Behind every CrowdFarming project there is a producer or a group of producers who make it possible. How much do the producers earn? How much does CrowdFarming earn? What services and guarantees do they offer? How are prices constructed?
“Disintermediation promotes organic farming. They are two different things, but we have found that they feed on each other. In our case, thanks to direct sales, we have been able to create a profitable agricultural business on which more than 50 families live by farming organically”.
Gonzalo Úrculo, farmer and co-founder of CrowdFarming.
Farmers use crowdfarming.com as a platform to launch direct sales of their food. Our team helps them with 5 activities: setting up their public profile, publicising their products, developing packaging, attending to customers and managing shipments.
The basic selling price is decided by the farmer. CrowdFarming services and VAT are then added to this price, depending on the country of destination. Discounting the VAT that the farmer pays in the country where he sends his products, this is what each of the parties takes:
- 50% to the farmer for growing and harvesting the produce
- 25% the transporter for transporting the order to the home address
- 22% CrowdFarming for the 5 aforementioned services
- 3% financial commission for payment methods (credit card, paypal, sepa, etc).
Note: our margin of 22% is the annual average. For adoptions, our margin is 16% and for individual box sales, our margin is as high as 32%. By promoting adoptions at a better price, we ensure that farmers can secure the sale of their crop and have more predictability regarding their income.
The cost savings on adoptions are related to marketing costs savings due to the fact that these are loyal customers and transport costs savings due to more efficient management.
How to ensure fair food prices?
By allowing the farmer to set their prices based on their real costs and at the same time, simplify the supply chain so that the price at the customer’s end remains competitive.
At CrowdFarming we are against setting a fixed price for food (commodity) at which farmers are obliged to sell. The fair price of a product is one that reflects its uniqueness based on the country of origin, the quality of employment it generates, the farming methodology and the packaging material.
CrowdFarming Guarantee
The farmers and the CrowdFarming team assume the risk of any incident that may occur during your purchasing experience. If the product you receive does not arrive in good condition, we will offer you a replacement or an adequate refund.
Comments
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Comentarios
What has happened with the prices? Guess you show the price in our currency. But why the euro sign?
Hello Annica,
we are a Spanish company and have written our transparency report in one version, therefore all figures and turnover are shown in Euros. If you want to shop on our site, all prices will be displayed in pounds, don’t worry.
We send our best regards! ☀️
The prices are fairly high.. we eat a ton of organic fruit and vegetables and are very familiar with the prices. This produce is non organic and this high prices… I understand to support the farmers but what about the consumers… .it’s a good concept but the consumer is at a loss..
Thanks for your feedback. As a society, it´s important to recalibrate our understanding of the value of farmers and workers.
With our system, we have created a fair way for farmers and workers to also support themselves without being eclipsed by retail or socio-economically undermined while they make ethically harvested food available and accessible. We understand your concerns about cost. The cost is inclusive of shipping and a larger quantity. However, accessibility cannot have the onus carried exclusively by farmers and workers who also need to be able to sustain themselves and are frequently economically weakened already.
This is a larger, more systemic and nuanced topic with many societal contributors and we are trying to create the best alternative process we can as opposed to the intermediary that undermines both farmers and clientele alike. Your feedback is valid, but everything is a work in progress and progress takes time and proactiveness. However, we appreciate your contribution to the conversation just the same and hope that you will give us a chance some day in the future. Thanks just the same for your feedback. We hope that you will give our farmers a chance someday. 🌸
I received the boxes 1-3 days later than I had been notified by e-mail. This is a problem in the hot season. Can you choose a better delivery service than DHL?
Thank your for your comments! Transportation is for sure a critical area where we put our best efforts. In case of incident on your products, you have 14 days to contact us and open a claim https://support.crowdfarming.com/l/en/article/fc5o8jvdyb-what-can-i-do-when-i-m-not-satisfied-with-the-harvest-i-receive
We actually monitor and evaluate the different carrier to take decisions on where to improve. Be sure your feedback and claims are used to improve our service.