Choice Of Marketing Channels Research Articles

Determinan Yang Memengaruhi Pemilihan Saluran Pemasaran Kopi Robusta Di Kabupaten Malang

The demand for coffee in Malang Regency by determining the quantity of commodities is very dependent on the marketing subsystem. Robusta coffee marketing channels in Malang Regency include marketing institutions, namely small traders, sub-district collectors and large traders. Coffee marketing is dominated by small traders. This research aims to analyze the determinants that influence the choice of marketing channels for Robusta coffee in Malang Regency. The location of this research was carried out in two villages, namely Srimulyo Village and Sukodono Village, Kec. Dampit, Kab. Poor. The respondents in this research were Robusta coffee farmers in two villages in a total of 60 respondents. Marketing agency respondents were then determined using snowball sampling techniques. Snowball sampling method by collecting data based on information from previous respondents based on existing marketing patterns in Malang Regency. This research uses multinomial logit analysis by determining efficient marketing channels as a reference variable. Based on the results of marketing channel analysis, it was found that there are 5 marketing channel patterns. Marketing channel 1 consists of 27 farmers and the largest channel choice is 45%, while the results of the marketing efficiency analysis show that channel 5, namely direct farmers to wholesalers, is the most efficient. Marketing channel 5 consists of 11 farmers with a percentage of 18.3%. The results of the research show that 3 variables influence the choice of marketing channels, namely production volume, farming experience, and education level. Suggestions from research for extension workers and local governments need to assist farmers regarding financing and coffee market information so that marketing channel choices are more varied.

Marketing channel choice and its determinants among small-scale oil palm fruit farmers in Akwa Ibom State, the southern region of Nigeria

Marketing channel choice and its determinants among small-scale oil palm fruit farmers in Akwa Ibom State, the southern region of Nigeria

Linking farmers to markets: Barriers, solutions, and policy options

The 15 studies highlighted in this special issue collectively underscore the significant impacts of market participation on farmers’ well-being, income, poverty reduction, dietary diversity, and rural economic growth. They also delve into the importance of marketing channel choice and the role of e-commerce in enhancing farmers’ market linkages. In addition, they address farmers’ preferences for market access interventions and the examination of market power within the agricultural industry, especially in low-income countries. The key findings include: (1) Market participation is critical for improving farmers’ subjective and objective well-being, with studies demonstrating positive impacts on income, poverty reduction, and dietary diversity; (2) The choice of marketing channels significantly influences income, with evidence suggesting online sales can substantially increase farmers’ earnings; (3) E-commerce plays a pivotal role in connecting farmers to broader markets, leading to income growth and enhanced market visibility; (4) Understanding and addressing farmers’ preferences for market access through interventions like systematization policies and joint ventures can facilitate better market integration and support inclusive business models; (5) Analysis of market power within the primary foods industry reveals rising markups, particularly affecting low-income countries. These findings suggest that policies and interventions aiming to improve market access, promote e-commerce, and consider farmers’ preferences and market power dynamics can significantly impact farmers’ incomes, poverty levels, and overall rural economic development.

Marketing channel choice of vegetable farmers in Guntur district of Andhra Pradesh

Marketing channel choice of vegetable farmers in Guntur district of Andhra Pradesh

Determinants of Marketing Channels Choices: Evidence from Vegetable Farmers in the Eastern Cape Province of South Africa

Vegetable farmers are faced with computational and informational restrictions when making marketing decisions. Fresh produce markets in South Africa lack an efficient approach to supply chain management, from the farmers to the consumers. Improving market access can incentivise smallholder farmers to scale up their production. The present paper investigates factors influencing smallholder vegetable farmers' choice of market channels in the Eastern Cape Province of South Africa. A structured questionnaire and a multi-stage sampling technique were used to select 149 vegetable farmers. Multivariate probit regression and descriptive statistics were used for analysis. The results show that most sampled vegetable farmers in the study area sell their vegetable produce to traditional, wholesale, and retail outlets compared to other outlets. The study found that vegetable farmers can substitute one market with the other. Various socio-economic characteristics, transaction costs, asset ownership, membership of farm organisations, and access to extension services influence the selection choice. The study recommends intensive education and training to capacitate smallholder farmers through extension officers and farm organisations to enable farmers to understand and meet the requirements of high-value markets.

