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Introduction to Niche Meats
Seth Church, Apple Brandy Beef
PJ Jackson, Chop Shop Butchery
Holly Whitesides, Against the Grain Farm
The Chop Shop Butchery
Established Brick and mortar shop, well-respected,
neighborhood staple, expert knowledge...
What are we going to talk about?
- What are “niche meats” and why diversify with meats?
- Market Opportunities
- Choosing the species that’s right for your farm
- Do the numbers work?
- What’s the regulatory market?
- Choosing and working with a processor
- Creating a marketing plan
What are niche meats?
Differentiate it in two general ways:
● Superior or unique product qualities
● Socially or environmentally responsible attributes
These “alternative” attributes of meat respond to increasing consumer concerns
regarding environmental impacts, animal welfare, and human nutrition.
organic production grass -fed pasture -raised heritage breed local
small scale
raised without antibiotics or added hormones cage -free free -range
The Apple Brandy Beef Niche
Sell the STORY before the steak
● LOCAL ○ 3rd generation family farm
○ North Carolina Century farm
○ Processed at 3rd generation family abattoir
○ Cooperation with other family farms
■ Source other non beef proteins from local family farms
■ Cooperation keeps cost down - basic economic principle
The Apple Brandy Beef Niche
Sell the STEAK after they are intrigued by the story
● CORN FED
● Dry Aged ○ 14 Day minimum
○ Maximizes tenderness and flavor
● Consistent Quality○ A quality that can only be achieved by CORN FED
○ Conventionally Raised
○ Hereford and Angus Genetics
■ Genetics proven high in MARBLING
● Marbling is “risk management for bad cooking”
How we differentiate
Why Local
Beef Matters
How we differentiate
How we Differentiate - The Chop Shop Butchery
THE AVENUE
BETWEEN
FARMERS
&
EATERS
Why Diversify with Meats?
Why Diversify with Meats?
Why Diversify with Meats?
Choosing your Species
Choosing your species
- What is your land base?
- What assets or infrastructure do you own or have access to?
- How will the livestock fit into your overall farm production plan?
- How will the livestock fit into your whole farm cash flow?
- How will the livestock fit into your overall marketing plan?
- What’s the market demand?
- Who’s the competition?
Market Opportunities
● Direct markets
○ Farmer’s markets
○ CSA
○ Direct online sales
○ Farm store
● Restaurants
● Wholesale
Direct Markets: Farmers Markets
PROS
● Retail price/immediate payment
● No pre-commitment
● Lots of direct customer contact
● Low start-up costs
● Minimal Advertising
responsibility
CONS
● Specific time frame off the farm
● No pre-commitment
● Lots of direct customer contact
● Start-up costs/COGS (depending
on display)
● Competitive
Direct Markets: CSA
PROS
● Pre-payment
● Significant level of pre-
commitment
● Lots of direct customer contact
● Builds social capital and
community
● Medium time away from the
farm
CONS
● Specific delivery times
● Promised value with no back-ups
● Lots of direct customer contact
● Heavy advertising responsibility
● Diversity of offerings implied
Direct Markets: Restaurants
PROS
● Close to retail price (sometimes)
● Some pre-commitment
● Zero direct customer contact
● Low start-up costs
● Semi-flexible/short delivery times
● Minimal advertising responsibility
CONS
● Up to 30 day terms
● No guarantees
● Zero direct customer contact
● COGS
● Minimum delivery
● Direct Chef contact and
communication
Do the numbers work?
Do the Numbers Work? - The Chop Shop Butchery
What to expect when it comes to charging different customers...
Do the numbers work?
Enterprise Budgets
● Includes income (lbs of certain cut per price)
● Includes expenses both fixed (asset depreciation, taxes, etc) and variable
(cost of stock, cost of feed, cost of processor, cost of labor)
● Profit and loss by species (Quickbooks or excel)
● www.calculator.meatsuite.com - price and yield calculator
Regulatory Environment
● Meat handlers licence
● Product liability
● On farm processing
● Storage/transport
● Labeling claims: Grassfed, pasture raised, no added hormones
Resources:
➢ NC Choices, including FAQ resource for beginning niche meat producers
➢ Whole Animal Buying Guide (Small Meat Processors Working Group, Iowa State)
What are the options?
● NCDA
● USDA
● Custom Butcher
Choosing a Processor
Working with a Processor - The Chop Shop
ButcheryWhat should you be asking them? What do they want? What can you give? What
can go wrong?
Working with your Processor
Price and volume and consistency
Create a Plan
● What are your goals for diversifying with meats?
● What species you are going to start with?
● What will your market outlets be?
● How will you differentiate your farm/products?
● Do the numbers work (on paper)?
● What are your processing options?
● Do you understand the production, processing,
packaging and distribution requirements?
● Where can you go with questions?
Questions?