers $32 average spent per customer visit $1.03 Billion in Sales $1.55 B - 3.09 B economic impact

2008 Study, Farmers’ Markets Canada

Measures of Success

AgricultureSmall BusinessConsumersCommunity

Meeting your Mission

Why your market was established –what was the impetus

Mission/PurposeObjectivesEvaluation processes

Dane County Farmers’ Market

Provide producers alternative outlets Promote Wisconsin grown Offer fresh, tasty, nutrient rich foods Connect farmers and consumers Educational forum Test products, improve marketing skills Quality of life, social interaction Preserve Ag heritage

Ways to Collect Data

VendorsCustomersCommunity Benefits

Vendor Data

Membership Application-address, products, volume, season, employees, sales

Market Records-vendor numbers, season, fees collected

Surveys Meetings

Farmers at Markets Higher profits, customer contact 10 years younger than the average farmer From within 50 miles, some 150+ Farm .2 to 150 acres Employ 2 full-time, 2 part-time Earn 40-50% farm income at market Sales $1000-$100,000+ per season Attend 1-2 markets a week tomatoes, sweet corn, fruits, flowers, greens most

important crops

Ithaca Farmers’ MarketVendor Impact (120) Vendor DemographicsAge: 34 between 26-40; 76 between 41-66Household Income: <$25,000–33; $25,000- $67,000 – 44; >$67,000 – 23

Business Profiles40% started business at market; 35% had no businesses prior to marketPrimary income – 32%; Secondary income – 52%55% in county; 40% city

Sales62% < $40,000 gross market sales; 22 with gross sales > $100,000

Use of IncomeOperating Costs – 93%; Wages – 33%Household Bills – 68%; Entertainment – 47%; Food/Clothing - $54%

Customer Data - How Guest Book Newsletter mailing list Raffle drawing Customer counts Car counts Intercept or Dot surveys (RMA) Focus groups Traffic flow studies FMNP redemption data

Customer Data - What Numbers per day/season Where they come from When they come, how often Why they come Who they are (demographics) How they heard about the market What they buy – from how many vendors Amount of money they spend

Customers at Markets Half are 50+, mostly female, white Educated, Earn $30,000+, from

Suburbs Live within 10 miles of market Spend $10-20 per visit Most are regular shoppers 80% shop on Saturdays

Customers at Markets

Shop from 6 or fewer vendors Drive farther, visit less often, buy more Value atmosphere, quality, variety,

producer contact Price is less important Preference for local fruits Hear about market via word of mouth

Iowa Customers 135,000 customers Attend 13 weeks of 21 week season Average distance to market – 8 Miles Average shopper spent $11-20/week 86% buy fruits and vegetables 42% buy baked goods 20% ready to eat foods 14% cut flowers2004 Study

Why People don’t Shop No markets around Do not know about markets Not convenient Take too much time Limited variety, selection

Community Benefits Jobs New farmer development Land in farms Business start-up - spin-off Community food needs Improved nutrition Youth development Nearby business impacts Tourism Community pride

Ithaca Farmers’ Market Total Sales: $1.3 M Vendor Sales: $12,000 avg/year

Range: <$5,000 to >$50,000IFM Sales Sole Source of Income for 3 vendors

Tourism – 33% customers Top 10 Ithaca Area Visitor Attraction Jobs: 155 jobs plus 125 owners

135 part-time/seasonal; 20 full-time

Business incubation – 48 sell at other outlets2002 Survey of IFM Vendors

Ithaca Farmers’ MarketCommunity Impact Local supplies – 75% county; 85% city Spend $58 before/after Market in City;

$40 in County 44 vendors created jobs

19 year round full time; 49 full time seasonal; 11 year round part time; 120 seasonal

Business investments under $5,000

2007 Survey

FMNP Facts

36 States, DC, Guam, Puerto Rico, 5 Tribes 2.3 Million Women & Children $25.2 Million $15 Million to 47 Senior Programs 2,345 Farmers

2003 data

Limiting Factors

Population density Demographics Location-Parking Site amenities No room to grow Market layout Season, day Lack of vision, goals

Few customers Community support Low sales Lack of sales skills Poor management Poor rules Inadequate funding Not enough promo

Ingredients for Success Impetus Commitment Community Location Permanency Type of Market Sponsor

Rules Product mix Healthy competition Atmosphere Responsive vendors Quality products Display/appearance

Importance of Measuring Market Performance Realizing a Market’s Mission/Vision Achieving a Market’s Potential Build Community Support Document Claims - benefits Justification of Public Benefit Funding Opportunities Supportive Policies

Farmers’ Markets are Good forEveryone!

Information helps tell the story and makes them better

Resources The Value of NY Farmers’ Markets to NY

Communities – Federation NY Farmers Markets

Project for Public Spaces, Economic Benefits Farmers’ Market Canada – National Farmers’

Market Impact Study, 2009 report Economics Institute, Loyola University Rapid Market Assessment Tool, Oregon

State Univ. USDA AMS, Farmers’ Market Survey