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The Effect of Different Levels of Promotional Expenditures on Sales of Fluid Milk

Author

Listed:
  • Clement, Wendell E.
  • Henderson, Peter L.
  • Eley, Cleveland P.

Abstract

Excerpts from the report: Consumption patterns for dairy products have changed considerably during the post-World War II period. Per capita consumption of some products--cheese, frozen desserts, skim milk, and nonfat dry milk--has been increasing. But per capita consumption of other products such as fluid whole milk, cream, butter, and evaporated milk has declined. The American Dairy Association, a voluntary organization supported by dairy farmers, has been the major group promoting dairy products on a non- brand basis. The specific objective of the study reported here was to determine whether increased promotional expenditures by the Association would increase sales of fluid milk enough to justify the added cost. Fluid milk was selected because it yields a higher net return to producers and is the major outlet for both milk fat and solids-not-fat, accounting for about 40 percent of total utilization of milk fat and over 60 percent of total utilization of solids-not-fat, and because of the continuing decline in consumption of fluid milk. Also, producers of fluid milk had been asking for such market tests.

Suggested Citation

  • Clement, Wendell E. & Henderson, Peter L. & Eley, Cleveland P., 1965. "The Effect of Different Levels of Promotional Expenditures on Sales of Fluid Milk," Miscellaneous Publications 320751, United States Department of Agriculture, Economic Research Service.
  • Handle: RePEc:ags:uersmp:320751
    DOI: 10.22004/ag.econ.320751
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    Citations

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    Cited by:

    1. Williams, Gary W. & Myers, Lester H., 1982. "The Economic Effectiveness Of Foreign Market Development Programs: The Case Of Soybeans And Soybean Products," 1982 Annual Meeting, August 1-4, Logan, Utah 279211, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Gary W. Williams, 1985. "Returns to US soybean export market development," Agribusiness, John Wiley & Sons, Ltd., vol. 1(3), pages 243-263.
    3. Economic Research Service, 1984. "Review Of Existing And Alternative Federal Dairy Programs," Staff Reports 276844, United States Department of Agriculture, Economic Research Service.

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