Packaging-Labeling-Marketing

Marketing Strategies in Traditional Cheeses

In recent years, there has been an unstoppable change in the production and consumption of traditional cheese in Turkey, and it is known that there have been significant increases. During this process, the momentum of marketing activities and market conditions has changed and accelerated.

Due to this natural consequence, the needs and demands of consumers are also changing rapidly, and the demand for natural and local products is increasing rapidly in urban areas outside of the rural areas where traditional cheeses are produced.

In the marketing of products such as traditional cheese, the fact that consumers are the main determinant of price also creates the necessity of determining a strategy suitable for the consumer group. This situation leads to the production and marketing of local cheese, which is a necessity of traditional life, on an industrial scale. In order to benefit more from this market and not to fall behind, producers have to determine the right marketing and communication strategies (Hayaloğlu, 2008; Gelibolu, 2009).

Marketing consists of many business activities that bring buyers and sellers together, prioritizing time, place and property benefits. According to this definition, it is known that traditional cheeses follow many different marketing paths until they reach the end consumer. Among these, the most common marketing method is direct marketing, such as farmers' or public markets, stores or retail marketing channels.

Regardless of the market channel in marketing traditional cheeses, the important thing is the cheese itself. (Albayrak et al, 2010). Because the most critical component in the marketing mix is the “product”.

If the product of a traditional cheese producer is good, farmers can sell the product through recommendations even if they do not set prices, organize distribution channels and do not do promotion work. For example, Auntie Ayşe, a traditional cheese producer in a rural area or in a farmers' market, does not have any problems marketing her product that is appreciated by the consumers. However, this situation does not go beyond sales and most of the time, sales may not be sustainable, especially due to insufficient raw materials and standardization.

On the other hand, even if Uncle Hasan's cheese is of poor quality and tasteless, in this case, appropriate pricing of the poor quality product, a good distribution organization or advanced promotional efforts can only take businesses so far. The focus of marketing is the consumer, and consumer dissatisfaction means that they will not buy that product again.

In this case, in terms of the “product” to be marketed, local products are slightly different from other standard products and are considered advantageous in some ways. First of all, traditional cheeses are positioned and valued differently by consumers. The main element underlying this value is product quality.

Therefore, preserving the quality of the local product is one of the most basic elements of marketing.

In Turkey, due to geographical conditions, the small size of the traditional cheese production enterprises and the fact that family-type production is more effective, as well as the disruptions in raw material standards and supply and the differences in the applied methods, it is quite difficult to find a cheese of standard quality and characteristics in every season of the year.

In this context, the fact that production has not yet been standardized in many local businesses and the use of pasteurized milk and starter cultures has not become widespread are among the main reasons for this situation.

Since the production of our traditional cheeses has not been fully modernized (except for our large enterprises), the personal experience and skills of the producers come to the fore.

For this reason, the traditional cheeses produced have organoleptic properties such as taste, smell, flavor, structure, texture, and also differences in their physico-chemical structures, causing the quality of traditional cheeses to be in a very wide range. This situation also causes marketing problems for traditional cheeses. Because marketing is a long process that starts with production and continues with sales and after-sales stages.

In this context, it is necessary to solve the standard, quality and market problems of traditional cheese production and to put forward strategies and provide support for the cultural continuity of traditional products and to meet the demand for these products in accordance with the standards.

Today, in our country, for this purpose, SMEs (Small and Medium Sized Enterprises) are supported in terms of both their product ranges and marketing strategies. Including traditional cheese producers in this scope and supporting them will provide great benefits in terms of marketing their products (Gelibolu, 2009).

On the other hand, cheese, which has an important place especially in breakfast culture in our country, has gained importance abroad as a snack in meals, appetizers and daily life. The marketing of this situation in different areas such as Geographical Indication and gastronomy tourism, which can increase the market share of traditional cheeses by gaining added value, has created marketing strategies for traditional cheeses. Because Geographical indications are an application where traditional knowledge is processed, packaged, received and marketed as a product.

