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Do Local Production, Organic Certification, Nutritional Claims, and Product Branding Pay in Consumer Food Choices?

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  • Batte, Marvin T.
  • Hu, Wuyang
  • Woods, Timothy A.
  • Stan, Ernst

Abstract

This research furthers the assessment of consumer demand for locally produced foods, while also considering a host of other food attributes that may interact to influence consumer utility. Using stated preference data from a choice-based conjoint analysis survey instrument, we estimate willingness-to-pay for processed food products (blackberry jam) that are differentiated with respect to their branding, the location of their production, certification as organically produced, branding as a product of a small family farming association, and carrying a State Proud certification. Although price is the most important single attribute influencing consumer choice for our sample, consumers also were willing to pay more for food products produced in their state or in a well identified multistate region. Our sample was more willing to purchase organic products, although there was an indication of some confusion as to the meaning of the NOP organic logo. Our results also supported the notion that consumers are willing to support small family farms with purchases if the product is clearly labeled as a product of small farms. These conclusions have important is significant has important policy and merchandising strategy implications.

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Bibliographic Info

Paper provided by Agricultural and Applied Economics Association in its series 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado with number 61026.

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Date of creation: 29 Apr 2010
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Handle: RePEc:ags:aaea10:61026

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Related research

Keywords: Conjoint analysis; Choice experiment; Locally produced food; Organic foods; Product differentiation; Produce marketing; State Proud programs; Willingness-to-pay; Agribusiness; Agricultural and Food Policy; Consumer/Household Economics; Food Consumption/Nutrition/Food Safety; Marketing; Q11; Q13;

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