Dahlonega Butterfly Farm

Situation Analysis
Sydney Tribou, Phillip Moore, Mary Kiger, Chase Roper, Blaine West, Nicole Coalla

Macro Level External Environment

Political, Legal, Ethical Environment-
To operate a butterfly farm there are multiple regulations required in the agritourism sector.
There are multiple governmental requirements in place for environmental protection and animal
welfare. The movement of butterflies into the United States is controlled by the United States
Department of agriculture. The USDA only allows nine types of butterflies into the US and each
of them require different permits all for the wellbeing of the butterflies. There are international
trade agreements like the Convention on International Trade in Endangered Species of Wild
Fauna and Flora that has a strong influence on trade and the protection of butterflies. In the
agritourism sector wildlife and preservation is the center of the ethical environment. The proper
care is a necessity for any practice of butterfly farming.

Demographic/Sociocultural environment-
The demographic and socio-cultural environment of butterfly farming is very vast. Since the
reopening of the world after Covid-19 people are wanting to get out and have more experiences.
This attracts many families to butterfly farms to expose children to wildlife conservation and
sustainability. The current trend of sustainability and protecting the environment attracts
conservationists who are studying butterfly habitats and species. Butterfly farming also attracts
schools interested in field trips. Overall, the demographic and socio cultural environment of
butterfly farming is centered around interest in conservation and sustainability of the natural
environment.
Technology impacts-
The use of Artificial intelligence in butterfly farming is on the rise. For someone new to the
business of butterfly farming can use AI platforms to find information about butterflies and how
to successfully run a farm. Artificial intelligence is being used to help farmers track the quality of
pollinator habitats on the farms. Plants that are crucial for the survival of butterflies are being
monitored by drones. The drones take pictures of crops and AI counts the amount of useful
pollinator plants in the photo. The same technology is being used in agriculture to monitor crops
and quality of the crops.

Economic environment-
With the creation of any new business there is an impact on the economy. Partons pay the price
of emission into butterfly farms and are faced with many purchasing options while on the farm.
This leads to an increase in consumer spending benefiting the economy. This also causes a
decrease in unemployment because new jobs are created at new farms. In the case of an
economic downturn people are likely to not spend money on agricultural activities like visiting a
butterfly farm. The changing economic trends have a large impact on the economic environment
of butterfly farming. The government can provide financial support to butterfly farming for
conservation and sustainability initiatives. Another impact of the economic environment of
butterfly farming is competition.

Natural environment- Butterflies are pollinators and aid in plants reproducing. Butterflies in
conservation farms are helping the environment by doing their role in the ecosystem. Butterfly
farms mimic the ecosystems butterfly farms need to survive. At butterfly farms, conservationists
are able to study butterflies and help aid in the conservation of the different species. The
changing climate and temperatures negatively affects the life cycle of butterflies, and butterfly
farmers must be able to adapt to changes in the environmental conditions.

Internal Environment Analysis

Internal Structure
Cindy Sache is the owner of the Dahlonega Butterfly Farm and has been since 2023. It was
formerly owned by Jo Ann Goldenberg. She has since stayed with the company as the
organization went under ownership changes in the past year.

The Dahlonega Butterfly farm is fairly new as they opened up the conservatory in March of
2023. The recent opening of the farm has led to some difficulty getting attention to the locals in
the beginning but has been gaining more attraction as the warmer months pick up in tourism.

Since the conservatory revolves around the life cycle of the butterflies, and it is closed during
the colder months of the year which impact the business. When the conservatory is in operation,
the butterfly farm is only open on Wednesdays and Thursdays by reservation only.

Culture
As the Dahlonega Butterfly Farm website states, their mission statement is: “The Dahlonega
Butterfly Farm is a vision for a sustainable future. A future with clean air, fresh water and thriving
vegetation. It combines a love for the environment with the science and research needed to
create positive change for the community, and for generations to come. ‘Be Kind to Your
Planet’.” The Dahlonega Butterfly Farm has pride in maintaining a sustainable environment for
the future as well as conserving the biodiversity of its surrounding ecosystems. The organization
values the importance of reviving certain butterfly species as they are important to the local
environment and ecosystems.

