IDEAS home Printed from https://ideas.repec.org/a/ags/aergaa/253685.html
   My bibliography  Save this article

Quality dimensions and consumer preferences: A choice experiment in the Italian extra-virgin olive oil market

Author

Listed:
  • Panico, Teresa
  • Del Giudice, Teresa
  • Caracciolo, Francesco

Abstract

This paper investigates consumer preferences for extra-virgin olive oil in Italy. In order to segment the Italian extra-virgin olive oil market, the information obtained from a nationwide survey was analysed by using a randomised parameter logit regression and implementing a cluster analysis on the estimates of consumers’ willingness to pay for origin of olives, production method and sensory attributes. Our results show that information on origin, both in terms of the adoption of PDO or PGI certification and labelling of the origin, production method and organoleptic characteristics crucially affect consumer preferences for olive oil. Market segmentation shows there are consumers who are particularly sensitive to origin and organic certification as well as labelling clarity.

Suggested Citation

  • Panico, Teresa & Del Giudice, Teresa & Caracciolo, Francesco, 2014. "Quality dimensions and consumer preferences: A choice experiment in the Italian extra-virgin olive oil market," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 15(2), pages 1-13.
    • Handle: RePEc:ags:aergaa:253685
    DOI: 10.22004/ag.econ.253685
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/253685/files/15_2_6.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.253685?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Luisa Menapace & Gregory Colson & Carola Grebitus & Maria Facendola, 2011. "Consumers' preferences for geographical origin labels: evidence from the Canadian olive oil market," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 38(2), pages 193-212, June.
    2. Scarpa Riccardo & Del Giudice Teresa, 2004. "Market Segmentation via Mixed Logit: Extra-Virgin Olive Oil in Urban Italy," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 2(1), pages 1-20, August.
    3. Ivo A. van der Lans & Koert van Ittersum & Antonella De Cicco, 2001. "The role of the region of origin and EU certificates of origin in consumer evaluation of food products," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 28(4), pages 451-478, December.
    4. Loureiro, Maria L. & Umberger, Wendy J., 2003. "Estimating Consumer Willingness to Pay for Country-of-Origin Labeling," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(2), pages 1-15, August.
    5. Krystallis, Athanasios & Ness, Mitchell, 2005. "Consumer Preferences for Quality Foods from a South European Perspective: A Conjoint Analysis Implementation on Greek Olive Oil," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 8(2), pages 1-30.
    6. Ronald W. Ward & Julian Briz & Isabel de Felipe, 2003. "Competing supplies of olive oil in the German market: An application of multinomial logit models," Agribusiness, John Wiley & Sons, Ltd., vol. 19(3), pages 393-406.
    7. Nelson, Phillip, 1970. "Information and Consumer Behavior," Journal of Political Economy, University of Chicago Press, vol. 78(2), pages 311-329, March-Apr.
    8. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387.
    9. Di Vita, Giuseppe & D'Amico, Mario & La Via, Giovanni & Caniglia, Elena, 2013. "Quality Perception of PDO extra-virgin Olive Oil: Which attributes most influence Italian consumers?," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 14(2), pages 1-13.
    10. Francesco Caracciolo & Pasquale Lombardi, 2012. "A new-institutional framework to explore the trade-off between agriculture, environment and landscape," ECONOMICS AND POLICY OF ENERGY AND THE ENVIRONMENT, FrancoAngeli Editore, vol. 2012(3), pages 135-154.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ballco, Petjon & Gracia, Azucena, 2020. "Do market prices correspond with consumer demands? Combining market valuation and consumer utility for extra virgin olive oil quality attributes in a traditional producing country," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    2. Maria Cecilia Mancini & Davide Menozzi & Michele Donati & Beatrice Biasini & Mario Veneziani & Filippo Arfini, 2019. "Producers’ and Consumers’ Perception of the Sustainability of Short Food Supply Chains: The Case of Parmigiano Reggiano PDO," Sustainability, MDPI, vol. 11(3), pages 1-23, January.
    3. Idiano D’Adamo & Pasquale Marcello Falcone & Massimo Gastaldi & Piergiuseppe Morone, 2019. "A Social Analysis of the Olive Oil Sector: The Role of Family Business," Resources, MDPI, vol. 8(3), pages 1-17, August.
