Relationship Marketing in the Agrifood Industry

Relationship Marketing has become an important component of the strategic toolkit of marketers in B2C, C2C, and B2B marketing. In fact, its prevalence and use have become even more important in the latter, where business relationships have become valuable assets to be maintained and developed as a source of competitive advantage by organizations.

Many eminent researchers have discussed the various types and characteristics of business relationships, ranging from transactional to relational exchanges. Prior studies of business relationships in supply chains have used a range of theories to ascertain the characteristics of business relationships, such as social exchange theory (Cook, 2000), transaction cost economics (Williamson, 1985), relational contracting theory (Macneil, 1981), the marketing channels perspective (Stern, El-Ansary, & Coughlan, 1996), the broaden-and-build theory (Leonidou, Aykol, Fotiadis, Marinova, & Christodoulides, 2022), and the circumplex model (Leonidou et al., 2022). The resulting characteristics range from power, Machiavellianism, opportunism, dependence, and cohesion, to trust, satisfaction, commitment, and improved coordination. Although these theories have been discussed in detail in general Relationship Marketing literature before, this special issue focuses on how related theories in Relationship Marketing is operationalized in Agribusiness Marketing.

The first paper discusses the contribution of relationship concepts to commitment and trust in business relationships (during disruptive times, such as the COVID-19 pandemic). It discovers that relationship termination costs explain the relationship commitment of agribusiness in Greece, while communications explain trust amongst members of the agri-food supply chains. This paper argues in favor of applying effective communication, shared values, and cooperation between network partners to strengthen their relationships. The second paper explores market relationships through linkage analysis, utilizing an I/O model constructed by modifying the Generation of Regional Input-Output Tables (GRIT), regionalization technique, and using the Flegg Location12 Quotient (FLQ). This work revealed the close links of agri-food-related sectors to regional economies and their interconnections with regional economies which may impact the entire economy. Thus, the economic impact of agrifood sectors is shown to be an outcome of the interdependence between parties.

The authors of the third paper utilize digitalization and new technologies in their relational and network-based approaches to provide a holistic framework for the role the EU plays in conceptualizing change in the agri-food industry. They discovered the value of synergies and cooperation of parties within agrifood systems. These agri-food systems become collaborative networks that the EU nurtures and supports, empowered with technological tools that enhance network outputs. The organic food industry in India is the setting of the fourth paper which utilizes transaction cost theory, evolution theory, and systems theory, to discover that as the stakeholder dependence increases in the organic food sector, so is the need for cooperation and collaboration, thereby leading to better network structure. The fifth paper also addresses digital approaches to relationship marketing in agrifood systems and argues in favor of the utility of digital technologies in the smooth operation of market relationships in sustainable Ethiopian agrifood systems. This study revealed that digital marketing capabilities positively affect agri-food firms’ relationship marketing effectiveness, and the building of sustainable food systems and that Relationship marketing intercedes the positive outcomes of digital marketing and sustainable food systems. Continuing on the theme of organic food, the sixth paper compares physical food markets with online markets, arguing that the former helps to build value, scale, and trust. The authors claim that by sharing resources, skills, and space, farmers of organic food products increase organic food availability, reduce the cost of certification and operation, and manage consumer trust. They also found that the influence of social media, and offline interaction, reduces information asymmetry and irresponsible marketing opportunities.

Overall, this special issue contains studies that address critical and current applications of Relationship Marketing thinking, and approaches and concepts in the context of food sectors and agribusiness. This issue flags the relevance of Relationship Marketing in successfully managing the relationships that govern food and agribusiness networks. The results of the studies demonstrate how Relationship Marketing contributes to the effective development of food-related sectors by employing various quantitative and qualitative approaches to their investigations. The conclusions and recommendations offered by the authors generate valuable insights into food and agribusiness industries in various countries. Readers are invited to reflect upon the utility of the outcomes of these papers in relation to international food and agribusiness firms, to discover ideas for improving this sector's output through effective implementation of Relationship Marketing approaches and thinking.