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Consumer demand for local honey

Author

Listed:
  • Shang Wu
  • Jacob R. Fooks
  • Kent D. Messer
  • Deborah Delaney

Abstract

How to best target and attract niche market consumers is an important marketing problem for producers of specialty agricultural products. It is particularly an issue in the honey market where consumers increasingly face media messages regarding threats to honey bee health, honey adulteration and health benefits of locally produced honey. Using auction experiments, this research evaluates consumer behaviour related to informational messages about honey that is produced locally, domestically and internationally. Results from 115 adult consumers show that consumers' demand for honey varies significantly based on the geographic location of the honey's production, product packaging and the information they have about the product. Consumers demonstrate greater demand for locally produced honey, especially when provided information about negative aspects of internationally produced honey that include adulteration. This shows that such negative media attention on specialty products offers small producers an opportunity to increase profitability by marketing themselves as a specialized niche alternative.

Suggested Citation

  • Shang Wu & Jacob R. Fooks & Kent D. Messer & Deborah Delaney, 2015. "Consumer demand for local honey," Applied Economics, Taylor & Francis Journals, vol. 47(41), pages 4377-4394, September.
    • Handle: RePEc:taf:applec:v:47:y:2015:i:41:p:4377-4394
    DOI: 10.1080/00036846.2015.1030564
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    1. Martinez, Stephen W. & Hand, Michael S. & Da Pra, Michelle & Pollack, Susan L. & Ralston, Katherine L. & Smith, Travis A. & Vogel, Stephen J. & Clark, Shellye & Lohr, Luanne & Low, Sarah A. & Newman, , 2010. "Local Food Systems: Concepts, Impacts, and Issues," Economic Research Report 96635, United States Department of Agriculture, Economic Research Service.
      • Martinez, Steve & Hand, Michael & Da Pra, Michelle & Pollack, Susan & Ralston, Katherine & Smith, Travis & Vogel, Stephen & Clarke, Shellye & Lohr, Luanne & Low, Sarah & Newman, Constance, 2010. "Local food systems: concepts, impacts, and issues," MPRA Paper 24313, University Library of Munich, Germany.
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    Cited by:

    1. Thøgersen, John, 2023. "How does origin labelling on food packaging influence consumer product evaluation and choices? A systematic literature review," Food Policy, Elsevier, vol. 119(C).
    2. Teresina Mancuso & Luca Croce & Monica Vercelli, 2020. "Total Brood Removal and Other Biotechniques for the Sustainable Control of Varroa Mites in Honey Bee Colonies: Economic Impact in Beekeeping Farm Case Studies in Northwestern Italy," Sustainability, MDPI, vol. 12(6), pages 1-16, March.
    3. Nadia Palmieri & Walter Stefanoni & Francesco Latterini & Luigi Pari, 2022. "Italian Consumer Preferences for Eucalyptus Honey: An Exploratory Study," Sustainability, MDPI, vol. 14(13), pages 1-11, June.
    4. Kallas, Zein & Alba, Martin Federico & Casellas, Karina & Berges, Miriam & Degreef, Gustavo & Gil, José M., 2021. "The development of short food supply chain for locally produced honey. Understanding consumers' opinions and willingness to pay in Argentina," Nülan. Deposited Documents 3234, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    5. Mi Zeng & Wei Yu Yan & Zhi Jiang Zeng, 2023. "Analysis of Consumers’ Willingness to Pay for Honey in China," Sustainability, MDPI, vol. 15(2), pages 1-10, January.
    6. Kecinski, Maik & Messer, Kent D. & Peo, Audrey J., 2018. "When Cleaning Too Much Pollution Can Be a Bad Thing: A Field Experiment of Consumer Demand for Oysters," Ecological Economics, Elsevier, vol. 146(C), pages 686-695.
    7. Herrmann, R. & Bissinger, K. & Krandick, L., 2018. "Implicit Prices of Sustainability Characteristics in Foods: the Case of the German Online Market for Honey," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277079, International Association of Agricultural Economists.
    8. Li, Tongzhe & Fooks, Jacob & Messer, Kent D., 2017. "Residents’ Preferences in Adopting Water Runoff Management Practices: Examining the Effect of Behavioral Nudges in a Field Experiment," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259127, Agricultural and Applied Economics Association.
    9. Jelena Vapa-Tankosić & Svetlana Ignjatijević & Jelena Kiurski & Jovana Milenković & Irena Milojević, 2020. "Analysis of Consumers’ Willingness to Pay for Organic and Local Honey in Serbia," Sustainability, MDPI, vol. 12(11), pages 1-23, June.
    10. Kent D. Messer & Marco Costanigro & Harry M. Kaiser, 2017. "Labeling Food Processes: The Good, the Bad and the Ugly," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 39(3), pages 407-427.
    11. Petjon Ballco & Fatma Jaafer & Tiziana de Magistris, 2022. "Investigating the price effects of honey quality attributes in a European country: Evidence from a hedonic price approach," Agribusiness, John Wiley & Sons, Ltd., vol. 38(4), pages 885-904, October.
    12. Herrmann, Roland & Bissinger, Katharina & Krandick, Lisa, 2018. "Price Premia for Sustainability Characteristics in Foods: Measurement Matters!," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276855, International European Forum on System Dynamics and Innovation in Food Networks.
    13. Jerrod Penn & Wuyang Hu & Hannah J. Penn, 2019. "Support for Solitary Bee Conservation among the Public versus Beekeepers," American Journal of Agricultural Economics, John Wiley & Sons, vol. 101(5), pages 1386-1400, October.
    14. Muhammad Bello & Awudu Abdulai, 2016. "Measuring heterogeneity, survey engagement and response quality in preferences for organic products in Nigeria," Applied Economics, Taylor & Francis Journals, vol. 48(13), pages 1159-1171, March.
    15. Ritten, Chian Jones & Thunstrom, Linda & Ehmke, Mariah & Beiermann, Jenny & McLeod, Donald, 2019. "International honey laundering and consumer willingness to pay a premium for local honey: an experimental study," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(4), October.
    16. Kecinski, Maik & Kerley Keisner, Deborah & Messer, Kent D. & Schulze, William D., 2016. "Stigma mitigation and the importance of redundant treatments," Journal of Economic Psychology, Elsevier, vol. 54(C), pages 44-52.
    17. Riccardo Testa & Antonio Asciuto & Giorgio Schifani & Emanuele Schimmenti & Giuseppina Migliore, 2019. "Quality Determinants and Effect of Therapeutic Properties in Honey Consumption. An Exploratory Study on Italian Consumers," Agriculture, MDPI, vol. 9(8), pages 1-12, August.
    18. Thunström, Linda & Gilbert, Ben & Ritten, Chian Jones, 2018. "Nudges that hurt those already hurting – distributional and unintended effects of salience nudges," Journal of Economic Behavior & Organization, Elsevier, vol. 153(C), pages 267-282.
    19. Juma, Charity Nabwire & Otieno, David Jakinda & Oluouch-Kosura, Willis & Gyau, Amos & Oduol, Judith Auma, 2016. "A survey of consumer perceptions and preferences for geographical indication and quality attributes of honey in Kenya," 2016 Fifth International Conference, September 23-26, 2016, Addis Ababa, Ethiopia 246915, African Association of Agricultural Economists (AAAE).
    20. Monica Vercelli & Luca Croce & Teresina Mancuso, 2020. "An Economic Approach to Assess the Annual Stock in Beekeeping Farms: The Honey Bee Colony Inventory Tool," Sustainability, MDPI, vol. 12(21), pages 1-14, November.

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