The woodcraft industry is one of the most traditional and enduring sectors of the economy, combining art with functionality [1]. In Greece, where woodcraft has deep roots in cultural heritage, the businesses in this sector constantly face challenges and opportunities in a changing business environment [2]. The need to adapt to modern market trends and integrate innovative marketing strategies is imperative to ensure the sustainability and development of woodcraft businesses [3, 4]. This paper focuses on exploring the marketing strategies used by woodcraft companies in Greece, analyzing their effectiveness, and suggesting improvements based on the research findings [5, 6].
Even though traditional woodcraft retains significant cultural value, businesses in the sector often face challenges from changes in consumer preferences, economic pressures, and increased globalization [6]. The introduction of new technologies and innovation in production processes can enhance the competitiveness of woodcraft businesses, enabling them to meet modern market demands [4]. These innovations include the use of advanced woodworking tools, improved finishing techniques, and the development of high-value-added products.
Beyond its importance in Greece’s cultural heritage, woodcraft significantly contributes to the country’s economy. The Cultural Industries, of which woodcraft is a key part, are an emerging sector [7]. Since 2003, the UNESCO Convention for the Safeguarding of Intangible Cultural Heritage (ICH) has included traditional crafts in its categories of intangible cultural heritage [8]. The Greek Government, through the Ministry of Culture and Sports, has signed a Programmatic Agreement with the University of Thessaly for the revival of handicrafts and the support of Greek artisans. The goal is to develop a modern strategy with actions for sustainable development and business enhancement of handicrafts [9].
2 Literature Review
The development of craft entrepreneurship and woodcraft, beyond the knowledge and art of producing handcrafted products, typically using traditional methods—either entirely by hand or with the aid of hand tools or machines—requires both expertise and strategic actions in promotion, branding, and effective market distribution in the market [10‐12]. In Greece, related studies [13, 14] reveal structural weaknesses in the traditional methods of promotion and distribution within the woodcraft sector, which should leverage modern digital marketing techniques as part of the digital transformation.
Research has shown that many micro-enterprises (MEs) involved in woodcrafts and the production of wooden art’s objects struggle to distribute their products and reach potential customers [15]. Many of these businesses are based in rural and semi-urban areas [16, 17], so their target market is often dispersed, requiring well-focused marketing and distribution strategies.
For micro and small businesses, the online platforms offer a good alternative solution for product distribution [18], by creating their own website and online store, companies can access new markets.
Research took place in Bulgaria [19] indicates that Bulgarian woodcraftsmen continue to rely on the local market and do not take advantage of foreign opportunities. A lack of digital skills and reluctance to embrace new technologies are obstacles, while cyber fraud undermines trust in e-commerce.
Another research [3] examines marketing practices in the wooden furniture sector, adopted by manufacturers and how these affect business’s performance. Companies which invest in innovative practices, such as digital media usage and brand development, perform better. The management of customer relationships and production flexibility also improves the results.
Research from Portugal [2] explores marketing strategies for the sustainable development of traditional woodcraft, analyzing challenges and opportunities for adopting sustainable practices. The success requires the integration of sustainable practices across all production and marketing aspects. The transparency and the authenticity are also crucial for attracting conscious consumers.
A useful guide [5] offers practical advice and marketing strategies for small woodcraft businesses, examining promotion, distribution methods and ways to increase brand recognition. The author concludes that small businesses can develop by focusing on product differentiation and expanding strong customer relationships. Also, using local markets and participating in exhibitions can also enhance exposure and sales.
The research [1] analyzes marketing practices and trends in woodcraft, examining strategies for promoting wood products and shows that successful companies focus on innovative practices, product differentiation, and advanced technology use. The participation in international markets and the brand strengthening are key success’s factors.
Based on the above, the research questions of this study are the following:
1.
What factors influence the willingness and ability of Greek woodcraft businesses to enter international markets?
2.
How does the use of digital sales and promotion channels affect the performance of small and medium-sized woodcraft enterprises in Greece?
3.
What are the challenges and benefits of collaboration among competitors in the Greek woodcraft industry?
4.
What is the role of business networks and clusters in improving the competitiveness of woodcraft businesses in Greece?
3 Methodology
This research aims to investigate the marketing strategies of woodcraft businesses in Greece through quantitative analysis of primary data, using a structured questionnaire based on modern social research methods [20, 21], because it ensures consistency and comparability in responses and greater reliability. This is particularly important for drawing generalizable conclusions and comparing the results with international studies, facilitating the understanding of marketing strategies at an international level.
The data were collected from 70 small woodcraft businesses, across seven regions (Thessaly, Crete, Northern Aegean, Eastern Macedonia and Thrace, Epirus, Peloponnese, and Western Macedonia), covering over 80% of the country. The profile of the participants is presented in Table 1.
Table 1
Demographic characteristics of participants
Gender
Male
84.3
Female
15.7
Age
21–30
2.9
Annual Income
< 10,000 €
7.1
31–40
20.3
(2021)
10–20,000 €
36.8
41–50
34.8
20–30.000 €
38.5
51–60
23.2
30–40,000 €
10.9
61–70
8.7
> 40,000 €
6.8
> 70
10.1
Education
Primary school
4.8
Year of
< 1990
26.1
Secondary school
9.7
1991–2000
10.1
High school
33.9
2001–2010
17.4
Technical school
17.7
2011–2020
40.6
Bachelor’s degree
29.1
> 2020
5.8
Postgraduate
1.6
Phd
3.2
The questionnaire included 291 variables to answer the research questions, covering topics such as promotion techniques, customer relationship management, use of social networks, and corporate image management practices. A pilot test of the questionnaire was conducted prior to the main phase to ensure validity and comprehension [22, 23].
