nep-mkt New Economics Papers
on Marketing
Issue of 2014‒12‒13
eight papers chosen by
João Carlos Correia Leitão
Universidade da Beira Interior

  1. The Dynamics of Brand Value in the Carbonated Soft Drinks Industry By Huang, Lu; Liu, Yizao
  2. State and Retail Outlet Impact on Premiums for Locally Grown Berries By Hoke, Omer; Campbell, Benjamin; Brand, Mark; Hau, Thao
  3. Human Values and Consumer Preferences for Extrinsic Credence Attributes in the German and Italian Markets for New Potatoes By Fitzsimmons, Jill Ann; Colantuoni, Francesca; Cicia, Gianni; Del Giudice, Teresa
  4. Timing in Commodity Marketing: How Do Producers Decide the "Right" Moment to Price Their Crop? By Mattos, Fabio; Fryza, Stefanie
  5. Consumer attitudes toward the use of gene technology in functional breakfast grain product: Comparison between college students from US and China By Wang, Nanying; Houston, Jack; Colson, Gregory J.; Liu, Zimin
  6. Chinese consumers’ preferences and willingness to pay for traceable food attributes: The case of pork By Wang, Shuxian; Wu, Linhai; Zhu, Dian; Wang, Hongsha; Xu, Lingling
  7. Heterogeneous Consumer Preferences for Nanotechnology and Genetic-Modification Technology in Food Products By Yue, Chengyan; Zhao, Shuoli; Kuzma, Jennifer
  8. Price Versus Non-price Incentives for Participation in Quality Labeling: The Case of the German Fruit Juice Industry By Herrmann, Roland; Bleich, Simon

