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"Shabby Chic" in the Chicken Coop - New Underwriting Idea!

1/31/2013

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From today’s RAB enewsletter – a whole new underwriting category for us!  It’s a $200 billion retail sales category aimed at affluent urban/suburban homeowners.  Think “shabby chic” in the chicken coop!  

This locavore category can be expanded to farmer’s markets (this spring), restaurants/groceries that offer locally-grown foods, community garden groups, farming co-ops, real estate brokers, local retailers that offer backyard livestock, environmentally friendly pesticides/household products, architects/home remodeling, landscapers, classes on beer making, beekeeping, etc  – and more!

Spring is coming, and they will be thinking about marketing.  This is perfect for our listeners!!  

Backyard Farming Gets Fancy 

Can chicken feed, canning jars and garden hoses feel chic?

Absolutely, say retailers cashing in on the "modern homesteader" craze. As more urban and suburban homeowners take up backyard farming, items like chicken coops, beehives, gardening tools and pickling and canning supplies are getting more stylish and pricey. 

A $58 garden hose, anyone? Or a $258 bronze-and-lime-wood spade? Such are the offerings at Terrain, Urban Outfitters Inc.'s fledgling retail concept that caters to the older, higher-income consumers adopting a well-appointed homesteader lifestyle. Last April, Williams-Sonoma launched its Agrarian line, which features a $1,300 chicken coop and a $500 beehive.

"We've definitely seen the shift," says Rob Ludlow, owner of BackYardChickens.com, an online community of about 170,000 chicken enthusiasts. "People wanting to be self-sufficient and eating locally grown food is synonymous with people who are affluent."

Homesteaders say their back-to-the-land activities go beyond mere hobbies and provide emotional nourishment and a certain inner peace. Eliza Zimmerman, 55, and her husband, Peter, a 57-year-old architect, tend vegetable and herb gardens
and three beehives on their 10-acre property with an 1890s farmhouse in Chester Springs, Pa., outside Philadelphia. On the agenda for spring: chickens.  "It's what I did with my grandmother -- the chickens, the gardening, the canning, the bees," Ms. Zimmerman says. "It is my Zen -- a memory of what made me feel safe and good and warm." And jars of homemade honey make great gifts, she adds.

Modern homesteading style shares some of the spirit of the shabby chic interiors of the 1990s, when chipped-paint furniture and tea-stained fabrics conveyed a desirable aged patina. The homestead aesthetic is more than visual, though, encompassing a range of do-it-yourself activity, like brewing beer, pickling vegetables and making cheese.

Beekeeping clubs are getting lots of buzz and new members. Hundreds of local restrictions on backyard chickens have been lifted in the past five years as a result of public pressure, says Barak Orbach, a law professor at the University of Arizona, who has studied the phenomenon. More people aren't just growing their own vegetables, but canning and preserving them, too.

Broadly defined, it is a consumer segment with an estimated $200 billion in retail sales, which also includes annual spending on organic-labeled food and environmentally-friendly household products, says Charlie Hall, horticultural economist at Texas A&M University. This consumer is typically a 30- or 40-something homeowner motivated largely by the desire to live more simply and healthily, he says. These people "have a willingness and ability to pay," Dr. Hall says, whether it's $70 for Williams-Sonoma's "vintage" watering can ("scuffs, scratches and other signs of use add to the character," the retailer says) or $40 for a bag of soy-free chicken feed at Fifth Season Gardening Co., a regional chain based in Carrboro, N.C.


The Agrarian line from Williams-Sonoma -- part do-it-yourself supply cabinet, part collection of rustic accent pieces -- zeroes in on an artfully weather-beaten look. A pine-and-metal "vintage Biergarten table" sells for $600; a "found" enamel pail for $50. (The company says these items aren't copies but rather actual pieces it found by scouring European villages. Items may not be identical and may be available in limited quantities, the company says.)

The Agrarian line is meant for people "who want to embrace the homegrown and the homemade into their everyday lives," says Allison O'Connor, vice president of merchandising. There is an intentional mix of price points, she says, such as an $11.95 herb-garden kit. The company says it plans to double the number of products in its Agrarian line and publish a stand-alone catalog.

Fifth Season's five stores in the Carolinas and Virginia sell gardening supplies and chicken feed, as well as kits for making sake wine and chevre cheese and cultures for yogurt, kefir, sour cream and buttermilk. The shopping floor is appointed with terra cotta planters and stone statuary; classes have ranged from home-brewing to bonsai.

Elizabeth Galindo Roberts, a film costume designer in her 50s, moved to a new home in Carmichael, Calif., about a year ago. She and her husband installed a vegetable and edible-flower garden, including nasturtiums and violas. She keeps
five chickens in two custom-built coops.

The couple hired interior designer Kerrie Kelly, from nearby Sacramento, to design the interior of the four-bedroom ranch. The look "feels perfect, but it's so imperfect," Ms. Kelly says. Dining-room chairs are upholstered with mismatched fabrics; wall art hangs in frames of assorted styles. Furniture leathers are distressed, and windows are framed with open-weave linens.  "Ten years ago, people were opening up Architectural Digest and saying, 'We want that.' " Ms. Kelly says. "Now there is such an authenticity to everything we are designing."

