IDEAS home Printed from https://ideas.repec.org/a/eee/jfpoli/v112y2022ics0306919222001154.html
   My bibliography  Save this article

Marketing fortified rice: Effects of aspirational messaging and association with free distribution

Author

Listed:
  • Chowdhury, Reajul
  • Crost, Benjamin
  • Hoffmann, Vivian

Abstract

Fortification of staple foods is among the most cost-effective public health interventions. In settings where mandatory fortification is not feasible, providing fortified foods through public safety net programs and building private demand can be implemented in parallel to maximize coverage. However, little is known about what marketing messages are most effective at increasing the demand for fortified foods. Further, as governments scale up fortification of foods distributed through safety net programs, understanding the effect of knowledge about this on consumer demand will be important for crafting communication strategies. Drawing on insights from the literature on marketing and consumer behavior, we hypothesize that a message linking fortified rice, an unfamiliar product in this setting, to a known, aspirational product, can increase demand. We test the individual and joint impacts of an aspirational marketing message and information about the public distribution of fortified rice through a framed field experiment eliciting willingness to pay for rice fortified with six micronutrients in Chandpur District, Bangladesh. We find that a message which combines aspirational positioning and information on public distribution increases the proportion of participants willing to pay a premium at least equal to the cost of fortification by 19 percentage points. The results suggest that any negative impact on willingness to pay associated with free distribution is outweighed by the credibility distribution lends to health claims about the product.

