Characteristics and Needs of Direct Marketing Consumers in New

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FS914
Fact sheet
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Characteristics and Needs of Direct
Marketing Consumers in New Jersey
Ramu Govindasamy, Ph.D., Extension Specialist in Marketing
Direct Marketing Operations in
New Jersey
New Jersey farmer-to-consumer direct markets
have increasingly become recognized as an important
source of fresh produce and related products. Changing consumer demographics in the state will also likely
lead to increased demand for farm-based recreational
experiences and for fresh and farm-processed products.
The recent increase in direct marketing activity in New
Jersey has motivated the undertaking of this study.
This fact sheet provides an overview of the various
characteristics and needs of farmer-to-consumer direct
market consumers in New Jersey from a mail survey
conducted in 1994. The characteristics explored are:
• the type of facility used
• consumption of variety of fresh fruits and
vegetables in the household
• the number of visits to direct marketing facility
• the amount spent at direct marketing facilities
• expectations of quality, variety, and price compared to supermarkets
• where and when consumers purchased or obtained fruits and vegetables
• uses of produce from direct farm markets
• consumer intentions to visit New Jersey direct
markets
• methods of recognition
• rating of characteristics about direct markets
• the most frequently purchased commodities
• demographics of consumers
Survey Design and Procedure
A survey of New Jersey direct marketing consumers was conducted in October 1994 to collect information on characteristics. The questionnaires were mailed
to 500 consumers of direct marketing facilities, identified by Rutgers Cooperative Extension. The number
of returned usable questionnaires was 179.
Survey Results
The survey indicates that more than 60 percent of
respondents visited one of the four types of direct
marketing facilities in 1994 with roadside stands being
visited most often. Similarly, more than three-quarters
of respondents had visited direct marketing facilities in
the past five years. Approximately three-quarters of
the responding consumers noted an increase in consumption of fruits and vegetables in the past year with
less than three percent noting a decrease in consumption of fruits and vegetables. Additionally, the majority of the responding consumers noted an increase in the
variety of fruits and vegetables consumed.
The average consumer visited a roadside stand
2.16 times per month, direct farm market 1.85 times,
farmer’s markets 1.68 times, and pick-your-own facility 1.46 times per month. The average amount spent
per visit was $11.01 at roadside stands, $13.93 at direct
farm markets, $15.48 at farmer’s markets, and $18.81
at pick-your-own facilities. According to the expectations of the respondents, 92 percent expected better
quality at New Jersey direct marketing facilities compared to supermarkets. Half of the New Jersey consumers expected more variety, while 35 percent expected
less variety at direct marketing facilities than at supermarkets. This finding illustrates the need to educate
consumers regarding the variety of produce available
through marketing programs such as Jersey Fresh.
Increased consumer education may serve to increase
patronage of direct marketing establishments. Almost
three-quarters (74%) expected lower prices at direct
marketing facilities than at supermarkets.
Almost all of the produce purchased from direct
markets was used for fresh consumption. The balance
was canned or frozen indicating a shift away from bulk
purchasing. Approximately 65–75 percent of respondents intend to visit direct marketing facilities in 1995.
Overall, the respondents rated the various characteristics of direct marketing facilities as “good.” Variety of
products, convenience of location, and prices received
the lowest average ratings of between “fair” and
“good,” while quality of products and employee attitude received an average rating of “good” to “very
good.”
The average New Jersey consumer who decides
when and where to go for direct markets is likely to be
a female Caucasian in the 36–50-year-old age bracket,
with at least some college education. They tend to live
in a one- or two-adult household with one or two
children and have an annual household income of
$50,000 or more. Approximately half of the respondents have their own fruit and/or vegetable garden that
ranges between 25–200 square feet.
These results identify several areas in which direct
marketers can potentially improve both the profitability of their operations and the quality of service to their
customers. For instance, the number of visits made by
the consumers to a direct market facility can be
improved by strategically locating the operation. Provision of a wider variety of fruits and vegetables may
not only increase the demand on the consumer side but
also increase the profitability of the operation. The
quality of the produce provided by the direct marketing operations plays an important role in attracting
customers. The number of visits to direct markets can
also be improved by the provision of the most commonly demanded fruits and vegetables, such as apples,
peaches, strawberries, tomatoes, peppers, and sweet
corn. For a detailed report on the characteristics of
farmer-to-consumer direct marketing customers in
New Jersey, please contact Ramu Govindasamy at
(732) 932-9171 ext. 25.
The author wishes to thank Rick VanVranken for
reviewing this fact sheet.
Figure 1: Average Number of Visits
Per Month by the Consumer
Based on 129, 137, 128, and 124 respondants, respectively.
Figure 2: Average Dollar Spent on
Each Visit by the Consumer
Based on 121, 136, 111, and 115 respondants, respectively.
Figure 3: Percent of Respondents
Who Intend to Visit Direct Markets
Based on 179 respondants.
© 2004 by Rutgers Cooperative Research & Extension, NJAES, Rutgers, The State University of New Jersey.
Desktop publishing by Rutgers-Cook College Resource Center
Published: June 1998
RUTGERS COOPERATIVE RESEARCH & EXTENSION
N.J. AGRICULTURAL EXPERIMENT STATION
RUTGERS, THE STATE UNIVERSITY OF NEW JERSEY
NEW BRUNSWICK
Distributed in cooperation with U.S. Department of Agriculture in furtherance of the Acts of Congress on May 8 and June 30, 1914. Rutgers Cooperative Extension works in
agriculture, family and community health sciences, and 4-H youth development. Dr. Karyn Malinowski, Director of Extension. Rutgers Cooperative Research & Extension provides
information and educational services to all people without regard to race, color, national origin, gender, religion, age, disability, political beliefs, sexual orientation, or marital or family
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