Document Sample
					                         KENTUCKY DEPARTMENT OF AGRICULTURE
                     A Consumer Protection And Service Agency ● Richie Farmer, Commissioner
                      100 Fair Oaks Lane 5th Floor, Frankfort, KY 40601 ● Phone: (502) 564-4983
              Kentucky Horticulture Council Advertising Cost-Share
                           2011 Program Guidelines
   2 Funding Cycles
      Separate funding cycles for Main Season and Fall/Winter crops.
             The Main Season cycle runs from January 1, 2011 to December 31, 2011;
                 eligible expenses can incur anytime during the year.
             The Fall & Winter cycle runs from August 1, 2011 to December 31, 2011. All
                 advertising expenses for this cycle must occur during the August to
                 December time frame and not merely be invoiced or paid. For example,
                 advertising occurring in May, but not paid for until August, is not acceptable.

   Program Specifics
         The Horticulture Advertising Cost-Share Program assists Kentucky producers of
          horticulture products to market their products through a 50% cost share reimbursement
          on advertising that meets program criteria.
         Funding for this program is provided by grant funds to the Kentucky Horticulture Council
          (KHC) through the Agricultural Development Board. The Kentucky Department of
          Agriculture (KDA) administers this grant program on their behalf.
         All participants must be members of the Kentucky Proud program and use the logo in all
          advertising or, in the case of radio, use the words “Kentucky Proud – Nothing Else is
          Close.” The logo must be a permanent part of the advertisement. Stickers can not be
          applied later to meet this requirement. Registration in the Kentucky Proud program is
          free.; existing members must
          renew registration each year.
         The maximum program benefit is $1,000 in 2011.
         Participants must present receipts showing payment of a dollar-for-dollar cash match –
          no in-kind. If you matched the benefit with more than 50%, KDA would appreciate your
          sending copies of those receipts as well so we can show more match money to justify
          the program in the future.
         The lifetime maximum award of $5000 is available from these grant funds (includes
         All eligible items must not only feature the Kentucky Proud logo but must be specific to
          the business advertised and the primary focus of any advertisements must be
          horticulture products. No generalized items included.
         All expenditures must take place in 2011 and all receipts must be to the KDA office by
          January 7, 2012.

   Application Process:
   Applications will be accepted beginning January 1, 2011; submit applications at the earliest
   opportunity, prior to the expenditure, for either cycle. Applicants have two ways to take
   advantage of this program.

   Preferred Option: You may submit a budget and get the items and amounts pre-approved.
   Monies will be set aside for your project and you will know what reimbursement you will receive
   when all the required paperwork is received.

   2011 Horticulture Advertising Cost-Share            Guidelines                Page 1 of 4
Alternative Option: You may also submit the reimbursement form with all required
attachments on projects not pre-approved. If these items are found to meet program criteria
and funds are available, then a reimbursement will be issued. These funds are not
guaranteed, but you may find this more flexible. There is very limited funding available for

We accept pre-approved and non pre-approved applications on a first-come, first-served on-
going basis. All applicants are prioritized within a funding cycle by, date received, if in person,
or by post-mark date. The earlier an application is received the greater the chance that it will be
approved; costs can be estimated.

What Is Not Eligible?
With limited funds we have determined that some items do not fit under the program purpose.
The following is a list of things not reimbursable under the program. This is not an all-inclusive
list but should serve as a guide:
      Equipment whose primary purpose is something other than advertisement, such as
         tents, baskets, printers, trucks, signs with non-permanent lettering, grills, etc.
      Supplies that may or may not be used for advertising, such as paper, ink, cd’s, labels,
      Customer giveaways that are not personalized to the business, including food.
      Items in the Kentucky Proud at-cost program.
      Ads that do not sell horticulture products as the primary purpose of the ad
      Membership dues
      Any items not using the Kentucky Proud logo or the appropriate words.
      Sponsorships of ball teams, fairs, events beyond the cost of the ad itself.
      Commercially produced value-added products. (i.e. pickles, jams, jellies, sauces, soup
         mixes, etc.}