The organization has a plethora of four and five rating stars on review sites like Google and
Yelp. There is an overwhelming number of reviews mentioning the likelihood of customers
returning and their positive feedback while visiting the farm. Many of the reviews come from
locals as well as people out of town visiting making it a great place for business. The reviews
are important to the business because it encourages potential customers to visit and support the
business’s mission statement.

Leadership
The Dahlonega Butterfly Farm offers many leadership opportunities for their local community.
The organization is open to volunteer work so people can help garden and overall maintain the
760 square foot conservatory which includes the farm and the greenhouse. Maintaining the
ground includes planting flowers and other various plants important to the aesthetics and
environment of the conservatory.

This Dahlonega tourist attraction also acts as a place of enrichment for students going on field
trips. On the field trips, students get to learn about the life cycle of butterflies and the importance
of pollinators in the environment

Finances
As far as finances go, the conservatory does not have this information open to the public but it is
clear that they are only open during the warmer months of the year and that impact the
business.

Competitive forces analysis

Two or three main competitors:
Dahlonega is home to many outdoor tourist activities that can all be seen as competitors to
Dahlonega’s butterfly farm. First, Red Oak lavender farm, which is a large five-acre plot
consisting of lavender and flower gardens, also had family friendly workshops. Butterfly season
and the time in which lavender blooms are close in season which is another reason for the
competition for customers. Consolidated gold mine is another competitor as it’s an all year
attraction in Dahlonega that has potential to reach a broader customer base. Wolf Mountain is
one of Dahlonega’s premier wineries that consistently tops the list of one the best wineries in
North Georgia, while It primarily attracts adults, its scenic view allows it to become a family
attraction as well. Below are the offers each competitor has compared to the butterfly farm.
● Dahlonega Butterfly farm:
Prices to visit:
Adults - $9
Children - $7
Seniors & military - $8
● Red Oak Lavender farm:
Prices to visit:
June - August admission fee - $5.00 per car of up to 4 people with 1.50 per extra person
There is No charge to visit the farm during our open hours, except in June - August.
● Consolidated Gold Mines:
Prices for tour (includes Panning activity):
Adults - $21.95
Children - $14.95
● Wolf Mountain:
Prices of Wine tasting:
Estate Tasting Flight – $25 per person
Group Tasting Flight – $30 per person
Plateau Tasting Flight – $35 per person
Above can easily be pointed out that the butterfly farm is a cheaper option when a tourist wants
to experience something different or new for the day.

Threats of new entrants:

Main barrier of entrance is the required USDA issued permit. The initial cost to begin harvesting
butterflies is roughly around $3,000. With the farm being quite small, there is potential for a
larger farm to come into the industry and reap a higher economies of scale, which will allow for
more market reach. With them being the only butterfly farm in North Georgia, there is potential
for new farms to enter the market due to the limited amount of market saturation.

Rivalry among existing firms:

Industries like the wineries found in North Georgia, have an intense rivalry that starts with the
ownership all the way down to the employees. This is just an example of how fierce competition
can become in a hotbed region for agritourism. Many people come out of town and only have a
limited amount of time available, and with there being so many substitutes in the region it's
important to stand out and give customers a reason to choose you over your numerous other
opportunities.

