IDEAS home Printed from https://ideas.repec.org/a/eee/joreco/v40y2018icp91-99.html
   My bibliography  Save this article

Do all roses smell equally sweet? Willingness to pay for flower attributes in specialized retail settings by German consumers

Author

Listed:
  • Rombach, Meike
  • Widmar, Nicole Olynk
  • Byrd, Elizabeth
  • Bitsch, Vera

Abstract

The study investigated flower buying behavior and willingness to pay for cut flower attributes by German consumers in physical and online retail settings. A sample of 978 respondents participated in an online survey, including a hypothetical choice experiment. The choice experiment presented rose bouquets produced in Germany, the Netherlands, or in Kenya and considered the attributes “fairly traded†and “freshness guarantee†. In both retail settings German consumers showed the highest willingness to pay for the rose bouquets produced in Germany. Significant statistical differences in estimated mean willingness to pay were found across retail settings and product attributes.

Suggested Citation

  • 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.
  • Handle: RePEc:eee:joreco:v:40:y:2018:i:c:p:91-99
    DOI: 10.1016/j.jretconser.2017.09.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969698917300103
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    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. Wiktor Adamowicz & Peter Boxall & Michael Williams & Jordan Louviere, 1998. "Stated Preference Approaches for Measuring Passive Use Values: Choice Experiments and Contingent Valuation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 64-75.
    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, Foundation for the European Review of Agricultural Economics, vol. 38(2), pages 193-212, June.
    3. Nick Hanley & Robert Wright & Vic Adamowicz, 1998. "Using Choice Experiments to Value the Environment," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 413-428, April.
    4. Jayson L. Lusk, 2003. "Effects of Cheap Talk on Consumer Willingness-to-Pay for Golden Rice," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 840-856.
    5. Hsiao, Ming-Hsiung, 2009. "Shopping mode choice: Physical store shopping versus e-shopping," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 45(1), pages 86-95, January.
    6. Carlsson, Fredrik & Martinsson, Peter, 2001. "Do Hypothetical and Actual Marginal Willingness to Pay Differ in Choice Experiments?: Application to the Valuation of the Environment," Journal of Environmental Economics and Management, Elsevier, vol. 41(2), pages 179-192, March.
    7. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555.
    8. van der Vorst, Jack G.A.J. & Bloemhof, Jacqueline M. & de Keizer, Marlies, 2012. "Innovative Logistics Concepts in the Floriculture Sector," 2012 International European Forum, February 13-17, 2012, Innsbruck-Igls, Austria 144959, International European Forum on System Dynamics and Innovation in Food Networks.
    9. Caswell, Julie A., 1998. "How Labeling of Safety and Process Attributes Affects Markets for Food," Agricultural and Resource Economics Review, Cambridge University Press, vol. 27(2), pages 151-158, October.
    10. Palma, Marco A. & Ward, Ronald W., 2010. "Measuring Demand Factors Influencing Market Penetration and Buying Frequency for Flowers in the U.S," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 13(1), pages 1-18, February.
    11. Danny Campbell & W. Hutchinson & Riccardo Scarpa, 2008. "Incorporating Discontinuous Preferences into the Analysis of Discrete Choice Experiments," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 41(3), pages 401-417, November.
    12. Sallie James & Michael Burton, 2003. "Consumer preferences for GM food and other attributes of the food system," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(4), pages 501-518, December.
