Estimation of Consumers’ Willingness to Pay for Geographic Indications Bananas Using Conjoint Analysis

This study uses conjoint analysis to analyze consumers’ preferences for geographic indications (GI) bananas by examining the effects of production methods (inorganic, organic, certified organic, and natural), quality attributes (taste, perishability, medicinal, and nutritional), and price premiums (prices of GI bananas relative to prices of other bananas). Consumers were surveyed for demographic, economic, and taste and preference characteristics. The results show that consumers prefer GI bananas for their medicinal properties, natural production method, and lower price premium.     

Valuing Quality Attributes and Country of Origin in the Korean Beef Market

For beef exporters, one of the important questions in the Korean beef market is why Korean consumers are willing to pay almost three times more for domestic Korean beef than they pay for imported beef. To answer this question, we surveyed 1,000 shoppers in Seoul, Korea, and conducted a conjoint analysis on consumers’ willingness to pay (WTP) for country equity of domestic vs. imported beef and quality attributes of marbling, freshness, genetically modified organism (GMO)‐free feed ingredients and antibiotic‐free production. Among all factors contributing to the price differentials, the most important factor seems to be the country of origin followed by the use of GMO feeds and antibiotics in beef production, marbling grade and freshness. This study finds that Korean consumers value origins of imported beef approximately $14/lb less than the Korean origin. Korean consumers’ valuation of beef quality and country of origin differs by some demographic groups: older vs. younger generations, homemakers vs. non‐homemakers and consumers who prefer to purchase packaged beef vs. consumers who prefer to purchase butcher shop beef. Our empirical findings suggest that the top priority for beef exporters who wish to increase sales and value of their beef in the Korean market must be to counter Korean consumers’ strong ethnocentrism by improving the value of their country of origin.     

Marketing Olive Oil Products in the Tunisian Local Market: The Importance of Quality Attributes and Consumers' Behavior

This article is, to the best of our knowledge, the first investigation of Tunisian olive oil consumer behavior by the use of the conjoint analysis technique. The conjoint experiment was based on carefully selected olive oil attributes: type, taste, color, packaging, region of origin, and price. The results have important implications to improve the marketing of olive oil in the local market by focusing on key preferred attributes. Consumers were found to prefer more extra-virgin, followed by virgin olive oil, to pomace oil. They also showed higher preference for green colored olive oil with strong flavored taste. Contrary to a common belief in Tunisia, the region of origin attribute did not show significant effect on consumers’ purchasing decisions. The results show also that Tunisian olive oil consumers are price sensitive and therefore any price strategy to introduce bottled products should take into account consumers’ preferences for bulk purchase.     

Marketing Premium Food Products in Emerging Economies

Abstract

Developing branded food products, that signal higher standards, presents a challenge to processors in newly emerging markets. Many studies have been conducted to learn about consumer awareness and willingness to pay for higher quality products with particular attention to local origin, organic, or environmentally friendly products in developed countries. This study focuses on attributes that may increase demand for domestic cheese in Macedonia. We find the willingness to pay to premiums for higher quality, taste, consistency and certified “safe” cheese is relatively high, and with respect to determining target markets, income, region, shopping behavior and various other demographics all help to delineate potential consumers of premium cheese.     

Food Values

Because of the potential malleability of stated and revealed preferences for new food technologies and attributes, this research sought to determine consumers' food value systems by utilizing recent advances in best-worst scaling. Based on previous literature related to human values and food preferences, a list of eleven food values was compiled. Results reveal that on average the values of safety, nutrition, taste, and price were among the most important to consumers, whereas the values of fairness, tradition, and origin were among the least important; however, there was significant heterogeneity in the relative importance placed on food values. Results indicate that food values are significantly related to consumers' stated and revealed preferences for organic food.     

