Direct marketing practice in Hungarian agriculture

Abstract

Farm-sale, also known as direct sale, provides major opportunities to farmers in the future. This kind of sale is of increasing popularity in Europe, but farmers have to be familiar with the regulations concerning processing and sales. Mainly small and medium farmers prefer direct sale. In this activity, they must compete with an increasing number of hypermarkets, supermarkets and wholesale markets. When talking about direct sale, it means that farmers sell their products directly to customers. There are more options: (i) sale in their own shop, (ii) through a catalogue and (iii) delivery to restaurants and shops. It has to be mentioned that the development of special local products means the products representing a common local value and principally those that can be associated with a specific village due to their historical heritage or tradition. There is no standard or official definition for special local products that includes all the possible factors. Efforts of marketing and rural development experts are needed to identify and market these special products to the appropriate consumers. Meanwhile it has to be noticed that, mainly in Europe, the definition and the possibilities of product regulation concerning geographical origin, are clearly defined and well-known. However, the “protection of geographical origin” is not the same issue as “special local products” mentioned above. In a wider sense, these can be described from a marketing point of view as “local product, common product” that interconnect and integrate villages, people and approaches, but are not regulated and protected legally. These products mentioned above reach the consumer in relatively small quantities, through direct sale, and they are often attached to the services of rural tourism. The local products are also developed to ensure high quality products for the consumer or to attract tourists. People can be proud of them since they cannot be bought anywhere else. Advisers are also helping farmers choose the right sales channels to diversify their marketing activities.