Urban Outfitters says its Terrain garden centers target women ranging from their mid-40s to mid-60s. "One of the things we'd been discussing is the boomer lifestyle," says Richard Hayne, chief executive of the Philadelphia-based company, whose Urban Outfitters chain caters to college-age hipsters and Anthropologie stores targets fashionable young homeowners.   "We realized there's another leg to this story," Mr. Hayne says, referring to the spending potential of well-heeled women whose children are grown. "Their demand and desire for apparel wanes," he says. It's "a lifestyle concept.

Terrain inventory ranges from a $228 metal-roof birdhouse and a $148 woolen throw to a $269 tailored gardening jacket. A section of the store is devoted to beauty and bath products, including a $38 scrub presented as a "hot toddy for the body."

Terrain's store in Glen Mills, Pa., features a restaurant, in an antique greenhouse brimming with ferns, that specializes in locally-sourced food. It has a following with groups of women who meet for lunch and shop. Mr. Hayne says he is looking to add a spa. The store provides workshops on things like terrarium gardening and Japanese "kokedama," hanging plants that appear to float, free of containers, from the ceiling. "We'll open more stores," Mr. Hayne says. "We're taking our time growing the concept and learning it."

 (Source: The Wall Street Journal, 01/30/13)


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Borrell's Local Advertising Outlook Sees A 5.9% Drop For Radio

1/11/2013

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From today’s “All Access” commercial radio enewsletter – not such good news for local radio revenue projections this year.  If the radio budgets are smaller, then we will have to work harder to get our fair share!  In addition, it’s time to position ourselves as “more than radio” – B2B, community relations, image/branding, etc.  Businesses will look to spend more in
local online ads – something that every public radio station should be utilizing.  Online is ONE-FOURTH of all local ad budgets for 2013 – even bigger than newspaper budgets - it’s now too big to ignore.  As you will read, the commercial guys don’t have a handle on it – in fact, many public radio stations are doing a whole lot better job of monetizing our websites than they are.  We need to continue to grow that – and to utilize the dollars that are in our clients’ budgets!  Social media and mobile are part of the increased budget lines.

NPR has presented a “state of the system” report for online underwriting for the past many years at the PMDMC.  Past reports can be found on the NPR station website, along with tons of great ideas that stations are using in terms of their online ad strategies.

ARTICLE:  Borrell's Local Advertising Outlook Sees A 5.9% Drop For Radio
BORRELL has released their 2013 Local Advertising Outlook, and finds "ad spending nationwide should rebound by a healthy 7.5% this year, but the real story is in the local space, which is forecast to grow 8.2%, from $88.9 billion in 2012 to $96.2 billion in 2013. The headline isn't that 'local' is growing mildly faster, but that small and medium-size businesses(SMBs) are choosing to spend their marketing dollars in dramatically different ways. Their spending on local online media this year promises to be nothing short of phenomenal. Our surveys and trend analysis indicate potential growth of 31%, from $18.7 billion to $24.5 billion, or one-fourth of all local advertising. That outstrips 2012, when we saw local online advertising grow 20%."

But there's bad news for radio in the report, with BORRELL forcasting a 5.9% drop for local radio. BORRELL sees radio's national ad revenues at $2,910.2million, for 1.7% of the spending. Local radio is expected to see $11,013.7 million, for 11.4% of revenues, for a total of $13,923.9 million or 5.3% of ad revenues.

Among the other findings in this report:
 *  Online media will likely hold the #1 spot in terms of local ad share, beating out newspapers -- the centuries-long leader -- in all but four U.S. markets.
 *  Cinema advertising is growing faster than online, at a healthy 42%.
 *  Along with radio, local magazines, shoppers and alternative newsweeklies are expected to drop 2.5%.
 *  Only 20% of advertisers in the year-end survey of 1,756 SMBs said that they planned to increase online advertising, while 52% said they planned to spend the same. This indicates that the growth in online advertising might come from newcomers and high-rollers.
 *  Top areas of spending increases for SMBs this year are online, mobile and direct mail. Under the "online" category, social media and "my company's website" are being earmarked for the largest increases.
 *  SMBs show high interest in mobile, and the few who have tried mobile campaigns seem hooked. Some 83% of SMBs who’ve used mobile said they’re likely to continue.

 Is Your Digital Strategy Brilliant?  Less Than 5% Say Yes

RAB and BORRELL ASSOCIATES are taking a peek at how radio's digital ventures are shaping up.  The survey is intended to gauge the "real" amount of online ad revenue stations are generating.   BORRELL shared some of the preliminary findings.  Among them:
 *   More than 40% of respondents thus far say their digital strategy is bad, or don't know if they even have one.  Percentage who said their station's strategy was "brilliant":  less than 5%.
 *   More than half of the estimated 400 stations responding thus far say their sales reps have no specific goals for selling digital products.
 *  More than two-thirds of respondents say they believe online ventures hold "significant potential" for radio stations.  Yet 54% of respondents rate their sales reps' ability to sell digital products as "poor."


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