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Discovering Niche Markets: A Comparison of Consumer Willingness to Pay for Local (Colorado Grown), Organic, and GMO-Free Products

Published online by Cambridge University Press:  28 April 2015

Maria L. Loureiro  and
Susan Hine
Maria L. Loureiro
Affiliation:
Department of Agricultural and Resource Economics, Colorado State University, Fort Collins CO
Susan Hine
Affiliation:
Department of Agricultural and Resource Economics, Colorado State University, Fort Collins CO
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Abstract

Demand for value-added products is highly segmented among different types of consumers. In this article, we assess consumer preferences for local, organic, and GMO-free potatoes in order to discover their potential niche markets. We identify sociodemographic characteristics that affect consumer preferences and compare the effects of different attributes on consumers' willingness to pay. Results suggest that the attribute “Colorado grown” carries a higher willingness to pay than organic and GMO-free attributes.

Keywords

Colorado grownGMO-freelocal productniche marketorganicspayment cardwillingness to payD12Q13
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 34 , Issue 3 , December 2002 , pp. 477 - 487
Copyright
Copyright © Southern Agricultural Economics Association 2002

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