Marketing Tilapia in Hawaii Windward Community College July

Marketing Tilapia in Hawaii Windward Community College July 17, 2010

Sales & Marketing Is As Important As Production • Poor Product + Best Sales & Marketing = Short Term Profit • Market Acceptable Product + Efficient and Effective Sales and Marketing = $$$$ • Superior Product + Poor Sales and Marketing = No $$$$ • Superior Product + Best Sales & Marketing = $$$$$$$

Why Are You Growing Fish? • Self-Sustainability – provide food for self and family • Small-Scale Commercial – farm profits are not the primary source of income • Commercial – farm profits are the primary source of income

Existing Markets • Ethnic channels • Chinatown / Fish Markets • Farmers Markets • Boutique / Niche Food Service • Alan Wong’s • High interest • Mainstream Food Service is the untapped market • No negative stigma regarding species • Consistent demand

Moving Toward Food Service • Consistent quality and reliable distribution • Specifications of product required for food service • 2 to 3 lb fish • Fillet • Higher cost v. ethnic market • Processing • Larger size • Risk • Cost of husbandry

Barriers to Market Expansion Physical / Image • Physical • Growing a consistent quality product • Factors affecting growth • Species • Husbandry • Water Chemistry • System Design • Nutrition • Negative Mainstream Local Perception • Low Quality • Dirty

Moving Forward • Simultaneous programs to improve tilapia industry • Improve product • Gain acceptance of food service channel • Farmers must take responsibility for their product and marketing • Must be a partnership between ADP, UH and Industry • Involvement with the industry association – Hawaii Aquaculture and Aquaponics Association

What Can the Farmer Do - Distribution • Have you studied your market outlets? • Do you have reasonably firm market commitments as to quantity, price, and form of product? • Do you have alternate market outlets? • Do you have adequate distribution facilities and dependable supply sources to meet the time, quality, and quantity demands of your markets? • Are you aware of trends in product forms, packaging, convenience, and prices of your and competing products in the market?

What Can the Farmer Do - Production • Can you adjust your harvest time to take advantage of high points in seasonal demand price fluctuations? • Can you provide maximum quality, type, form, and weight of products and other services that your market outlet requires?

What Can the Farmer Do - Marketing • Have you planned for market promotion and education activities? • Have you scheduled an advertising budget to stimulate sales? • Have you participated in and contributed to industry association programs to create an appealing image for fish farming, and products for consumers and merchandisers? • Have you cooperated with news media staffs to develop reports and programs to increase public awareness of the industry?

Contact ADP • Address • 99 -941 Halawa Valley Street, Aiea HI 96701 • Todd Low • 808. 483. 7130 • todd. e. low@hawaii. gov