Cover Image
close this bookCase Studies of Neem Processing Projects Assisted by GTZ in Kenya, Dominican Republic, Thailand and Nicaragua (GTZ, 2000, 152 p.)
close this folder4. Case studies of small-scale semi-industrial neem processing in Kenya, Thailand, the Dominican Republic and Nicaragua
close this folder4.2 Documentation of neem activities in Thailand with special reference to the Thai Neem Products Company Ltd and the assistance provided to the DoA, Toxicological Division by CiM
close this folder4.2.6 Market potential, marketing and development strategies
View the document4.2.6.1 The pesticide market in Thailand
View the document4.2.6.2 Marketing of neem products to date
View the document4.2.6.3 Market potential
View the document4.2.6.4 Market promotion
View the document4.2.6.5 Marketing channel and distribution
View the document4.2.6.6 Analysis of economic production with and without the use of neem pesticides Market promotion

According to marketing theory, consumers seldom have complete knowledge about a product. Their exposure to the information is limited and the information about the products changes over time (Ward 1997). Therefore, advertising and promotion will help to provide the consumer with useful information for their decision to purchase. For example, farmers may not be aware of a new neem product with improved azadirachtin content (e.g. neem containing 0.7% azadirachtin) which provides more effective pest control (the positive impacts of the neem product on the natural enemies, ecology and the environment, etc.).

There are two concepts of advertising and promotion: generic and brand. Brand advertising and promotion refers to advertising exposure for specific brands, whereas generic advertising and promotion emphasise the product's attributes instead of being brand-specific. Normally, the main objective of brand advertising is to increase the market share.

Assuming that consumers can hardly make a clear distinction concerning the quality of neem products in the market, generic advertising and promotion are recommended. Since neem products are not well known by most farmers (Purod 1995), advertising and promotion of neem products in general is more appropriate. The main objective of generic advertising and promotion is to change consumers' perception and to expand their knowledge about the neem products. However, this activity requires a considerable budget and thus support from the national government.

In addition, the government should enforce a strict registration policy for neem products. Otherwise, farmers who do not have the knowledge will buy the cheap but ineffective products on the market, which would spoil the reputation of neem pesticides in general. This would also target those companies who have invested in improving the quality of neem production.

The message in the promotion of neem products should address the following issues:

· Environmental education on the effects and detrimental side-effects of pesticides
· Changing pesticide usage patterns
· Providing information on neem products
· Making farmers aware of the attributes and quality of the existing neem products

The media for promoting neem products are as follows:

· Radio
· Newspapers
· Books
· Stores
· Institutional distribution, e.g. Department of Agricultural Extension