Marketing through Cooperatives:

Opportunities for WI Growers

Wisconsin Fresh Fruit & Vegetable Conference

January 3, 2011

What’s the problem or opportunity?

• Can it be better accomplished collaboratively than independently?

• Is there a common benefit that will motivate the group to work together?

A co-op is …• Organized to provide needed goods or services to

its members, not returns to investors

• Owned and controlled by the members, who patronize the co-op

• Operates at cost/distributes net margins on the basis of patronage

Cooperatives can address needs in:

• Marketing

• Supply

• Service

Functions of a marketing co-op

• Bargaining

Functions of a marketing co-op

• Bargaining• Pooling

Functions of a marketing co-op

• Bargaining• Pooling• Operations

Functions of a marketing co-op

• Bargaining• Pooling• Operations• Processing

Functions of a marketing co-op

• Bargaining• Pooling• Operations• Processing• Branding

How do co-ops operate?

• Member requirements

• Role of:–Members– Board of Directors–Management

Starting a cooperative• Is there an agreement on common need?

• Is there a business concept that can meet this need?

• Are there individuals willing to take on leadership roles?

• Is there a potential co-op membership base?

For more information on cooperatives:

• www.uwcc.wisc.edu

• Lynn Pitman pitman@wisc.edu– University of Wisconsin Center for Cooperatives