Agricultural E-commerce

The agriculture sector has a wide range of products right from seeds and grains to equipment that is required to plant, grow and harvest crops. With such a wide range of agriculture products and manufacturers available, having an agricultural directory is an asset to potential customers.

For a prospect that needs to buy agriculture products, machinery or equipment, an online B2B marketplace makes more sense than an offline market. It provides a single location for buyers to get all the necessary information about agricultural manufacturers and growers, which make things more easy, timely and convenient. It acts as one directory for buyers to compare all of the agricultural supplies. The prospects simply have to contact the suppliers and compare prices.

Advantages of Agriculture E-commerce:

Some of the potential benefits are summarized below:

  1. It saves transaction cost
    • The internet reduces the transaction cost by lowering trading and/or transfer costs with following scenarios like: facilitated information search, lowered cost of adjusted posted prices, facilitate negotiations between geographically separate buyers and sellers.
    • The communication costs over internet are independent of data volumes and the geographical distance between a buyer and a seller.
    • The internet has a great impact on trading costs when the information is transferred in digitized format. E.g when cattle or fresh produce is sold by digital video rather than by physical display. Both buyers and sellers can benefit from the positive impact since transaction processes can be outsourced.
  2. It increases the transparency of price and product information, and can affect competition significantly. B2B technology lowers the marginal cost of finding new prospects and transaction can be made by means of broader and more efficient comparison of potential partners.
  3. Companies can reach to wider business opportunities if they operate on B2B marketplace. Interacting with a large number of potential counterparts reduce transaction costs and allow companies to improve their businesses.
The B2B marketplace is the first place for prospective buyers and sellers to embark upon a lasting and reliable trade partnership. An agriculture directory or B2B marketplace should ideally contain readily available supplier/manufacturer information. The product information ought to be easily understandable and properly categorized. Directories save time, specifically for buyers and can bring benefits for agriculture product marketing.

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