Products are on consignment the retailer is encouraged to seek the best price in negotiation with the consumer.
All parties share in the sale and risk. There is an incentive for the Retailer to sell at the best price possible.
The digital wallet makes the program much safer and everyone gets paid sooner.
Revenue from advertising and promotions.
Advantage of the Active Pricing Model:
*Shorter Supply Chain
In an effort to encourage sustainable agriculture the EU emphasizes that a “short” supply chain is better – less handling, less transportation, more profit back to the Grower.
Products sourced from a distant destination must meet a quality standard. Any produce that does not fit the exacting dimensions is discarded.
At some agreed upon price nearly every product can find a buyer.
The Active Pricing Model encourages the sale of every eatable product.
The Linker interacts with the Grower and the Retailer on a regular basis.
It is easy for the Linker to reuse bags and boxes.
Less transportation uses less fuel.
Each link in a supply chain requires additional labor and that results in more energy used.
A shorter supply chain requires less labor and less expense.
Locally Grown is picked at near its peak of maturity.
As the fruit and vegetables reach their degree of ripeness, the more vitamins and antioxidants are present.
*Can utilize unused small spaces
“Market gardening’ is a concept based on the efficient use of small areas of land using manual labour and simply mechanised equipment” eip-agri, ec.europa.eu.
Such as a backyard
An easement along the rail line
A vacant lot
The closer the grower is to the end consumer the more of the retail price makes it back to the grower.
In the Active Pricing Model, the Grower has the freedom to seek a higher return.
*Agroecological farming – agricultural practices based on a deep ecological knowledge of agri-ecosystems that work with natural processes.
*Most Small Plot Growers are organic.
The PeazPlez Ap maintains a link to the digital wallets. Money is transferred with the security provided by the wallet companies.
The Linker does not have to keep track and carry currency to or from the interaction with the Growers. This adds significant security.
The consumer can scan the QR code or NFC chip on display to receive information related to the provenance - where the product was grown and when it was picked.
*Keeps Money in the Local Economy
When buying locally the money is more likely to turn over in the immediate economy