GIM Update archive

July 2009 - GIM Update 4

The end of picture book farms - from farm to agricultural enterprise

The picture of the traditional peasant is slowly disappearing, farmers turn into highly specialized entrepreneurs. The consequences of this process are severe. Not only the appearance of the farm is changing but also the farmers' attitudes and duties. Most of the farmers cannot carry on their work in the traditional way anymore. In order to survive, today's farmers must be able to calculate in a rational and cost-effective way and to balance complex economic considerations.

A current survey among German farmers reveals their self-images, their motives and motivations and their professional information sources. It also shows what is important to them when purchasing machinery and how to address and appeal to them as a target group.

The results of the representative survey among 500 farmers and the additional ethnographic one-on-one interviews at their farms are very interesting:

Farmers become agricultural entrepreneurs

Today, being a farmer means more than just cultivating fields and feeding animals. Economic knowledge and business management are vital necessities in an increasingly complex market. More and more farmers sell their products nationwide.

The majority of the respondents turned out to be extremely well-informed. Nine out of ten farmers regularly read respective trade journals. The internet is becoming an important information source for them. Every second farmer reads about agricultural issues in the internet. Hence, the best way to address farmers as a target group is via relevant print media but also more and more via internet.

Segmentation of the agricultural target group

The study discloses that farmers are not a homogeneous target group. In fact, there are clear differences not only regarding the size of the farm or the branch of the industry. Three target group segmentations with different mindsets have been identified:

• The progressive agricultural economist (26%): He can be characterized as a business manager who acts in a strictly economic way. Traditional values are less important to him. 
• The responsible pragmatist (36%): He also manages his business in an economic way but traditional values and familial values are also important to him. 
• The traditional farmer (38%): Traditional values are very important to him, as well as passing the farm on to the next generation of the family. Economic aspects are important for sustaining the business but he prefers to stick to the well-tried traditional processes.

The target group study study shows in what way the different mindsets affect the information and decision behaviour regarding brand perception, brand use and investments such as the purchase of machinery.

Want to know more?
For further information about the study or the target group farmers, please contact Ruth Seeger (agricultural engineer) (r.seeger@g-i-m.com) or Tamara Schupp (t.schupp@g-i-m.com) or visit our website www.g-i-m.com

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