Friday, March 29, 2024

Changing tactics in covid hit venison markets

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Patience is the nature of the game as venison marketers mark time with their traditional northern hemisphere customers.
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While the long-term future for venison remains positive, in the shorter-term marketers are having to be supportive and patient with customers, most of whom are anxiously going into winter fearful of a further upsurge in covid-19.

With covid far from being defeated, that was the message from marketers to New Zealand Deer Farmers Association (NZDFA) chairs at their 2020 annual meeting.

Disruption from sales in the United States, New Zealand’s largest market for chilled venison, has been severe, Deer Industry NZ (DINZ) marketing manager Nick Taylor says.

He cited 50 counties in California, each of which has its own covid-19 restrictions based on the incidence of the disease.

In counties with lowest level of risk, indoor restaurants can operate at 50% capacity and in counties at high risk, nearly half the state, indoor restaurants must stay closed.

Despite this, Taylor says there are encouraging signs of recovery with the number of restaurant meals served in the US starting to trend upwards.

In September, weekend sales had climbed to about 80% of the same time last year and about 60% during the week.

“So, there is still some way to go,” Taylor said.

In Germany, the recovery has gone better with July and August restaurant sales back to near normal levels from being down to 40% in May.

But Taylor says because most countries in Europe and states of the US have had to deal with waves of the virus with pandemic responses being imposed, then lifted, then reimposed, there are huge levels of uncertainty.

DINZ has seen the covid crisis as an opportunity to review all its market-support activities.

DINZ chair Ian Walker and chief executive Innes Moffat have met with chief executives of all the marketing companies to ensure that DINZ priorities are aligned with those of the companies.

“It is interesting to see the different approaches they are taking, but all are placing a greater emphasis on retail and online sales to augment sales to food service,” Taylor said.

As a result, DINZ and the marketing companies will introduce a new Passion 2 Profit (P2P) project, co-funded by the Government, focused on retail in the US.

DINZ is supporting marketers in the US with chef demonstrations, marketing materials and coverage by food writers.

“We are exploring the place of venison in meal kits and are funding market research to get insights into consumer preferences.”

In Europe, while contracted chef Shannon Campbell is being much appreciated by food distributors and retailers, with the need for social distancing, he has had to make big changes in the ways he presents to an audience.

DINZ is working with a German-speaking NZ deer farmer-videographer to add deer farming content to its German Facebook page.

The page, which normally targets chefs, is being realigned to engage consumers as well.

“Some investment will be made to increase the audience size, as was successfully done with the NZ venison Facebook page,” Shannon said.

Taylor says three of the five venison companies are active in China with more awaiting plant approval.

All support continuing work in this market where DINZ has recently launched a Mandarin language website.

“We are increasing our budget for China including developing more Chinese-style recipes as well and setting up our own WeChat account,” Taylor said. 

Meanwhile, venison marketers have cautioned deer farmers carrying excess numbers of older stags intended for the sale to game estates, not to expect good prices for them as venison.

Velvet producers are encouraged to talk with their venison processors about capacity for their cull stags.

“They are not what venison marketers want, they will be going into manufacturing and prices will reflect that,” marketers said.

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