Impact of COVID-19 on production decisions of marginal, small and medium farmers: empirical evidence from South India

PurposeThis study analyzes the impact of COVID-19 on agricultural production in South India by evaluating the influence of market channels and socioeconomic conditions on the production decisions of farmers during two key cropping seasons. We base our analysis on primary data from 200 marginal, small and medium farmers, primarily focusing on the key seasonal crops, namely paddy and black gram.Design/methodology/approachWe studied the downstream supply chains of paddy and black gram crops in the district of Villupuram, situated in the South Indian state of Tamil Nadu. Using a Bi-Probit model, we analyzed the production decisions of marginal, small and medium farmers engaged in paddy and black gram cultivation. Various factors are considered, including farmers’ socioeconomic characteristics, gender, market channels accessed and the coping strategies employed.FindingsAfter the easing of lockdown measures in June 2020, our research revealed substantial disruptions in agricultural production during the critical Kharif and Rabi seasons. Most farmers refrained from returning to their fields during the Kharif season; those who did produced millet as the main crop. Factors such as choice of market channels in previous seasons, economic status, access to all-weather roads, labor availability, gender and coping strategies played an important role in the return to production in the subsequent Kharif and Rabi seasons.Research limitations/implicationsOur data revealed several interesting threads related to price volatility, irrigation and access to markets and their impact on food security. The role of intermediaries and market channels in providing liquidity emerges as an important aspect of farmers' choice of markets. The pandemic impacted all these factors, but a detailed analysis was beyond the scope of this study.Social implicationsWe also find that resilience to economic shocks varies not only by economic status but also by gender and social groups. Farmers with female members are more likely to be resilient, and marginal and small farmers primarily belong to social groups that are economically less developed.Originality/valueThis study contributes to the literature on factors influencing farmer choice and decision-making and provides nuances to discussions by analyzing crop-specific supply chains, highlighting the critical role of socioeconomic factors. It also highlights the role of demographics and infrastructural factors like access to all-weather roads and access to markets that influence farmers’ production decisions.

Smallholders’ vulnerability in the maize market: An analysis of marketing channels to improve the role of cooperatives in Benin

Smallholder households in developing countries often face challenges related to market access. Despite being proposed as a potential solution, cooperatives in the north of Benin have reportedly failed to effectively address this issue. The alternatives channels used by smallholder famers and the factors that influence their choices remain unclear. This paper adopts a mixed approach, combining qualitative analysis with quantitative methods, particularly the multivariate probit model, to investigate the distribution channels of maize used by farmers in the Kandi district of Benin. The study aims to identify the current distribution channels of maize in Kandi and analyze factors that affect, smallholder producers choice of marketing channel. Initially, the study identified four primary channels for marketing maize—namely, collectors, wholesalers, brokers, and cooperatives—and producers typically commonly engage in multiple channels simultaneously. Subsequently, It becomes evident that factors such as age, cooperative membership, distance to market, reliance on informal credit, average maize bag prices, and the timing of sales significantly influence producers' selection of marketing channels. Interestingly, despite cooperatives offering comparatively higher prices, the majority of farmers opt for collectors due to the informal credit they provide and their practice of purchasing large volumes of maize bags at pre-agreed prices. In conclusion, enhancing joint-selling capabilities of cooperatives and establishing a credit provision business tailored to maize producers are identified as crucial steps. These measures aim to alleviate producers’ financial strain, diminish their dependence on collectors for credit, and bolster their bargaining power in the market.