For greater detail please refer to pages 3 and 4.
Briefly, to receive your reimbursement you must submit the following three items:
    1. A copy of the receipt, bill, or invoice that itemizes each item and the total cost.
    2. Copies of each ad; this includes tear sheets for all newspaper ads ran even if the ad
         doesn’t change. For other items, signs, clothing, etc., pictures are generally acceptable.
         Please see the attached document for more specifics concerning radio and television
         advertising, and other items.
    3. A completed Reimbursement Form, detailing the invoices and supporting materials
    4. A completed Impact Report Form explaining the marketing actions you employed with
         your business and their outcome.

The Horticulture Council will issue your reimbursement check. We send them a list of eligible
participants with the amount due them corresponding with funding cycles.

You may choose to apply for partial reimbursement for approved items, especially for long term
projects such as ads in the local newspaper. Just send us the three things listed above and we
will process the reimbursement.

Everything should be sent to:         Advertising Cost Share Program
                                      Kentucky Department of Agriculture
                                      100 Fair Oaks Lane, 5th Floor
                                      Frankfort, KY 40601

2011 Horticulture Advertising Cost-Share              Guidelines                Page 2 of 4
Use the attached application for both pre-approvals and requests for reimbursement
without pre-approval.

Funding Cycles & Deadlines
   CYCLE                         EXPENDITURE DATES                DEADLINE FOR SUBMISSION
   Main Season                   January 1 – December 31          January 7, 2012
   Fall & Winter                 August 1 – December 31           January 7, 2012

 **Final deadline to participate in this program is JANUARY 7, 2012.**

If you have any questions please feel free to contact me.

Adam Watson, Produce Marketing Specialist
Kentucky Department of Agriculture
100 Fair Oaks, 5th Floor
Frankfort, KY 40601
(502) 564-4983 ext. 281
fax (502) 564-0303
cell (502) 229-0954

                What do I need to submit to get reimbursed?
First, we need a completed application. Secondly, for all items you wish to receive
reimbursement, you must submit documentation as outlined below.

What do I need to have as documentation in order to get reimbursed for:

Radio Advertising?                           1. Itemized Invoice/Receipt
                                             2. Script or electronic version of
                                             advertisement by cd or email (contact for
                                             3. affidavit of broadcast times
                                             Note: Kentucky Proud must be
                                             mentioned in advertisement. We
                                             recommend the tag line "Kentucky Proud
                                             – Nothing Else is Close."

Broadcast Television?                        Same as Radio Advertising

Cable Television?                            Same as Radio Advertising

Radio Remotes?                               1. Itemized Invoice/Receipt
                                             2 Contract for talent fee
                                             3. Recording of broadcast by cd or email
                                             (contact for address) or transcript to
                                             identify use of Kentucky Proud

Newspaper Advertising?                       1. Itemized Invoice/Receipt
                                             2. Tear sheets of each occurrence an
                                             advertisement runs
2011 Horticulture Advertising Cost-Share            Guidelines                Page 3 of 4
                                           - sample of one advertisement, even if it
                                           was the same ad the entire season, is not
                                           enough documentation
                                           - do not cut out the advertisements.
                                           Simply send in the entire page/sheet.
                                           3. If you also include an online
                                           classified in you package; we must
                                           have the screen shot printed out of the
                                           ad to cost share on that portion of the

Magazine Advertising?                      Same as Newspaper Advertising

Internet Banners & Advertising?            1. Itemized Invoice/Receipt
                                           2. Screen shot of internet shot when
                                           advertisement is in place.
                                           - it is preferred to have the date printed in
                                           footer of the sheet. Internet Browsers can
                                           be set to print this automatically.

Billboards/Outdoor Advertising?            1. Itemized Invoice/Receipt
                                           2. Picture of billboard in place
                                           3. contract of location and length

Printed Materials such as brochures,       1. Itemized Invoice/Receipt
business cards, post cards, flyers,        2. Sample of each item.
catalogs, or price lists?

