Marketing of locally produced sustainable animal fiber products

2009 Annual Report for LS08-208

Project Type: Research and Education
Funds awarded in 2008: $140,000.00
Projected End Date: 12/31/2012
Region: Southern
State: Texas
Principal Investigator:
John Bernard
University of Delaware
Co-Investigators:
Hikaru Hanawa Peterson
Kansas State University
Gwendolyn Hustvedt
Texas State University

Marketing of locally produced sustainable animal fiber products

Summary

The project specifically aims to develop pricing, labeling, and marketing strategies for US animal fiber producers in marketing products using their fiber including wool, mohair, and alpaca. The purpose of this project is (1) to determine if consumers are willing to pay a premium for locally produced, certified organic, environmentally friendly, or “all natural” fibers and (2) to develop marketing plans for Southern animal fiber producers to obtain maximum benefit from additional branding of products made from locally grown, sustainable animal fiber. Consumer interest in where their products are made and how they have been made has been increasing substantially in recent years. Unfortunately, most American fiber producers are not currently in position to take advantage of this consumer trend. This project will identify economic opportunities for sustainable animal fiber producers and operators who have incorporated or are considering incorporating fiber-bearing animals in their land management system in the Southern region. The key strategic feature of this project is in appealing not only to sustainability-focused, so-called LOHAS (lifestyles of health and sustainability) consumers, but also to consumers with interest in where their products are produced.

Objectives/Performance Targets

1. Estimate the value consumers place on apparel products made from locally grown fibers and fibers grown using sustainable production methods.

2. Investigate the effects of labeling on premiums for Southern fiber products.

3. Identify and characterize the attitudes and motivations of market segments of consumers willing to pay premiums for products produced from sustainable, locally grown animal fiber.

4. Develop and communicate pricing, labeling, and marketing strategies to Southern animal fiber producers using sustainable production methods.

Accomplishments/Milestones

1) Socks for use in the experiment will be procured through purchases or custom-ordering.

This benchmark has been met. Wool, alpaca and mohair was purchased from Deborah Sharp, then proprietor of the Texas Fiber Mill. The wool, alpaca and mohair were all produced on her ranch outside of Elgin Texas. Wool was also purchased from Emily Lenschow at Simply Abundant Farm outside of Henrice, Virginia. Alpaca from Virginia was purchased from Gail Auer at Ashling Alpacas and Angoras in Rochelle, Virgnina. Finally, wool was purchased from Jan Southers at Hope Springs Farm in Danielsville, Georgia. All the fiber was shipped to the Zeilinger’s woolen mill in Frankenmuth, Michigan to be clean, carded, spun into yarn and knitted into socks. Due to the large minimum quantities of wool required to spin the yarn, some of the yarn was not knitted into socks but was skeined into quantities suitable for handknitting of socks. These skeins can be distributed at fiber fairs, state fairs and other venues to market locally produced fibers.

2) Approval for research with human subjects will be obtained from all three participating universities.

This benchmarks has been met.

3) The survey instrument will be developed and pretested.

This benchmark has been partially met. The instrument includes marketing materials, such as labels and tags, that can be tested for market appeal.

4) The auction sites will be selected and the auction session will be coordinated.

This benchmark is almost complete, with locations selected for the upcoming auctions, except for locations in Georgia.

5) A recruiting firm will be selected and hired to recruit participants at each location.

Several recruiting firms have been identified and quotes have been solicited in preparation for auction sessions in fall 2010.

The following benchmarks will be met in 2010 and early 2011.

6) The auctions will be conducted. The timing of the auctions for fall, early winter is important to avoid seasonal disinterest in wool products.

7) The data will be analyzed.
8) The results will be used to create marketing materials.
9) The marketing materials will be placed online.
10) The results and marketing strategies will be shared with animal fiber producers, apparel manufacturers and other stakeholders in sustainable fiber supply chain.

This benchmark is already being met through consultations with producers who have heard about the project and have sought guidance about marketing in anticipation of the results.

11) The results will be used to create peer-reviewed presentations and articles for dissemination in academic forums.

Impacts and Contributions/Outcomes

At this early point, peer-reviewed publications have not been generated. A press release about the grant generated a web article about the project and Texas State University purchased a one-page advertisement in Texas Monthly magazine that names the Southern Sustainable Agriculture Research and Education program as the funding agency for research on “green economics”. This publicity garnered additional stakeholder support in Texas, with calls from producers seeking information about the anticipated results.

Collaborators:

Suzanne Correira

suzanne@fireantranch.com
Fiber Consultant
Fire Ant Ranch
170 Young Ranch Rd.
Georgetown, TX 78633
Office Phone: 5122814496
Website: www.fireantranch.com
Steve Morgan

smorgan@uga.edu
County Extension Coordinator
University of Georgia
College of Agricultural and Environmental Sciences
21 North College Street
Hamilton, GA 31811-6000
Office Phone: 7066284824
Website: http://www.ugaextension.com/harris/
Zane Williard

zane@mohair.com
Executive Director
Mohair Council
P.O. Box 5337
San Angelo, TX 76902
Office Phone: 3256553161
Website: www.mohairusa.com
Nancy Berns

fiber@tds.net
Manager
Georgia Mountain Fiber
11 Mountain Street
Blue Ridge, GA 30513
Office Phone: 7066326767
Website: www.georgiamountainfiber.com
John Merrell

President
Alpaca Fiber Cooperative of North America, Inc.
41390 Hwy 226
Scio, OR 97374
Office Phone: 5033943790
Website: http://www.gatewayalpacas.com/
Steven Sturtz

s-sturtz@tamu.edu
County Extension Agent
Texas A&M University
Agriculture and Natural Resources
113 W. Beauregard Avenue
San Angelo, TX 76903-5834
Office Phone: 3256596524
Website: www.tamu.edu
Ronald Pope

pmcicoop@wcc.net
Producers Marketing Cooperative, Inc.
202 Northwest Railroad Street
Mertzon, TX 76941
Office Phone: 3258357173
Website: http://web3.userinstinct.com/42771856-producers-marketing-cooperative-inc.htm
Matt Mole

mmole@vtorganicfiber.com
President
Vermont Fiber Company
52 Seymour St.
Ste 8
Middlebury, VT 05753
Office Phone: 8023881313
Website: http://www.vtorganicfiber.com/
Scott Greiner

sgreiner@vt.edu
Extension Sheep Specialist
Virginia Tech
Animal and Poultry Sciences
366 Litton Reaves Hall
Blacksburg, VA 24061
Office Phone: 5402319159
Website: http://search.vt.edu/peopledetail.jsp?person=1151234