    4. Lombardi, Alessia & Carfora, Valentina & Cicia, Gianni & Del Giudice, Teresa & Lombardi, Pasquale & Panico, Teresa, 2017. "Exploring Willingness to Pay for QR Code Labeled Extra-Virgin Olive Oil: An Application of the Theory of Planned Behavior," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 8(1), pages 1-18, January.
    5. Nouira, Imen & Hammami, Ramzi & Fernandez Arias, Alina & Gondran, Natacha & Frein, Yannick, 2022. "Olive oil supply chain design with organic and conventional market segments and consumers’ preference to local products," International Journal of Production Economics, Elsevier, vol. 247(C).
    6. Juan Jose Blazquez-Resino & Santiago Gutierrez-Broncano & Pedro Jimenez-Estevez & Israel Roberto Perez-Jimenez, 2021. "The Effect of Ethnocentrism on Product Evaluation and Purchase Intention: The Case of Extra Virgin Olive Oil (EVOO)," Sustainability, MDPI, vol. 13(9), pages 1-24, April.
    7. Lucio Cappelli & Fabrizio D’Ascenzo & Maria Felice Arezzo & Roberto Ruggieri & Irina Gorelova, 2020. "The Willingness to Pay in the Food Sector. Testing the Hypothesis of Consumer Preferences for Some Made in Italy Products," Sustainability, MDPI, vol. 12(15), pages 1-11, August.
    8. Corbeto-Fabón, Héctor & Kallas, Zein & Gil, José M., 2018. "Is the place of purchase important in shaping consumers’ preferences towards olive oil?," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 18(01), June.
    9. Bianca Polenzani & Chiara Riganelli & Andrea Marchini, 2020. "Sustainability Perception of Local Extra Virgin Olive Oil and Consumers’ Attitude: A New Italian Perspective," Sustainability, MDPI, vol. 12(3), pages 1-18, January.
    10. Yamna Erraach & Fatma Jaafer & Ivana Radić & Mechthild Donner, 2021. "Sustainability Labels on Olive Oil: A Review on Consumer Attitudes and Behavior," Sustainability, MDPI, vol. 13(21), pages 1-23, November.
    11. Vita, G. Di & Salvo, G. De & Bracco, S. & Gulisano, G. & D'Amico, M., 2016. "Future Market of Pizza: Which Attributes Do They Matter?," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 8(4), pages 1-13, December.
    12. Čehić Ana & Canavari Maurizio & Oplanić Milan & Cerjak Marija, 2021. "The Importance of Intrinsic and Extrinsic Local Olive Oil Attributes for Tourists: Evidence from a Mediterranean Destination," European Journal of Tourism, Hospitality and Recreation, Sciendo, vol. 11(2), pages 280-295, December.
    13. Tiziano Tempesta & Daniel Vecchiato, 2019. "Analysis of the Factors that Influence Olive Oil Demand in the Veneto Region (Italy)," Agriculture, MDPI, vol. 9(7), pages 1-17, July.
    14. Ana García-Moral & Encarnación Moral-Pajares & Leticia Gallego-Valero, 2023. "The Spanish Olive Oil with Quality Differentiated by a Protected Designation of Origin," Agriculture, MDPI, vol. 13(11), pages 1-14, November.
    15. Jingjing Wang & Chengyan Yue & Karina Gallardo & Vicki McCracken & James Luby & Jim McFerson, 2017. "What Consumers Are Looking for in Strawberries: Implications from Market Segmentation Analysis," Agribusiness, John Wiley & Sons, Ltd., vol. 33(1), pages 56-69, January.
    16. Eleonora Sofia Rossi & José A. Zabala & Francesco Caracciolo & Emanuele Blasi, 2023. "The Value of Crop Diversification: Understanding the Factors Influencing Consumers’ WTP for Pasta from Sustainable Agriculture," Agriculture, MDPI, vol. 13(3), pages 1-18, February.
    17. María D. Bovea & Valeria Ibáñez-Forés & Victoria Pérez-Belis & Pablo Juan & Marta Braulio-Gonzalo & Carlos Díaz-Ávalos, 2018. "Incorporation of Circular Aspects into Product Design and Labelling: Consumer Preferences," Sustainability, MDPI, vol. 10(7), pages 1-17, July.
    18. Luis Pérez y Pérez & Azucena Gracia, 2023. "Consumer Preferences for Olive Oil in Spain: A Best-Worst Scaling Approach," Sustainability, MDPI, vol. 15(14), pages 1-14, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Teresa Del Giudice & Carla Cavallo & Francesco Caracciolo & Gianni Cicia, 2015. "What attributes of extra virgin olive oil are really important for consumers: a meta-analysis of consumers’ stated preferences," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 3(1), pages 1-15, December.
    2. Luisa Menapace & Gregory Colson & Carola Grebitus & Maria Facendola, 2011. "Consumers' preferences for geographical origin labels: evidence from the Canadian olive oil market," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 38(2), pages 193-212, June.
    3. Tiziano Tempesta & Daniel Vecchiato, 2019. "Analysis of the Factors that Influence Olive Oil Demand in the Veneto Region (Italy)," Agriculture, MDPI, vol. 9(7), pages 1-17, July.
