Consumer willingness to pay for traditional food products

Balogh, Péter; Békési, Dániel; Gorton, Matthew; Popp, József; Lengyel, Péter

doi:10.1016/j.foodpol.2016.03.005

Cited by 200 publications

(175 citation statements)

References 36 publications

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“…According to random utility theory, the assumption is made that a given alternative is selected if the perceived utility provided by such alternative is the highest among the different choices [29]. Conjoint choice-based methods have been widely used to simulate the purchasing process [30][31][32]. Choice-based conjoint has an advantage over rating-based conjoint due to its greater similarity to market behaviour [33]-namely to what a consumer really does when buying food since consumers must choose one alternative within each choice set by simultaneously evaluating the presented product attributes and, as a result, they are less inclined to overestimate some attributes over others.…”

Section: Design Of the Experimentsmentioning

confidence: 99%

Free Range, Organic? Polish Consumers Preferences Regarding Information on Farming System and Nutritional Enhancement of Eggs: A Discrete Choice Based Experiment

Żakowska‐Biemans

Tekień

2017

Sustainability

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Abstract:The main purpose of this study was to determine the structure of consumer preferences regarding information on farming system and nutritional enhancement of eggs to verify if consumers are willing to accept products combing sustainability and nutrition related claims. The data was collected within a CAPI (Computer Assisted Personal Interviews) survey on a representative sample of 935 consumers responsible for food shopping. A discrete choice-based conjoint method was selected in eliciting consumer preferences among different product profiles with varying levels of attributes. A hierarchical cluster analysis was used to identify four distinct clusters that differed significantly in terms of importance attached to production system attributes and socio-demographic profiles. The results of the experiment showed that price and farming system had the most significant mean relative importance in shaping consumers' preferences, while other attributes such as nutrition and health claims, egg size, package size and hen breed were far less important. Free range eggs had the highest relative importance for consumers despite the fact that organic egg production systems are governed by much stricter animal welfare standards. Our segmentation revealed that two of our four clusters may be more easily reached by information on animal welfare related attributes in egg production than the others. The results of our study provide the policy makers and marketing practitioners with insights applicable for communication and pricing strategies for eggs with sustainability claims.

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Section: Design Of the Experimentsmentioning

confidence: 99%

Free Range, Organic? Polish Consumers Preferences Regarding Information on Farming System and Nutritional Enhancement of Eggs: A Discrete Choice Based Experiment

Żakowska‐Biemans

Tekień

2017

Sustainability

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“…Contrary to standard long food supply chains, where only a small proportion of total added value is captured by primary producers, FMs have the capacity to increase farmer income [42,43] if the farmer identifies and serves market niches offering price premiums over the mass markets [44]. Thus, improving farmer remuneration depends on consumers' willingness to pay a premium for products purchased and sold in short chains [45]. Consumers have been found to recognize the added value of these niche products that have the capacity to convey multiple attributes and appealing symbols (e.g., origin, quality, tradition, history) related to the territory [46].…”

Section: Introductionmentioning

confidence: 99%

Consumers’ Sense of Farmers’ Markets: Tasting Sustainability or Just Purchasing Food?

Giampietri

Koemle

et al. 2016

Sustainability

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Sustainable food consumption has attracted widespread attention over the last decades by scholars, policy makers and consumers. In line with this, farmers' markets (FMs) have the potential to encourage sustainable agricultural production and consumption. By reducing the number of actors and distances along the food chain, these alternative food systems foster the reconnection between farmers and consumers and contribute to different social, economic and environmentally sustainable goals. This paper provides insights into how consumers' sustainability concerns are related to their motivation for shopping at FMs. By means of a choice experiment, we analyze the determinants of consumers' preferences for buying apples at FMs. We are particularly interested in understanding how attitudes towards the three sustainability dimensions are related to consumer preferences in this context. We find that consumer attitudes towards direct contact with producers, contributing to farmers' income, and environmental benefits, can be directly related to product characteristics that are specific to FMs.

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“…The goodness-of-fit of the estimated models was measured using the McFadden pseudo-R 2 , which was 0.36 for Model 1 and 0.37 for Model 2. According to Hensher et al (2005: 338), a pseudo-R 2 of at least 0.3 indicates that the model fit is Balogh et al (2016) and Train and Weeks (2005) suggested that the price coefficient (in our case the coefficient for the price advantage) has to be normalized to one (for further discussion on this topic, see e.g. Scarpa et al, 2008;Scarpa and Willis, 2010 …”

Section: Estimation Of Wtamentioning

confidence: 98%

E-commerce in agriculture – The case of crop protection product purchases in a discrete choice experiment

Fecke

Danne

Mußhoff

2018

Computers and Electronics in Agriculture

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. www.econstor.eu Terms of use: Documents in AbstractThe internet is playing an increasing role in the development of rural areas. For farmers in particular, reliable internet access creates opportunities concerning farm management decisions. Hence, the goal of this study was to investigate German farmers' willingness to buy inputs online. Primary data was collected by conducting a discrete choice experiment about the purchase of crop protection products. Selection decisions of 165 arable farmers were analyzed by a generalized multinomial logit model (GMNL) resulting in willingness to accept (WTA) space estimation. WTA estimates show that farmers are willing to switch to an online merchant if they are offered a significantly lower price. However, word-of-mouth-reputation and consultation offered via traditional media do not influence farmers' WTA for an online merchant. In contrast, delivery time significantly affects farmers' WTA for inputs purchased online. We also show that farmers' risk attitudes, prior online shopping experiences, and education are influential factors for the WTA for an online merchant. Surprisingly, age and farm size do not impact farmers' WTA. Since e-commerce has not been widely established in agriculture yet, these results are of great practical importance. The findings of this study give online merchants of agricultural inputs a first orientation for choosing appropriate marketing measures. Moreover, results are interesting for education policy.

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Consumer willingness to pay for traditional food products

Cited by 200 publications

References 36 publications

Free Range, Organic? Polish Consumers Preferences Regarding Information on Farming System and Nutritional Enhancement of Eggs: A Discrete Choice Based Experiment

Free Range, Organic? Polish Consumers Preferences Regarding Information on Farming System and Nutritional Enhancement of Eggs: A Discrete Choice Based Experiment

Consumers’ Sense of Farmers’ Markets: Tasting Sustainability or Just Purchasing Food?

E-commerce in agriculture – The case of crop protection product purchases in a discrete choice experiment

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