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Eliciting Consumer WTP for Food Characteristics in a Developing Context: Comparison of four methods in a field experiment

Author

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  • Alphonce, Roselyne

    (School of Economics and Business, Norwegian University of Life Sciences)

  • Alfnes, Frode

    (School of Economics and Business, Norwegian University of Life Sciences)

Abstract

This paper aims at answering two objectives;1) assess consumer preference and willingness to pay for organic and food safety inspected tomatoes in a traditional African food market; 2) compare willingness to pay for the tomato attributes in four different elicitation techniques. We elicit willingness to pay for conventional, organic and/or food-safetyinspected tomatoes using methods that can be conducted with one respondent at a time: the Becker–DeGroot–Marschak mechanism, multiple price lists, multiple price lists with stated quantities, and real-choice experiments. All methods show that consumers are willing to pay a premium for organic and food-safety-inspected tomatoes. However, the size of the premium is significantly larger when consumers choose between alternatives than when they indicate their reservation price. Throughout the paper, we discuss method implementation issues for this context and make method recommendations for future research.

Suggested Citation

  • Alphonce, Roselyne & Alfnes, Frode, 2015. "Eliciting Consumer WTP for Food Characteristics in a Developing Context: Comparison of four methods in a field experiment," Working Paper Series 01-2015, Norwegian University of Life Sciences, School of Economics and Business.
  • Handle: RePEc:hhs:nlsseb:2015_001
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    2. Ye Ye & Baichen Jiang & Binyao Ning & Xinjean Lim & Lijia Hu, 2023. "Does Price Matter in Mainland China? Examine the Factors Influencing Broiler Chicken Purchase Intention," Sustainability, MDPI, vol. 15(4), pages 1-16, February.

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    More about this item

    Keywords

    elicitation methods; framed field experiments; organic; food-safety inspected; Tanzania; WTP;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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