Values-Based Food Supply Chain Case Study: Idaho’s Bounty
Posted April 2013
Idaho’s Bounty was founded in 2007 as a cooperative with both customer and producer members. It provides logistical support for a direct-to-consumer, Internet-based food buying club. The co-op focuses on three regions of southern Idaho: the Wood River Valley (Ketchum), the Treasure Valley (Boise) and the Magic Valley (Twin Falls).
Farmer members each have a page on Idaho’s Bounty website where they share their stories, offer products for sale and set their own prices. Customer members place orders online. Sales agreements are between sellers and buyers. Idaho’s Bounty never owns any product but charges a 35 percent mark-up for maintaining the infrastructure for this direct marketing system. The co-op manages the weekly collection and delivery of products to designated pick-up sites in the three regions.
These publications are part of a series of case studies and Research Briefs examining values-based food supply chains—strategic business alliances formed between primarily midsize farms/ranches and their supply chain partners. Values-based food supply chains distribute significant volumes of high-quality, differentiated food products and share the rewards equitably. Farmers and ranchers function as strategic partners rather than easily replaced input suppliers. All participants in these business alliances recognize that creating maximum value for the product depends on significant interdependence, collaboration and mutual support. These supply chains attach importance to both the values embedded in the production of the food products AND the values that characterize the business relationships.