IMPACT OF COVID-19 ON AGRIBUSINESS SME’S E-MARKETING STRATEGIES: THE CASE OF COMPANY AGRO JUNIKOM

Abstract

The aim of this study is to compare differences that occur in SMEs E-marketing and E business approach in the digital era since the advent of Covid-19. The events associated with the pandemic have forced more consumers to meet their needs online, and many businesses to adjust to this new reality. SMEs became most vulnerable, considering their dependency on the velocity of money from merchandise sales. The decreased demand disturbed companies’ cash flow. The same applies for agribusiness SMEs in North Macedonia. This paper is based on a case study for Agro Junikom, a medium-sized, agribusiness enterprise in North Macedonia. It shows the results of analytical and comparative analysis of the changes of company’s perception and approach regarding the digital space since the onset of the pandemic. The first interview was conducted in 2018, and the second one in 2022, after the Covid-19 forced digitalisation. The results are graphically displayed using a Business Model Canvas, and present the transition of a business model, from traditional to digital marketing approach. Results show that by increasing the online presence, with already existing technological infrastructure and staff readiness, the enterprise introduces an additional sales channel and targets an additional customer segment. By doing so, additional value is created. The positive response to this change is evident in terms of cost and income structure, where the cost structure remains unchanged, while an additional source of income is introduced. Therefore, the addition of e-marketing tools to the already established marketing strategy, was a necessary movement to maintain, and even improve enterprise’s performance and market presence, in an unexpected, critical occurrence had a significant influence on business operations.