Agriculture Reference
In-Depth Information
for their customers' employees. Other incentives may link purchases with a key need of the
dealer—buy a certain amount of product and receive an iPad, a laptop computer, or a cash
rebate toward a particular type of crop protection chemical application equipment, for
example.
Not all agribusinesses become extensively involved in well-developed promotional pro-
grams. Some choose instead to concentrate on service and price. However, sale promotions
are an important part of the market communications strategy for most food and agricultural
input fi rms.
Public relations
Public relations
is another important form of market communications. Public relations is
the management and maintenance of a favorable public image of the organization as it relates
to its customers. These activities are somewhat unique as a form of market communications
as they typically infl uence the target audience in an indirect way. Such infl uence may be
through favorable news stories or a blog that creates a positive image for the fi rm. In many
cases, such activities involve an outside, objective party in some way to carry the message.
As such, public relations activities are likely to be viewed as more objective than other forms
of market communications.
Public relations activities can range from very direct—food company expenditures on
nutritional education programs for school children—to very indirect—a favorable news
story that shows how a local agribusiness helped coordinate the fundraising effort for an
injured farmer. Tools used for public relations by agribusiness fi rms include media relations,
or placing news stories carrying the company's desired message in the news through televi-
sion, radio, print, and digital media; company communications, or using company announce-
ments (internal and external), speeches, and press releases to publicize the fi rm's desired
message; and lobbying, or working with legislators to encourage laws and regulations
favorable to the fi rm and its products.
In general, public relations activities help solidify the position or image the fi rm is
creating in the market. For the nutritional campaign, the message may be that the food com-
pany is concerned about the nutritional needs of children. For the fundraising story, the mes-
sage may be that the local fi rm really cares about the local community. Savvy agribusiness
fi rms do not leave public relations activities to chance—they incorporate such activities into
their promotional strategy. This may mean having the news media attend the roll-out of a
new product, it may mean a column in the local newspaper on agronomic advice written by
their fi eld agronomist, or it may mean a well-publicized community service activity in which
the fi rm's employees participate. Consumer or marketplace education activities are
often highly effective promotional endeavors, and can be a positive tool toward building
awareness and allow a unique opportunity for media coverage and propagation of company
objectives. Such efforts may require little monetary investment, but may pay major
dividends for the fi rm.
The explosion of social media can factor into public relations activities in favorable and
unfavorable ways. Respected blogs or web postings that support a fi rm's products/services
can provide exceptional visibility for an agribusiness. At the same time, critics or disgruntled
customers using social media can create a major challenge for a fi rm who has to “set the
story straight.” Every major food and agribusiness has an aggressive and active digital media
strategy to put this tool to work promoting products and services and monitoring critics and
disgruntled customers.