Cost–Benefit Efficiency and Factors for Marketing Channel Choices among Avocado Farmers in Rungwe District, Tanzania

Avocado farming has grown into a significant agricultural industry in the Rungwe District, significantly contributing to the local economy. Improving market access for avocado farmers is essential to raising rural incomes and enhancing their standard of living. This paper aims to determine the most efficient avocado marketing channels and analyse the factors affecting marketing channel choices by avocado farmers in the Rungwe District. The study involved 196 smallholder avocado farmers and key informants. Data were collected through interviews, questionnaire surveys, and documentary reviews. Findings showed that the main avocado marketing channels used by farmers in the Rungwe District were categorized into brokers (90.3%) and local traders (9.7%). The local traders’ marketing channel was more efficient, with a price spread (per kg) of TZS 400 and a farmer’s share in consumers’ price of 75%. In comparison, the brokers’ marketing channel had a price spread of TZS 1300 and a farmer’s share in the consumer’s price of 48%, though it had a higher net price received by farmers (TZS 1200) than local traders (TZS 500). Findings from the multiple binary regression analysis indicated that the education level of the household head, farming experience, household size, farm size, access to market information, price, quantity of avocado purchased, mode of payment, and access to extension services had a significant influence on the choice of marketing channel. The findings recommend expanding avocado marketing channels and strengthening avocado farmers’ access to market information, extension, and credit services.

Consumers’ Marketing Channel Choice and the Impact on Logistics and Operations: A Systematic Literature Review of the Fresh Food and Grocery Sector

Background: Diverse marketing channels have been developed with the advent of digitalization. In the fresh food and grocery retail sector, consumers may have a large choice of channels to shop from. In this case, an analysis of their behavior is crucial for retailers. Therefore, the present paper provides a state-of-the-art review of existing papers dealing with consumers’ channel choice when buying groceries. Methods: A systematic literature review (SLR) is performed following the Preferred Reporting Items for Systematic Review and Meta-Analysis (PRISMA) procedure, identifying 36 research papers published in the last decade. Results: The results present the principal methodologies adopted by the analyzed research papers to address this topic, along with the various channels available to consumers to date. Other important outcomes of this review include the main variables that can affect consumer choice when deciding between the available channels and the limitations of the analyzed papers, along with suggestions for future research directions to address these limitations. Conclusions: This paper discusses the essential effects of consumers’ channel choice on the logistics and operation services of grocery retailers. It also provides an integrative framework linking the influencing factors of consumer choice with outcomes directly impacting grocery retailers’ logistics services.

Analyzing Factors Influencing Milk Marketing Channel Strategies in Punjab

Raising livestock has long been regarded as an important activity in the nation’s rural areas. The Indian dairy industry has undergone noteworthy changes with the tremendous increase in the production of milk. The provision of assured marketing channels is crucial for dairy farmers to reap the economic benefits of milk production. The present study aims to examine the drivers behind the dairy farmers’ decisions about milk marketing channels in Punjab. The primary data used in this study has been collected from 21 villages and 420 dairy farmers using a multistage sampling technique in 2019, belonging to three different zones of the state. Henry Garrett’s Ranking Technique was used to determine the significant factors influencing their choice of milk marketing channels. Higher milk price, with a mean value of 71.64, is found to be the main driver for choosing the milk marketing channel, followed by doorstep collection with a mean value of 56.70, and provision of advances with a mean value of 54.55. There is a need to strengthen the dairy cooperatives to reduce the involvement of the unorganized sector in the marketing of milk in the state of Punjab.

