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Consumer Response to Commodity-Specific and Broad-Based Promotion Programs for Fruits and Vegetables

Author

Listed:
  • Bradley J. Rickard
  • Jura Liaukonyte
  • Harry M. Kaiser
  • Timothy J. Richards

Abstract

Generic promotion activities have traditionally been used for individual agricultural commodities, yet there is renewed interest in implementing a mandatory "broad-based" promotion program for all fruits and vegetables. Here we use data from an experiment that introduce subjects to various promotional efforts for fruits and vegetables to estimate the shift and rotational effects of advertising. Econometric results indicate that commodity-specific promotional efforts may not be effective at increasing demand for fruits and vegetables. After controlling for various demographic differences among treatments, our results show that consumers' valuation of fruits and vegetables was highest among subjects exposed to broad-based advertisements. Copyright 2011, Oxford University Press.

Suggested Citation

  • Bradley J. Rickard & Jura Liaukonyte & Harry M. Kaiser & Timothy J. Richards, 2011. "Consumer Response to Commodity-Specific and Broad-Based Promotion Programs for Fruits and Vegetables," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(5), pages 1312-1327.
  • Handle: RePEc:oup:ajagec:v:93:y:2011:i:5:p:1312-1327
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    File URL: http://hdl.handle.net/10.1093/ajae/aar042
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    References listed on IDEAS

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    1. Robert Breunig & Indraneel Dasgupta, 2003. "Are People Ashamed of Paying with Food Stamps?," Journal of Agricultural Economics, Wiley Blackwell, vol. 54(2), pages 203-225.
    2. Chen, Zhiqi & Woolley, Frances, 2001. "A Cournot-Nash Model of Family Decision Making," Economic Journal, Royal Economic Society, vol. 111(474), pages 722-748, October.
    3. Wilde, Parke E. & Ranney, Christine K., 1996. "The Distinct Impact Of Food Stamps On Food Spending," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(01), July.
    4. Robert V. Breunig & Indraneel Dasgupta, 2002. "A Theoretical and Empirical Evaluation of the Functiona Forms Used to Estimate the Food Expenditure Equation of Food Stamp Recipients: Comment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(4), pages 1156-1160.
    5. repec:mpr:mprres:1253 is not listed on IDEAS
    6. Dasgupta, Indraneel, 2001. "Gender-biased redistribution and intra-household distribution," European Economic Review, Elsevier, vol. 45(9), pages 1711-1722, October.
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    Cited by:

    1. Dennis Rodgers & Jo Beall & Ravi Kanbur, 2011. "Latin American Urban Development into the 21st Century Towards a Renewed Perspective on the City," WIDER Working Paper Series 005, World Institute for Development Economic Research (UNU-WIDER).
    2. McAdams, Callie & Palma, Marco A. & Hall, Charles & Ishdorj, Ariun, 2013. "A Nonhypothetical Ranking and Auction Mechanism for Novel Products," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 45(01), pages 35-52, February.
    3. Liaukonyte, Jura & Streletskaya, Nadia & Kaiser, Harry, 2015. "Noisy Information Signals and Endogenous Preferences for Labeled Attributes," 2015 Conference, August 9-14, 2015, Milan, Italy 211823, International Association of Agricultural Economists.
    4. Kanbur, Ravi, 2010. "Conceptualising Social Security and Income Redistribution," Working Papers 126969, Cornell University, Department of Applied Economics and Management.
    5. Kanbur, Ravi, 2010. "The Role of the World Bank in Middle Income Countries," Working Papers 126971, Cornell University, Department of Applied Economics and Management.
    6. Gergaud, Olivier & Livat, Florine & Rickard, Bradley & Warzynski, Frederic, 2016. "The Costs and Benefits of Collective Reputation: Who gains and who loses from generic promotion programs?," Working Papers 231135, American Association of Wine Economists.
    7. Liaukonyte, Jura & Rickard, Bradley J. & Kaiser, Harry M. & Okrent, Abigail M. & Richards, Timothy J., 2012. "Economic and health effects of fruit and vegetable advertising: Evidence from lab experiments," Food Policy, Elsevier, vol. 37(5), pages 543-553.

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