It is a guarantee that symbolizes the close connection established between the quality of the product, the traditional production method and its geographical source (Anon, 2019). Therefore, one of the most effective supports known for traditional and cultural products, " Geographic Signs ” (PGI - Protected Geographical Indication ) is implemented by many countries in the world.

Geographical indications are known as a protective shield that protects producers from being deceived due to fraudulent use, as well as an important marketing tool that enables the sharing of information and culture between producers and consumers. In addition, gastronomy tourism contributes to marketing and promotion by ensuring economic and rural development and protecting local gastronomy heritage and regional values in the marketing of traditional cheeses.

Both Geographically Indicated Products and Gastronomy Tourism are systems that contribute to the marketing of traditional cheese culture by gaining added value, support local agricultural activities, add economic value to local products and benefit the promotion of the country (Güneş and Nizamlıoğulları, 2018).

In a study conducted on a local cheese, it was stated that the majority of those who choose to consume Geographically Indicated cheese are those who take into account the basic benefits of cheese, want to contribute to rural development, and are also focused on the basic benefits and sensory quality of the product (Baran and Topçu, 2018).

However, when only this marketing strategy is considered, many of the products examined are not in the position they should be and are not even included among the registered geographical indications granted by the Turkish Patent Institute.

In today's markets, where consumers are the main determinants of the markets, determining appropriate strategies is more important than ever. Strategy means the path followed to achieve a certain goal.

Correctly determined strategies create competitive advantage. In this sense, the detailed explanation of the action plans required for the business to achieve its goals and the general principles acquired by the business to achieve these goals are explained as "marketing strategies". After determining the business's mission and situation analysis, a strategic business plan is created by selecting strategies that are in line with the acquired general principles.

In order to correctly determine the strategic target, it is necessary to correctly analyze the situation of the business or sector. At this stage, it is not important to show the situation of traditional cheese production conditions as better or worse than it is or to avoid mentioning the bad aspects. Making the situation analysis correctly means making progress in finding the right ways.

When determining the situation, it is necessary to evaluate traditional cheese production as a whole. Because the aim here is not to reveal whether the sector is attractive or not, but to determine whether it has the elements that will support competition.

A good business analysis to be done in order to develop the strategy correctly does not list the pros and cons, but should explain the sector in a general and systematic way with its mutual interactions. Therefore, when developing a marketing strategy, consumers should be taken as the focal point and the social, cultural, physical, political, legal, demographic and economic environment in which the sector operates should be analyzed as a whole (Gelibolu, 2009: Dokuzlu and Koparan, 2019).

As a result, a sustainable marketing dynamic is created by defining the "target market" in determining appropriate marketing strategies; marketing mix elements are taken into account in order for this dynamic to be traceable (Çabuk and Yağcı, 2003; Gelibolu, 2009). However, it is seen that SMEs are inadequate in defining their target markets and determining marketing strategies. (Çetin, 1996; Gelibolu, 2009).

On the other hand, studies have been conducted to evaluate the marketing strategies of traditional cheeses in terms of marketing mix elements. However, it is seen that SMEs are inadequate in defining their target markets and determining marketing strategies. In general, the vast majority of SMEs do not have a separate marketing department where marketing experts work. (Gelibolu, 2009; Topçu, 2012; Baran and Topçu, 2018).

In Turkey, traditional products are marketed in a narrow area limited to the region where they are produced and by those who produce them themselves. For this reason, it is recommended that marketing channels for traditional cheeses be established outside of SMEs, such as cooperatives, and that more marketing channels be provided to consumers through producers, cooperatives and various intermediaries, directly, at fairs or at retail sales points.

Marketing Problems in Traditional Cheese Production

The deepening of expertise and craftsmanship in traditional cheese production according to its varieties, the development of the understanding of local cheese, and the search for and demand for differences in cheese consumption have brought about different practices in the marketing of traditional cheeses. (Anon. 2019).

