DEPLOY A SALES MACHINE

Divider text here
At the other end of the value chain, Hassan is in search of new markets. Over the past two years, ground-laying work has been done: Elaboration of a market study, a business plan, a marketing strategy, sales arguments, etc. Much still needs to be done! The potential is there, in particular on the upscale market.

The challenge for the coming years is to intensify commercial prospection, to broaden the distribution area and to make the product profitable, in particular by developing derived products.  
The turnover of the value chain has gone threefold in six years ( in Dirhams)

MARKETING STRATEGY

Divider text here
First steps taken to boost sales
Better promote the product
Thanks to the laboratory tests the production can be split up in three quality categories. A product range has been created. Packaging and labels have been designed for each of the categories.
Prospection of clients
The producers now understand they have to "get out of their village" and convince potential clients in the cities. The EIGs are coached during commercial prospection. The result is that in 2016, during the International Agriculture Fair in Morocco, saffron sales were 46% higher than the preceding year.
Transparent prices
A price grid has been established for each category, and it is on display, which is rather exceptional in a market where informal negotiations are the rule. Sales people are made aware of the importance of not going below the minimum prices.
Promotion
The "Dar Azafran" brand has been launched on the market, with the "excellent saffron for your taste buds and your well-being” baseline. Contacting travel agencies to offer groups of tourists a saffron programme is one of the projects on the roadmap for the coming years.
There is a real understanding now of the cost price. The chairperson used to lower prices for friends or partners. But now, there is an awareness that to survive without subsidies, they have to sell at a minimum price. So, they use arguments and do not lower the prices.

THE SAFFRON MARKET

Divider text here
Selling saffron in the souk. The sales price received by producers via cooperatives is 0.50€ per gram higher than in the souk.
Saffron is mainly sold through informal circuits, which are in the hands of a few intermediaries, who work together and set the saffron prices in the weekly souks. The most fragile producers sell part of their crop at low prices immediately after harvest so they can finance their immediate needs.

The objective for the future is to have the Economic Interest Groups, including the one for which Hassan works, purchase and commercialise most of the saffron harvest at a fair and equitable price. In 2016, the sales price received by producers via cooperatives or EIGs was 0.50€ per gram higher than in the souk.

Thanks to commercial capacity development in the Economic Interest Groups saffron can get commercialised through formal circuits. Combined with a boost in saffron quality, all of this benefits the producer! That is what Khadija, Fatima, Fatima-Zahra, An and Hassan aim to achieve. 

SAFFRON: A BLOOMING VALUE CHAIN

Divider text here
Pick a player in the value chain and find out how (s)he contributes to its development.
Women, key players in the saffron value chain
Khadija, saffron producer
her story
Cooperatives, the future of the saffron value chain
Fatima, local coach
her story
A laboratory near producers
Fatima-Zahra, lab technician and An, biochemist
their story

Share

STAY INFORMED

Divider text here
Keep up-to-date with our latest activities and with international development trends from a Belgian perspective.