Pasture-Raised Milk: The Market for a Differentiated Product

Pasture-raised (PR) milk is a specialty product that could feasibly be produced by economically challenged dairy farms. Our goal was to profile the milk market using an internet survey to identify potential future consumers of PR milk. There were 611 U.S. respondents that were divided into three categories as types of milk consumers: those who only purchased conventional milk in the past year (CONV), those who only purchased non-conventional milk (such as organic, PR, or natural milk) in the past year (NONCONV), and those who purchased both conventional and non-conventional milk in the past year (MIXED). MIXED and NONCONV agreed or strongly agreed with PR milk benefits substantially more than CONV. PR milk was also valued by NONCONV and MIXED in purchasing intentions, but not nearly as much as organic milk. In addition, CONV valued PR milk in purchasing intentions more than organic milk. Results suggest that PR milk can be successfully positioned to appeal to MIXED and perhaps some CONV, potentially increasing sales or market share.