Co-operatives have a lot of potential for modern farmers wanting to build relationships with consumers and attract premium prices. This will be the message from a seminar on 3 May in South Perth run by the Department of Agriculture and Food and Fruit West.
Department senior economist Brad Plunkett said three co-operatives with successful brands would be showcased at the free event. Although the cooperatives have different approaches, some underlying principles are constant. “Unless your fruit, vegetables, meat or other products can show a clear point of difference from competitors in the market you cannot claim a premium price,” Dr Plunkett said. “Demonstrating that point of difference, its value to your consumers, and investing in systems to support and protect that difference, are keys to holding a price premium.” Routes to Retail Success will feature three co-operatives which have done just that – Sweeter Banana from Carnarvon, Lenswood Apples from the Adelaide Hills, and Batlow Apples from the Snowy Mountains region of NSW. Fruit West executive manager Gavin Foord said the three presenters were excellent ambassadors for their co-operative businesses. Dr Plunkett said unless they are very large, single producers find it difficult to provide investment in business systems to supply sufficient consistent volumes of high quality produce to establish a brand premium and keep it out there. |
“But a well organised group can do so if it can show that valuable point of difference through quality, reliability or other factors,” he said.
“No-one is saying it is easy, but it can be done if producers in a local area combine their strengths.”
Dr Plunkett said the co-operatives to be featured had built their brands around supply of consistent quality, segmented offerings to different customers and appeal to local loyalties. He challenged other groups of WA producers to find and exploit similar opportunities.
Routes to Retail Success is at the Department of Agriculture and Food Theatrette in South Perth on Thursday 3 May from 10.30am to 3.30pm. Contact Nardia Shaw at Fruit West to reserve a place on 9368 3869 or email nardia@fruitwest.org.au