Suggested Citation

  • Chowdhury, Reajul & Crost, Benjamin & Hoffmann, Vivian, 2022. "Marketing fortified rice: Effects of aspirational messaging and association with free distribution," Food Policy, Elsevier, vol. 112(C).
  • Handle: RePEc:eee:jfpoli:v:112:y:2022:i:c:s0306919222001154
    DOI: 10.1016/j.foodpol.2022.102346
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306919222001154
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.foodpol.2022.102346?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Hugo De Groote & Simon Chege Kimenju & Ulrich B. Morawetz, 2011. "Estimating consumer willingness to pay for food quality with experimental auctions: the case of yellow versus fortified maize meal in Kenya," Agricultural Economics, International Association of Agricultural Economists, vol. 42(1), pages 1-16, January.
    2. Koszegi, Botond & Rabin, Matthew, 2004. "A Model of Reference-Dependent Preferences," Department of Economics, Working Paper Series qt0w82b6nm, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    3. Gunther Bensch & Jörg Peters, 2020. "One‐Off Subsidies and Long‐Run Adoption—Experimental Evidence on Improved Cooking Stoves in Senegal," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(1), pages 72-90, January.
    4. Gregan-Paxton, Jennifer & John, Deborah Roedder, 1997. "Consumer Learning by Analogy: A Model of Internal Knowledge Transfer," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 24(3), pages 266-284, December.
    5. von Grebmer, Klaus & Bernstein, Jill & Hossain, Naomi & Brown, Tracy & Prasai, Nilam & Yohannes, Yisehac & Patterson, Fraser & Sonntag, Andrea & Zimmerman, Sophia-Maria & Towey, Olive & Foley, Connell, 2017. "2017 Global Hunger Index: The inequalities of hunger," IFPRI books, International Food Policy Research Institute (IFPRI), number 978-0-89629-271-0.
      • von Grebmer, Klaus & Bernstein, Jill & Hossain, Naomi & Brown, Tracy & Prasai, Nilam & Yohannes, Yisehac & Patterson, Fraser & Sonntag, Andrea & Zimmerman, Sophia-Maria & Towey, Olive & Foley, Connell, 2017. "2017 Global Hunger Index: The inequalities of hunger," IFPRI synopses 9780896292932, International Food Policy Research Institute (IFPRI).
      • von Grebmer, Klaus & Bernstein, Jill & Hossain, Naomi & Brown, Tracy & Prasai, Nilam & Yohannes, Yisehac & Patterson, Fraser & Sonntag, Andrea & Zimmerman, Sophia-Maria & Towey, Olive & Foley, Connell, 2017. "2017 Global Hunger Index: The inequalities of hunger," IFPRI synopses 9780896292758, International Food Policy Research Institute (IFPRI).
      • von Grebmer, Klaus & Bernstein, Jill & Hossain, Naomi & Brown, Tracy & Prasai, Nilam & Yohannes, Yisehac & Patterson, Fraser & Sonntag, Andrea & Zimmerman, Sophia-Maria & Towey, Olive & Foley, Connell, 2017. "2017 Global Hunger Index: The inequalities of hunger," IFPRI synopses 9780896292772, International Food Policy Research Institute (IFPRI).
      • von Grebmer, Klaus & Bernstein, Jill & Hossain, Naomi & Brown, Tracy & Prasai, Nilam & Yohannes, Yisehac & Patterson, Fraser & Sonntag, Andrea & Zimmerman, Sophia-Maria & Towey, Olive & Foley, Connell, 2017. "2017 Global Hunger Index: The inequalities of hunger," IFPRI synopses 9780896292765, International Food Policy Research Institute (IFPRI).
    6. Botond Kőszegi & Matthew Rabin, 2006. "A Model of Reference-Dependent Preferences," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(4), pages 1133-1165.
    7. Yunus, Mohammad & Rashid, Shahidur & Chowdhury, Sulin, 2019. "Per capita rice consumption in Bangladesh: Available estimates and IFPRI’s validation survey results," IFPRP working papers 3, International Food Policy Research Institute (IFPRI).
    8. Glenn Harrison, 2007. "House money effects in public good experiments: Comment," Experimental Economics, Springer;Economic Science Association, vol. 10(4), pages 429-437, December.
    9. Dominique Van Der Straeten & Navreet K. Bhullar & Hans De Steur & Wilhelm Gruissem & Donald MacKenzie & Wolfgang Pfeiffer & Matin Qaim & Inez Slamet-Loedin & Simon Strobbe & Joe Tohme & Kurniawan Rudi, 2020. "Multiplying the efficiency and impact of biofortification through metabolic engineering," Nature Communications, Nature, vol. 11(1), pages 1-10, December.
    10. Jessica Cohen & Pascaline Dupas, 2010. "Free Distribution or Cost-Sharing? Evidence from a Randomized Malaria Prevention Experiment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 125(1), pages 1-45.
    11. Meenakshi, J.V. & Banerji, A. & Manyong, Victor & Tomlins, Keith & Mittal, Nitya & Hamukwala, Priscilla, 2012. "Using a discrete choice experiment to elicit the demand for a nutritious food: Willingness-to-pay for orange maize in rural Zambia," Journal of Health Economics, Elsevier, vol. 31(1), pages 62-71.
    12. Herrington, Caitlin L. & Maredia, Mywish & Ortega, David L. & Taleon, Victor & Birol, Ekin & Sarkar, Abdur Rouf & Rahaman, Shajedur, 2021. "Rural Bangladeshi Consumers' Willingness to Pay for Rice with Improved Nutrition via Zinc Biofortified Rice and Decreased Milling Practices," 2021 Conference, August 17-31, 2021, Virtual 315079, International Association of Agricultural Economists.
    13. Richard H. Thaler, 2008. "Mental Accounting and Consumer Choice," Marketing Science, INFORMS, vol. 27(1), pages 15-25, 01-02.
    14. Jeremy Clark, 2002. "House Money Effects in Public Good Experiments," Experimental Economics, Springer;Economic Science Association, vol. 5(3), pages 223-231, December.
    15. Beninger, Stefanie & Robson, Karen, 2015. "Marketing at the base of the pyramid: Perspectives for practitioners and academics," Business Horizons, Elsevier, vol. 58(5), pages 509-516.
    16. Vivian Hoffmann & Christine M. Moser & Timothy J. Herrman, 2021. "Demand for Aflatoxin‐Safe Maize in Kenya: Dynamic Response to Price and Advertising," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(1), pages 275-295, January.
    17. Oluwatoba J Omotilewa & Jacob Ricker-Gilbert & John Herbert Ainembabazi, 2019. "Subsidies for Agricultural Technology Adoption: Evidence from a Randomized Experiment with Improved Grain Storage Bags in Uganda," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 101(3), pages 753-772.
    18. Vaiknoras, Kate & Larochelle, Catherine & Birol, Ekin & Asare-Marfo, Dorene & Herrington, Caitlin, 2019. "Promoting rapid and sustained adoption of biofortified crops: What we learned from iron-biofortified bean delivery approaches in Rwanda," Food Policy, Elsevier, vol. 83(C), pages 271-284.
    19. Srivastava, Abhinav & Mukherjee, Srabanti & Jebarajakirthy, Charles, 2020. "Aspirational consumption at the bottom of pyramid: A review of literature and future research directions," Journal of Business Research, Elsevier, vol. 110(C), pages 246-259.
    20. Adewale Oparinde & Abhijit Banerji & Ekin Birol & Paul Ilona, 2016. "Information and consumer willingness to pay for biofortified yellow cassava: evidence from experimental auctions in Nigeria," Agricultural Economics, International Association of Agricultural Economists, vol. 47(2), pages 215-233, March.
    21. Andrade, Juan E. & Ali, Abu Noman Mohammad Atahar & Chowdhury, Reajul & Crost, Benjamin & Hoffmann, Vivian & Mustafa, Shoumi & Shaima, Nabila Afrin, 2021. "Rice fortification in Bangladesh: Technical feasibility and regulatory requirement for introducing rice fortification in public modern storage/distribution of fortified rice through PFDS channels," IFPRP working papers 10, International Food Policy Research Institute (IFPRI).
    22. Banerji, Abhijit & Birol, Ekin & Karandikar, Bhushana & Rampal, Jeevant, 2016. "Information, branding, certification, and consumer willingness to pay for high-iron pearl millet: Evidence from experimental auctions in Maharashtra, India," Food Policy, Elsevier, vol. 62(C), pages 133-141.
    Full references (including those not matched with items on IDEAS)