Analyzing Optimal Marketing Channels in the Vegetable Supply Chain: Exploring Factors Influencing Marketing Channel Selection

Potato is amongst most important vegetables being used in kitchens of ordinary and common men. The income elasticity of demand of potato is relatively high as compared with other vegetables. In Pakistan, the traditional fruit and vegetable markets and considered to be the places of pure competition and farmers are linked to these markets via different marketing channels. This study delves into the analysis of optimal marketing channels within the vegetable supply chain, with a focus on understanding the factors that influence the selection of these channels. The study used cross-sectional primary data gathered from different supply chain actors, including 120 potato growers, 20 retailers, 20 consumers, 16 commission agents, and 16 wholesalers from two districts of Punjab, namely Okara and Chinote. This research employs a two-fold methodology. First, it involves the identification of the optimal marketing channel among five alternatives using a unique ranking technique methodology. Second, it employs regression analysis with binary endogenous treatment to discern the factors affecting the choice of marketing channels. The study sheds light on the intricacies of marketing channel decisions in the vegetable supply chain, offering insights into the preferences and considerations of stakeholders in the Okara and Chinote districts of Punjab, Pakistan. The findings of the study contribute not only to the understanding of optimal channel selection but also to the broader knowledge of the factors that influence these decisions. These insights are valuable for practitioners, policymakers, and researchers aiming to enhance the efficiency and effectiveness of marketing strategies within the agricultural sector, benefiting farming communities and the country as a whole.

Assessment of Marketing Channel Choice and its Impacts: The Case of Paddy Smallholders in India

Market access for smallholders is a key policy issue in developing economies. However, smallholders often face barriers in accessing remunerative marketing channels. Combining the theoretical framework drawn from resource-based view, social exchange, and transaction cost theory, we jointly estimate the determinants of marketing channel choice and the impact of channel choice in a joint framework. Results show that households’ resource endowments and social capital influence channel selection decision. Paddy sales through government agencies help farmers realize higher prices because of the higher government support prices and proximity to farms, whereas sales through licensed traders operating in the regulated markets (APMC) results in reduced paddy prices due to high transportation costs. Furthermore, smallholders preferring government agencies, processors, and licensed traders over village traders realize greater farm income. Reasons for such findings can be deduced to be the result of low marketable surplus for smallholders selling to village traders.

Marketing performance and factors influencing farmers choice for agricultural output marketing channels: the case of garden pea (Pisum sativum) in India

Agriculture is the backbone of Indian economy and farmers play significant role in sustaining the sector. However, farmers face several challenges such as poor market access and limited access to market information which adversely affect their marketing performance. Therefore, this study aimed to examine the marketing performance and factors influencing farmers choice for agricultural output marketing channels in garden pea in the Indian state of Himachal Pradesh. The study utilized primary data collected through structured questionnaires administered via the interview method to a sample size of 400 farmers selected through a multistage stratified random sampling technique. The data collected were analyzed using descriptive statistics and acharya approach to study the marketing performance. Further, a multinomial logistic regression model was used to determine the factors that influence farmers marketing choice of marketing channels. Additionally, the constraints experienced by farmers during marketing were investigated using garret ranking. The study revealed that farmers who sold their pea directly to consumer had higher marketing performance than those who sold through market intermediaries such as local traders, commission agents and wholesalers. Further, the results indicated that farm income, farm experience, distance to the market and market information were significant determinants of farmers choice for marketing channels. Whereas, lack of market consultancy, high commission chargers and poor transportation were the major constraints faced by farmers during marketing of pea. The findings of this study highlight the need for policymakers to develop and implement interventions that enhance farmers marketing skill, facilitate access to markets, improve negotiation power which can lead to higher incomes for farmers, improve their livelihoods, better quality produce for consumers and a more efficient and sustainable food system.

Smallholder Vegetable Farmers’ Choice of Agricultural Marketing Channels in Maekel Region, Eritrea

One of the major problem of agricultural development, in developing and transition economies, is the lack market and marketing channels for agricultural produce. Market channel choice makes important contributions to the incomes and other livelihood attributes among smallholder farmers in developing countries. However, smallholder farmers in developing countries do not use output markets effectively due to a number of factors. The objective of the study was to assess the technical, institutional and demographic factors that determine marketing channel choices of small scale vegetable farmers in Maekel region, Eritrea. Data were collected from 206 randomly selected vegetable farming households from 13 villages. Three marketing channels were identified in the study area. These are farm-gate sales, private traders and a combination of both. The result of the study revealed that almost half of the farmers (52%) use farm-gate, while 24% and 23% of the farmers choose private traders and both marketing channels for the sale of their vegetable produce, respectively. Moreover, result of the multinomial regression reveals that education, gender of household head, household size, age of household head, distance from the market, availability of road infrastructure and social network of farmers significantly influence marketing channel selection of smallholder farmers. The results of the study are used to draw policy recommendations that improve marketing channel selection of smallholder vegetable farmers.