  1. By: Huang, Lu; Liu, Yizao
    Abstract: This study examines how brand values of different carbonated soft drink (CSD) products change over time and how advertising and social media exposure contribute to brand building. The model consists of two stages. In the first stage, we adopt a structural approach to estimate the brand equities of 12 CSD products and measure the brand values in a Bertrand-Nash equilibrium. In the second stage, we study the impacts of marketing-mix variables on brand values. The empirical results show that both advertising expenditure and the quality of social media activity are important to brand value while the increase in the total social media activity has little effect.
    Keywords: Carbonated soft drinks, Social media, Advertising, Demand and Price Analysis, Industrial Organization, Marketing, D12, L66, M37,
    Date: 2014
  2. By: Hoke, Omer; Campbell, Benjamin; Brand, Mark; Hau, Thao
    Abstract: Consumption of locally labeled products has increased dramatically over the last decade. As such it is essential to understand what consumers are willing to pay for locally produced products and to understand if differences are present between states. Using berries as a product category given their availability at a wide range of retail outlets, we examine whether consumers’ willingness to pay for locally grown berries vary between farmer’s markets, farm stands, and grocery stores. Adding to the literature, we also investigate the differences in willingness to pay at these outlets throughout the Northeast. Our results indicate that farmer’s markets garner the highest premium followed by farm stands then grocery stores. We also see that locally grown berries at these outlets receive a significantly higher premium than berries grown in the Northeast, U.S. or outside the U.S. Further, we find that there are some states with varying willingness to pay values across retail outlet.
    Keywords: Local labeling, Aronia berry, Willingness to pay, Agribusiness, Consumer/Household Economics, Marketing, Q13,
    Date: 2014
  3. By: Fitzsimmons, Jill Ann; Colantuoni, Francesca; Cicia, Gianni; Del Giudice, Teresa
    Abstract: We explore the relationship between observable socio-demographic consumer characteristics, consumers’ unobservable human values as measured by Schwartz’ Portrait Values Questionnaire, and consumers’ preferences for extrinsic credence attributes on their purchases of new potatoes in two countries, Italy and Germany. Parallel marketing studies were conducted in each of the two markets, with the intention of comparing the impact of human values on purchases of new potatoes with several attributes (price, country of origin, carbon footprint certification, ethical certification, method of production, and packaging). Motivation for the study comes from the declining market share of the domestic early potato due to international competition. Applied methods include Principal Component Analysis and Latent Class Analysis.
    Keywords: Choice Model, Schwartz Values, Credence Attributes, New Potatoes, Agribusiness, Agricultural and Food Policy, Food Consumption/Nutrition/Food Safety, Marketing,
    Date: 2014
  4. By: Mattos, Fabio; Fryza, Stefanie
    Keywords: commodity marketing, wheat, Canadian Wheat Board, Agribusiness, Marketing,
    Date: 2014–05–27
  5. By: Wang, Nanying; Houston, Jack; Colson, Gregory J.; Liu, Zimin
    Abstract: Our study provides result using mixed logit model from analyzing of choice experiment survey data to examine college students' attitudes toward genetically modified (GM) breakfast product from U.S. and China. Here we expand on previous research by exploring certain socio-demographic, attitudinal and behavioural variables and concerns from college students from China and US and focus on the specific functional GM staple products. This would be useful in developing and characterizing market segments for food products based on consumers’ information. GM food producers and exporters can use this information to design effective marketing strategies. Results showed that college students in these two countries are willing to pay premium for the Non-GM staple breakfast products.
    Keywords: consumer attitude, Genetic Modification, WTP, college students, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety,
    Date: 2014–07–27
  6. By: Wang, Shuxian; Wu, Linhai; Zhu, Dian; Wang, Hongsha; Xu, Lingling
    Abstract: China is a large consumer and producer of pork. However, pork is a common food that frequently suffers from safety problems in China. Thus, the safety of pork is of important strategic significance to China's food safety. The food traceability system is considered a major tool for the fundamental prevention of food safety risks. In this study, four attributes, i.e., traceability information, quality certification, appearance, and price, were set for traceable pork on the basis of previous studies. Levels were set for the attribute traceability information based on the major processes of safety risk in the Chinese pork supply chain. For the level setting of quality certification, domestic and international third-party certification was included in addition to government certification. Levels of price were set by appropriately increasing the average price of pork in cities surveyed in September 2013 according to the premiums that consumers were willing to pay for particular attribute levels in a random nth price auction. Based on the above experimental design, a survey was conducted in 1,489 consumers in seven pilot cities designated by the Chinese Ministry of Commerce for construction of a meat circulation traceability system. On this basis, consumer preferences and willingness to pay for traceable pork attributes, as well as influencing factors, were investigated using choice experiments. According to the results from both mixed logit and latent class models, quality certification was the most important characteristic, followed by appearance, and traceability information. In addition, “government certification”, “fresh-looking”, and “traceability information covering farming, slaughter, and processing, and circulation and marketing” were the most preferred levels of quality certification, appearance, and traceability information, respectively. Significant heterogeneity was observed in consumer preferences for the attributes of traceable pork. Consumers’ preferences and willingness to pay for traceability information and quality certification were significantly influenced by age, monthly family income, and education level. It is hoped that the findings of this study will provide a useful reference for the Chinese government in improving traceable food consumption policies.
    Keywords: Traceable pork attributes, Consumer preferences, Willingness to pay, Choice experiment, Food Consumption/Nutrition/Food Safety, Marketing,
    Date: 2014–03
  7. By: Yue, Chengyan; Zhao, Shuoli; Kuzma, Jennifer
    Abstract: This study investigates heterogeneous consumer preferences for nano-food and genetic-modified (GM) food and the associated benefits using the results of choice experiments with 1117 U.S. consumers. We employ a mixed logit model and a latent class logit model to capture the heterogeneity in consumer preferences by identifying consumer segments. Our results show that nano-food evokes less negative reactions compared with GM food. We identify four consumer groups: “Price Oriented/Technology Adopters,” “Technology Averse,” “Benefit Oriented/Technology Accepters,” and “New Technology Rejecters.” Each consumer group has distinctive demographic backgrounds, which generates deeper insights in the diversified public acceptance for nano-food and GM food. Our results have important policy implications in the adoption of new food technologies.
    Keywords: Nanotechnology, Genetic-modification, Choice Experiment, Mixed Logit Model, Latent Class Models, Consumer/Household Economics, Institutional and Behavioral Economics, Marketing, Q13, D12, Q18,
    Date: 2014
  8. By: Herrmann, Roland; Bleich, Simon
    Abstract: Quality assurance and labeling play an important and increasing role in firms’ marketing strategies. In almost all cases, a price incentive has been stressed as the major incentive for firms to participate in such schemes. We argue here that important non-price incentives for participation in quality labeling may exist, too. In German retailing, it can be observed that discount retailers are listing more and more foods with quality labels. Processors may then participate in voluntary quality labeling in order to enter the large and growing market of discount retailers. The price-premium versus the market-entry hypothesis are analyzed theo-retically. We investigate then in an empirical hedonic pricing model for the German fruit juice market and for participation in the quality label of the Deutsche Landwirtschafts-Gesellschaft (DLG) which of the two hypotheses is consistent with the data. There is strong support for the market-entry hypothesis.
    Keywords: Labeling, price premium, market entry, fruit juice market, DLG award, Agribusiness, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, Industrial Organization, Research Methods/ Statistical Methods, L660, M380, Q130,
    Date: 2013–09

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