Marketing Margin Analysis and Farmer Share

Oct 13, 2025 by thesweetdesigns.com 122 views

Introduction

Afkir Chicken is a type of laying hen that is no longer productive in laying eggs, but still has economic value for farmers and producers. These chickens are usually distributed to traditional markets. The study aims to analyze the factors that cause the high price of laying hens in the City of Binjai through marketing channel analysis and marketing margins. This research was conducted at the Tavip Market and laying hens from July 27 to August 27, 2018, using a survey method with 28 respondents in the Tavip Market. Primary data obtained from retailers in the market, while secondary data are taken from relevant agencies such as the Central Statistics Agency. The parameters studied include marketing institutions, marketing channels, and marketing margins.

The distribution process of Afkir Chickens from producers to consumers involves two marketing channels. The first channel is breeders → agents → retailers → consumers, while the second channel is breeders → retailers → consumers. The lowest marketing margin is in the first channel, which is Rp. 7,000, while the highest margin is in the second channel, reaching Rp 7,600. In terms of the Farmer Share value, the second channel shows the highest number of 75%, while the first channel is only 66.7%. This shows that the second marketing channel is more efficient than the first channel.

Marketing Margin Analysis and Farmer Share

Marketing margin is the difference between the price paid by consumers and prices received by producers. In the context of afkir chickens, marketing margins can provide an overview of how much costs incurred in the distribution process. This study revealed that the second channel, which has a higher margin, also provides more value for farmers. With 75% Farmer Share, breeders get a proportion that is greater than the selling price of Afkir Chickens to consumers. This shows the effectiveness of the second channel in maximizing farmers' income.

The factors that influence the difference in marketing margin between the two channels need to be further analyzed. The first channel involving the agent may add additional costs that are not in the second channel. Agents act as an intermediary that may result in an increase in costs charged to consumers. On the other hand, the second channel that directly sells from retailers to consumers reduces the number of intermediaries, so that prices can be more affordable for consumers and at the same time increase profitability for farmers.

Marketing Channel Analysis

The study found that there are two marketing channels in the distribution process of Afkir Chickens. The first channel is breeders → agents → retailers → consumers, while the second channel is breeders → retailers → consumers. The lowest marketing margin is in the first channel, which is Rp. 7,000, while the highest margin is in the second channel, reaching Rp 7,600. In terms of the Farmer Share value, the second channel shows the highest number of 75%, while the first channel is only 66.7%. This shows that the second marketing channel is more efficient than the first channel.

Factors Influencing Marketing Margin

Conclusion

From the research conducted, it can be concluded that there are two marketing channels of laying hens in Binjai City, with a more efficient second channel. Sellers and producers who can optimize marketing through this channel have the potential to get better profits. Therefore, it is important for farmers to understand the dynamics of existing marketing in order to be able to utilize more efficient and profitable channels in distributing afkir chickens. Thus, both breeders and consumers can feel the benefits greater than this transaction.

Recommendations

Based on the findings of this study, the following recommendations are made:

Farmers should understand the dynamics of existing marketing in order to be able to utilize more efficient and profitable channels in distributing afkir chickens.
Sellers and producers should optimize marketing through the second channel to get better profits.
The government should provide support to farmers and producers in order to increase their income and profitability.
The study suggests that the second channel is more efficient than the first channel, therefore, farmers and producers should focus on the second channel.

Limitations of the Study

This study has several limitations, including:

The study was conducted in a single market, therefore, the findings may not be generalizable to other markets.
The study only analyzed two marketing channels, therefore, the findings may not be comprehensive.
The study did not consider other factors that may influence marketing margin, such as transportation costs and storage costs.

Future Research Directions

This study suggests several future research directions, including:

Conducting a study on the marketing channels of other types of poultry products.
Analyzing the factors that influence marketing margin in other industries.
Conducting a study on the impact of marketing margin on the profitability of farmers and producers.

Conclusion

In conclusion, this study found that there are two marketing channels of laying hens in Binjai City, with a more efficient second channel. Sellers and producers who can optimize marketing through this channel have the potential to get better profits. Therefore, it is important for farmers to understand the dynamics of existing marketing in order to be able to utilize more efficient and profitable channels in distributing afkir chickens. Thus, both breeders and consumers can feel the benefits greater than this transaction.

Introduction

Afkir Chicken is a type of laying hen that is no longer productive in laying eggs, but still has economic value for farmers and producers. The study aims to analyze the factors that cause the high price of laying hens in the City of Binjai through marketing channel analysis and marketing margins. This research was conducted at the Tavip Market and laying hens from July 27 to August 27, 2018, using a survey method with 28 respondents in the Tavip Market.

Q&A

Q: What is the purpose of this study?

A: The purpose of this study is to analyze the factors that cause the high price of laying hens in the City of Binjai through marketing channel analysis and marketing margins.

Q: What are the two marketing channels of Afkir Chickens in Binjai City?

A: The two marketing channels of Afkir Chickens in Binjai City are:

Breeders → agents → retailers → consumers
Breeders → retailers → consumers

Q: Which marketing channel has the lowest marketing margin?

A: The first marketing channel, breeders → agents → retailers → consumers, has the lowest marketing margin of Rp. 7,000.

Q: Which marketing channel has the highest marketing margin?

A: The second marketing channel, breeders → retailers → consumers, has the highest marketing margin of Rp 7,600.

Q: What is the Farmer Share value in the second marketing channel?

A: The Farmer Share value in the second marketing channel is 75%.

Q: Why is the second marketing channel more efficient than the first channel?

A: The second marketing channel is more efficient than the first channel because it reduces the number of intermediaries, resulting in lower costs and higher profitability for farmers.

Q: What are the factors that influence the difference in marketing margin between the two channels?

A: The factors that influence the difference in marketing margin between the two channels are:

The involvement of agents in the first channel, which may add additional costs.
The direct sale from retailers to consumers in the second channel, which reduces the number of intermediaries.

Q: What are the recommendations of this study?

A: The recommendations of this study are:

Farmers should understand the dynamics of existing marketing in order to be able to utilize more efficient and profitable channels in distributing afkir chickens.
Sellers and producers should optimize marketing through the second channel to get better profits.
The government should provide support to farmers and producers in order to increase their income and profitability.

Q: What are the limitations of this study?

A: The limitations of this study are:

The study was conducted in a single market, therefore, the findings may not be generalizable to other markets.
The study only analyzed two marketing channels, therefore, the findings may not be comprehensive.
The study did not consider other factors that may influence marketing margin, such as transportation costs and storage costs.

Q: What are the future research directions of this study?

A: The future research directions of this study are:

Conducting a study on the marketing channels of other types of poultry products.
Analyzing the factors that influence marketing margin in other industries.
Conducting a study on the impact of marketing margin on the profitability of farmers and producers.