A Case Study at Pasar Tani Kluang: Factors that Affect Sales under Jimat Belanja Dapur Programme

The first Pasar Tani was established in Malaysia in 1985 by Federal Agricultural Marketing Authority (FAMA). The business concept practiced by the pasar tani is to provide a niche market for the farmers or producers to market their own product directly to consumers. At the same time, the establishment of the market is also to reduce financial burden of consumers in spending for daily food and beverages consumption. In addition, the prices of the products are cheaper compared to the supermarket. In 2014, FAMA launched Jimat Belanja Dapur programme under Pasar Tani to promote healthier and more affordable products to local residents. Nevertheless, the sales statistics from the programme indicates that it is not at satisfactory level. Therefore, the objective of the study is to identify factors that cause low sales at Pasar Tani and how to solve the problem. The study is based on Pasar Tani Kluang sellers. The data were collected through interviewing the sellers that participate in the Pasar Tani programme and the FAMA representative. Findings of the study were analyzed using content analysis. The findings indicate the reduction of sales is caused by consumer spending behavior, high number of competitors and lack of promotion. The problems can be solved through selling quality product, creating competitive advantage for the sellers and establishing a good relationship between the seller and buyer.