Trainees will understand the basics of a marketing strategy suited to a small-scale diversified operation. Financial and strategic goals provide the basis for the marketing plan. A sample plan with pricing calculations is presented. Three types of strategies: direct, cooperative, and contract production, are outlined. Effective market communications are an important strategic objective; examples are presented.
Financial risk is minimized when the grower has diversified his/her operation and only then begins preparations for entry into the Asian medicinal herb market. Careful research and testing of herb crops added to the operation, including their acceptability to a market segment that can meet the grower's price, is needed prior to market entry.
Marketing risk is mitigated through creation of a marketing plan that reflects the grower's financial goals and strategic goals. Strategic goals determine selection of crops, assessment of capital needs and costs, and calculation of production costs. Accurate record keeping, adequate market research, and diversification of markets reduce risk. Cooperation with other growers helps stabilize prices. Correct pricing and good market communications ensure that the marketing plan implementation is effective.
After reviewing this module, refer to the Review Questionnaire to reinforce information presented under this topic.
Price list of some herbs for reference.
Marketing Plan Example
Example of a marketing plan for herbs.
Gaia HerbsGrower, buyer, and processor of organic herbs.