Threat of substitutes:
The threat of substitutes for Dahlonega's butterfly farm is indirectly high. While there may not be
direct substitutes for the experience of visiting a butterfly farm in the immediate vicinity, other
outdoor tourist activities in Dahlonega, such as visiting vineyards, lavender farms, or exploring
historic sites like the Consolidated Gold Mine. All of these serve as an indirect substitute.
Additionally, tourists may opt for alternative destinations altogether, such as nearby national
parks or other sustainability locations in Georgia. Therefore, the availability of diverse
recreational options poses a considerable threat to the butterfly farm's ability to attract and
retain customers.
Bargaining power of buyers and sellers:
For buyers, their bargaining power may be moderate. While tourists have numerous options for
outdoor activities in the area, with the butterfly farm being such a unique experience and its
status as the only one in North Georgia may give the farm some leverage in attracting visitors.
However, buyers have the flexibility to choose among various attractions, which could limit the
farm's ability to dictate prices or terms.
The butterfly farm as a seller's bargaining power may be limited. As a relatively small operation
in a competitive tourism market, the farm may face challenges in negotiating favorable terms
with suppliers. This is especially true if they rely on specialized equipment or resources for
butterfly cultivation. Additionally, if there is a crowded market of similar businesses in the future
sellers may face increased pressure to differentiate their offerings or lower prices to remain
competitive. Overall, the bargaining power of both buyers and sellers is influenced by the level
of competition and the perceived value of the butterfly farm experience relative to other
attractions in the region.

Industry and Market

Industry Analysis:
The practice of breeding different species of butterflies in controlled environments to support
conservation efforts, such as providing repopulating declining populations and offering
educational opportunities. The industry is a small one but has begun to grow over recent years
with global turnover being around 100 million US dollars. This means how quickly a business
replaces assets in a specific period of time. Agritourism is a growing business opportunity that is
beneficial to this industry with more rural businesses engaging with consumers. Some industry
characteristics are that since butterflies are more active during the warmer months of the year
business look for most of their income to happen during this time. Another one is that the market
is relatively small which can make it difficult for the potential to grow the business. Some of the
trends that are seen in the industry is the educational value that it can provide to schools and
the surrounding communities. This can create opportunities for partnerships where they can
provide workshops and tours to gain additional revenues. Also the trends of eco tourism and
sustainable practices by offering consumers chances to learn about the environment and what it
takes to maintain the facilities. Some statistics the business can track are things like visitor
demographics and keeping track of attendance. Long-term prospects for the industry are
committing to sustainable practices and conservation efforts. Also being able to adapt to
consumer preferences and the ability to diversify income streams.

Market Analysis:
Since the market is so niche for butterflies it's hard to determine the size of it in Georgia and
Dahlonega. Consumer needs around the area that the business is based in are mainly tourist
activities. Things that are going to attract people to take part in while they are in town or the
surrounding area. The butterfly farm is a unique business that is a great opportunity for growth
in a tourism centric place like Dahlonega. The projection and trends for the business has to do
with being able to always adapt the business to have multiple revenue flows and understanding
what the consumer wants. Conducting research on what the tourism trends are and what the
competitors are doing is also beneficial to understanding how the business can become a
prominent place to visit.

Summary- SWOT
 Strengths Weaknesses

● Sustainable and biodiversity efforts. ● Seasonal operation: they are closed

● Only conservation within a 10 mile
radius that habitats butterflies.
● Hands on business strategy so that
clients can help maintain the garden.
● Educational programming for the kids
who go to the farm.
● Well designed enclosures for the
butterflies: lots of research required.
during the colder months
● Depends more on field trips and
volunteering.
● High maintenance: requires
specialized care, feeding, and
monitoring.
● Small space: having a smaller
conservation space may hinder
appeal.

Threats Opportunities

● If the weather becomes really bad it
will affect attendance.
● It’s a smaller market, potential threat
of new entrants of agritourism.
● Continuous environmental &
sustainable movements
● Controlling pests and diseases that
affect butterflies can be challenging.
● Aging population that is moving out of
cities and moving to the mountains
● The trend of ecocentric tourism is
growing.
● Partnerships with Botanical Gardens
or nature reserves to contribute to
conservation efforts.
● Global awareness in biodiversity can
attract national interest.

Goals and Objectives

Goal 1: Build brand awareness

Objective- Grow in social media presence by at least 5000 followers and creating more
engaging content.
Objective- Engage in at least one community event per month to build brand awareness in the
local community by handing out advertising literature.

