Over the past several years I have been working with livestock producers in developing a “Story Market” or branding program to add value to their farm business. Story marketing works backward from consumer to conception instead of the traditional methods we are used to in production agriculture. What we try to identify are the characteristics in a product or service that the customer will pay a premium for, versus the norm of what the competition has to offer.
As commodity producers in agriculture, our history is such that we are price takers and not price makers. Why? Well, by definition commodity goods equal their cost of production. So if corn historically is $3.00 a bushel, that is what it takes on average to produce a bushel. So the least-cost producer typically reaps the profit. As eastern corn belt producers, it is difficult for us to achieve the economics of scale in production agriculture whether it be in crops or animal production. We are limited by geography and by human population.
So how do we get a bigger piece of the pie? Let’s look at the market place and work backwards. What is our potential customer willing to pay for in a product that they cannot get now? Can you produce that product? And can you produce it at a sustainable profit?
What’s your story? Crafting a marketing story is not as easy as it sounds, and you may need to let go of some outdated thinking in order to bring your story to life. Doing your homework ahead of time is the key. Obtaining a professionally conducted survey that explores the characteristics of your market will be your initial focus. Let the market you wish to serve create your story.
Do you know who you really are? A farm business that knows who they are and what they can do can go on to deliver their message, knowing well that some people are just not going to buy into what the business has to say. But those that do get it, really get it and are the potential customer.
How will your product or service change your customer? All stories or marketing messages have to do with change. A health-based product provides change from poor health to good health. A cosmetic company provides change from plain to beautiful, from self doubt to self confidence. The customer wants a change. People who are satisfied with the way things exist are not motivated to be customers. A story market targets people who are motivated; people who want to better themselves to be stronger, healthier, prettier, smarter and richer. If your potential customer isn’t motivated to change, and if your product or service cannot deliver change, then you’re wasting your time and money.
Is your message different? You must stand out. Your product or service must provide something different. Your message to the customer is that you are a leader and not a follower. Most likely your competition has focused on specific characteristics and features of the product and ignored the emotional marketing value that greatly influences why people choose one product over another.
Can you tell your story? You must have more than a story to tell or a message to deliver. You must know how to tell it. Your story needs to create a unique identity in the mind of your clientele. Try to position your product or service as a lifestyle choice.
Who is your customer? After conducting your market research, you should have a pretty good idea of who your customer is. Discover what motivates them and design your sales approach to trigger what stimulates them. Your approach must have direction. It must be focused and it must deliver a clear identity of your purpose.
Can you handle criticism? People engaged in production agriculture trend towards traditionalism. Can you take pressure from your peers who subscribe to “It can’t work” thinking? Too often we lose good ideas because we worry too much about what other people think. Are you willing to roll up your sleeves and separate yourself from the crowd?
Now that you have read the previous lines regarding “Story Marketing”, do you have an idea you’d like to pursue? If yes, give me a call and we can visit about your idea and your approach. I can be reached at the ABE Center, at 419-354-6916.