The main data collection phase was conducted from June 2022 to October 2023, with interviews conducted either in person or via teleconference, depending on participant’s availability. After data collection, the information was entered into an Excel file and subjected to statistical analysis using IBM SPSS Statistics 29, including descriptive statistics, correlation analyses, and other appropriate techniques [24, 25].
4 Results
The results of the research showed that among the Greek woodcraft artisans surveyed, 82.8% reported that most sales were held in the local market, 72.6% in the national market, and 44.5% at the international level. This indicates that the local market remains the primary source of income for many woodcraft businesses in Greece, followed by the national and international markets. The dominance of the local market is attributed to factors such as close relationships with customers and a better understanding of local needs. The national market provides broader coverage and more sales opportunities, while the international market presents challenges such as transportation costs and customs regulations.
According to the data in Fig. 1, 43.8% of participants engage in exports, showing that nearly half of the businesses have access to international markets. However, 56.3% focused on the domestic market due to export challenges such as high tariffs and complex procedures. The main export countries are England, America, Australia, Germany, the USA, Canada, Cyprus, and many others. Key clients abroad are churches, individuals, hotels, and wholesalers.
Fig. 1
Export activity among Greek woodcraft artisans
Bild vergrößern
The COVID-19 pandemic significantly affected sales for woodcraft businesses in Greece. However, 17.1% of businesses reported increased sales during the pandemic, likely due to adaptability and the adoption of new marketing and sales strategies. The most significant response to the pandemic’s negative impacts, reported by 24.3% of businesses of the pandemic, was the development of online sales, responding to increased demand for online shopping due to lockdown measures. The shift to e-commerce was a strategic movement for many businesses, allowing them to maintain or even increase sales through digital channels.
The methods of promoting the products of woodcraft businesses are presented in detail in Table 2. The results show that participants use various promotion channels to enhance their market presence, but they place much greater emphasis on the internet (7.04) and word of mouth (7.02) on a scale of 1–8, with 8 being the most significant. The internet includes the use of websites, online marketplaces such as Skroutz and Best Price, and leveraging social networks to reach customers. They also heavily rely on word-of-mouth advertising, which remains one of the most effective promotion methods, especially in small and local communities. Another important option for promoting their products is participating in exhibitions, showcasing their products at special events and trade shows (5.75).
Table 2
Ways in which the artisans in the research promote their products (1–8 from least to most important)
Internet
53
2
8
7.04
1.427
Word of Mouth
58
1
8
7.02
1.606
Exhibitions
20
1
8
5.75
2.268
Local event sponsorships
20
1
7
4.45
1.959
Promotional offers
18
1
7
4.44
1.688
Press/Radio
16
1
7
4.19
2.316
Television
9
1
7
2.33
2.179
According to the results of the research on the deficiencies of the participants compared to their competitors, 31.4% pertain to marketing and advertising. This shows that many woodcraft businesses do not have the necessary knowledge or resources to effectively promote their products. This problem can lead to the reduced market recognition and competitiveness. Additionally, 20% of participants stated they are at a disadvantage regarding costs. This may include high production, material, or operational costs, which reduce profitability and competitiveness, while 15.7% of participants believe they don’t have enough networking. The inability to create strategic partnerships and the lack of support networks can limit growth opportunities and access to new markets.
Finally, the research results, as shown in Fig. 2, indicate that 77.6% of participants are willing to join business networks, recognizing the benefits of collaboration, such as access to new markets, resource sharing, knowledge and technology exchange, and innovation enhancement. However, 20.7% are not willing due to a lack of trust and fear of losing independence. The hesitations may also be due to unfair competition or previous negative experiences.
Fig. 2
Willingness of artisans to join business networks
Bild vergrößern
5 Discussion
The willingness and ability of woodcraft businesses to export has vital importance, offering opportunities for growth and customer base diversification, while requiring strategic skills and resources [1]. The researchers [2] point out that businesses who enter into international markets benefit from increased demand and higher profit margins, but the lack of resources and the need to comply with international standards discourage small businesses from exporting.
Research shows that Greek woodcraft artisans focus primarily on the local and domestic market due to direct access to customers and lower distribution costs [1]. Research [2] highlights the difficulties which small businesses face in competing internationally due to limited resources and specialized knowledge, while Hofstrand [5] mentions that local and national markets offer stable opportunities compared to international markets, which require more adaptation and investment.
The use of the Internet and e-commerce is crucial for small and medium-sized businesses. According to Marques and Rocha [3], the businesses that invest in digital channels have improved performance, as the Internet provides broader access to customers and reduces advertising costs. Cohen and Kozak [1] emphasize the importance of online presence, mentioning platforms like Skroutz for selling products. Word-of-mouth advertising is effective for small businesses due to personal relationships [5]. Sponsorships and exhibitions enhance corporate image and create new contacts [6].
Greek woodcraft artisans, as well as those from other countries with strong craft traditions in woodcraft, such as Sweden, Finland, Austria, Germany, Norway, Estonia, Italy, Switzerland, France, and others [26, 27], to participate in business networks or clusters offers significant benefits. According to the previous researchers [1], Business networks improve competitiveness through resource sharing and collaboration in areas such as research and development. Marques and Rocha [2] highlight the advantages of clusters, such as access to new markets and economies of scale, while networking enhances adaptability to market changes [6]. The collaboration in clusters improves access to financing, as banks view businesses in dynamic networks positively. However, a small percentage of participants express reservations due to a lack of trust and a desire for independence [5], which are the common obstacles for small businesses.
The cultural industries of many European countries can benefit from the results of this research [26, 27], in accordance with the UNESCO Convention for the Safeguarding of the Intangible Cultural Heritage (ICH) [8].
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