Profitability, market outlets and constraints to Ghana's pig production

Access to profitable marketing outlets by small-scale pig producers is a major concern in Ghana. This study uncovered the market outlets available to small-scale pig farmers and examined the profitability of these outlets, the factors influencing their choice of these outlets as well as constraints to the marketing of small-scale pig farming in Ghana. It used data collected from 398 small-scale pig farmers in selected districts of six regions in Ghana. Descriptive statistics, income statement and multivariate probit model were used in analyzing the data. The results indicate that small-scale pig farmers in Ghana utilize existing market outlets such as direct sales to consumers, retailers, commission agents and sales through farmer associations. The return on investment implies that small-scale pig production is a profitable venture with sales through farmer associations being the most profitable outlet. We therefore conclude that pig farming, although profitable across all outlets, is most profitable when channeled through farmer associations, with an impressive return on investment of 71.54%. The results of the multivariate probit analyses also revealed that the choice of marketing channel for pig farmers is influenced by price per kg of pigs sold, feed cost, gender, herd size, educational level, association membership, land ownership, credit accessibility, availability of storage facilities and access to market information. Finally, the analysis of marketing constraints revealed that price instability, market instability, and access to market information are the most pressing constraints to pig production in Ghana. The findings suggest that small-scale pig farmers can boost their incomes by developing direct sales through farmer associations to help increase their bargaining power and reap more benefits in the pig value chain. Also, the study recommends that addressing key constraints like price instability by providing access to real-time market information through digital platforms could modernize the small-scale pig farming sector in Ghana.

Multi-level marketing system with industrial food processing in Africa: smallholder tomato farmers in Tanzania

Abstract There are few challenges greater than the puzzle of how to move perishable goods from smallholders’ fields to final consumers, particularly where transportation barriers abound. Industrial processing can relax the perishability constraint and improve smallholders’ options. In Iringa, Tanzania, multiple tomato processing establishments and traditional marketing agents are available for farmers to use. Information about the channels is expected to be vital for producers to choose optimally. In this study, we collected field data from 286 smallholder farmers and analyzed their market channel choice using the random utility model implemented with multinomial logit regression. Revenue performance was further evaluated. Our results confirm that access to market information and extension services were associated with higher farm revenue. Women farmers had more concerns than men about lacking information. Market participation differed by size of the business. Farmers with higher harvested quantity were more likely to choose industrial processing. Producers with small farms preferred full marketing service and mid-size farms chose wholesale markets. Agribusiness management scholars may follow similar research design with future attention paid to elicitation of producers’ information about the marketing channels.

Social Media as a Marketing Tool

Purpose: The study focused to conduct a comprehensive comparative analysis between social media marketing and Traditional media marketing.
 
 Theoretical Framework: The theoretical framework for this research on the comparative analysis of traditional media and social media consists of a series of contrasting statements that explore key dimensions like attractive advertising, informative advertising, reliability advertising etc. aiming to elucidate the distinct characteristics and implications of each marketing approach.
 
 Design/Methodology/Approach: The study is an exploratory based. The primary data is collected from 363 customers in Manipur using structured questionnaires. The data are analyzed using proper statistical tools- IBM SPSS Statistics 25 to determine which approach is more preferred by customers in the market situation of Manipur.
 
 Findings: Research results found that there is a significant difference between social media marketing and Traditional media marketing. The social media marketing is more preferred by customers over Traditional media marketing.
 
