Measuring consumer’s willingness to pay for organic and Fair Trade products - INRAE - Institut national de recherche pour l’agriculture, l’alimentation et l’environnement Access content directly
Journal Articles International Journal of Consumer Studies Year : 2008

Measuring consumer’s willingness to pay for organic and Fair Trade products

Mesure du consentement à payer des consommateurs pour les produits biologiques et équitables

Abstract

Previous research has extensively studied consumer’s environmental and social concerns. However, measuring the value of the environmental or social dimension of a product remains a challenge. This paper proposes to partially fill this gap by measuring the double ‘Fair Trade and organic’ labels’ value using an experimental method – the Becker- DeGroot-Marschak’s mechanism. Two ‘organic and Fair Trade’ and two conventional chocolate products were tested on a sample of 102 consumers. Results show that organic and Fair Trade labels increase consumers’ willingness to pay, and allow the identification of three consumers clusters. The first cluster represents people insensitive to the label. For the second cluster, the ‘organic and Fair Trade’ labels’ influence on the improving image of the products is positive and important. And finally, for the third cluster, the valuation of the ‘organic and Fair Trade’ label is determined by the product’s taste. Our research contributes to a better understanding of consumers’ valuation of Fair Trade and organic labels, leading to our conclusions, which offer managerial implications with respect to this market (importance of taste and usefulness of double labels).

Dates and versions

hal-02663820 , version 1 (31-05-2020)

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Cite

Didier Tagbata, Lucie Sirieix. Measuring consumer’s willingness to pay for organic and Fair Trade products. International Journal of Consumer Studies, 2008, 32 (5), pp.479-490. ⟨10.1111/j.1470-6431.2008.00711.x⟩. ⟨hal-02663820⟩
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