This information is based on that to be found in my book, "How to Start on a Shoestring and Make a Profit with Hydroponics." To find out how to get your own copy, CLICK HERE.

DON'T BE AN AMATEUR!

You have to decide what business you are in. Then you have to determine what niche you wish to occupy. It won't do to say you're in the vegetable or plant business. You have to find out what markets exist or you can cause to exist. Then you have to specialize not only in particular plants but also in particular markets.

Failure to Plan = Total Failure! Here are some major points to consider before beginning in hydroponics: Have you analyzed your motives? Why do you want to go into hydroponics? If you don't like marketing you had better forget hydroponics as well as most other businesses. Have you done your research? Do you know what individual markets you are trying to reach?

No market is completely captured right away. Do you know how you're going to go about it? Have you written it down for future study? Have you researched to the point you know what individual crops you are going to grow? Do you know how to grow these crops? Are you (or do you have the ability to become) a good grower? When your operation becomes larger, your workers are not going to tell you what's wrong. You'll have to be consistent, watchful and aware.

Suppose you become successful? If you're selling something which is going very well, it won't take long before the competition finds out. What have you got up your sleeve when that happens? You will need to know what makes you successful and what you intend to do to stay successful.

Hydroponics will not fail you - if you do not fail hydroponics! To be successful means you are always thinking ahead - looking for new crops, new markets, new ideas. Your attitude is always that of the full-time professional. You're always fully prepared; you know the answers before you start.

How much of your budget should you allocate to marketing/advertising? At least 20%! And what types of advertising will you use? There are all kinds. One of the best is to offer free samples - wherever you find the customer. For example offer free slices of a hydroponic tomato. Ask the prospective customer if it isn't the best tomato he's ever tasted. Then tell him how it's grown. Give away samples of foliage or a new flowering plant you're "thinking about" growing. Ask the customer what she or he thinks of it.

Decide exactly what type of market you wish to penetrate. Will it be wholesale or retail or both? Whatever the approach, let the individual you are calling on see you often and on a regular basis. Let him become accustomed to you, even perhaps looking forward to your visits. This will be especially true if you can help him with some of his problems. One of his problems is having desirable plants and vegetables delivered to him on a regular and profitable basis. Know the managers and owners of the wholesale/retail outlets you are contacting. Know them as human beings and treat them as such. You don't have to be "selling" them every time you see them. But you can be educating them to new products you have or ask them what they think of a new product you have in mind. THIS IS LOW-COST MARKETING AT ITS BEST!

Don't go overboard. Don't promise the moon. First determine minimum figures for production. Not what you hope for but what the minimum would be if you took adverse conditions into mind. If you can have reliable production and delivery based on these minimum figures, then as time goes by the figures will become more reliable. And your reputation will stand on promises made which you have kept. Again, premium prices only come after a product has been adequately promoted and advertised. After your name is well-known for the finest in quality, you'll have no trouble with competition undercutting your price. Just keep on stressing hydroponics's best features: locally grown, vine ripened, delivered fresh, right off the vine, picked ripe. There should be no restrictions on this type of product advertising, but check with state and local authorities anyway.

Formula for Success: Quality Plus Consistency Plus Promises Made and Kept. If you follow these dictates, things will only get better for you. Be creative; good things will happen. For example, like one supplier to a fast food franchiser in Maine who discovered that many of these places of business had never been approached by a grower. The grower in this case said that nine out of ten businesses he approached had never been asked before. Now this grower sells these same businesses his fresh produce at a higher price than they paid before. It makes sense. Most restaurants have to "clean" produce they have bought which has usually been shipped in from another state. They have a lot of waste. Our hydroponic grower sells produce which is fresh and has no waste. Therefor his price is fair and competitive.

Do you know your market? Do you know where it's located? Do you know what kind of people live in this market? If you know the answers to these questions, you'll begin to know what to grow. It may be that after analyzing a market close to you you'll decide on one which is further away. That choice may seem more attractive and profitable. But ask yourself: is this market a boom area or a stable one? Is it maturing or growing slowly? What about the market's economy? Have you gone around to the stores and seen what's on their shelves? Are there exotic items like European cucumbers, fresh herbs, unusual vegetables and fruits, unusual flowers and potted plants - all at reasonable prices? Or are these stores carrying the ordinary, the humdrum? How many expensive restaurants are located in the market area? Are there new shopping centers and other housing going up? Is the economic activity of the market area broad and stable or do the inhabitants rely on just one or two industries for a livelihood? What's the demand for and the quality of those crops now available in that market?

Remember: Hydroponic crops almost always sell for more than seasonal field crops. A very small percentage of the buying public buys for the quality you'll be able to offer. This will all change in time, but meanwhile you must find your special market for both premium and off-premium hydroponic crops. Are there seasonal changes in the market? There usually are. Find out about them.

What crops aren't available during certain times of the year? If you can grow them will they sell at a premium price? If there are preferred crops in this market area, find out when shortages occur and when the prices go up. You could arrange your growing schedule to capitalize on such events! Never underestimate the competition! Get bulletins from your agricultural agent. Find out about forecasts in other parts of the nation and the world. For example, imports for cut flowers are heavy right now. The market has become cut-throat. This is a good example of what imports can do to growers in a local market. So identify foreign and national growers for the crops you intend to grow. And adjust your activities accordingly.

If your competitor (local or otherwise) has been in business for several years don't assume he doesn't know what he's doing. He wouldn't be in business if he was stupid! Find out what he's doing and how. But don't compete head-on with him. Find a different track. One more in keeping with your talents and more specialized in areas different than those of your competitor. DON'T RUN HEAD-ON INTO BRICK WALLS! Even competitors who have failed can be of help. Their mistakes can save you money. Often they've spotted trends in the buying public after it's too late for them to take advantage of them. Your agricultural agent can tell you who the good and bad growers are.

The buyer's time is valuable. So make appointments when you want to talk to them. Always get several opinions about each item on your survey. You'll get a better and more accurate consensus of opinions. Send everyone a thank-you note afterwards. You'll want to see them again after you start up your operation. When dealing with a buyer make certain you understand exactly what he wants, how he wants it and with what regularity. Bear in mind that you are a new face to him. He already has existing contacts on whom has grown to rely. Because of this you won't get a large percentage of his business right away. You'll have to patiently cultivate him. Of course you'll find ways to sell at retail. But when you wholesale it's entirely different ball game. It takes time to cultivate buyers or brokers. But it's worth it. THE BUYER IS ALWAYS WATCHING YOU: CAN YOU DELIVER? IS IT WHAT HE WANTS? CAN YOU DO IT CONSISTENTLY?

bsaffell@mayhillpress.com....copyright 1996-2008 by Hilmur Saffell

Last Update = 51808

WE HAVE THREE BOOKS THAT MAY BE OF INTEREST TO YOU.
They are as follows:
"How to Start on a Shoestring and Make a Profit with Hydroponics"
"Big Dollars Growing Gourmet Salad Greens"
"Beneficial Insects - How to Mass Rear and Make a Profit"
If you would like a copy or copies of your own,
. CLICK HERE