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"Local is the New Organic": Do Consumers Agree?

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  • Meas, Thong
  • Hu, Wuyang
  • Batte, Marvin T.
  • Woods, Timothy
  • Ernst, Stan

Abstract

There have been numerous studies and growing interests to identify consumer preferences and compare willingness-to-pay for different value-added food labels or attributes. This paper uses stated preference data from choice experiments in a mail survey in Kentucky and Ohio to analyze consumer preferences for a host of value-added attributes of processed blackberry jam. Results from the study confirm positive willingness-to-pay for both organic and local attributes as well as other label claims. However, consumers were found to be willing to pay less for organic blackberry jam than jam identified as being produced in smaller state regions. Furthermore, the study found some evidence of substitution between these two attributes, an issue receiving minimal attention in the existing literature.

Suggested Citation

  • Meas, Thong & Hu, Wuyang & Batte, Marvin T. & Woods, Timothy & Ernst, Stan, 2013. ""Local is the New Organic": Do Consumers Agree?," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 151265, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea13:151265
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    File URL: http://purl.umn.edu/151265
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    Cited by:

    1. He, Chenyi & Gao, Zhifeng & Sims, Charles A. & Zhao, Xin, 2015. "Does Local Label Bias Consumer Taste Bud and Preference: Evidence of a Strawberry Sensory Experiment," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196874, Southern Agricultural Economics Association.
    2. Schott, Lenna & Bernard, John, 2015. "Comparing Consumer's WIllingness to Pay for Conventional, Non-Certified Organic and Organic Milk from Small and Large Farms," Journal of Food Distribution Research, Food Distribution Research Society, vol. 46(3), November.
    3. Kathryn Boys & David Willis & Carlos Carpio, 2014. "Consumer willingness to pay for organic and locally grown produce on Dominica: insights into the potential for an “Organic Island”," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 16(3), pages 595-617, June.
    4. Lefèvre, Mélanie, 2014. "Do Consumers Pay More for What They Value More? The Case of Local Milk-based Dairy Products in Senegal," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 43(1), April.

    More about this item

    Keywords

    willingness-to-pay; local and organic processed food products; choice experiment; conditional logit model; Mixed Logit model; processed food labels; Consumer/Household Economics; Food Consumption/Nutrition/Food Safety; Q13;

    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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