Promotional Items such as magnets,         1. Itemized Invoice/Receipt
pens?                                      2. Sample of each item

Promotional wear such as caps,             1. Itemized Invoice/Receipt
aprons, shirts, jackets?                   2. Photo of each item printed or by email
                                           (contact for address)

If you have any questions on whether something may qualify please contact us before the
purchase so you can make an informed decision.

2011 Horticulture Advertising Cost-Share          Guidelines                Page 4 of 4
                     A Consumer Protection And Service Agency ● Richie Farmer, Commissioner
                      100 Fair Oaks Lane 5th Floor, Frankfort, KY 40601 ● Phone: (502) 564-4983
                           Horticulture Advertising Cost-Share
                                     2011 Application
  Funding Cycle:        January 1-December 31                    August 1-December 31

                                             Reimbursement without Pre-Approval 
  Check One:           Pre-Approval 
                                             (include proof of expenses plus samples of each item)

   Applicant Name (As registered in Kentucky Proud)

   Contact Person
   City                                                            State                    Zip
                                                                   Alt Phone
   Phone number             (     )      -                                        (     )         -

   List all horticulture products to be promoted with this grant.
   Types of horticulture products represented in this application:
            Fruit crops                                 Ornamental Horticulture
            Vegetable Crops                               o Nursery
            Grape/Wines                                   o Greenhouse
                                                           o Other
            Other, specified: ______________________________________________________

  If it is a value-added product please let us know what Kentucky horticulture product is in the
  product and its source. Only Home-Based Processed horticulture products qualify for this

   Please list here any explanation of your advertising program you think will help us to
   determine if your item(s) meet program criteria

   2011 Horticulture Advertising Cost-Share              Application              Page 1 of 2
                                    Project Budget Request

All advertisements, media, and items purchased with cost-share funds must feature the
Kentucky Proud logo.

                                                                          ESTIMATED PROJECT
                                                                               COST $
Standard Media (Newspaper, Radio, Television, Cable)                      $

Other Specified
        1.                                                                $
        2.                                                                $
        3.                                                                $
        4.                                                                $
        5.                                                                $
        6.                                                                $

TOTAL PROJECT COSTS                                                       $
APPLICANT(S) MATCH                                                        $
HORTICULTURE COUNCIL FUNDS REQUESTED                                      $

We do ask if your advertising efforts exceed your requested dollars please still report the higher
cost when the time comes to submit all the necessary documentation. Anytime we are able to
show a greater than 50% cost share from the producer it is a benefit to the program.

I have read the guidelines for this program and understand that all items must feature the
Kentucky Proud logo and be personalized to the business.

 ____________________________________                                ___________________
Signature                                                             Date

2011 Horticulture Advertising Cost-Share             Application               Page 2 of 2
                            Kentucky Department of Agriculture
                          A Consumer Protection and Service Agency

                            Does My Marketing Pay?
Have a Marketing Plan
        Marketing is sometimes a secondary concern to production for many horticulture related
entrepreneurs. The direct relationship between disease, insect damage, or fertility problems
leading to decreased production and consequently reduced revenue, is easily seen. This means
producers proactively seek out resources and information from the Cooperative Extension
Service, other farmers, and various other outlets to reduce these potential profit destroyers.
Marketing should be viewed in the same manner as any of these crop threats. Successful
growing is only half the story because the product still has to be sold.
        You’ve probably heard the cliché that there is no such thing as bad publicity and while I
doubt the veracity of that statement, I’m completely certain that not all marketing possibilities
are created equal. Marketing campaigns should be specifically geared for your operation, its
products, and a specific goal. Advertising campaigns aren’t just for the big corporations; the
concepts they use are directly applicable to KY horticulture producers.