    13. Chengyan Yue & Terrance M. Hurley & Neil Anderson, 2011. "Do native and invasive labels affect consumer willingness to pay for plants? Evidence from experimental auctions," Agricultural Economics, International Association of Agricultural Economists, vol. 42(2), pages 195-205, March.
    14. 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.
    15. Garming, Hildegard, 2016. "Auswirkungen des Mindestlohns in Landwirtschaft und Gartenbau: Erfahrungen aus dem ersten Jahr und Ausblick," Thuenen Working Papers 234405, Johann Heinrich von Thuenen-Institut (vTI), Federal Research Institute for Rural Areas, Forestry and Fisheries.
    16. Cheah, Isaac & Phau, Ian & Kea, Garick & Huang, Yu An, 2016. "Modelling effects of consumer animosity: Consumers' willingness to buy foreign and hybrid products," Journal of Retailing and Consumer Services, Elsevier, vol. 30(C), pages 184-192.
    17. Lissitsa, Sabina & Kol, Ofrit, 2016. "Generation X vs. Generation Y – A decade of online shopping," Journal of Retailing and Consumer Services, Elsevier, vol. 31(C), pages 304-312.
    18. David Revelt & Kenneth Train, 1998. "Mixed Logit With Repeated Choices: Households' Choices Of Appliance Efficiency Level," The Review of Economics and Statistics, MIT Press, vol. 80(4), pages 647-657, November.
    19. Olynk, Nicole J. & Tonsor, Glynn T. & Wolf, Christopher A., 2010. "Consumer Willingness to Pay for Livestock Credence Attribute Claim Verification," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 35(2), pages 1-20, August.
    20. Celine Michaud & Daniel Llerena & Iragael Joly, 2013. "Willingness to pay for environmental attributes of non-food agricultural products: a real choice experiment," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 40(2), pages 313-329, March.
    21. Tonsor, Glynn T. & Olynk, Nicole J. & Wolf, Christopher A., 2009. "Consumer Preferences for Animal Welfare Attributes: The Case of Gestation Crates," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 41(3), pages 1-17, December.
    22. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74, pages 132-132.
    23. Arne Risa Hole, 2007. "A comparison of approaches to estimating confidence intervals for willingness to pay measures," Health Economics, John Wiley & Sons, Ltd., vol. 16(8), pages 827-840, August.
    24. Garming, Hildegard, 2016. "Auswirkungen des Mindestlohns in Landwirtschaft und Gartenbau: Erfahrungen aus dem ersten Jahr und Ausblick," Thünen Working Papers 53, Johann Heinrich von Thünen Institute, Federal Research Institute for Rural Areas, Forestry and Fisheries.
    25. O'Cass, Aron & Siahtiri, Vida, 2013. "In search of status through brands from Western and Asian origins: Examining the changing face of fashion clothing consumption in Chinese young adults," Journal of Retailing and Consumer Services, Elsevier, vol. 20(6), pages 505-515.
    26. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    27. Julie A. Caswell & Eliza M. Mojduszka, 1996. "Using Informational Labeling to Influence the Market for Quality in Food Products," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1248-1253.
    28. 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.
    29. Gabriel, Andreas & Menrad, Klaus, 2013. "Segmentation of Customers of Horticultural Non-food Products in Southern Germany," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 62(03), pages 1-11, August.
    30. Jayson L. Lusk & Jutta Roosen & John A. Fox, 2003. "Demand for Beef from Cattle Administered Growth Hormones or Fed Genetically Modified Corn: A Comparison of Consumers in France, Germany, the United Kingdom, and the United States," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 16-29.
    31. Lone Riisgaard & Nikolaus Hammer, 2011. "Prospects for Labour in Global Value Chains: Labour Standards in the Cut Flower and Banana Industries," British Journal of Industrial Relations, London School of Economics, vol. 49(1), pages 168-190, March.
    32. Gregory L. Poe & Kelly L. Giraud & John B. Loomis, 2005. "Computational Methods for Measuring the Difference of Empirical Distributions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(2), pages 353-365.