Consumer Attitude towards Organic Labeling Schemes in Japan

ABSTRACT

Japan is the most lucrative organic market in the Asian region and is projected to account for about 80% of the Asian market revenues by 2009 (Kuhlmann and Jones, 2006). This study identifies Japanese consumer preference and interest in two major labeling information- source of organic certification/traceability and country of origin for organic food products. Stated preference method (SPM) based survey data was collected from two major cities in Japan in order to develop Japanese consumers' organic food choice model. Findings show that Japanese consumers are willing to pay 10% price premium for the organic food products compared to conventional products that have no specific labeling, suggesting a significant profit margin to be possibly captured by the organic producers and marketers. The Japanese consumers have perceived value of the JAS label in their stated preference and showed willingness to pay a price premium for this quality certification system, which validates the importance of government-regulated mandatory labeling. Regarding the country origin labeling issue, the Japanese consumers showed clear preference for the domestic organic products to the imported products, while showing no preference for any particular country origin for imported organic products. For private-voluntary organic labeling, the consumer organization-led organic label is considered to be more reliable source than the retailer-guaranteed organic label.     

Consumers’ preferences for fresh broccolis: interactive effects between country of origin and organic labels

While international trade in organic products has grown significantly, understanding consumers’ preferences for imported organic foods has remained limited. This research examines the impact of country‐of‐origin labeling on US consumers’ choices of organic foods. Results show that consumer valuation of domestically produced organic broccoli was significantly higher than that of imported organic broccoli. Adding information about USDA organic certification standards/rules for imported products mildly increases consumer valuation of imported organic broccoli in some cases. These findings suggest that providing such information may have a positive impact on consumer willingness to purchase imported organic products.     

基于影响因素层级划分的消费者网购家具意愿研究

在哈尔滨市家具卖场问卷调查的基础上,从人口统计变量、服务品质、价格权衡、感知风险、社会认同、心流体验、期望绩效7方面设计调查问卷,运用描述性统计分析方法和关联性统计分析方法对影响消费者网购家具意愿的因素进行识别和筛选,并通过解释结构分析模型(ISM),进一步分解出影响因素之间的结构性分布及其逻辑性关联。研究结果表明,影响消费者网购家具意愿的因素共17个,且处于不同的层次和级别,即相互影响又独立发挥作用,被划分为表层直接影响因素、中层间接影响因素和深层根源影响因素。     

O2O模式下生鲜农产品消费者满意度测评与提升实证分析

[目的]通过向有过O2O模式下生鲜农产品电商购物经历的消费者发放问卷并分析个体特征,运用主成份分析法,探究O2O模式下生鲜农产品消费者购物满意度的影响因素及影响作用。[方法]通过在多个线上网络社交平台以及线下生鲜农产品电商实体门店,向有过O2O模式生鲜农产品电商购物经历的消费者发放调查问卷,通过索取样本数据,分析研究O2O模式下购买生鲜农产品的消费者的个体特征,并通过相关性来分析消费者购物满意度的影响因素之间的关系。[结果]生鲜农产品质量、销售价格、商家的物流配送、消费者使用的支付方式、商家的售后服务、商家的网页设计,均对提升消费者线上线下购买生鲜农产品的满意度有正向的影响。[结论](1)商家应严格把控生鲜农产品质量,保持线上线下的生鲜农产品品质一致性。(2)商家定价应遵循多样定价、合理定价。(3)商家应做好线上的网页设计,维护好线上的网站质量,同时商家应合理进行产品宣传,消除信息误解。(4)商家应提升自己的服务,提供符合消费者购物习惯的支付方式。(5)进一步完善商家的物流配送能力,建立更全面的配送网络,倡导及时、高效配送,提升配送人员素质,提供更优质的配送服务。(6)保障消费者权益并完善商家的售后服务,线下可提供体验性服务满足消费者个性化的消费需求。     

In Search of a Theory of Shopping Value: The Case of Rural Consumers

Although the challenges facing rural retailers have been attributed to competition and decreasing population, this paper defines the problem from rural consumers' perspective. It argues that consumers select shopping location on its shopping value, determined by its attractiveness and accessibility. The results indicate that locations closest to the consumer's residence offer the highest shopping value for groceries and other low-order goods. They also show that increasing gasoline prices favor local retailers. Rural retailers may use these results to implement differentiating strategies that increase their attractiveness, accessibility, and consequently their competitiveness.     

