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I like orange juice in the morning as part of my breakfast ritual. What made me think about that was a study done at the University of California — Berkeley in the Department of Agricultural and Resource Economics. The research was typical of what I believe is happening in the ag retail market today. And it's a little alarming.
The research found that it is common for consumers to switch brands of orange juice. This is despite the millions of dollars spent by the top two brands — Tropicana and Minute Maid — to keep its customers.
The study said 61% of the frozen OJ customers and 77% of the refrigerated OJ customers switch or buy minor brands. And 92% switch within or between types of juice — refrigerated or frozen. So there's really no loyalty to a single brand.
Does this remind you of anything in your business? Are growers loyal at all to products you recommend anymore? Are they even as loyal to you, their dealer, as they used to be? You've constantly got to think outside the box and provide value-added services to your customers without giving away the store to keep them. That's never been more true than today.
Now that the 2005 season is in full swing, it's time to think about your employees — from your sales staff and your custom applicators to your office folks. Are you positioning them and your business for success? Are you a dealer who creates loyalty in the minds of your customers?
I hear stories from the field all the time about the lack of loyalty in business society today. It's in the ag retail business too. And only you as a manager or owner can set the tone of your shop to keep customers loyal to you and the brands you sell.
Growers all need crop protection products, seed and fertilizer to make a living. Make sure you're doing everything feasible to keep from turning into orange juice in the eyes of your growers.
Now!
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