Thomas Ligor of New York works as a sales and marketing specialist for the Chelsea Market. Mr. Ligor has experience as an entrepreneur, who successfully grew and sold several businesses throughout his career. Now, with his expertise in local farmer’s market transactions, he discusses why these markets are beneficial for local small-scale farmers, as well as the local economies where they are established.
Selling at a farmer’s market can be a profitable venture – if the vendor is smart about how they manage their booth. Surrounded by competition, vendors and sellers are looking for new ideas to earn money for their products at the market.
Thomas Ligor of New York says that some profitable ideas for farmer’s markets include selecting a prime sales location, branded signage, and free samples. This type of involvement will draw in more customers while solidifying a brand’s presence in the minds of customers. Free samples will encourage guests shop with their senses.
Below, Thomas Ligor discusses ways to maximize profits at the farmer’s market, and why these markets are worth it attending.
Profitable Ideas
Thomas Ligor of New York says that farmer’s markets attract shoppers with an interest in locally grown produce, meats, and dairy products. Because of this, new market locations are being established to attract local buyers in a wider area.
The USDA’s Agricultural Marketing Service estimates that from 1994 to 2019, the number of farmer’s markets in the US grew by roughly 7% per year.
With farmer’s markets in high demand, sellers fear they’ll be entering a saturated market. The major concern is that opening a booth will not be worth the cost of reserving it explains Thomas Ligor.
Employing a few of these suggestions will help sellers turn a profit as they set up their booths, despite the heavy competition.
Farmer’s Market Booth Location
Thomas Ligor says that when reserving a spot for a seasonal market, there can often be a clamor for the best locations. Ones that are highly seen, accessible and surrounded by foot traffic on several sides are the most desirable. This is because the location of a sales booth can be vital to maximizing sales, especially as a new vendor to the market.
When booking a spot to sell this season’s produce, researching the space ahead of time will play a pivotal role in sales explains Thomas Ligor.
- Locate where customers will be entering the market. Depending on the space, customers are usually more willing to browse stalls that they see at the very beginning of their trip.
- Sell in the right area. Certain markets have divided their spaces into ‘aisles’ to help guests shop for specific products.
Doing a walkthrough of the market area before setting up shop will lend a considerable leg up in finding the best location to sell.
A properly sized booth can also have a surprising impact on farmer’s market profitability. When customers cannot inspect products up close around a crowded sea of people, they’ll be more likely to turn around and shop elsewhere.
Utilize Branded Signage
Producers with logos and branding are more likely to solidify their presence in the minds of shoppers than ones without. Branding, signage, and logos can be applied to any number of a seller’s presence at a farmer’s market.
Tent branding will be an eye-catching target for customers, even from a distance or through crowds. If a budget does not allow for an entire branded tent, banners or awnings achieve a similar effect.
Thomas Ligor says that the key to profit and success at a farmer’s market is becoming a go-to for returning customers. Identifiable branding will allow satisfied shoppers to find certain stalls and booths on future visits.
Be Enthusiastic
Enthusiastic, vibrant vendors are universally more appealing to buyers. Greeting the customer with staff that is disinterested in the product or business they are representing will not generate a sense of brand loyalty.
Making conversation with shoppers who are seem interested will satisfy the consumers who shop at these markets for social interaction. Satisfied, engaged customers will not only return, but generate word-of-mouth advertising.
Getting to know the customer is an excellent, profitable idea for every farmer’s market salesperson. Asking open-ended questions will help to secure purchases. It will also help staff to direct consumers toward the right product for their needs.
Give Out Samples
Thomas Ligor of New York says that when shopping for consumables, there’s no better sales tactic than handing out a sample. A single, free taste of one product over another can make or break a sale. The customer knows best and will readily purchase something they know they enjoy.
If a booth has nothing that is available for sampling, using branded packaging will solidify brand awareness for customers. Business cards act as reminders for returning shoppers, facilitating boosted sales.
Sales
The USDA reports that 8% of agricultural producers (or, roughly 163,000 farms) participate in local markets. It goes on to detail that that 8% is more likely to be financially stable than those that do not, regardless of scale.
The reasoning for this is clear. When farmers sell their produce to larger food outlets (such as grocery stores), they’ll likely only see 15 cents on the dollar for those products. Aside from transportation and booking costs, sellers keep 100% of their profits.
Farmer’s markets are worth the effort, especially for smaller growers. The ability to make a consistent profit can have a massive financial difference, especially when vendors are proactive with their sales tactics.
Conclusion
The most important thing to remember for turning a profit at the farmer’s market is creating a lasting impression. With so many other stalls and vendors to see, customers will return to the brands they recognize and have a positive association with.
