Our VALOR cohort’s tour of Kentucky was a great experience and the theme that rose to the top for me was a consumer focus: knowing & serving your niche.
I want to thank our awesome tour guides, Dr. Steve Isaacs and Dr. Will Snell, for being excellent hosts, interpreters, and teachers as we traveled throughout the state. I was introduced to a local favorite dish, a “Hot Brown,” during the first dinner, and that was just a taste of the comfort food we experienced during the trip.
Our visit to Keeneland in Lexington, Hallway Feeds, and Three Chimneys Farm gave us several perspectives on the Thoroughbred industry. The evolution of this industry to meet equine enthusiasts’ desires was evident in the precise way that these amazing horses have been bred and are cared for. At Hallway Feeds, we learned about how they have specialized over time to only serve the horse industry and provide the best feeds and service for these racehorses. Everything they do centers on the needs of their niche customers for consistency and high performance. With about 580 farms within a 30-minute drive from their mill, this focus makes sense for their business model. Seeing the horses run at Keeneland and meeting Gun Runner, a top stallion, at Three Chimneys Farm emphasized the need for precise rations for these horses. Chris at Three Chimneys Farm highlighted the impeccable business management skills it takes to run a stud farm. His experience was evident in the business practices he discussed.
Moving to Peterson Farms, Bill Peterson emphasized the importance of core values and a focus on producing the best wheat for his biggest customers that are bourbon distillers. In the bourbon industry, “just in time with the right quality” is the standard. By focusing on this niche, he’s able to provide them excellent service and grow the quality of wheat they need year after year for their signature bourbon. He customizes his crop to meet his operation’s market.
It was interesting to then follow the wheat to Maker’s Mark Distillery to see the bourbon making process. Makers Mark is certainly marketing to their niche customers, providing customized experiences such as tastings, opportunities for consumers to create their own barrel, and dipping their own bottles.
At Hinton’s Farm Market, Jeremy and Joanna described how their business has evolved given demand, adding flowers and a bakery over time, while continuing to tell the story of agriculture to everyone they meet!
At Chaney’s Dairy Barn in Bowling Green, knowing your niche came to life. This Jersey dairy now sells its milk retail in their store and some wholesale locations locally. The real draw is the ice cream and agritourism venue they have built on the farm. With development pressure and challenges, they have capitalized on the opportunity to serve the local community and tell their story to hundreds of passers-by on the main road headed toward Nashville.
Each of these ag businesses have done an excellent job identifying their ideal customer, and then basing their business model around serving this niche of the market to the best of their ability, while diversifying as needed for risk management purposes. Knowing your niche can pay off in business success, as well as in building deeper relationships with your customers and those you serve.
valeadersor.com 
The Halls are awesome people! My parents purchased feed (and sheep mineral at the time) from them for many years.