Evaluating Markets for Value-Added Livestock Waste in Tennessee

Executive Summary

The Agricultural Development Center submitted a grant proposal for a market development project concerning value-added livestock waste products in March of 1999. The project was approved for funding at the level of $10,000 with a dollar-for-dollar match from a USDA, FSMIP project for a total project budget of $20,000 for FY-2000 (July 1, 1999 to June 30, 2000). A total of $9,999.76 was spent from the “Ag. Tag” source with an equal allocation from the FSMIP project for a total project allocation of $19,999.52.

Background investigations, searches, interviews and literature reviews were conducted to develop four questionnaires for different potential consumer segments: landscaping contractors, nurseries, golf courses and homeowners. Each of these segments was interviewed through a telephone questionnaire by the Human Dimensions Lab. The interviews were completed in April 2000.

Some of the key findings of the surveys included:

• Golf courses are more likely to currently be using manure-based products than other segments



• Manure-based products compliment other products supplied by the segments.



• Manure-based products are liked because they are perceived to be environmentally friendly, they are organic and they improve soil composition.



• Golf courses tend to use manure-based products in flower beds and on greens.



• Golf courses heavily prefer manure-based products to be packaged in bags, nurseries prefer bulk and landscaping contractors are evenly split on preferring bag or bulk packaging.



• Free samples seem to be the best way for potential users to learn of a manure-based product.



• Potential users prefer that manure-based products be tested and have a guaranteed analysis.



• On average, Tennessee homeowners spend $300.00 per year on lawn & garden care products ranging from $0 to more than $2,000.



• Of five lawn and garden care products mentioned, potting soil was the most frequently used by homeowners and compost was the least frequently used.



• Tennessee homeowners typically purchase lawn and garden care products at large home centers with Wal-Mart being the most frequented with 30%.



• Eighteen percent of Tennessee homeowners hire out their lawn and garden care.



• Tennesseans tend to have a lack of knowledge about manure-based products.



• “Composted” manure-based products was the highest ranged type of manure-based product preferred by homeowners.



• Tennessee homeowners indicated a preference for manure-based products over non-manure-based products at equal prices. Those who did not prefer manure-based products indicated smell, lack of familiarity and a simple lack of favor for livestock-waste products as their reasons.



• Tennessee homeowners did not have any real preference for use of the term “organic” or “natural” over the other.



• Sixty-four percent of Tennessee homeowners do not currently purchase manure-based products. Eighteen percent indicated that they would buy manure-based products if they were readily available.



• In order of preference, Tennessee homeowners desire the following information about manure-based products: benefits and uses, product contents, suggested application rates, nutritional information, how product was made, where product was made.