10/1/2019
1
John Peck
Mt. Salem Farm
Brenda Reau
Reau Suffolks
Diane Russell
Russell Sheep Company
Direct Marketing of
Lamb to the Consumer
Brenda Reau
•
Tonight’s moderator
•
Raised Suffolk sheep – 38 years
•
Performance based flock
specializing in seedstock and
commercial rams
•
Direct market whole freezer lambs
•
Retired Michigan State University
- Associate Director, Livestock
Product Development Educator
•
USSA board member
•
Facebook.com/ReauSuffolks/
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Diane Russell
•
Raised Suffolk sheep – 50+ years
•
Direct marketed lamb - 11 Years
•
165 ewe flock – breeding stock,
show stock, direct market lamb
•
Partnership with husband Paul and
son Jeremy
•
Full time grain farmers -Muncie,
Indiana
•
Former USSA President
•
www.russellsheepcompany.com
•
Facebook.com/russellsheepcompany
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10/1/2019
2
John Peck
•
Raised Suffolk sheep - 25 years
•
Direct marketing lamb – 5 years
•
Raise 50 lambs from breeding stock
•
Purchase additional 25 feeder
lambs
•
Pittstown, New Jersey – one hour
west of Manhattan
•
https://www.facebook.com/Mt-
Salem-Farm-219962588023725/
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Selling legally
•
Learn the regulations for slaughter, processing, and
marketing your product
•
https://www.fsis.usda.gov/wps/wcm/connect/e6658a9c
-915f-4283-beaf-a827b35e906a/Fed-Food-Inspect-
Requirements.pdf?MOD=AJPERES
5
Understanding
processing and
inspection
•
Federal and state
inspection
•
Does your state have state
inspection?
•
https://www.fsis.usda.gov/
wps/portal/fsis/topics/insp
ection/state-inspection-
programs/state-
inspection-and-
cooperative-
agreements/states-
operating-their-own-mpi-
programs
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3
Federal inspection
•
Requires plant to have a Grant of Inspection
•
Inspectors are present during all slaughter and a
portion of the time for processing
•
Inspectors inspect facilities, equipment, and meat
products
•
This type of inspection is required for selling cuts
of lamb unless you live in a state that has a state
inspection program
7
State Inspection
•
State inspection program is required
to enforce requirements at least
equal to the federal requirements
•
Meat can be sold within the state but
not across state lines
•
27 states have a state inspection
program
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Custom exemption
•
Slaughter is done for the owner of the animal
•
It cannot be sold to others
•
Facility still must comply with regulations and is
inspected periodically
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Custom exempt
plant
•
May only be used if you are selling “on
the hoof”
•
Farmer sells to the customer live.
Price can be calculated per pound or a
set fee per animal
•
Farmer may deliver the lamb to the
slaughter plant
•
Customer makes arrangements and
pays for processing
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Evaluating a
processor
•
Where is the processor located –
consider travel time and gas expense
•
What type of packaging do they
offer?
•
Can they do value-added products,
specialty grinds?
•
Can they do a custom label?
•
How do they set up the schedule?
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Storing and selling
lamb legally
•
Check with State Department of Agriculture or
local health department to see what you need.
Regulator varies by state.
•
Some require a license/permit to offer meat for
sale
•
Some require a license/permit for you to store
your meat
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Labeling
•
Product name
•
Handling statement – Keep Frozen, Keep Refrigerated,
Perishable
•
USDA mark of inspection/establishment number
•
Net weight (unless weighed on scale in front of consumer)
•
Name, address
•
Safe handling instructions
•
Nutritional labeling – posted at point of sale if not on
package
•
Ingredient statement if more than one ingredient
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Helpful guide on
labeling
https://extension.tennessee.edu/publications/Documents/
PB1861.pdf
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Working with a processor
Schedule early
Bring the number of
lambs for your
reservation
Be clear in your
cutting and wrapping
instructions
Pay promptly
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How will direct
marketing affect
your operation?
•
Genetics
•
Management
•
Feeding
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Meeting
demand for
product
•
Can you produce enough
lambs to meet the demand of
a year round business?
•
Winter born lambs are ready
to harvest summer/fall
•
How many do you need to
harvest and store for the year
ahead?
•
Can you purchase lambs from
other producers to meet your
needs?
•
Will they be the same carcass
quality as your breeding?
