The Data Proves It: Local Farms are Surging Online
The 2020 coronavirus pandemic has wreaked havoc on many businesses across America. It has been rough for most businesses, for example many restaurants have shuttered, and the travel and hospitality industries have come to a standstill. Unemployment is hitting unprecedented numbers.
While a lot of the information is depressing, there are some encouraging trends. One of the bright spots in the current economy is the resurgence of local food and local Farmers.
Every American eats. And, while some sectors of America’s food supply have been disrupted (evidence of the inherent weakness of global supply chains when it comes to commercial food production), many local Farmers are benefitting from a massive surge in online demand.
As the largest vertical software provider servicing Farmers in America, we have the benefit of analyzing the trends across all 50 states, tens of thousands of orders and millions of page views. With Barn2Door, Farmers across every state are offering online ordering, directly from their Farm.
February 2020: Pre-Pandemic
In the twelve months prior to the pandemic, we witnessed dramatic growth in online Food orders from the local Farmers we serve: a 194% increase in order volume from Feb 2019 thru Feb 2020 (on a weighted average basis). The transition to online Food ordering was happening before the pandemic; in 2019, Walmart invested $20B to facilitate online Food ordering.
At Barn2Door, we have been educating Farmers on buyer expectations of convenience, easy online ordering, and door-to-door delivery. The industry is transitioning. And, we are working to build the tools Farmers will need to be successful online.
Read our ebook: 2020 Buyer Trends Every Farmer Should Know (published pre-pandemic).
March 2020: The Pandemic Hits
Fast forward just one month. The measures to curb the pandemic (restaurant closures and social distancing) has catapulted local Farmers to the forefront as the preferred suppliers for clean Food online. With no concern about traceability or safe food handling - buyers are rushing to purchase from Farmers directly. In March 2020 alone, we witnessed a 457% increase in order volume ($), and an 807% increase in orders (#) across all the Farms we serve. Many sold out in days and have no additional product to sell (otherwise the numbers would have been even higher).
This is great news for local Farmers and Buyers alike. In lieu of purchasing products from big-box grocers, Buyers are going local. What’s fantastic is seeing local Farmers expanding “grab-and-go” and door-to-door delivery options, plus subscription bundles to serve their communities. In response to the pandemic, local Farmers are winning which is a good thing for local economies, the environment, people’s health and our food system.
With so many Farms rushing online (served by Barn2Door), we’re pleased to see improved access to local Food, increased sales for local Farmers, and new relationships forming (which we expect to continue long after the pandemic subsides). Much like local microbreweries have unseated large beverage conglomerates, we expect the convenient Buyer experience of ordering direct online from local Farmers will be the new normal, with a lasting impact on the growing footprint of local food. Thank you to all the local Farmers who are working tirelessly to feed America.