Goal 2: Enhance customer relationships

Objective- Send out text message subscriptions with discounts, event invitations, and other
information useful to the conservation.
Objective-Measure customer satisfaction through surveys,reviews, and feedback mechanisms.
Aim to continuously improve satisfaction scores.

Target Market - Zayne

Brand Positioning Statement

Buyer Persona
Marketing Mix Strategies:

Product / Service -

The Dahlonega Butterfly Farm’s main product service is their dedication to the experience the
customers have in their conservation. The conservatory offers the ability for customers to see
butterflies in a natural habitat as well as a controlled greenhouse environment where lush plants
mimic a habitat for the butterflies to thrive. It also offers a unique wine tasting experience.
Though the website does not state what kind of fine, vintage wine they carry, the website does
state that they source their wine from a local winery in the area

The Butterfly Farm also offers educational programs for schools where students can learn about
the importance of butterflies in the ecosystem and the life cycle. This also can include hands on
activities

A gift shop is open to customers so they can buy butterfly related gifts and merchandise.

Because this is a natural habitat for butterflies, the Dahlonega butterfly farm is also starting to
open their venue out to guests for weddings, birthday parties, and corporate events. Doing so
can also encourage people to come back to the establishment outside of a special event and
instead, on their own time.

Price-
The pricing of the tickets is pretty standard. Adult tickets cost $9, Senior $8, and Children under
12 $7.

Promotion / Integrated Marketing Communication Plan

The Dahlonega Butterfly Farm communicates with their customers through the use of their
website and their social media sites. The butterfly farm website shows all the attractions and
offerings they have including their prices and wine options. Their Instagram has links to their
street address, website, and other social media sites to make it easy for consumers to find more
information. To strengthen their promotion through social media we will aim for at least one post
per day and try to interact with as many local businesses social media pages by commenting
and reposting content. This will increase their social media presents.

Within the next year, the Butterfly Farm will place tangible marketing literature in other local
Dahlonega businesses like other agritourism sites and wineries. This creates a different
marketing channel for new customers who may not be on social media. The farm will also keep
their website up to date with any new information to help promote any new attractions.

Another way to expand the Butterfly Farm promotion is collaborating with other content creators
through social media. This helps the company gain new followers increasing their awareness.

The Dahlonega Butterfly farm will also implement a text and email program that will send
customers updates about the farm and upcoming events to look out for.

Place / Distribution
Located just outside the town of Dahlonega, the Dahlonega Butterfly Farm is perfectly
positioned in the stunning scenery of North Georgia located just an hour away from Atlanta.
Offering a peaceful retreat from the busy city life, the farm invites visitors to participate
themselves in the conservation of nature and allows for visitors to grab a bottle/glass of wine
locally sourced from Ellijay . Despite it being close to town, the farm maintains a serene
atmosphere, providing an ideal spot for a day trip or weekend getaway. Surrounded by greenery
and captivating landscapes, the farm offers a beautiful picture backdrop for observing the
beauty of butterflies. Its convenient location near other attractions like wineries and historic sites
makes it a key stop for tourists exploring the area. The farm's location strikes a good balance
between accessibility and natural beauty, appealing to both locals and tourists seeking an
unforgettable outdoor experience.
 Marketing Strategies
Target Market: The Dahlonega Butterfly Farm is in a fantastic location that already attracts
people from all over the state, so they have a great opportunity to tap in the current North
Georgia Market and expand upon it. The main group of people that would flock to the butterfly
farm are families. The farm offers many unique experiences that caters to both adults with their
selection of wine and also children with their many interactive attractions. With the numerous
wineries in North Georgia, there will be inevitable spillover from wine enthusiasts that would like
a change in scenery, as they also offer tastings. With the natural beauty of North Georgia and
the presence of social media, many people will come due to reels they see from Instagram and
Tiktok. This is based on the fact that most of the wineries have benefited from social media, due
to many users having the ability to make a certain location or attraction go viral. Overall, the
main market is families, due to the nature of the attractions, however many people will give the
butterfly farm a chance through posts they see on social media.