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Can digital tools improve farmers' commercial conditions? Analysis based on sales strategie

Romane Guillot-Pelliet (), Magali Aubert () and Anne Mione ()
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Romane Guillot-Pelliet: AGIR - AGroécologie, Innovations, teRritoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - EI Purpan - Ecole d'Ingénieurs de Purpan - Comue de Toulouse - Communauté d'universités et établissements de Toulouse
Magali Aubert: UMR MoISA - Montpellier Interdisciplinary center on Sustainable Agri-food systems (Social and nutritional sciences) - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - IRD - Institut de Recherche pour le Développement - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement
Anne Mione: MRM-ORGA - Montpellier Research in Management - Organisations - MRM - Montpellier Research in Management - UPVD - Université de Perpignan Via Domitia - UM - Université de Montpellier

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Abstract: The integration of digital technology into food supply chains came with high expectations, particularly for improving farmers' sales conditions. In theory, digital tools are expected to provide access to commercial information and enable more direct relationships with consumers, thereby mitigating two issues that threaten farm profitability and even survival: transaction costs (Transaction Cost Theory) and commercial uncertainty (Resource Dependency Theory). However, solid empirical evidence is currently scarce. Therefore, the goal of this thesis is to assess the actual impact of digital technologies on the costs and uncertainty burdening farmers. To achieve this, we focus on soft, everyday technologies used by almost all farmers: social media, software, and online sales platforms. We conducted representative quantitative surveys of French market gardeners, who are highly concerned about costs and uncertainty, as well as semi-structured interviews to gain deeper insight into their strategies. We also surveyed managers of online sales platforms to better understand how they interact with farmers. The resulting data are analysed using a range of methods, including propensity score matching and Qualitative Comparative Analysis (QCA). The results demonstrate that digital tools can reduce both transaction costs and market uncertainty. Their impact varies depending on the farmer's sales strategy, specifically whether they sell directly or indirectly to consumers. Transaction costs are reduced when farmers use digital tools for marketing and communication. For those selling directly, this improves sales conditions; for those selling indirectly, it enhances the customer relationship. However, information-sharing tools benefit direct sellers but increase transaction costs for indirect sellers because they create greater information asymmetry. Regarding platforms, we observed that some use strategies that limit interaction between farmers and customers, thereby driving up transaction costs. Market uncertainty can be reduced by using digital tools to organise sales, especially for order-taking, both for direct and indirect sales. Platforms offer two effective strategies for reducing uncertainty, based on how they operate. Platforms that include farmers in their governance and encourage exchange with consumers provide a reliable, long-term outlet to stabilise farmers' sales. Platforms requiring low farmer involvement can serve as an 'adjustment' outlet for dealing with surpluses or issues with farmers' regular sales channels. This research shows that digital tools are one lever for farmers to improve their sales conditions. However, it is not a one-size-fits-all solution. It is therefore crucial to clarify these effects so that farmers can select the tools best suited to their own strategy and objectives.

Keywords: Online Sales Platforms; Market Uncertainty; Resource Dependence Theory; Transaction Cost Theory; Digital Agriculture (search for similar items in EconPapers)
Date: 2026-04-14
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Published in Convergence Of Research in Digital Agriculture Leading Labs (CORDIALL), #DigitAg, Apr 2026, Montpellier, France. pp.32, ⟨10.17180/3t4g-b096⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-05616254

DOI: 10.17180/3t4g-b096

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