Consumer Preferences for Fresh Tomatoes in Benin using a Conjoint Analysis

Constraints related to the technical and socioeconomic aspects of adopting tomato varieties are well documented. However, preferences relating to the demand for this fruit are rarely studied. In fact, demand for the different varieties of tomatoes might be related to consumers’ preferences for the extrinsic (color, size) and intrinsic (taste, nutritive value, water content) characteristics specific to each variety. It is therefore indispensable to determine the characteristics of tomatoes preferred by consumers. We examine consumers’ preferences for tomato attributes among a sample of 600 consumers in four representative markets in the main cities in southern Benin. The study also identifies potential segments of consumers and the market shares of each profile for each segment. The study identifies four potential tomato market segments, two of which have a strong preference for local tomatoes, namely, those that can be conserved for long periods and those with a firm consistency.     

Demand for Fresh Fruits in Scotland: Potential Implications from Brexit

The need to improve the quality of the diet of Scottish consumers has increased the interest and efforts to understand the determinants of fruit and vegetables, as they may help to prevent a range of diet-related health problems. The purpose of this paper is to analyze the demand for fresh fruit in Scotland, with particular emphasis on the contribution of Mediterranean areas. A further motivation comes from depreciation of the GB Pound with respect to the Euro and the US Dollar following the UK’s decision to exit the European Union (Brexit). This is particularly important in the case of fruit because about 80% of the fruit consumed in the United Kingdom is of foreign origin and therefore depreciation of the currency may increase the price of imported fruit. The demand for fruit was modelled as a two-stage budget to include fruit origin. The results indicate that the demand for fresh fruit is sensitive to changes in prices and the pass-through of GBP depreciation may impact negatively on the Scottish demand for fruit and the country’s nutrition goals.     

Combining Stated and Revealed Preferences on Typical Food Products: The Case of Dry‐Cured Ham in Spain

An extensive body of research concerns the valuation of EU certification schemes of quality based on the origin of food products. This literature focuses mainly on stated preferences (SPs) and reported behaviours by the consumers. We combine consumers’ SPs, obtained through a conjoint ranking experiment, with revealed preferences (RP), obtained through a retail scanner database. We evaluate SPs as predictors of RP, and investigate whether SPs and RPs are consistent. Dry‐cured ham in Spain is chosen as the anchor product, mainly because of its broad customer base and long history of origin certification. A ‘trick’ nested logit model with non‐identical and identical samples of consumers is estimated to answer each of the objectives. Results show that, irrespective of the analysed samples, SP can predict general market trends and choices but not accurately predict market shares, and that consumers’ actual behaviour is partly consistent with their SPs. We find that consumers prefer ham produced in Teruel, compared with unspecified Spanish origin. Quality Certification and a Distributor’s Brand are preferred over the alternatives of no quality label or identified with a brand owned by the producer. Interestingly, SPs for the Quality Certification and the distributor’s brand lead to an over‐ and under‐estimation, respectively, of the market share.     

The impact of customer ratings on consumer choice of fresh produce: A stated preference experiment approach

The importance of customer ratings or reviews in online shopping has been recognized in the previous literature; however, few have studied how online customer rating scores affect consumers’ fresh produce purchases and its importance relative to other fresh produce attributes. The quality of fresh produce demonstrates high uncertainty and variation; therefore, the impact of user-generated content such as customer rating scores on the choice of fresh produce may be more complex than on other product categories. Moreover, previous studies on customer ratings have not examined the price premium that retailers can obtain based on better ratings of fresh produce. Using a stated preference approach (i.e., choice experiment), this study measures the willingness to pay for a higher customer rating score and explores its relative importance to other popular fresh produce attributes (i.e., organic, place of origin, and shelf life). The results show that customer rating is the second most important attribute after the place of origin and is more important than production methods (e.g., organic and naturally grown) for fresh strawberry purchases. Also, rating scores demonstrate a diminishing marginal impact on consumer willingness to pay. Younger consumers and households with children are willing to pay more for fresh produce with high ratings than those with low ratings.     