    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. Brenneis, Karina & Irawan, Bambang & Wollni, Meike, 2023. "Promoting agricultural technologies with positive environmental effects: Evidence on tree planting in Indonesia," Ecological Economics, Elsevier, vol. 204(PB).
    2. Gunther Bensch & Jörg Peters, 2020. "One‐Off Subsidies and Long‐Run Adoption—Experimental Evidence on Improved Cooking Stoves in Senegal," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(1), pages 72-90, January.
    3. Meriggi, Niccolò F. & Bulte, Erwin & Mobarak, Ahmed Mushfiq, 2021. "Subsidies for technology adoption: Experimental evidence from rural Cameroon," Journal of Development Economics, Elsevier, vol. 153(C).
    4. Banerji, Abhijit & Birol, Ekin & Karandikar, Bhushana & Rampal, Jeevant, 2016. "Information, branding, certification, and consumer willingness to pay for high-iron pearl millet: Evidence from experimental auctions in Maharashtra, India," Food Policy, Elsevier, vol. 62(C), pages 133-141.
    5. Murekezi, Abdoul & Oparinde, Adewale & Birol, Ekin, 2017. "Consumer market segments for biofortified iron beans in Rwanda: Evidence from a hedonic testing study," Food Policy, Elsevier, vol. 66(C), pages 35-49.
    6. Karle, Heiko & Schumacher, Heiner & Vølund, Rune, 2023. "Consumer loss aversion and scale-dependent psychological switching costs," Games and Economic Behavior, Elsevier, vol. 138(C), pages 214-237.
    7. Pedro Bordalo & Nicola Gennaioli & Andrei Shleifer, 2020. "Memory, Attention, and Choice," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 135(3), pages 1399-1442.
    8. Elias L. Khalil, 2024. "Mental accounting, heuristics, and the second‐best: Solving the calculator‐jacket puzzle," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 45(4), pages 2415-2427, June.
    9. Andreas Leibbrandt, 2016. "Behavioral Constraints on Pricing: Experimental Evidence on Price Discrimination and Customer Antagonism," CESifo Working Paper Series 6214, CESifo.
    10. Fischer, Greg & Karlan, Dean & McConnell, Margaret & Raffler, Pia, 2019. "Short-term subsidies and seller type: A health products experiment in Uganda," Journal of Development Economics, Elsevier, vol. 137(C), pages 110-124.
    11. Mahdi Mahmoudzadeh, 2020. "On the Non‐Equivalence of Trade‐ins and Upgrades in the Presence of Framing Effect: Experimental Evidence and Implications for Theory," Production and Operations Management, Production and Operations Management Society, vol. 29(2), pages 330-352, February.
    12. Chao, Yong & Fernandez, Jose & Nahata, Babu, 2015. "Pay-what-you-want pricing: Can it be profitable?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 57(C), pages 176-185.
    13. Andreas Lange & Andrew Stocking, 2009. "Charitable Memberships, Volunteering, and Discounts: Evidence from a Large-Scale Online Field Experiment," NBER Working Papers 14941, National Bureau of Economic Research, Inc.
    14. Manel Baucells & Silvia Bellezza, 2017. "Temporal Profiles of Instant Utility During Anticipation, Event, and Recall," Management Science, INFORMS, vol. 63(3), pages 729-748, March.
    15. Kim Kaivanto, 2014. "The Effect of Decentralized Behavioral Decision Making on System‐Level Risk," Risk Analysis, John Wiley & Sons, vol. 34(12), pages 2121-2142, December.
    16. Edika Quispe-Torreblanca & David Hume & John Gathergood & George Loewenstein & Neil Stewart, 2023. "At the Top of the Mind: Peak Prices and the Disposition Effect," Discussion Papers 2023-09, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    17. Jozsef Sakovics, 2007. "Reference price distortion," Edinburgh School of Economics Discussion Paper Series 177, Edinburgh School of Economics, University of Edinburgh.
    18. Valera, Harold Glenn & Yamano, Takashi & Pede, Valerien & Puskur, Ranjitha & Habib, Muhammad Ashraful & Bashar, Khairul, 2021. "Impact of Nutrition Training on Long-Term Adoption of High Zinc Rice: A Randomized Control Trial Study Among Female Farmers in Bangladesh," 2021 Conference, August 17-31, 2021, Virtual 315165, International Association of Agricultural Economists.
    19. Pedro Bordalo & Nicola Gennaioli & Andrei Shleifer, 2013. "Salience and Consumer Choice," Journal of Political Economy, University of Chicago Press, vol. 121(5), pages 803-843.
    20. Becker-Peth, Michael & Thonemann, Ulrich W., 2016. "Reference points in revenue sharing contracts—How to design optimal supply chain contracts," European Journal of Operational Research, Elsevier, vol. 249(3), pages 1033-1049.

    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:eee:jfpoli:v:112:y:2022:i:c:s0306919222001154. 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: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/foodpol .

    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.