Farm Boy Case Analysis

Current analysis of Farm Boy reveals the considerations facing the company in providing direction to future marketing decisions. In their microenvironment, Farm Boy faces a high-level of reliance on their produce suppliers. Anticipation of environmental disasters like floods or droughts may impact FB’s margins or force higher prices; however, FB’s efforts to consistently maintain strong relations with their local suppliers may mitigate the effects of this. Furthermore, a positive public perception of FB is critical to uphold, and validates continuous efforts to create an unmatched customer experience with their brand. In addition, factors facing FB in their macroenvironment include a shift in the size of Canadian households, more working mothers, and urban migration indicating the need for larger food retailers in urban areas. This also encompasses trends in the cultural environment, where a decrease in loyalty to businesses gives FB an opportunity to capture market share by convincing consumers to switch their preferred retailers. …show more content…
Farm Boy is cognizant that their products are high quality and expensive, but for consumers, quality may be more indicative than price or their budget in their buying decisions.6 Furthermore, trends indicate that by 2031, 3/5 people in Toronto could belong to a visible minority, the largest being Chinese and South Asian, and that currently, 40% of Canadians eat out for lunch.1,3,9These segments are looking for quick, healthy solutions; to engage healthy eating, it has been identified that retailers must target dieters, individuals with balanced lifestyles who want pure and simple products, and need based individuals (eg. gluten-free, diabetic, veganism).5 The Farm Boy solution explicitly satisfies these specifications, especially through their home meal replacement