Formulate the Desired Outcome and Goals to Reach It
        A good way to create a marketing campaign is to start backwards in the process. First
think about the outcome you want advertising to achieve. Next think about the actions needed to
achieve the outcome and set specific goals for advertising. Then look at the available options for
advertising and which of those will help you achieve the goals you set. Always keep in mind the
budget or other restraints you have that may limit what you are able to attempt.
        For example, a common outcome desired is increased business revenue and thereby more
profit. The outcome of increased revenue could be approached in multiple ways: new
customers, more frequent purchases, larger average purchase, new product lines, higher prices,
and numerous others. The marketing options utilized to increase the average purchase amount
would be different than the one to bring in new customers; this is why setting the goals of your
marketing is so important.
         When you target a specific goal, you’re able to direct your energy and resources towards
its success. A goal that is reached means you are moving your operation towards that outcome
you desire. Without a specific goal you can create an excellent advertising campaign that is of
the highest caliber, but will fail because it doesn’t address the specific goal need for success.
        A successful marketing plan takes into account the specific situation. A rural farmers
market in a small community with limited population may not easily get new customers; they
might focus on increasing the frequency of their customers’ purchases. At the same time a
farmers market in an urban population center may see the easiest success from attracting new
customers from a large possible client base. The campaigns each used would be different and
not transferable to one another because of the many differences between the two situations and
the different goals.

Some Specifics for KY Proud Producers
      In reviewing 2009 advertising cost share applications several farmers markets specifically
mentioned they saw an impact from both early season advertising and late season advertising. A

                                                Nothing Else is Close
weekly ad in a newspaper is great to announce the beginning of the season, the first strawberries,
sweet corn, etc. Let your ads be specific and have a goal like your overall marketing plan.
        An identical ad ran from May to October is not the best approach. If customers haven’t
figured out your times and locations by mid July they just aren’t going to catch on; don’t waste
your dollars running the same ad all season long. Take a cue from other markets and use early
and late season advertising to attract customers when they might not be aware you are open and
make the most of your marketing budget.

Target Your Customers
         Sometimes you may want to target marketing into outlets that current customers are
familiar with. Consumers with similar demographics to your current satisfied customers are
likely to appreciate your offerings. At the same time, there may be instance were you want to
target consumers who aren’t like your current customers {now there’s a loaded statement}.
Maybe you’ve used newspaper ads to their full potential, but what about folks that don’t
subscribe to the local newspaper? It’s not unusual for younger generations to get their news
from sources other than a local paper. What other marketing outlets could you use? If you only
repeat the same adverting venues from season to season it’s unlikely you’ll have dramatically
different results.
         If you are selling in an area with a fair amount of traffic, signs or banners make a lot of
sense. Make your job of marketing simple; the consumer is already at your location just entice
them to stop. Use as few of words as possible to get the point across. A banner that says
“Strawberries” with a picture of a strawberry sends a pretty clear message to the consumer.
         If you’ve added new enterprises to your operation use marketing to let the consumer
know. You may be an established farm stand and have sold vegetables for a decade, but if for
the first time you are trying something different, like berries, mums, or a fall pumpkin patch, it’s
extremely important to advertise that fact. If you have existing permanent signage for the farm,
think about adding an eye catching banner to it. Consumers won’t know about your new
offerings unless you make a point to communicate it them.

Evaluate Your Methods
        If I asked the question is your marketing effective, could use produce evidence to answer
the question affirmatively? Evaluating the effectiveness of your marketing is always a challenge.
Even if the goals you set are achieved, and the desired outcome is realized, it could have been
something entirely unrelated to your actions that caused it.
        In order to determine if your marketing is being effective you should develop an
evaluation method or process. For visual methods have customers tell you a phrase, or word, to
get a discount. If you use print materials try a coupon and see how many are redeemed. Other
marketing methods might require you to simply ask folks if they saw your marketing efforts or
how they discovered your operation.
        Marketing, in the end, is as individual as the various horticulture operations across the
state. Each producer should consider their goals, marketing options, and budget before
purchasing advertising or other market materials. Starting with a plan, setting specific goals, and
evaluating your efforts will allow you to make sure that your marketing pays you.

                                                 Nothing Else is Close