    33. Gabriel, Andreas & Menrad, Klaus, 2013. "Segmentation of Customers of Horticultural Non-food Products in Southern Germany," Journal of International Agricultural Trade and Development, Journal of International Agricultural Trade and Development, vol. 62(3).
    34. Lee, Wai Jin (Thomas) & Cheah, Isaac & Phau, Ian & Teah, Min & Elenein, Basem Abou, 2016. "Conceptualising consumer regiocentrism: Examining consumers' willingness to buy products from their own region," Journal of Retailing and Consumer Services, Elsevier, vol. 32(C), pages 78-85.
    35. Lee, Min-Young & Jackson, Vanessa & Miller-Spillman, Kimberly A. & Ferrell, Erika, 2015. "Female consumers׳ intention to be involved in fair-trade product consumption in the U.S.: The role of previous experience, product features, and perceived benefits," Journal of Retailing and Consumer Services, Elsevier, vol. 23(C), pages 91-98.
    36. Moser, Riccarda & Raffaelli, Roberta & Thilmany, Dawn D., 2011. "Consumer Preferences for Fruit and Vegetables with Credence-Based Attributes: A Review," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 14(2), pages 1-22, May.
    37. Loureiro, Maria L. & Umberger, Wendy J., 2007. "A choice experiment model for beef: What US consumer responses tell us about relative preferences for food safety, country-of-origin labeling and traceability," Food Policy, Elsevier, vol. 32(4), pages 496-514, August.
    38. McFadden, Daniel, 1974. "The measurement of urban travel demand," Journal of Public Economics, Elsevier, vol. 3(4), pages 303-328, November.
    39. Hensher,David A. & Rose,John M. & Greene,William H., 2015. "Applied Choice Analysis," Cambridge Books, Cambridge University Press, number 9781107465923.
    40. Jayson L. Lusk & F. Bailey Norwood, 2005. "Effect of Experimental Design on Choice-Based Conjoint Valuation Estimates," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(3), pages 771-785.
    41. Schultz, Don E. & Block, Martin P., 2015. "U.S. online shopping: Facts, fiction, hopes and dreams," Journal of Retailing and Consumer Services, Elsevier, vol. 23(C), pages 99-106.
    42. Tonsor, Glynn T. & Schroeder, Ted C. & Fox, John A. & Biere, Arlo W., 2005. "European Preferences for Beef Steak Attributes," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 30(2), pages 1-14, August.
    43. Tiziana de-Magistris & Azucena Gracia & Rodolfo M. Nayga, 2013. "On the Use of Honesty Priming Tasks to Mitigate Hypothetical Bias in Choice Experiments," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 95(5), pages 1136-1154.
    44. Riisgaard, Lone, 2009. "Global Value Chains, Labor Organization and Private Social Standards: Lessons from East African Cut Flower Industries," World Development, Elsevier, vol. 37(2), pages 326-340, February.
    45. David Hensher & William Greene, 2003. "The Mixed Logit model: The state of practice," Transportation, Springer, vol. 30(2), pages 133-176, May.
    46. Isabell Goldberg & Jutta Roosen, 2007. "Scope insensitivity in health risk reduction studies: A comparison of choice experiments and the contingent valuation method for valuing safer food," Journal of Risk and Uncertainty, Springer, vol. 34(2), pages 123-144, April.
    47. Peter Boxall & Wiktor Adamowicz, 2002. "Understanding Heterogeneous Preferences in Random Utility Models: A Latent Class Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 23(4), pages 421-446, December.
    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. Daniel Berki-Kiss & Klaus Menrad, 2019. "Consumer Preferences of Sustainability Labeled Cut Roses in Germany," Sustainability, MDPI, Open Access Journal, vol. 11(12), pages 1-19, June.
    2. Lichters, Marcel & Wackershauser, Verena & Han, Shixing & Vogt, Bodo, 2019. "On the applicability of the BDM mechanism in product evaluation," Journal of Retailing and Consumer Services, Elsevier, vol. 51(C), pages 1-7.

