Synthesis Agri-Food Insights August 25, 2009 Volume 1, Issue 3
Helping you understand agriculture's challenges and
opportunities by analyzing the issues and sharing their insights - the Synthesis consulting team Rob Hannam, Mary Lou McCutcheon, Julien DenTandt, Peter Hannam and Heidi
Dancho.
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Agriculture and the Internet
A recent survey on internet use by Canadian farmers showed
some surprising results - but don't close the door on your more traditional
marketing and communications methods just yet.
According to the study, carried out by Ipsos Forward
Research and presented at a recent meeting of the Canadian Agri-Marketing
Association, 73 per cent of commercial producers in the Prairies, Ontario and
Quebec are on-line vs. 85% of general consumers. Almost 70 per cent of farmers
that are on-line have high speed internet. And 73 per cent of on-line producers
make regular visits to agricultural websites.
Farmers also have a strong comfort level with using email. Ninety
three per cent of on-line respondents use email at least once a week, and the
vast majority uses it daily. Seventy seven per cent use email for
communications with companies and more than 70 per cent of respondents
indicated that that they have registered at a website to receive regular
information and updates.
This internet usage data is encouraging but also points to
some underlying difficulties facing farmers, says Rob Hannam, President of
Guelph-based Synthesis Agri-Food Consulting.
Uptake on other forms of online activity - like blogs,
videos, podcasts and social networks that are more dependent on reliable high
speed internet access - is less widespread. Just over half of respondents (54
per cent) have read a blog or watch videos online. Only 32 per cent have
participated in social networking and only one quarter has used a podcast.
"There are still many areas of the country where a lack of
reliable rural broadband infrastructure makes it impossible for farmers to
easily access the internet," says Hannam. "So although these usage numbers are
very positive, we are still in a state of transition when it comes to offering
online services and electronic communications".
He draws a comparison to the way consumers have eased into
switching to other new technologies, such as the way they watch movies.
"As we were shifting from using VHS video tapes to DVDs, companies
moved from offering only VCRs to producing players that could accommodate both VHS
tapes and DVDs and eventually, they switched to the DVD format entirely," he
says, adding that this is where both the challenges and opportunities lie for
agriculture.
Insights - So what
does this all mean?
It's the
way of the future: Electronic communications lets you reach your audience
more directly and in a more targeted way than ever before. It's also much less
expensive than more traditional communications methods, like printing or
advertising.
But there
are still gaps: Not all Canadians -
especially those in rural areas - have access to reliable high speed internet
access. Although some farmers are very at ease with the online world, many are
not as comfortable using the Internet, relying instead on print media, radio
and word of mouth for information gathering.
Maintaining
a dual system: You may alienate your customers if you switch entirely to
online services before they are ready to make that leap with you. But if you
stay away from e-services altogether, you are taking a similar risk. Some of
your customers or your audiences are already way ahead of you on the digital
learning curve. Keep up with the leaders, but don't focus your offerings solely
on a single technology or method yet.
Offering training
and support: Make the transition into the online world an easy and
comfortable experience. As a business, know your audiences before you invest
heavily in online solutions. Look at the prevalent technology levels and
analyze gaps so you can properly meet their needs. If your customers are not
entirely comfortable using the technology, provide training and easy access to
help.
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Sincerely,
Rob, Mary Lou, Peter, Julien and Heidi
Synthesis Agri-Food Consulting
"Our Passion is Problem Solving"
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Other study highlights
88% of respondents aged 18-44 had an on-line presence.
85% of respondents aged 43-54 had an on-line presence.
79% have engaged in email dialogue with a company
representative.
39% of all online producers have entered a contest online.
29% sometimes respond to online advertising.
15% of all online producers have forwarded an advertiser's
message to others.
Source: 2008 E-Business in Agriculture Survey, Ipsos Forward
Research
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