Tactics that 3 Farms Implemented to Grow $100K+ in 1 Year
There are many nuances to growing and managing a Farm business. Even more so, when a Farm takes the risk of building a new line of business (direct-to-market), with the ambition of building a viable business for the long-term.
At Barn2Door, we know learning what works best to build a sustainable business operation can take time. Many Farmers across the country are creating innovative ways to scale their business, delight buyers, and save time. We have dedicated an entire webinar series to showcase innovative Farmers and their tactics! (Check out Farm Innovator Series in partnership with ACRES USA here!).
In this blog, we’re highlighting the tactics that 3 Farms implemented that have contributed to their success and skyrocketing sales of $100K+ in 1 year!
Protein Farmer Who Transitioned From Auction Sales to Direct-to-Consumer
This Protein Farm originally focused on selling in bulk (at auction). While they had consistent revenue, they knew they could increase their margins and expand their customer base by simplifying their packaging and pricing to appeal to the direct-to-consumer market. Did you know that 95% of Americans don’t own a chest freezer (and can’t store bulk meats)?
The Farmer set up a store offering a variety bundle box formats and specialty cuts– catering to a wider range of buyers’ needs and different size households. Paired with Subscriptions, every bundle box sale increased recurring cash flow while also enabling the Farm to move entire animals and align processing dates with deliveries and pick-ups.
Additionally, to cater to buyers seeking to purchase a quarter, half, or whole animal, this Farmer moved to a standard cut sheet, which spurred higher conversions, increased sales, and attracted new buyers to their Farm! Standardized cut sheets eliminated the lengthy explanations, buyer confusion, and saved time by eliminating any uncertainty in the purchase experience.
Watch: Farm Innovator Series: Tom’s Tactics to Doubling Sales
Listen: Farm Legal Series #3: Selling Bulk Meat? The Legal Side of Livestock Sales
Produce Farmer Who Expanded Retail to Wholesale Sales Online
This Produce Farm started initially with retail sales direct-to-consumer, but after gaining momentum, quickly expanded to wholesale buyers. Catering to the nuances of both audiences with different fulfillment and pricing options contributed to their success.
In a convenience-first world, this Farm saw an opportunity to offer online Pre-Orders and Subscriptions as an attractive option for consumer and wholesale buyers alike. Pre-Orders allow buyers to secure their products months in advance while giving the Produce Farmer the ability to plan ahead of harvest, knowing which items will be moved before the season begins.
Additionally, Subscriptions allow buyers to secure access to Farm products regularly. As Americans have an average of 9 paid subscriptions to products they use regularly, Farms have seen great success with the Subscription model, securing up to 80% of recurring monthly revenue. These services make it simple and convenient for both consumer and wholesale buyers as their routine purchases look consistent 90% of the time!
To expand their reach and attract more buyers, the Farm doubled down on building their email contact list. Engaging potential buyers and loyal customers through email have proven to increase Farm orders by up to 30%. With weekly Newsletters tailored to different audiences, this Farm stays top of mind and drives consistent orders each time an email is sent. By building relationships with customers and keeping them updated about the Farm, available products, and delivery/pickup schedules, the Farm has seen their loyal customer base and revenue expand.
Watch: Farm Innovator Series: Scale Your Farm Business with Delivery & Subscriptions
Listen: A Booming Berry Business - Angelica of Hayton Farms Berries
Dairy Farmer Who Created a One-Stop-Shop
Pivoting from the wholesale market, this Dairy Farmer capitalized on its unique position in the market to offer fresh local products to their community and created a one-stop-shop for buyers online. Building on their brand recognition, they increased their profit margins and expanded their product line from milk, yogurt, cream, and butter, to include eggs, chicken, and protein options. Realizing the potential to scale even further as direct-to-consumer demand increased, they partnered with local producers to offer a complete grocery experience from their Farm. As 90% of Americans prefer to purchase from local businesses, sales skyrocketed, and the Farm business has become a local success.
Another secret to their success? Direct delivery to the doorstep. As American consumers have come to expect the convenience of delivery, this Farm decided to try it out. Streamlining their operations, starting small, and charging a delivery fee, this Dairy Farm now delivers 6+ days a week and has scaled to more than 1000+ deliveries a month. Leveraging the Barn2Door + Routific integration made it easy for this Farm to save time planning routes and reducing fuel costs by 35%. The convenience of products appearing on customers’ doorsteps, the wide range of items available for purchase, and the ability to grow a strong local brand with neighborhood deliveries has contributed to this Farm’s growing success.
Barn2Door provides an all-in-one solution for Farmers to grow and manage their business. If you’re curious to learn why successful Farms run on Barn2Door, watch this 5-minute video.