In general, sales and marketing activities are completely different from each other. The sale of a product does not mean that the product is marketed. In short, only a transfer of ownership occurs with the sale transaction. Marketing, on the other hand, requires an organized effort and is a comprehensive effort that includes the planned production, pricing, distribution and promotion of products. Within the scope of marketing, many activities such as product development, packaging, branding, advertisements, and public relations must be carried out within a certain plan (Dokuzlu and Koparan, 2019).

Therefore, in order to guide traditional cheese producers towards the right marketing strategies, the current situation and problems must first be identified. For example, in order for traditional cheese producers to be in a better position in terms of marketing, they need to find answers to important problems such as raw milk marketing policies, problems encountered in the cold chain during production, lack of hygiene and sanitation in businesses, inadequate hygiene and cleanliness of the containers where milk is stored and transported, instability in milk and cheese prices, the high price paid by the consumer despite the low price received by the producer, and the increase in feed prices, and they need to make detailed work plans on this issue. This is necessary for traditional cheese producers to continue their production (Anon, 2019).

A significant portion of the workforce needed in traditional businesses is provided by family members. In rural areas, women mostly carry out marketing activities by selling the local cheeses they produce in peasant and public markets. (Çukur et al ., 2021).

Hygiene inspections by official authorities cannot be provided at sufficient levels in such market areas, public health and food safety problems can sometimes be encountered. For this reason, one of the most important problems in marketing traditional products is the failure to provide the concept of "food safety after the farm".

On the other hand, when the issue is considered from the perspective of small and medium-sized enterprises that mostly appeal to the local market, it is seen that even if they comply with the legal regulations regarding food safety, the problem here is that they do not have the opportunity to compete with large-scale industrial enterprises and the products they produce face many marketing barriers.

In a study examining the marketing issue in terms of strategy elements in businesses producing traditional cheese (Gelibolu, 2009); the factors affecting marketing problems were listed as follows:

• Socio-economic conditions of businesses: Inadequacy of incentives and supports, lack of competitive power, lack of struggle with mandatory price reductions in the market, inadequacy of capital, market shrinkage.
• Problems of businesses related to the product:
  • Inability to compete due to the lack of image affected by other products in the market in traditional cheese production (quality, product variety, etc.)
  • Fluctuations in raw material quality due to seasonal reasons and climate
  • Quality and standard problems of raw milk, which is the basic raw material in traditional cheese production
  • Insufficient supply of raw milk, which is the basic raw material in traditional cheese production
  • Failure to standardize and use inadequate technology in local cheese production
  • Decrease in quality due to lack of hygiene and sanitation in local cheese production
  • Failure to maintain the cold chain
• Pricing problems of the businesses: Due to seasonal effects and problems in animal husbandry, problems are encountered in the supply of raw material milk and this affects the price structure. Application of an advance system in earning income in traditional cheese production (Insufficient capital and financial difficulties of the producers due to the fact that the income earned by the villagers is set aside for milk with the advances distributed the year before).
• Current market share of businesses: Due to the narrow market understanding, production is offered only to the domestic market to a large extent, traditional cheeses only reach local markets and price instability occurs due to intense competition there. Lack of compatibility in terms of market movements in traditional cheese production throughout the country, causing market and price loss (market exchange between the west-south/east-north regions).
• The situation of marketing the products abroad: 90% of our traditional cheeses are marketed domestically on a country basis, lack of promotion and marketing, insufficient production of products for international demands, lack of foreign language speaking export personnel in the businesses, very narrow vision of the managers, not going to international fairs etc., insufficient creation of internet sales and markets, which is a virtual trade environment, lack of trust in trade, poor hygiene and quality of our traditional cheeses.
• Problems related to distribution in businesses: Not providing storage conditions suitable for shelf life, not packaging products with the right packaging materials, deficiencies in the implementation of logistics and distribution systems.
• Following the developments in marketing and the sales-related problems of businesses:
  • Lack of sufficient knowledge about new market areas and lack of information about new expansions
  • Shrinkage of market share
  • Lack of good and qualified sales and marketing people who know traditional cheeses
  • Lack of advertising and promotion in product marketing and sales
  • Lack of after-sales services
• Distribution channels: When producers do not prefer to sell directly, high shelf rents, lack of knowledge of intermediary sellers about the product sold, high transportation costs used in direct sales, disruption of the cold chain, late or damaged delivery of products, etc. are some of the main problems in the marketing of traditional cheeses.