    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. Wongprawmas, Rungsaran & Canavari, Maurizio, 2017. "Consumers’ willingness-to-pay for food safety labels in an emerging market: The case of fresh produce in Thailand," Food Policy, Elsevier, vol. 69(C), pages 25-34.
    2. McKendree, Melissa G.S. & Olynk Widmar, Nicole & Ortega, David L. & Foster, Kenneth A., 2013. "Consumer Preferences for Verified Pork-Rearing Practices in the Production of Ham Products," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(3), pages 1-21.
    3. Ortega, David L. & Wang, H. Holly & Wu, Laping & Olynk, Nicole J., 2011. "Modeling heterogeneity in consumer preferences for select food safety attributes in China," Food Policy, Elsevier, vol. 36(2), pages 318-324, April.
    4. Glynn T. Tonsor & Ted C. Schroeder & Joost M. E. Pennings & James Mintert, 2009. "Consumer Valuations of Beef Steak Food Safety Enhancement in Canada, Japan, Mexico, and the United States," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(3), pages 395-416, September.
    5. Carnegie, Rachel & Wang, Holly & Widmar, Nicole & Ortega, David, 2014. "Consumer Preferences for Quality and Safety Attributes of Duck in Restaurant Entrees: Is China A Viable Market for The U.S. Duck Industry?," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170717, Agricultural and Applied Economics Association.
    6. Tonsor, Glynn T. & Olynk, Nicole & Wolf, Christopher, 2009. "Consumer Preferences for Animal Welfare Attributes: The Case of Gestation Crates," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 41(3), pages 713-730, December.
    7. Mohammed H. Alemu & Søren B. Olsen, 2017. "Can a Repeated Opt-Out Reminder remove hypothetical bias in discrete choice experiments? An application to consumer valuation of novel food products," IFRO Working Paper 2017/05, University of Copenhagen, Department of Food and Resource Economics.
    8. Ortega, David L. & Wang, H. Holly & Wu, Laping & Hong, Soo Jeong, 2015. "Retail channel and consumer demand for food quality in China," China Economic Review, Elsevier, vol. 36(C), pages 359-366.
    9. Ochs, Dan & Wolf, Christopher A. & Widmar, Nicole Olynk & Bir, Courtney & Lai, John, 2019. "Hen housing system information effects on U.S. egg demand," Food Policy, Elsevier, vol. 87(C), pages 1-1.
    10. Loureiro, Maria L. & Umberger, Wendy J., 2007. "A choice experiment model for beef: What US consumer responses tell us about relative preferences for food safety, country-of-origin labeling and traceability," Food Policy, Elsevier, vol. 32(4), pages 496-514, August.
    11. Shijiu Yin & Shanshan Lv & Yusheng Chen & Linhai Wu & Mo Chen & Jiang Yan, 2018. "Consumer preference for infant milk‐based formula with select food safety information attributes: Evidence from a choice experiment in China," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 66(4), pages 557-569, December.
    12. Hoyos, David, 2010. "The state of the art of environmental valuation with discrete choice experiments," Ecological Economics, Elsevier, vol. 69(8), pages 1595-1603, June.
    13. Wongprawmas, Rungsaran & Canavari, Maurizio, 2015. "Heterogeneity in consumer preferences for food safety lavel in Thailand," 143rd Joint EAAE/AAEA Seminar, March 25-27, 2015, Naples, Italy 202744, European Association of Agricultural Economists.
    14. Wang, Shuxian & Wu, Linhai & Zhu, Dian & Wang, Hongsha & Xu, Lingling, 2014. "Chinese consumers’ preferences and willingness to pay for traceable food attributes: The case of pork," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 165639, Agricultural and Applied Economics Association.
    15. Wu, Linhai & Wang, Shuxian & Zhu, Dian & Hu, Wuyang & Wang, Hongsha, 2015. "Chinese consumers’ preferences and willingness to pay for traceable food quality and safety attributes: The case of pork," China Economic Review, Elsevier, vol. 35(C), pages 121-136.
    16. Sckokai, Paolo & Veneziani, Mario & Moro, Daniele & Castellari, Elena, 2014. "Consumer willingness to pay for food safety: the case of mycotoxins in milk," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 3(1), pages 1-19, April.
    17. Sang Hyeon Lee & Doo Bong Han & Vincenzina Caputo & Rodolfo M. Nayga Jr., 2015. "Consumers’ Valuation for a Reduced Salt Product: A Nonhypothetical Choice Experiment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 63(4), pages 563-582, December.
    18. John Lai & Nicole O. Widmar & Courtney Bir, 2020. "Eliciting Consumer Willingness to Pay for Home Internet Service: Closing the Digital Divide in the State of Indiana," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 42(2), pages 263-282, June.
    19. Sclen, Håkon & Kallbekken, Steffen, 2011. "A choice experiment on fuel taxation and earmarking in Norway," Ecological Economics, Elsevier, vol. 70(11), pages 2181-2190, September.
    20. David L. Ortega & H. Holly Wang & Nicole J. Olynk Widmar, 2014. "Aquaculture imports from Asia: an analysis of U.S. consumer demand for select food quality attributes," Agricultural Economics, International Association of Agricultural Economists, vol. 45(5), pages 625-634, September.

    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:joreco:v:40:y:2018:i:c:p:91-99. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Nithya Sathishkumar). General contact details of provider: https://www.journals.elsevier.com/journal-of-retailing-and-consumer-services .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.