LESSON 10: Marketing of Fishery Processed Products

LESSON 10: Marketing of
Fishery Processed Products

Submitted To: Ma’am Marlyn L. Llameg
Submitted by: Group 3
Geltura, Lloyd
Herada, Saira
Hiyos, Daisy A.
Latawan, Stephen Dave
Marketing of Fishery
Processed products.
• An age-old tradition to when a fisherman lands his
catch in excess of what he needs and seeks to exchange
for another product, he becomes involves in the activity
of marketing (Chaston, 1987).
• Marketing of fish involves all the activities in the flow

of fish or fish products from the farmer to the consumers.
It includes various operations required to move the fish
or fish products from the producer to the consumer.
Two Business Activities.
• Production - the action of making or manufacturing from
components or raw material, or the process of being
manufactured.
• Marketing - the action or business of promoting or selling

products or services including market research and advertising.
Channels of Distribution
• A marketing channel is the route that a product takes from the producer to
the final user/consumer. Channels of distribution vary widely among
commodities and even among producers of the same goods.
Typical Channels for Consumer products are:
•Producer—>Consumer
•Producer—>Retailer—>Consumer
•Producer—>Wholesaler—>Retailer—>Consumer
•Producer—>Agent—>Wholesaler—>Retailer—> Consumer
Channels of Distribution
• Producer - ensures that buyers can conveniently buy what they want, where
they want it, and when they are ready to buy it.
• Wholesaler - are people who operate independently and buy in bulk from the
manufacturers or producers. They then break down the bulk into smaller lots for
retail shops acting as their customer.
• Retailers - operate shops and sell consumers goods and consumer durables to
the public.
• Agents and Brokers - these are the people who buy or sell on behalf of
companies and functions on a commission basis.
• Consumer - a person who purchases goods or services for personal use.
Role of Middlemen
• To bridge the gap between the producer and the consumer, a very important person the
middleman came into the marketing scene. Middlemen or intermediaries play an
important role in the buying and selling of products, in the transfer of title to those
products and in their physical movement to customers.
• In a free enterprise system, middlemen continue to play an important role in the
distribution function. They are the ones who make the products available at the right
time, at the right place and at the right quantity.

The most important Middlemen:
• Wholesalers - are people who operate independently and buy in
bulk from the manufacturers or producers. They then break down
the bulk into smaller lots for retail shops acting as their customers.
• Retailers- operate shops and sell consumer goods and consumer

durables to the public.
• Agents and brokers- These are the people who buy or sell on
behalf . of companies and function on a commission basis .
• Fish are highly perishable and hence require the use of the shortest possible
distribution channel with the minimum involvement of middlemen, to reduce
the delays associated with repeated changes of ownership.
• However, fresh fish most of the times traded with the help of more than one
middleman. The middle nan buys the fish in the fishing villages and transports
them to the landing areas bare other middlemen (wholesalers or retailers)
procure their fish according to e quantity needed and preferences for species.
• In the Philippines, middlemen are the mainstays in the marketing of fish and
fishery products. For a product to reach a consumer, it usually passes through
anal hands. This can be seen in the market flow of fresh chilled fish landed at
the main landing part in the country .
• Over 60% of the fish supply in
Central and Northern Luzon
including Metro manila originates
from Navotas Fishing Port.
• Around 800-900 metric tons of fish
are landed at the port per day.
• Of the total landings, about 95%
come from the commercial vessels
while 5% originate from municipal or
small scale/artisanal boats.

Marketing Channels of Fresh/ Chilled Fish from Navotas Fish Port
PRICING
Pricing
• Represents the foundation upon which all business
transactions take place.
• The producer fixes the price for the commodities
and the consumer decides as to what he will pay for
the goods he likes.
• Price is usually defined as the sum of money that a
willing buyer and a willing seller agree to exchange
for goods or services in a normal business transaction.
Objectives of Pricing.
•To achieve a target return on investment
•To maintain/improve on market share
• To help generate cash flow
•To maintain the status quo (existing state of affairs)
• To help the survival of a business (to increase sales volume to levels that
match the expenses)
- When there is a high demand for goods and the supply is not sufficient,
prices will rise until supply and demand is more or less equal. If there is a
large supply of goods and little demand, prices will tend to drop.
Forms of Price
• RENTS - pay someone for the use of something.
• FEES - a payment made to a professional person or to a public body in exchange
for advice or services.
• TOLLS - a charge payable for permission to use a particular bridge or road.
• PREMIUMS - an amount to be paid for an insurance policy.
• WAGES - a fixed regular payment, typically paid on a daily or weekly basis, made
by an employer to an employee, especially to a manual or unskilled worker.
• MONEY - a current medium of exchange in the form of coins and banknotes.