On the other hand, for traditional cheeses, the high costs due to the low number of products, the marketing problems experienced due to small-scale production, the lack of awareness of sellers who use intermediaries for sales, and the price perception of consumers can be summarized as other problems. Accordingly, issues such as bureaucratic obstacles, lack of consumer information, lack of training in production, transportation problems, transportation costs, analysis fees, shelf life, lack of inspection, and expensive raw materials are the notable points in terms of experiencing these problems.

Module Solutions

In order to ensure sustainable production of traditional cheeses, the quality of raw milk, which is the raw material of the product, must first be increased and production methods must be developed to ensure standard production. Thus, while the quality of traditional cheeses increases, price stability and branding will come with ease of marketing.

In order to ensure sustainability in traditional cheeses, it is also very important to get rid of seasonal dependency in cheese production and to support and raise awareness of milk resources and the sector. Thus, since businesses that are idle periodically can operate in every season, the amount of production will increase and sustainability in production will also be ensured.

For traditional cheeses, product quality and market share should be increased by receiving support from the relevant official authorities, relevant units of universities and industry in terms of both the quality and supply of raw materials and informing the producer about cheese production processes.

In addition, producer unions or cooperatives should be established for traditional cheeses to support production, and for this purpose, local governments and development agencies should be more active in incentive issues. In this way, it is thought that the problems experienced by local cheese producers regarding production can be addressed and solutions can be provided.

On the other hand, in terms of promotion activities of local cheeses, the lack of participation of businesses in organizations such as fairs and exhibitions is at the forefront. For this purpose, in addition to organizing scientific meetings such as congresses and symposiums focused on solutions for the promotion and problems of local cheeses, promotion and marketing resources should be created by organizing additional local fairs and fairs. Such activities will ensure the development of more conscious and knowledgeable local producers and increase the quality of production.

In order to increase market share and to spread brand and promotion, local cheeses should be provided with national and international geographical indication registration documents. For this purpose, detailed research and studies should be carried out for local cheeses, and by ensuring a certain standard, the cheeses that have been granted the Geographical Indication Registration document should be branded and the image created should be protected, thus ensuring the spread of the main marketing channels between the producer and the consumer.

In addition, travel tourism should be developed in country promotions, and local cheeses that are the subject of local tastes and flavors should be promoted, and market channels should be used to increase cheese consumption and marketing.

Local and regional sales are not enough for traditional cheese producing businesses to continue their existence. However, it will be beneficial to follow the economic and social structure and conduct market analyses in order to reach new markets while preserving the current market share.

Considering food-related legislation, consumer preferences, image perception, and giving importance to the packaging and wrapping of local cheeses, the use of modern packaging methods such as vacuum packaging and smart labels in product varieties is necessary for the ease of marketing of local cheese products.

In general, although the existence of preferred contracted cargo companies supports distribution problems, it is necessary to determine the potential of sales regions and to make a more rational distribution in which the cold chain is controlled more actively.

In addition, attention should be paid to monitoring post-sale services and product-related problems, and sales personnel, intermediaries and sales points should be informed more effectively about the products. It is important for young generation business owners to develop their vision on branding and receive consultancy and support from institutions that provide services in this regard.

As a result; since local cheese production is mostly carried out in small and medium-sized family-type businesses, the development of this sector can only be achieved with intensive effort and support, and this requires not only the efforts and endeavors of the producers but also the contribution and support of all stakeholders who can provide sectoral support, such as official authorities, universities, non-governmental organizations.