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Do Local Production, Organic Certification, Nutritional Claims, and Product Branding Pay in Consumer Food Choices?

Author

Listed:
  • Batte, Marvin T.
  • Hu, Wuyang
  • Woods, Timothy A.
  • Stan, Ernst

Abstract

This research furthers the assessment of consumer demand for locally produced foods, while also considering a host of other food attributes that may interact to influence consumer utility. Using stated preference data from a choice-based conjoint analysis survey instrument, we estimate willingness-to-pay for processed food products (blackberry jam) that are differentiated with respect to their branding, the location of their production, certification as organically produced, branding as a product of a small family farming association, and carrying a State Proud certification. Although price is the most important single attribute influencing consumer choice for our sample, consumers also were willing to pay more for food products produced in their state or in a well identified multistate region. Our sample was more willing to purchase organic products, although there was an indication of some confusion as to the meaning of the NOP organic logo. Our results also supported the notion that consumers are willing to support small family farms with purchases if the product is clearly labeled as a product of small farms. These conclusions have important is significant has important policy and merchandising strategy implications.

Suggested Citation

  • Batte, Marvin T. & Hu, Wuyang & Woods, Timothy A. & Stan, Ernst, 2010. "Do Local Production, Organic Certification, Nutritional Claims, and Product Branding Pay in Consumer Food Choices?," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 61026, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea10:61026
    DOI: 10.22004/ag.econ.61026
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    References listed on IDEAS

    as
    1. Darby, Kim & Batte, Marvin T. & Ernst, Stanley C. & Roe, Brian E., 2006. "Willingness to pay for locally produced foods: A customer intercept study of direct market and grocery store shoppers," 2006 Annual meeting, July 23-26, Long Beach, CA 21336, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Ernst, Stan & Batte, Marvin T. & McNaull, Julie T., 2007. "Pie Potential: Examining Berry Market Expansion through Baked Goods," Journal of Food Distribution Research, Food Distribution Research Society, vol. 38(1), pages 1-1, March.
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    Cited by:

    1. Meixner, Oliver & Haas, Rainer & Perevoshchikova, Yana & Canavari, Maurizio, 2014. "Consumer Attitudes, Knowledge and Behavior in the Russian Market of Food," 2014 International European Forum, February 17-21, 2014, Innsbruck-Igls, Austria 199363, International European Forum on System Dynamics and Innovation in Food Networks.
    2. Erpeng Wang & Zhenzhen Liu & Zhifeng Gao & Qin Wen & Xianhui Geng, 2022. "Consumer preferences for agricultural product brands in an E‐commerce environment," Agribusiness, John Wiley & Sons, Ltd., vol. 38(2), pages 312-327, April.
    3. Gumirakiza, Jean Dominique & VanZee, Sarah, 2018. "The Most Important Food Labels among Online Shoppers when Shopping for Fresh Produce," 2018 Annual Meeting, February 2-6, 2018, Jacksonville, Florida 266683, Southern Agricultural Economics Association.

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