While the food product prices are inflating, the incomes are not increasing at the same rate. A food manufacturing firm loses cost effectiveness as the input cost prices of the ingredients for food keep rising and to reduce losses, they pass on the rising food costs to the customer. Hence, alternative ways to reduce costs need to be contemplated.
The total cost of a unit of food product consists majorly of ingredients costs, preparation costs, and marketing costs. Given the shortage of rainfall, the prices of food products have gone up. The lower-middle and the lower income families are feeling the heat of rising food prices. The affordability of food products have gone down. This may lead to many food products losing their market share.
A B2b site like http://ebusinesszone.net can help you in this regard. The input costs of the raw materials are not under your control. And since the quality cannot come down, the cost of preparation also cannot drastically change. So, the only controllable cost is the marketing cost. Using internet to market your products helps you reduce the marketing cost.
Food products often involve the general marketing approaches and techniques that are applied for marketing other kinds of products and services. In addition, it also involves other kinds of challenges such as dealing with a perishable product whose quality and availability varies as a function of current harvest conditions. The value chain is particularly important. Marketing, services, and processing added do result in significantly higher prices.
Online advertising via marketplaces like http://ebusinesszone.net can help firms to build relationships with the customers. Internet penetration is highest among teenagers and also the middle-aged. One key aspect that differentiates food products from other types of product or service is the life of the product. The amount of supply should match the demand otherwise it will lead to old/unsold inventory. So, firms should also have effective reverse logistics in place to handle the unsold inventory. Therefore, to maximise the amount of units sold, firms can use http://ebusinesszone.net to widen the customer base that are willing to buy the product before the life of the product expires. In this way, you can provide good quality food products to customers. Online delivery mechanisms also should be in place. Reducing wastage should be the key priority.
By utilising an online marketplace like http://ebusinesszone.net, you can get in touch with the available distributors where you physically cannot reach. Online marketing gives you great visibility. You can get the best suppliers and can cut down on input costs. You can tie-up with local market players so as to market your product. This will reduce the cost of setting up a physical store to sell your products in every market.
You can advertise your service here.
Also you can find the right exporters to supply your products in international markets. The advantages of using http://ebusinesszone.net abound. Your overall cost comes down and you can pass on the cost saving to the customer. Hence you can provide good quality food products to your customers in a cost-effective manner.
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