1 / 27

Noriko Kawaguchi, Jason Shultz, Tyler Whale

Noriko Kawaguchi, Jason Shultz, Tyler Whale. Agenda. Industry Overview General Information on Orchard Products and Services Marketing Marketing Strategy Pricing Strategy Promotion Marketing budget Financial Risk Analysis Recommendations Summary. Orchard. Founder: Established:

neviah
Télécharger la présentation

Noriko Kawaguchi, Jason Shultz, Tyler Whale

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Noriko Kawaguchi, Jason Shultz, Tyler Whale

  2. Agenda • Industry Overview • General Information on Orchard • Products and Services • Marketing • Marketing Strategy • Pricing Strategy • Promotion • Marketing budget • Financial • Risk Analysis • Recommendations • Summary

  3. Orchard • Founder: • Established: • Place: • Type of Fruit: Apple and Cherry • Type of Business: U-pick and Apple cider

  4. Industry Overview Apple Production World • Main Producer in the World---China, US, Turkey • Increasing Production Canada • Canada produces about 500 mt 2002 • 130 mt is imported in 2005 • Decreasing production for past several years • Main producers in Ontario and BC • Small amount of production in Saskatchewan • Average farm-3.3 acres • 0.5% of Canada’s fruit growing land

  5. Industry Overview Apple Consumption World • Stagnant or declining Canada • Apple consumption consists 20% of fruit consumption • Increase in consumption (fresh fruit/processed)

  6. Industry Overview Saskatchewan’s Apple Market • 130 mt imported into Canada • 500 million kg produced in Canada(2002) • Saskatchewan’s demand: 17.6 million kg/yr • Petrofka Bridge Orchard’s projected yields 0.6% 0.05%

  7. Products and Services Mission of Orchard • Provide customers with high quality, organically and locally grown fresh apples and apple cider • Provide opportunity to pick apples and enjoy the overall experience • Educate customers about apples

  8. Products and Services 1. Fresh apples • U-pick • Pre-picked 2.Apple cider • 2-liter jug • 4 liter jug 3. Other products

  9. Target Market Target Market • U-pick---residents in Saskatoon and surrounding area, tourists • Apple/Apple cider---Inside Saskatchewan Target niche • Mid- to high income household • Health conscious customer • Customer who supports locally grown product

  10. Market Analysis Competitors 1.U-pick • Apple orchard (1) • Berry/Fruit/vegetable farm(9) • The Berry Barn • Moonlake Saskatoon Berry Farm • Open market for apple orchard 2. Fresh apple Many international and national competitors

  11. Market Analysis 3.Apple cider • Santa Cruz: Organic, $2.7-3.2/l • Growers: $4.2/l • President’s Choice: $2.0/l • S Select: sparkling cider, $5.4/l • Homestyle beverage: hot cider (concentrated), $1.3/l • Small variety • Relatively low competition • Each product targets specific niche

  12. Distribution Channel • Farm gate • Farmer’s market • Local store (Bulk Cheese Warehouse) • Health shop (Steep Hill Foods) • Local restaurant Product sold directly

  13. Pricing strategy • Could charge premium for high quality organically and locally grown product • depending on product • Different price for different distribution channels • Penetration strategy for early stages

  14. Pricing Strategy

  15. Promotion Advertising method • Billboard----road side, within Saskatoon • Brochure---Independent, SFGA, Tourism Saskatchewan • TV/Newspaper--- special interest stories, free paper • Community newsletter ads • Website • Farmers market

  16. Marketing Budget Promotion cost

  17. Financial Assumptions

  18. Financial Expected sales

  19. Financial Expected revenue

  20. Risk Analysis Factors affecting the business • Price of fresh apples & cider • Quantity of fresh apples & cider • Quantity of sales • Wage • Inflation rate Price and Quantity has the largest effect !!

  21. Risk Analysis

  22. Risk Analysis Net Present Value and IRR

  23. Risk Analysis Breakeven Analysis for 100% Fresh Apple Sales $/kg

  24. Risk Analysis Breakeven Analysis for 100% Apple Cider Sales $/2 liter jug

  25. Financial Overview

  26. Recommendation & Implementation • Focus on marketing • Stress Organically and Locally grown • Maximize fresh apple sales • Expand orchard at 500 trees/year • Be conscious about consumer needs • Maintain quality and positive experience…AND…

  27. MAKE SURE YOU HAVE FUN !! Thank you! Any questions?

More Related