 Conclusion: Based on the research findings, the study intends contribute to a deeper understanding of the evolving landscape of marketing strategies and assists businesses in making informed decisions regarding choice of marketing channel in a small state like Manipur.
 
 Originality/ Value: The study lies in the holistic exploration of the contrasting dynamic between social media marketing and traditional media marketing. The study also enhances our insights into optimizing marketing decisions and harnessing the synergies between these two distinct yet interconnected avenues in the evolving landscape of media strategies.

Determinants of Marketing Channel Choice Among Handloom Micro-entrepreneurs: Evidence From Rural Assam, India

Using primary data collected from 230 handloom micro-entrepreneurs of rural Assam, present study made an attempt to understand the marketing efficiency across different marketing channels of handloom products, and identify the factors determining handloom micro-entrepreneurs’ decision to select a marketing channel. Marketing efficiency was examined using standardised indices. A multinomial logistic regression model was estimated for identifying the factors determining marketing channel choice decision of handloom micro-entrepreneurs. Analysis of data reveals that though the retailer channel was economically most efficient among the three identified marketing channels in the study area, majority of handloom micro-entrepreneurs have chosen the least efficient channel of travelling traders for selling their produce. Using travelling traders as reference category, the results of regression estimate suggest that education of the entrepreneurs, firm size, access to market information, collective action through weavers’ groups, access to credits, and transaction cost-related factors significantly influenced the decision of handloom micro-entrepreneurs in the choice of marketing channels.

Analysis of Burberry's Marketing Strategy

Over the past decade, digital marketing has become essential to an organization's market-ing strategy. As a leader in the luxury market, Burberry's digital marketing is the core part of its operation. It has successfully adopted digital marketing strategies to attract the younger generation. As a form of online marketing, it has enabled Burberry to build its brand image and revolutionize the marketing industry. The brand's digital marketing is re-flected in its product design, campaign videos, creative content, and choice of marketing channels. This paper analyzes Burberry's digital marketing strategy and provides sugges-tions for the luxury industry based on Burberry's analysis.

Determinants of commercialization and choice of market channels among smallholder groundnut farmers in the Capricorn District, Limpopo Province, South Africa

Groundnut (Arachis hypogaea) is one of the most significant crops in South Africa and Africa due to its various health benefits and diverse uses. Groundnut production provides employment for farmers, starting from the production to the marketing phase. This study aims to analyse the determinants of commercialization and the choice of market channels (local market, urban market and farm gate) among smallholder groundnut farmers. The study was conducted in the Capricorn District of Limpopo Province, South Africa, in the three villages namely; Moletlane, Ga-Molepo and Zebediela. A purposive sampling technique was used to sample 100 smallholder farmers from a sampling frame of 405 groundnut farmers. A semi-structured questionnaire was used to collect data by interviewing 100 selected smallholder farmers and Statistical Package for Social Science (SPSS) version 27.0 was used to analyze the data. The binary logistic regression model was employed to analyze the factors affecting commercialization of groundnuts amongst the smallholder farmers. Furthermore, the study applied multinomial logit model to determine the choice of market channels for groundnuts amongst the smallholder farmers. The study’s results indicated that 51% of the smallholder farmers sold their groundnuts at an urban market, 35% at a local market and 14% at the farm gate. The results of the study further indicated that age, gender, level of education, household size, access to extension services, groundnut yield, and employment status had a significant influence on the groundnuts commercialisation by smallholder groundnut farmers. The variables of gender, distance to the market, vehicle ownership and employment status had significant influence on the choice of market channel of the smallholder groundnut farmers in the study area. Smallholder farmers’ access to market information is limited, therefore, the local agricultural department and municipalities should initiate an extension programme that will focus and put more emphasis on the access to market information. Policies aimed at improving commercialization among smallholder groundnut farmers should be informed by the factors and determinates found in this study. Key words: Groundnut, smallholder farmers, commercialization, market channel, multinomial logit model