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U.S. Demand for Chocolate Milk as an Alternative Energy/Sports Drinks

Author

Listed:
  • Hu, Yang
  • Dharmasena, Senarath
  • Capps, Oral, Jr.
  • Janakirarman, Ramkumar

Abstract

Consumption of chocolate milk in the United States is growing as an alternative beverage to sports and energy drinks. Recent literature suggests that consumption of chocolate milk vis-à-vis sports and energy drinks is an effective recovery aid after prolonged workouts. In this light, knowledge of price sensitivity, substitutes/complements and demographic profiling with respect to consumption of chocolate milk is important for manufacturers, retailers and advertisers of chocolate milk from a competitive intelligence as well as from a strategic decision-making perspective. Using 62029 household level observations from Nielsen HomeScan Panel for 2011 and Tobit model, factors affecting the demand of chocolate milk was determined. Results show that, chocolate milk is substitute for energy drinks. Factors affecting the probability of purchase of chocolate milk are, price, household size, education status, race, region, the presence of children, gender of household head. The factors affecting the volume of purchase of chocolate milk are price of chocolate milk, household size, education status, race, region, the presence of children, gender of household head.

Suggested Citation

  • Hu, Yang & Dharmasena, Senarath & Capps, Oral, Jr. & Janakirarman, Ramkumar, 2016. "U.S. Demand for Chocolate Milk as an Alternative Energy/Sports Drinks," 2016 Annual Meeting, February 6-9, 2016, San Antonio, Texas 229942, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea16:229942
    DOI: 10.22004/ag.econ.229942
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