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Quality dimensions and consumer preferences: A choice experiment in the Italian extra-virgin olive oil market

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  • Panico, Teresa
  • Del Giudice, Teresa
  • Caracciolo, Francesco

Abstract

This paper investigates consumer preferences for extra-virgin olive oil in Italy. In order to segment the Italian extra-virgin olive oil market, the information obtained from a nationwide survey was analysed by using a randomised parameter logit regression and implementing a cluster analysis on the estimates of consumers’ willingness to pay for origin of olives, production method and sensory attributes. Our results show that information on origin, both in terms of the adoption of PDO or PGI certification and labelling of the origin, production method and organoleptic characteristics crucially affect consumer preferences for olive oil. Market segmentation shows there are consumers who are particularly sensitive to origin and organic certification as well as labelling clarity.

Suggested Citation

  • Panico, Teresa & Del Giudice, Teresa & Caracciolo, Francesco, 2014. "Quality dimensions and consumer preferences: A choice experiment in the Italian extra-virgin olive oil market," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 15(2), pages 1-13.
    • Handle: RePEc:ags:aergaa:253685
    DOI: 10.22004/ag.econ.253685
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    Cited by:

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    4. Yamna Erraach & Fatma Jaafer & Ivana Radić & Mechthild Donner, 2021. "Sustainability Labels on Olive Oil: A Review on Consumer Attitudes and Behavior," Sustainability, MDPI, vol. 13(21), pages 1-23, November.
    5. Luis Pérez y Pérez & Azucena Gracia, 2023. "Consumer Preferences for Olive Oil in Spain: A Best-Worst Scaling Approach," Sustainability, MDPI, vol. 15(14), pages 1-14, July.
    6. Maria Cecilia Mancini & Davide Menozzi & Michele Donati & Beatrice Biasini & Mario Veneziani & Filippo Arfini, 2019. "Producers’ and Consumers’ Perception of the Sustainability of Short Food Supply Chains: The Case of Parmigiano Reggiano PDO," Sustainability, MDPI, vol. 11(3), pages 1-23, January.
    7. Tiziano Tempesta & Daniel Vecchiato, 2019. "Analysis of the Factors that Influence Olive Oil Demand in the Veneto Region (Italy)," Agriculture, MDPI, vol. 9(7), pages 1-17, July.
    8. Eleonora Sofia Rossi & José A. Zabala & Francesco Caracciolo & Emanuele Blasi, 2023. "The Value of Crop Diversification: Understanding the Factors Influencing Consumers’ WTP for Pasta from Sustainable Agriculture," Agriculture, MDPI, vol. 13(3), pages 1-18, February.
    9. Ballco, Petjon & Gracia, Azucena, 2020. "Do market prices correspond with consumer demands? Combining market valuation and consumer utility for extra virgin olive oil quality attributes in a traditional producing country," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    10. Nouira, Imen & Hammami, Ramzi & Fernandez Arias, Alina & Gondran, Natacha & Frein, Yannick, 2022. "Olive oil supply chain design with organic and conventional market segments and consumers’ preference to local products," International Journal of Production Economics, Elsevier, vol. 247(C).
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    12. Juan Jose Blazquez-Resino & Santiago Gutierrez-Broncano & Pedro Jimenez-Estevez & Israel Roberto Perez-Jimenez, 2021. "The Effect of Ethnocentrism on Product Evaluation and Purchase Intention: The Case of Extra Virgin Olive Oil (EVOO)," Sustainability, MDPI, vol. 13(9), pages 1-24, April.
    13. Vita, G. Di & Salvo, G. De & Bracco, S. & Gulisano, G. & D'Amico, M., 2016. "Future Market of Pizza: Which Attributes Do They Matter?," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 8(4), pages 1-13, December.
    14. Lombardi, Alessia & Carfora, Valentina & Cicia, Gianni & Del Giudice, Teresa & Lombardi, Pasquale & Panico, Teresa, 2017. "Exploring Willingness to Pay for QR Code Labeled Extra-Virgin Olive Oil: An Application of the Theory of Planned Behavior," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 8(1), pages 1-18, January.
    15. Ana García-Moral & Encarnación Moral-Pajares & Leticia Gallego-Valero, 2023. "The Spanish Olive Oil with Quality Differentiated by a Protected Designation of Origin," Agriculture, MDPI, vol. 13(11), pages 1-14, November.
    16. Lucio Cappelli & Fabrizio D’Ascenzo & Maria Felice Arezzo & Roberto Ruggieri & Irina Gorelova, 2020. "The Willingness to Pay in the Food Sector. Testing the Hypothesis of Consumer Preferences for Some Made in Italy Products," Sustainability, MDPI, vol. 12(15), pages 1-11, August.
    17. Jingjing Wang & Chengyan Yue & Karina Gallardo & Vicki McCracken & James Luby & Jim McFerson, 2017. "What Consumers Are Looking for in Strawberries: Implications from Market Segmentation Analysis," Agribusiness, John Wiley & Sons, Ltd., vol. 33(1), pages 56-69, January.
    18. Corbeto-Fabón, Héctor & Kallas, Zein & Gil, José M., 2018. "Is the place of purchase important in shaping consumers’ preferences towards olive oil?," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 18(01), June.

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