Significance of Marketing Channel choice on value addition and its effectiveness- A study on Coconut Products in Kerala

Abstract

The problems and challenges that Indian agriculture faces are numerous. These issues, ranging from low competitiveness to the costs and low-price realization, have become a major concern for all stakeholders. In terms of coconut value addition, the state was still doing poorly. According to R Chandrababu, vice-chancellor of KAU, only one-third of the coconut produced in the state is used for value addition. Farmers should be supported in lowering production costs, creating a remunerative market, and/or rising yields in order to achieve inclusive agricultural growth. Farmers' plight is no different in Kerala, where the agriculture industry is in a state of collapse. The current study is an attempt to know the Value addition used by coconut product producers and their channel choice in marketing of the products. The study is spread across 5 states in Kerala who have the highest production of coconuts. Convenient sampling technique is used and a sample of 100 farmers are taken for the study. Questionnaire is prepared using likert scale items and interviews were conducted to collect the data. Software for social sciences SPSS was used for analysis of data using the Andrew Hayes Process additional application. The findings of the study show that 84.4 percent of coconut product producers were involved in the production of Kernel-based coconut products and 66.1 percent were involved in the production of coconut convenience food products.56.1 percent of those who answered the survey said they added value to coconut by using coconut shell-based products. The study suggest that Coconut product producers should make an informed decision about the distribution channel they will use to reap the benefits of value addition to their products. The marketing effectiveness curve is showing an increasing trend as a result of channel selection.