Decomposing Local: A Conjoint Analysis of Locally Produced Foods

Increasingly, foods are marketed as "locally grown." We use stated preference data from a choice-based conjoint instrument to address two issues surrounding consumer demand for locally produced goods: (1) what is the geographical extent of "local," and (2) is the value consumers place on "local" production distinct from other factors that are often confounded with locally produced foods such as farm size and product freshness? We find our subjects place similar value on products produced "in state" and "nearby" and that consumers' willingness to pay for local production is independent from values associated with product freshness and farm size.     

Are Local and Organic Claims Complements or Substitutes? A Consumer Preferences Study for Eggs

This paper provides an analysis of consumer preferences for product claims, specifically about origin and production methods. In particular, it addresses two important questions: i) whether consumers are willing to pay a premium for food products carrying these claims; and ii) whether local and organic claims are complements or substitutes. A choice experiment designed to estimate two‐way interactions was undertaken in Spain for eggs. The findings show first, that consumers are willing to pay a positive premium price for an enhanced method of production (that of barn, free‐range and/or organic instead of cage produced eggs) as well as for the proximity of production (local, regional and national over imported). Second, the findings show that consumer preferences for the claims are heterogeneous with two consumer segments being identified: “origin preference”, the larger segment, and the “production method preference”. Results show that organic and local claims were complements for the larger first segment but that free‐range and local/regional claims were substitutes for the second smaller segment. These results provide the marketing chains with insights applicable for pricing strategies.     

Ambiguity of measured WTP for quality improvements when quantity is unconstrained: a note

This paper addresses the issue of how to estimate by contingentvaluation methods the maximum price consumers are willing topay when a new quality is available for a market good for whichquantity adjustments are possible. We argue that current practice,which typically does not specify a quantity when asking consumersthe price they are willing to pay for a new quality product,fails to identify prospective consumers' behaviour when theyare free to adjust the quantity purchased. Theoretical modelsare discussed for assessing the maximum price consumers arewilling to pay in these cases, and econometric approaches toaddress these situations are discussed.     

Estimations of Consumer Demand for Local Beef

In this article, we explore the role of local production as an attribute in consumer preferences for beef and attempt to quantify consumers’ purchasing behavior with respect to changes in price. We develop and employ a survey instrument using a randomly selected sample of consumers in Eastern Washington and Northern Idaho. Using data from the survey, we use conjoint analysis to estimate own-price elasticities of demand for beef produced using different production technologies and at different distances from purchase site to place of origin. Results show that consumer demand for beef and beef products is highly elastic, and the implications of this for producers and marketers are explored.     

Consumer Preferences for Organic Food and for the Shares of Meat and Vegetables in an Everyday Meal

Abstract

It is well established that consumers with positive preferences for organic products generally also tend to have healthy eating habits involving many fruits and vegetables but less meat. While most studies are based on single product comparisons, this study investigates consumer preferences for organic ingredients and content of meat and vegetables in the context of an everyday evening meal. Moreover, we address heterogeneity in preferences. The study is based on an online survey including a choice experiment with 506 consumers. Using principal component and latent class analyses, we identify three segments of consumers that differ with respect to preferences for organic production and content of meat and vegetables in their meals. Our findings may be valuable for authorities promoting healthy food consumption just as they provide valuable input to the catering industry and other suppliers of dinner dishes in the development and marketing of both organic and non-organic ready meals.     

A Hedonic Analysis of Fresh Tomato Prices among Regional Markets

This study uses the 2004 ACNielsen Homescan panel data to estimate the price premiums and discounts associated with fresh tomatoes among regional markets, focusing on the organic attribute. The results suggest that consumers paid $0.25/lb more for organic fresh tomatoes in the New York–Philadelphia market. The organic premiums are estimated to be $0.14/lb in the Chicago–Baltimore/Washington and Los Angeles–San Francisco markets and $0.29/lb in the Atlanta–San Antonio market. Furthermore, tomato prices consumers paid in 2004 varied by household characteristics, including income, age, and the race and ethnicity of the head of the household.