    4. Caputo, Vincenzina & Aprile, Maria Carmela & Nayga, Rodolfo M., Jr., 2011. "Consumers’ Valuation for European food quality labels: Importance of Label Information Provision," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114324, European Association of Agricultural Economists.
    5. Resano, Helena & Sanjuán, Ana I. & Albisu, Luis M., 2012. "Consumers’ response to the EU Quality policy allowing for heterogeneous preferences," Food Policy, Elsevier, vol. 37(4), pages 355-365.
    6. Yamna Erraach & Fatma Jaafer & Ivana Radić & Mechthild Donner, 2021. "Sustainability Labels on Olive Oil: A Review on Consumer Attitudes and Behavior," Sustainability, MDPI, vol. 13(21), pages 1-23, November.
    7. Sandro Sillani & Alessandro Esposito & Teresa Del Giudice & Francesco Caracciolo, 2014. "Le preferenze dei consumatori della provincia di Trieste per l?olio extra vergine di oliva d?alta gamma," Economia agro-alimentare, FrancoAngeli Editore, vol. 16(1), pages 139-155.
    8. Di Vita, Giuseppe & D'Amico, Mario & La Via, Giovanni & Caniglia, Elena, 2013. "Quality Perception of PDO extra-virgin Olive Oil: Which attributes most influence Italian consumers?," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 14(2), pages 1-13.
    9. Rombach, Meike & Widmar, Nicole Olynk & Byrd, Elizabeth & Bitsch, Vera, 2018. "Do all roses smell equally sweet? Willingness to pay for flower attributes in specialized retail settings by German consumers," Journal of Retailing and Consumer Services, Elsevier, vol. 40(C), pages 91-99.
    10. Juan Jose Blazquez-Resino & Santiago Gutierrez-Broncano & Pedro Jimenez-Estevez & Israel Roberto Perez-Jimenez, 2021. "The Effect of Ethnocentrism on Product Evaluation and Purchase Intention: The Case of Extra Virgin Olive Oil (EVOO)," Sustainability, MDPI, vol. 13(9), pages 1-24, April.
    11. Corbeto-Fabón, Héctor & Kallas, Zein & Gil, José M., 2018. "Is the place of purchase important in shaping consumers’ preferences towards olive oil?," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 18(01), June.
    12. Luigi Roselli & Domenico Carlucci & Bernardo Corrado Gennaro, 2016. "What Is the Value of Extrinsic Olive Oil Cues in Emerging Markets? Empirical Evidence from the U.S. E‐Commerce Retail Market," Agribusiness, John Wiley & Sons, Ltd., vol. 32(3), pages 329-342, July.
    13. Boncinelli, Fabio & Contino, Caterina & Romano, Caterina & Scozzafava, Gabriele & Casini, Leonardo, 2016. "Territory, environment, and healthiness in traditional food choices: insights into consumer heterogeneity," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 20(1), October.
    14. Zhifeng Gao & Ted C. Schroeder, 2009. "Consumer responses to new food quality information: are some consumers more sensitive than others?," Agricultural Economics, International Association of Agricultural Economists, vol. 40(3), pages 339-346, May.
    15. Mtimet, Nadhem & Ujiie, Kiyokazu & Kashiwagi, Kenichi & Zaibet, Lokman & Nagaki, Masakazu, 2011. "The effects of Information and Country of Origin on Japanese Olive Oil Consumer Selection," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114642, European Association of Agricultural Economists.
    16. Tamaki Kitagawa & Kenichi Kashiwagi & Hiroko Isoda, 2020. "Effect of Religious and Cultural Information of Olive Oil on Consumer Behavior: Evidence from Japan," Sustainability, MDPI, vol. 12(3), pages 1-17, January.
    17. Riccardo Scarpa & Mara Thiene & Francesco Marangon, 2008. "Using Flexible Taste Distributions to Value Collective Reputation for Environmentally Friendly Production Methods," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 56(2), pages 145-162, June.
    18. Marchesini, Sergio & Hasimu, Huliyeti & Regazzi, Domenico, 2007. "Literature review on the perception of agro-foods quality cues in the international environment," 105th Seminar, March 8-10, 2007, Bologna, Italy 7892, European Association of Agricultural Economists.
    19. Francesca Colantuoni & Gianni Cicia & Teresa Del Giudice & Daniel Lass & Francesco Caracciolo & Pasquale Lombardi, 2016. "Heterogeneous Preferences for Domestic Fresh Produce: Evidence from German and Italian Early Potato Markets," Agribusiness, John Wiley & Sons, Ltd., vol. 32(4), pages 512-530, November.
    20. Chenyi He & Ruifeng Liu & Zhifeng Gao & Xin Zhao & Charles A. Sims & Rodolfo M. Nayga, 2021. "Does local label bias consumer taste buds and preference? Evidence of a strawberry sensory experiment," Agribusiness, John Wiley & Sons, Ltd., vol. 37(3), pages 550-568, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aergaa:253685. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/etagrea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.