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Producing a premium
product
•
Market lambs at ideal age/weight for excellent
carcass quality
•
Leanness
•
Most customers prefer vacuum packed in clear
wrap
•
Label accurately
•
Keep it frozen
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Selling all parts of
the carcass is
necessary to be
profitable
•
Legs and chops sell easily
•
Other cuts need creative
marketing or fabrication into
specialty products
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Specialty
products
•
Offering specialty products
beyond traditional cuts
adds more value to the
carcass and more variety
for your customers
•
Sausages, smoked cuts,
gyro meat, snack sticks
•
Pet products – dog bones,
liver chews
20
Exploring market
options
•
Farmers’ markets
•
Restaurants
•
Local meat market or grocery store
•
Distributor
•
On-farm store
•
Direct to consumer from home
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8
Farmers’
Markets
•
Great exposure to customers to build
your brand
•
Is labor intensive with travel, set-up,
and sales time
•
Can be indoor or outdoor market
•
Invest in a quality, easy-to-put-up
tent
•
Being a regular vendor is important
•
How will you accept payment –
checks, credit/debit cards
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Restaurants
•
Require top quality
•
Consistency in chop/rack size is
important
•
Stable supply is important
•
Develop a relationship with the
chef or owner
•
Be prepared for a lot of staff
turnover
•
Often don’t plan very far ahead
for ordering
•
Stick to privately owned
restaurants rather than chains
•
Encourage them to identify the
source farm on their menu
23
Transporting
your product
•
Refrigerated van or
truck
•
Freezers on trailer
with generator
•
Coolers
Use high quality
coolers
Keep coolers closed
Handle carefully and
sanitize after each
use
Always have a
thermometer
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Marketing tools
•
Attractive signage
•
Logo
•
Business cards
•
Brochure that tells the farm/product
story
•
Recipes
•
Sample tasting
•
Website
•
Social media
•
American Lamb Board – free
materials
https://lambresourcecenter.com/pro
motional-tools/markets-fairs-
festivals/
•
ALB Shopping and cooler bags
https://lambresourcecenter.com/pro
motional-tools/swag/
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Complimentary
products
•
Offer complimentary products of interest
to customers
•
Diversifying your product line means there
is more for the customer to buy
•
Seasoning mixes
•
Rubs
•
Marinades or sauces
•
Be sure to follow regulations if you are
making the products
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https://www.americanlamb.com
/ product/lamb-spice-blend/
Pricing your
product
•
Know your costs! This requires careful
record keeping to include all costs.
•
Don’t try to compete on price. You have a
locally grown product which adds value in
the mind of consumers.
•
Selling wholesale to restaurants or
retailers will require a lower price but
should also result in a labor savings.
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https://lambresourcecenter.com/marketing-resources/cost-calculator/
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Finance and record
keeping
•
Keep excellent records of inventory, income, and
expenses
•
What does it cost to produce the product?
•
Processing costs really add up
•
Transportation costs can add a lot to the total cost of the
product
•
Vendor space, marketing materials are a cost
•
Evaluate what sells and what doesn’t – can you take the
cuts that don’t sell well and make them into something
else more marketable?
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Insurance
LIABILITY INSURANCE IS
ESSENTIAL
CHECK WITH SEVERAL
COMPANIES FOR QUOTES
MANY RETAILERS REQUIRE
LIABILITY INSURANCE
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Communicating with
customers
•
Educate customers about your product
•
Promote your product in a positive way
without tearing down others
•
Be prepared for all kinds of questions
•
Be prepared to deal with animal rights
activists
•
Listen and learn from your customers what
they want
31
Do you have enough time?
•
Be realistic in how much time you
have to commit to the business
•
Delivery of the lamb to the
processor
•
Meat pick-up and handling
•
Market set-up and selling
•
Making deliveries
•
Communications with processor
and customers
•
Record keeping
•
Marketing and social media
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Questions ???
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10/1/2019
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Photo credits
Thank you to all who
provided photos for this
presentation!
American Lamb Board
Diamond K Sheep
Company
Kitzan Family Farms
Mapleton Mynd
Shropshires
Mt. Salem Farm
Reau Suffolks
Russell Sheep Company
Shamrock Meats
University of California -
Davis
USDA
34
Thank you for
participating!
Brenda Reau
John Peck
Diane Russell
•
Presentation and handouts will be linked on the
USSA website to view or download and print:
•
https://suffolks.org/wp/suffolk-u-webinar-series/
