marketing pumpkins for profit - university of tennessee...
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Marketing Pumpkins for Profit
Megan L. Bruch
Marketing Specialist UT Pumpkin Field Day
WTREC
September 27, 2012
Preview
Supply and Demand Prices Promotion
Supply: Census Data on Pumpkin Production
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1997 2002 2007
2,357
3,742
2,385
260 332 266
Acres Harvested
Operations
2007 Pumpkin Production in Neighboring States
State Acres Harvested Operations
Alabama 707 62
Arkansas 285 42 Georgia 182 32 Kentucky 1,081 393 Mississippi 160 24 Missouri 1,430 240 North Carolina 1,826 296 Tennessee 266 2,385
Production Stats – U.S. 2009-2011 (for California, Illinois, Michigan, New York, Ohio, Pennsylvania)
2009 2010 2011
Acres Planted
47,700 50,200 51,300
Acres Harvested
44,100 48,500 47,300
Production (1,000 cwt)
9,313 10,748 10,713
Value ($1,000)
$102,730 $117,791 $113,178
USDA, NASS. Vegetables: 2011 Summary. January 2012.
2012 Production
East TN – Crop “looks good” – irrigated during very dry June
Middle TN “Looking good” – despite disease issue
West TN Non-irrigated pumpkins “not good” – “almost a no go” Insects hit some irrigated pumpkins hard – 50% loss Other irrigated fields looking good
Other areas Heat and drought
Implications
Some producers may be shipping to areas with large shortages making local supplies tighter
Big box retailers said to have “drawn the line on wholesale prices to maintain cheaper retail” Trying to stay about $3.99 retail
Many growers getting $85-90 for 40 count retail ready bin
Demand for Pumpkins
Pumpkins utilized for Fall and Halloween
Decorations/Activities Processed Foods (Pumpkin
Pie, Pumpkin Butter, Pumpkin Seeds, etc.)
Halloween Spending
Multi-billion dollar annual industry Survey shows average consumers plan to spend $75 per
person (~$300 per household) in 2011 Up from $66.28 in 2010
72% planned to decorate homes with 70% of those purchasing décor 73% will spend $50 or less – 27% will spend $50+ Average was $18.66 on decorations in 2010
Pricing
Consider Cost of production Competitor prices Product characteristics Willingness to pay
Be careful not to under price
New publication on pricing http://cpa.utk.edu/level2/educmaterials/
extpubs.htm
Pricing – Examples Prices According To Agritourism Operators (same as 2011)
Description Wholesale/Ea Retail
Cannonball (3-5 lb) Field Trip (5-7 lb)
$1 $2
Magician (8-12 lb) $2.50 $3
Magic Wand (12-15 lb)
$2.75 $3
Gladiator (20-30 lb) $3 $6
Aladdin $3 $5
Super Herc (30-40 lb) $4 $8
Prize Winner & Atlantic Giant
$10 $25
Pricing – Examples Prices According To Agritourism Operators
Description Wholesale/Bin Wholesale/Ea Retail
“Jack-size” such as Magic Lantern
$130 delivered $3-4 $5-6
Pie Pumpkins $300 delivered $1 $2
$3-4 Prize Winners $150 delivered $10 $15+
$25 $35
Assorted Gourds $150 delivered “Giant” Pumpkins $2.25 for 10-15lb
$10 for 30-50 lb
Pricing – Examples Prices According To Agritourism Operators
Description Wholesale Retail
Pick-your-own $0.30/lb
Large Jack-o-lanterns $7 each $8/each
Cinderella, Full Moon, Cushaw, Apple Gourd, Cotton Candy, Autumn Buckskin, Red Warty Thing, LaEstrella, Fairytale, Jarradale, Blue Harvest, Camo
$1.15 each
$2-5 each Based on size
$3-4 each
$3-6 each Based on size
$5-6 each
$5-$10 each Based on size
Pricing – Examples Prices According To Agritourism Operators
Description Wholesale/Ea Retail
Miniatures 5 for $1 3 for $1
Bumpkin & Baby Boo $0.25 ea $0.50 ea
Orangemon & Mixed Gourds $0.40 ea $0.75 ea
Gourds – Birdhouse, Swan, Caveman’s Club, Apply, Lunch Lady
$0.95 ea
Pricing – Examples Prices According To Agritourism Operators
Description Wholesale
Carving Pumpkins
Small $1.60 each
Medium $1.95 each
Large $2.59 each
Pumpkin Promotion – Get Social “
Fully 91% of online adults today, or 129million individuals, access social media in a typical month.”
Communicate/Inform Develop relationships Build reputation Engage Entice
Pumpkin Posts Show as you grow
(production timeline) Feature varieties and
characteristics Display ideas for
recipes and decorating Invite engagement
Guess the weight Name the character
Entice visits and purchases
Pinboard-style photo-sharing website
Create and manage theme-based image collections such
Used most by women ages 18-54
25% purchased a product or service after discovering if on Pinterest
Create your own “boards”
Post ideas to Facebook
Make some projects at the farm
Make a board of ideas on location with a list of all products
available at the farm
Create videos Find videos Post on website or
Planting/Growing Carving Painting Recipes Games Demolition Ads
Marketing Resources
AgMRC http://www.agmrc.org/
commodities__products/vegetables/pumpkins.cfm
Agritourism in Focus Publication http://cpa.utk.edu
Tennessee Farm Fresh www.tnfarmfresh.com Promotes farms that direct markets
products to consumers
Pick Tennessee Products www.picktnproducts.org Promotes Tennessee products
(wholesale & retail)
