Bill and Walter Framehouse were brothers who operated a profitable family farm near Leamington, Ontario. Like many in the farming community in Canada, Bill and Walter had inherited their farm and learned all of their farming from their dad, Bill Sr., who had learned it from his own father. The Framehouses were longstanding members of the community and took pride in providing Ontarians with the highest-quality local produce. However, times on the farm were changing. While their father and grandfather had been able to rely on the quality and relative fragility of their tomatoes to provide them with a ready market, advancements in agricultural technology and science, distribution, and trade agreements had made their business increasingly challenging. As well, they had lost a large commercial customer with the closing of Heinz's ketchup-processing plant in Leamington in 2014.13 They worried about whether they would be able to pass down their traditional way of life to their own children, or whether the family farm would succumb to massive scale dominated by big corporations, pressure of prices due to cheaper foreign imports, and the fickle preferences of consumers. Bill and Walter had had some limited exposure to the traditional world of the market when operating stalls at local farmers' markets on summer weekends. The market gave them a chance to engage directly with consumers, pick up on what changing tastes and trends were driving the food business, deal with issues like price and value, and assess how to distinguish themselves from the competition. While many of their regular customers had bought from them for years, and in some cases whose families had bought from Bill Sr., they realized that direct sales to consumers based on their personal relationships would not be enough to expand their business. While the farmers' market had been a side business - an opportunity to do some direct cash business, take advantage of the local tourist trade, and manage any surplus inventory - their schooling had opened their eyes to the greater value of this direct weekly contact with consumers and other farmers. One thing that differentiated Bill and Walter from earlier generations was that, in addition to being highly experienced farmers, Bill and Walter had already embraced the value of new techniques, technology, and production methods. Both were graduates from the Ontario Agricultural College at the University of Guelph, near Hamilton. This award-winning program not only educated the brothers on the science of farming, best practices from around the world, and computer and technology advancements, it also exposed them to role of marketing in the agricultural world. As part of the program, students learned practical business principles designed to make sure that modern farms were not only productive but also profitable. BS As part of their curriculum, Bill and Walter had taken an introductory marketing course. They saw many of those fundamental principles at play in their farmers' market experience. Their course had introduced them to a variety of marketing tools that they could utilize in the development of their business -identifying and targeting specific consumer groups; developing unique, superior products that would allow them to charge a premium price and distinguish their product from those of other farmers; and establishing a brand whereby the reputation and characteristics associated with the name "Framehouse Farms" would distinguish their product from others in the category and help them to develop a loyal consumer following, similar to their farmers' market experience. X One of the big trends in agricultural product that Bill and Walter had noticed early on was consumers' growing awareness of, questions about, and concerns over how their food was produced. Popular media reports about the use of pesticides, genetically modified organisms (GMOS), and sustainability had made even their most loyal customers into more involved consumers. Bill and Walter begun to wonder if there was an opportunity to capitalize on this growing trend as a way forward for the future success of their business. For the first time in three generations, Framehouse Farms was faced with the challenge of having to take a conscious, proactive approach to marketing their output, rather than relying on existing consumer demand for agricultural products. Could transitioning their traditional operation to one that employed principles of organic production, sustainability, and branding be the way forward? Bill and Walter were aware that while the potential rewards were high, so were the risks. Not only would this be the most significant change to their operation in three generations, it would demand the application of skills and tools that they had not traditionally used. Bill and Walter's experience and training had made them knowledgeable and comfortable with the technical aspects of moving to organics and sustainability - they kept up to date with modern best practices for fertilization, soil and water management, and the like- but the marketing part of it was new. In their introductory marketing course, they had been exposed to the tools of marketing planning- using the tools of marketing to put together a road map to achieve their marketing goals. Now it was time for them to implement what made them knowledgeable and comtortable with the technical aspects of moving to organics and sustainability- they kept up to date with modern best practices for fertilization, soil and water management, and the like- but the marketing part of it was new. In their introductory marketing course, they had been exposed to the tools of marketing planning - using the tools of marketing to put together a road map to achieve their marketing goals. Now it was time for them to implement what they had learned and begin the development of their first marketing plan.

Reflecting on the role that marketing plays in society, do you think that Bill and Walter’s idea to focus on the organic food market is a good alternative?

Write a short report explaining what you think about their strategy, taking into consideration what you know and believe about changing consumer interests and fads, the potential number of consumers for organic products, and the Framehouses' ability to compete with other farms.

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Bill and Walters idea to focus on the organic food market is a good alternative to business With the ... View the full answer