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Consumer Preferences and Willingness to Pay for Multi-Labeled Produce at Farmers' Markets

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  • Curtis, Kynda R.
  • Gumirakiza, J. Dominique
  • Bosworth, Ryan C.

Abstract

Differentiating products through labeling has been shown to be an effective strategy for increasing market share and pricing over undifferentiated products. This study examines consumer willingness to pay for multiple labeled (by both production type and origin) differentiated produce among farmers’ market shoppers in Utah. Three primary differentiating claims are investigated, including conventionally grown of unknown origin, conventionally grown local (in state), and organically grown of unknown origin. Results indicate that consumer willingness to pay for products grown conventionally in Utah (locally) outweigh that for either organically or conventionally grown of unknown origin. Information on organic production practices increased the likelihood of purchasing products conventionally grown in Utah, while it had negative impacts on preferences for conventionally and organically grown of unknown origin. Results provide insight into the potential impact of certain labeling programs on grower revenues.

Suggested Citation

  • Curtis, Kynda R. & Gumirakiza, J. Dominique & Bosworth, Ryan C., 2014. "Consumer Preferences and Willingness to Pay for Multi-Labeled Produce at Farmers' Markets," Journal of Food Distribution Research, Food Distribution Research Society, vol. 45(1), pages 1-7, March.
    • Handle: RePEc:ags:jlofdr:164547
    DOI: 10.22004/ag.econ.164547
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    Cited by:

    1. Iryna Printezis & Carola Grebitus & Stefan Hirsch, 2019. "The price is right!? A meta-regression analysis on willingness to pay for local food," PLOS ONE, Public Library of Science, vol. 14(5), pages 1-23, May.
    2. Chenyi He & Ruifeng Liu & Zhifeng Gao & Xin Zhao & Charles A. Sims & Rodolfo M. Nayga, 2021. "Does local label bias consumer taste buds and preference? Evidence of a strawberry sensory experiment," Agribusiness, John Wiley & Sons, Ltd., vol. 37(3), pages 550-568, July.
    3. Corsi, Alessandro & Frontuto, Vito & Novelli, Silvia, 2022. "Relational goods and direct purchase from farmers: estimating the value of the relationship between consumers and producers," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 25(2), March.
    4. Pilar, Ladislav & Balcarova, Tereza & Rojik, Stanislav & Ticha, Ivana & Polakova, Jana, 2018. "Customer experience with farmers’ markets: what hashtags can reveal," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 21(6), July.
    5. Siphelele Vincent Wekeza & Melusi Sibanda, 2019. "Factors Influencing Consumer Purchase Intentions of Organically Grown Products in Shelly Centre, Port Shepstone, South Africa," IJERPH, MDPI, vol. 16(6), pages 1-26, March.
    6. Corsi, Alessandro & Novelli, Silvia, 2015. "The value of direct farmers-consumers relationships as determinants of consumers' purchase choices," 143rd Joint EAAE/AAEA Seminar, March 25-27, 2015, Naples, Italy 202749, European Association of Agricultural Economists.
    7. Jean D. Gumirakiza & Taylor Choate, 2024. "The Willingness to Pay for Local, Domestic, and Imported Bundled Fresh Produce by Online Shoppers," Journal of Agricultural Science, Canadian Center of Science and Education, vol. 10(12), pages 1-15, April.
    8. Gumirakiza, Jean Dominique & VanZee, Sarah, 2018. "The Most Important Food Labels among Online Shoppers when Shopping for Fresh Produce," 2018 Annual Meeting, February 2-6, 2018, Jacksonville, Florida 266683, Southern Agricultural Economics Association.

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    Consumer/Household Economics; Marketing;

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