Consumer Perceptions of Sustainable Farming Practices: A Best-Worst Scenario
The ability of a firm to differentiate their product hinges critically on an accurate understanding of the perceptions consumers hold regarding the implications of a credence labeling claim. Building upon existing work evaluating other food attribute labels (e.g., genetically-modified products, region of origin, use of growth hormones) and the impact of consumer inferences (e.g., implicit associations made from explicitly provided information), this work begins to address gaps in the literature regarding food products with sustainably produced claims. This paper uses data collected in the summer and fall of 2010 from a national, web-based survey of 1002 households, to initiate the process of examining consumer inferences and valuations of food products making sustainably produced claims. A Best-Worst scaling framework was implemented to identify what consumers believe sustainably produced labels mean and their preferences for each of the sustainable farming practices considered. The best-worst survey method forces respondents to make trade-offs by simultaneously choosing the most and least preferred attributes. The measured level of concern can then be applied to a standardized ratio scale. The results of this study suggest that consumers perceive farm size and local production as highly important elements of sustainable agriculture. Additionally, consumer preferences over economic attributes such as consumer food prices and financial stability of farmers exhibit high heterogeneity, indicating segmentation in the sample and potential for targeted marketing management.
|Date of creation:||2011|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (517) 355-4563
Fax: (517) 432-1800
Web page: http://www.aec.msu.edu/agecon/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- 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.
- Tonsor, Glynn T. & Shupp, Robert S., 2009. "Valuations of â€˜Sustainably Producedâ€™ Labels on Beef, Tomato, and Apple Products," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 38(3), December.
- Louviere, Jordan J, 2001. " What If Consumer Experiments Impact Variances as Well as Means? Response Variability as a Behavioral Phenomenon," Journal of Consumer Research, University of Chicago Press, vol. 28(3), pages 506-11, December.
- Flynn, Terry N. & Louviere, Jordan J. & Peters, Tim J. & Coast, Joanna, 2007. "Best-worst scaling: What it can do for health care research and how to do it," Journal of Health Economics, Elsevier, vol. 26(1), pages 171-189, January.
- Craig A. Bond & Dawn Thilmany & Jennifer Keeling Bond, 2008. "Understanding consumer interest in product and process-based attributes for fresh produce," Agribusiness, John Wiley & Sons, Ltd., vol. 24(2), pages 231-252.
- Jayson L. Lusk & Brian C. Briggeman, 2009. "Food Values," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(1), pages 184-196.
- Yuko Onozaka & Gretchen Nurse & Dawn Thilmany McFadden, 2010. "Defining Sustainable Food Market Segments: Do Motivations and Values Vary by Shopping Locale?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(2), pages 583-589.
- Wendy J. Umberger & Dillon M. Feuz & Chris R. Calkins & Karen Killinger-Mann, 2002. "U.S. consumer preference and willingness-to-pay for domestic corn-fed beef versus international grass-fed beef measured through an experimental auction," Agribusiness, John Wiley & Sons, Ltd., vol. 18(4), pages 491-504.
- Pat Auger & Timothy Devinney & Jordan Louviere, 2007. "Using Bestâ€“Worst Scaling Methodology to Investigate Consumer Ethical Beliefs Across Countries," Journal of Business Ethics, Springer, vol. 70(3), pages 299-326, February.
When requesting a correction, please mention this item's handle: RePEc:ags:midagr:115966. 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: (AgEcon Search)
If references are entirely missing, you can add them using this form.