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Analysis of latent classes: preferences for UHT milk with different quality labels

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  • Groot, Etienne

Abstract

The objective of this research was to study the heterogeneity of consumer preferences in Dracena/SP regarding quality seals for "Ultra High Temperature" (UHT) milk: SENAF Family Farming, SENAF Quilombos do Brasil, Organic Product Brazil, and "Fairtrade"; and regarding marketing shares received by rural producers, through latent class analysis (LCA). Due to the low level of knowledge among the population about these attributes, the research evaluated the impact of information about quality seals and marketing shares on consumer choices. Therefore, interviews were conducted with people in public places in the city, from April to June 2018. Consumers expressed their preferences through a case-3 or multi-profile discrete choice experiment (DME) and the data were analyzed using latent class analysis. In total, 257 consumers participated in the study. The results showed that there were two market segments, both before and after consumers received information about quality seals and marketing shares. The information did not significantly influence the preferences of 140 consumers (54.47%), however 81 consumers (31.51%) began to value the SENAF Quilombos do Brasil and “Fairtrade” seals more, and 35 consumers (13.61%) became more satisfied with the SENAF certification and less sensitive to the retail prices of UHT milk.

Suggested Citation

  • Groot, Etienne, 2023. "Analysis of latent classes: preferences for UHT milk with different quality labels," Quaestum, University of Sao Paulo, vol. 4.
    • Handle: RePEc:ags:quaest:392463
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