THE MARKETING CHANNELS ANDMARKETING MARGINS OF CITRONELLA OIL IN OGAN ILIR DISTRICT

Malini, Henny (2023) THE MARKETING CHANNELS ANDMARKETING MARGINS OF CITRONELLA OIL IN OGAN ILIR DISTRICT. Jurnal Ilmiah Agribisnis, 8 (3). pp. 220-229. ISSN 2527-273 X

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Abstract

Marketing is a spearhead of the sustainability of a business, in marketing a strategy is needed to increase sales, as well as in selling citronella essential oil a strategy is needed to increase sales. The problem faced by citronella farmers is the limited marketing area of citronella essential oil. In addition to the unstable prices, almost all citronella farmers in various regions in Indonesia are aware of the limited marketing area of citronella essential oil. Similar problems also occur in citronella farmers in Ogan Ilir District.. Farmers face challenges in accessing a wider market, and prices tend to decline year on year, causing volatility. This study aimed to analyze the marketing strategy of citronella essential oil, identify marketing channels of citronella essential oil, and calculate marketing margin and Farmer's share of citronella essential oil business actors. This research was conducted for 1 year, namely in 2022. The method used a case study. The sampling method was purposive sampling, in which the samples taken were 3 self-help citronella distillation businesses used a purposive sampling method, and samples of traders used a snowball sampling . The results of the study on citronella essential oil business actors in Ogan Ilir District that the business actors carried out product strategies, price strategies, distribution strategies, and promotion strategies. The marketing channel of the farmers’ fragrant Essential Oil Lemongrass comprised three marketing channels, namely channel 1 consisting of farmer-trader collecting- factory, and channel 2 including farmer-trader retailer-consumer, and channel 3 was composed of farmers-collecting traders-wholesalers-factories in Padang. The marketing channel 1 had a marketing margin of IDR 30,000/liter with a farmer's share of 83.33%. The marketing channel 2 had a marketing margin of IDR 250,000/liter, with a farmer's share of 37.5%, and the marketing channel 3 had a marketing margin of IDR 50,000, - with a farmer's share of 75%. It is obvious that the marketing channel 1 was the most efficient marketing channel.

Item Type:	Article
Subjects:	S Agriculture > S Agriculture (General) > S560-571.5 Farm economics. Farm management. Agricultural mathematics. Including production standards, record keeping, farmwork rates, marketing
Divisions:	05-Faculty of Agriculture > 54201-Agribusiness (S1)
Depositing User:	Henny Malini
Date Deposited:	01 Dec 2023 11:14
Last Modified:	01 Dec 2023 11:14
URI:	http://repository.unsri.ac.id/id/eprint/128504

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