Business

Digitalisation during pandemic blessing for Agrobazaar Online

Virtual marketplace go-to for fresh produce, gets user surge of 523%

Updated 5 years ago · Published on 02 Jan 2021 3:20PM

Digitalisation during pandemic blessing for Agrobazaar Online
People were having difficulty getting fresh agro-based goods when the movement control order was imposed, which let Agrobazaar Online expand its digital services. – Pixabay pic, January 2, 2021

SINGAPORE – Agrobazaar Online, the portal for Federal Agricultural Marketing Authority (Fama), has been consistently attracting a high flow of traffic since the first movement control order (MCO) was implemented, Fama director-general Datuk Zainal Abidin Yang Razalli revealed to Bernama recently.

Agrobazaar Online recorded its highest sales in April last year, amounting to RM835,579.

This came after Fama, in collaboration with the National Security Council, made an announcement via text message early that month to promote the portal.

Following the imposition of the MCO to curb the spread of Covid-19, consumers were facing difficulties getting fresh agro-based goods and necessities, as almost all physical retail outlets such as “pasar awam” dan “pasar tani” were closed.

Fama, highly aware of the situation amid the trend of consumers shifting towards online shopping, acted aggressively by intensifying the promotion and publicity for Agrobazaar Online.

Apart from text messages, social media platforms, and media coverage, Fama also utilised wrap-around advertisements on KTM’s Light Rapid Transit and Electric Train Services carriages as well as in-station advertisements to rejuvenate the portal.

Developed and managed by Fama, Agrobazaar Online was launched on December 5, 2015.

To improve consumer access to the goods, Fama works with other e-commerce platforms such as Lazada, Shopee, and Foodpanda.

The agency also leverages digital platforms by holding sales on special occasions such as October 10 (10.10) and November 11 (11.11), as well as its 55th anniversary and the nation's Independence Day.

As of November 11, a total of 5,902 entrepreneurs were registered on Agrobazaar Online with a record of 18,775 stock keeping units (SKUs) and total sales of RM7.9 million.

Meanwhile, a six-month collaboration between Fama, Lazada and Shopee, which began in April last year, managed to record sales amounting to RM128,565.86, with almost 258 SKUs were marketed.

Apart from the strategic alliance, Zainal said, Fama is planning a collaborative effort to train entrepreneurs in developing their own e-commerce sites via the eFAMAplace platform and Shoppergram.com.

“Entrepreneurs cannot merely be ‘silent participants’,” said Zainal.

eFAMAplace will provide an alternative market space through Shopee’s platform, with 1,000 small and medium enterprises (SME) expected to benefit from the programme.

Through the eFAMAplace platform, Fama estimates to achieve a sales value of RM1.5 million over a period of six months.

Going forward, Zainal said Fama will create Agrohub, a storage, packaging and delivery centre for online sales.

For Agrohub’s first phase of development, five locations have been identified, namely in Perak, Penang, Negeri Sembilan, Johor, and Sabah, he said.

“It is to ensure that distribution of goods can be done more quickly and accurately while maintaining the quality of fresh agro-based products,” he said.

For recruitment and delivery matters, Fama has already been collaborating with logistics companies such as Pos Malaysia, Lalamove and goget.

Zainal hopes that Agrobazaar Online will complement existing digitalisation systems in empowering the agriculture and agro-food sectors.

“I see it as a blessing during the pandemic. The new norm is changing the way people are buying things. They go digital, but it can still help SME owners, especially agro-based ones, to increase their income,” he said.

Digitalisation is now a new-norm culture that is being nurtured at all levels, including in the government, private and community sectors.

Fama, through Agrobazaar Online, is seen to be at the forefront of digitalisation efforts.

Since March 18, the first day of MCO, until November 8 last year, sales through Agrobazaar Online as well as its Pre Order service via Whatsapp, reached RM15.43 million with 122,720 deliveries.

In comparison, total online sales throughout 2019 only came up to RM1.043 million.

Meanwhile, in the first 10 months last year, the portal recorded a 523% surge in users to 44,041 compared to 7,068 users in the same period in 2019.

Orders soared 275% to 16,849 from 4,495 orders previously.

Combined with its offline physical setting, Fama recorded sales of RM721.58 million from March 18 to November 8 last year. – Bernama, January 21, 2020

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