Pricing Approach
• Every producer sets the price for his own goods

while every consumer makes up his own mind as to
whist price he will pay for the goods he wants.
• There are several ways to determine the price of

commodities a producer wants to sell.
2 Types of Pricing Approach
• Target Pricing (Return of • Cost Oriented Pricing
Investment - ROI) - this Approach - this is popular with
approach for an average return many wholesalers and retailers
on the capital investment that because its simple and
one must have to make a effective. The retail price is
product or a product line, or based on cost, plus markup.
for the operation of one’s firm. Mark up (gross margin rate) is

calculated as a percentage.
Example of Target Example of Cost
Pricing (Return on Oriented Pricing
Investment-ROI). Approach.
Distribution of Aquatic Products
• Fresh/Chilled Products - The domestic marketing of "wet" aquatic products in
the Philippines can be considered dispersed and uncoordinated (Santos, 1988).
Insulated and open large tracks are frequently used for long distance transport.
When open vans are utilized, the fish are iced, and packed in polystyrene
containers.
• Frozen Products - products such as shrimp and tuna are frozen for export
purposes. Marketing of these products are done by consignment or special
delivery. Each processor has an established buyer or market outlet of his
product.
• Canned Products - wholesalers purchase canned products from
canners and distribute them to big supermarkets and key markets in
cities and towns. Consumers obtain their canned fish from retail stores
and supermarkets.
• Cured Products - such as salted and dried fish undergo the longest
distribution chain before they reach the consumer. Cured fish from
processors are sold to fish traders/wholesalers then to local
distributor/repackers. The replacers in turn sell the fish to the retail
outlets/supermarkets and finally to the consumers
Marketing Practices
• The marketing practices in the fishing villages in the Philippines
vary from one place to another. These practices often prove to
be profitable to seller but not to the buyer (Baltazar and Abella,
1995).
Some Marketing Practices:

- Secret Bidding
- Deceptive Practices
Secret Bidding (Ex. Whispering)
• Auctioning of fish is usually carried out by secret bidding or whispering
Secret bidding in the customary practice of selling fish at major fishing ports
where large commercial boats and their catch (Kamari and Sayers, 1979).
• The traders who whispers the highest price to the operator acquires the fish.
This secret bidding is a source of variation in price of fish sold at retail
outlets and influences the availability of fish in particular areas.
• Middlemen control the price of fish in this instance.

Deceptive Practices
• use of inaccurate weighing scales
• putting nails on prawn heads
• adding padding materials under mounds of fish for retail
• adding coloring
• mixing of good quality fish to low quality fish
• -pilferage system
THANK YOU FOR
READING!!!

LESSON 10: Marketing of Fishery Processed Products

Uploaded by

Copyright:

Available Formats

LESSON 10: Marketing of Fishery Processed Products

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

LESSON 10: Marketing of Fishery Processed Products

Uploaded by

Copyright:

Available Formats

LESSON 10: Marketing of

Fishery Processed Products

• Marketing of fish involves all the activities in the flow

• Marketing - the action or business of promoting or selling

the final user/consumer. Channels of distribution vary widely among

commodities and even among producers of the same goods.

Typical Channels for Consumer products are:

middleman came into the marketing scene. Middlemen or intermediaries play an

products and in their physical movement to customers.

• In a free enterprise system, middlemen continue to play an important role in the

time, at the right place and at the right quantity.

• Retailers- operate shops and sell consumer goods and consumer

Central and Northern Luzon

including Metro manila originates

from Navotas Fishing Port.

• Around 800-900 metric tons of fish

are landed at the port per day.

• Of the total landings, about 95%

come from the commercial vessels

while 5% originate from municipal or

small scale/artisanal boats.

•To maintain/improve on market share

• To help generate cash flow

•To maintain the status quo (existing state of affairs)

match the expenses)

• FEES - a payment made to a professional person or to a public body in exchange

for advice or services.

• TOLLS - a charge payable for permission to use a particular bridge or road.

• PREMIUMS - an amount to be paid for an insurance policy.

by an employer to an employee, especially to a manual or unskilled worker.

• MONEY - a current medium of exchange in the form of coins and banknotes.

• Every producer sets the price for his own goods

• There are several ways to determine the price of

one must have to make a effective. The retail price is

product or a product line, or based on cost, plus markup.

for the operation of one’s firm. Mark up (gross margin rate) is

the Philippines can be considered dispersed and uncoordinated (Santos, 1988).

purposes. Marketing of these products are done by consignment or special

delivery. Each processor has an established buyer or market outlet of his

Some Marketing Practices:

This secret bidding is a source of variation in price of fish sold at retail

outlets and influences the availability of fish in particular areas.

• Middlemen control the price of fish in this instance.

• putting nails on prawn heads

• adding padding materials under mounds of fish for retail

• mixing of good quality fish to low quality fish

You might also like