OCEAN MIST

FARMS

Syndicate Member
Devin Fortranansi Firdaus
Kartika Amanda
Maulana Angga Utama
Mautia Kusuma Wardani
Muhammad Inssan Nasher
Naafi Yudha Diputra
Roro Arinda Reswanti
Swastika Tiara Ardhiani

INTRODUCTION
Kori Tuggle is a director of marketing and business

development at Ocean Mist Farms

Ocean Mist has several strategy for marketing :

1. Use celebrity chef to create recipes

2. In store demos & online videos
3. Easy to cook microwaveable packages
4. Internet based Fan Club

COMPANY HISTORY
Ocean Mist is the largest grower and shipper of

artichokes which grew artichokes & 30 other Cooking

Vegetables.
History :
1922

: First time of farming

1989
: Expanded to the Coachella Valley
1995 - 1998 : Worst flooding at farming area
2000
: Sales increase 6.5 %
1998 - 2012 : Distributor for Retailer, Whosales,
Foodservices channels, and spot
market.

COMPANY HISTORY (cont)

Ocean Mist grew, packed, and shipped 70 to 80 % of all

fresh artichokes sold in U.S

a niche item and a differentiator by employees was

the defining symbol of the privately held company.

The company employed about 1.500 people

GROWING ARTICHOKES IN
CASTROVILLE
Artichokes were a cool-season crop
Castroville has the perfect microclimate to grow

artichokes 13C 24C.

Process of Growing Artichokes in Castroville
Harversting & Packing
Cooling, Processing, & Shipping
Sales

U.S FRESH VEGETABLES

INDUSTRY
In 2012, there were about 70.000 produce growing

companies in U.S.
Early or late frosts or freezes hair or heavy rans, or

extended periods of high temperatures, could drastically

affecct the quality and availability of fresh produce

U.S FRESH VEGETABLES

INDUSTRY (cont)
Growers typically received about 25% of the consumer

purchase price a product.

By 2011, fresh produce accounted for more than 50% of

all produce purchase (in 1970s 40%).

One new product Ocean Mist had develop was a

microwaveable packaged artichoke and it was first

appeared in stores in early 2012.

U.S FRESH VEGETABLES

INDUSTRY (cont2)
The top 8 grocery store chains made up more than 50%

of the market by 2012 and nontraditional food retails for

another 25%.
Growers primarily sold fresh produce to retails and

foodservice location either directly or through broker or

wholesalers and other sold it as commodity items.

ARTICHOKES AT RETAIL
Total U.S sales of artichokes in 2011 topped $175 million

divided into :
90 % : sold in grocery
9%
: sold at mass merchandise
1%
: used in the foodservice industry
Artichokes were only 0,1 % of stores annual produce

sales.

ARTICHOKES AT RETAIL (cont)

Two types of people by artichokes :

1. Traditional Customers
2. Upscale Customers
Most important characteristics when consumers
purchasing fresh artichokes :
Appearance % price
In 2012, traditional U.S grocery retailers were
experiencing a numbers of challenges including price
sensitive and time pleased consumers.

MARKETING AT OCEAN MIST FARMS

Ocean Mist divide its consumer into 2 :

1. Heavy users (purchased monthly)

2. Light users (few times per year)
Digital Media that is used for marketing

1. Website (launched in 2007)

2. Artichoke fan club (created in 2007)
3. Social Media (twitter, FB, YouTube)
4. Mobile Site (launched February 2011)

MARKETING AT OCEAN MIST

FARMS (cont)
Uses for New Found Knowledge

1. Data and Insight

2. Direct consumer outreach

TREND IN DIGITAL AND SOCIAL

MEDIA
Customers looked for quick, authentic and individualizd

resposnes to their questions and comments

Rewarded cunsomers for partisipaton on social media

and in marketing campaigns. (customer loyalty programs)

Using social media and struggled with the risk of brand

image losing control

LABELING ARTICHOKES
Packaging or labeling artichokes added anywhere from

$0.25 to $ 1.00
The company had recently develop petal inserts as a new,

proprietar method of labeling artihokes

A final sticker design inclluded a brand identity, website

URL, country of origin, PLU code, and stacked data

barcode.

ISSUE
Was labeling the entire artichoke crop the right next step

for Ocean Mist?

Would the sticker create more brand awareness and
boost sales enough to offset the costs to growers?
If demand did increase significantly would Ocean Mist be
able to supply all of their customer?
Who will incur the added cost and whats the return on
investment?

PROBLEMS
Many people in parts of the U.S have never seen one, let

alone eaten one the fresh artichokes.

In this industry, the problems are to determine :
When is a good year to farming artichokes?
Where should grow & get a high price?
The tendency about to plant for next year?
How to estimating demands?

PROBLEMS (cont1)
One retailer hoped that Ocean Mist would improve brand

awareness, but worried about supply issues.

Labeling could increase labor costs by 1%-5%.
How to using social media and struggled with the risk of

brand image losing control

CONCLUSIONS & SOLUTION

Ocean mist should labelling their product because with

the labelling consumer will known the product clearly. The

customer will know which product they have to choose.
With the packaging and the labelling our product have

more value then the other competitors product.

Consumer will aware that we care about our packing
quality include hygine of product.

CONCLUSIONS & SOLUTION (cont)

With that benefits Ocean Mist can increase their price

between 1-5 % to covering the additional cost for labelling

and packaging.
To overcome the increasing of the demand, Ocean Mist

can take some solutions like :

Calculate the average of the demand. if Ocean Mist still can cover

it with their own productions, Ocean Mist can add their finish
product by their own field.
Contract the local grower to growing the artichokes for us with
several benefits like training to the right step, give them a best
seed with a cheap price, help them to control, the progress and etc.

CONCLUSIONS & SOLUTION (cont2)

Manage social media proactively and always response to

customers questions & comments

The add cost will incure by costomer (by increasing the price).

The return of investment is consumer will known our product better

then competitors product (hygine and exclusive)

Farming artichokes at Castroville a mild temperature range of 24 C

days and 13 C at night (month march to may)