Consumer Tastes, Preferences, and Behavior in Purchasing Fresh ...
Consumer Tastes, Preferences, and Behavior in Purchasing Fresh ...
Consumer Tastes, Preferences, and Behavior in Purchasing Fresh ...
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equation, suggest<strong>in</strong>g that price does impact on quantity dem<strong>and</strong>ed.<br />
The coefficients of price suggest that price has less of an impact on<br />
quantity purchased of Jersey <strong>Fresh</strong> tomatoes than on other tomatoes.<br />
Actual behavior is a more accurate measure of the effect of<br />
price on quantity dem<strong>and</strong>ed than is the result of the perception<br />
question. In addition, the questions about prices of tomatoes did<br />
not take <strong>in</strong>to account magnitude of price changes.<br />
Color was not significant <strong>in</strong> Eq. [2]. This may <strong>in</strong>dicate that color<br />
means different th<strong>in</strong>gs to different consumer groups. Many consumers<br />
recognize tomatoes with some green or p<strong>in</strong>k coloration as<br />
v<strong>in</strong>e-ripened tomatoes <strong>and</strong> consider this attribute an <strong>in</strong>dication of<br />
good flavor. However, as consumers become several generations<br />
removed from agriculture <strong>and</strong> do not have experience with produc<strong>in</strong>g<br />
tomatoes <strong>in</strong> home gardens, they often are not familiar with<br />
natural ripen<strong>in</strong>g, <strong>and</strong> prefer the more uniform color of gassed<br />
tomatoes. In this survey, 63.7% of the respondents never obta<strong>in</strong><br />
tomatoes from home gardens. Some varieties sold <strong>in</strong> New Jersey<br />
do not have a uniform ripen<strong>in</strong>g gene <strong>and</strong> have green shoulders <strong>in</strong><br />
the store if they are displayed before they are completely red.<br />
<strong>Consumer</strong>s may f<strong>in</strong>d this unattractive. However, many people who<br />
felt that Jersey <strong>Fresh</strong> was better overall, commented that Jersey<br />
<strong>Fresh</strong> tomatoes are the “ugly tomato that tastes good.” These<br />
people may not consider color to be important to their purchase<br />
decision or they may consider the uneven color<strong>in</strong>g a preferred trait.<br />
Color can be important to purchasers of Jersey <strong>Fresh</strong> tomatoes <strong>and</strong><br />
other tomatoes for different reasons, mak<strong>in</strong>g it a nonsignificant<br />
variable <strong>in</strong> the dem<strong>and</strong> function.<br />
Most consumers use color as an <strong>in</strong>dication of ripeness at the<br />
time of purchase. Many consumers feel the uniform color of gassed<br />
tomatoes <strong>in</strong>dicates ripeness, while others look for the depth of red<br />
coloration on v<strong>in</strong>e-ripened, locally grown tomatoes as an <strong>in</strong>dication<br />
of ripeness. Thus, the differences <strong>in</strong> perception of color among<br />
consumers similarly apply to degree of ripeness.<br />
Historically, medium tomatoes (5.7 cm to 6.4 cm <strong>in</strong> diameter)<br />
have returned much less revenue by weight to New Jersey farmers<br />
than the large tomatoes associated with New Jersey. Size was not<br />
a significant variable. Sixty percent of the people surveyed preferred<br />
medium-sized tomatoes <strong>and</strong> only 34% preferred large, a<br />
possible <strong>in</strong>dication that growers may receive a high price for<br />
medium tomatoes as well as large tomatoes traditionally associated<br />
with New Jersey.<br />
The only taste <strong>and</strong> preference variables that were <strong>in</strong>cluded <strong>in</strong> the<br />
f<strong>in</strong>al dem<strong>and</strong> equation were orig<strong>in</strong> <strong>and</strong> overall quality. Significance<br />
of the overall variable <strong>in</strong>dicated a preference for Jersey <strong>Fresh</strong><br />
tomatoes that was l<strong>in</strong>ked to the attributes of the tomato itself. The<br />
coefficient of the overall variable was negative <strong>and</strong> significant for<br />
other tomatoes, <strong>in</strong>dicat<strong>in</strong>g that respondents who said Jersey <strong>Fresh</strong><br />
tomatoes were better than other tomatoes overall purchased more<br />
Jersey <strong>Fresh</strong> tomatoes than other tomatoes.<br />
The nonsignificance of other taste <strong>and</strong> preference variables<br />
when these are <strong>in</strong>cluded <strong>in</strong> the dem<strong>and</strong> equation may also be<br />
expla<strong>in</strong>ed on the basis that dem<strong>and</strong> for Jersey <strong>Fresh</strong> Premium <strong>and</strong><br />
st<strong>and</strong>ard tomatoes was comb<strong>in</strong>ed <strong>in</strong> the same equation (aggregation<br />
error). K<strong>in</strong>gs Super Markets was not will<strong>in</strong>g to vary the price<br />
of the Jersey <strong>Fresh</strong> st<strong>and</strong>ard tomatoes dur<strong>in</strong>g the course of the<br />
survey. As a result, separate dem<strong>and</strong> equations for st<strong>and</strong>ard <strong>and</strong><br />
premium tomatoes were not obta<strong>in</strong>ed because price variability was<br />
needed to test the effect of price on dem<strong>and</strong>. This may be a<br />
significant limitation of this study. Fifty-six percent of respondents<br />
had been disappo<strong>in</strong>ted with past purchases of fresh tomatoes, but<br />
s<strong>in</strong>ce 44% had not been disappo<strong>in</strong>ted; comb<strong>in</strong><strong>in</strong>g both groups of<br />
J. Amer. Soc. Hort. Sci. 118(3):433-438. 1993.<br />
respondents resulted <strong>in</strong> aggregation error where differences that<br />
might be significant <strong>in</strong> <strong>in</strong>dividual equations were lost.<br />
Intercept. The <strong>in</strong>tercept for Jersey <strong>Fresh</strong> tomatoes was larger<br />
than that obta<strong>in</strong>ed for other tomatoes, <strong>in</strong>dicat<strong>in</strong>g a general New<br />
Jersey consumer preference for Jersey <strong>Fresh</strong> tomatoes. The difference<br />
<strong>in</strong> the <strong>in</strong>tercepts captures the additional dem<strong>and</strong> for Jersey<br />
<strong>Fresh</strong> tomatoes not expla<strong>in</strong>ed by the other variables <strong>in</strong> the dem<strong>and</strong><br />
function (Rosen, 1974). The f<strong>in</strong>d<strong>in</strong>gs are consistent with earlier<br />
research that suggests consumers are will<strong>in</strong>g to pay a premium for<br />
locally grown tomatoes that are considered to be fresher than<br />
tomatoes from distant markets (Brooker et al., 1987; 1988), <strong>and</strong><br />
that they are more likely to purchase a higher quality product when<br />
prices are ris<strong>in</strong>g.<br />
Conclusions. Jersey <strong>Fresh</strong> tomatoes had a lower own-price<br />
elasticity, higher <strong>in</strong>come elasticity, <strong>and</strong> lower cross-price elasticity<br />
than other tomatoes, all of which <strong>in</strong>dicate that Jersey <strong>Fresh</strong><br />
tomatoes are considered to be a superior, differentiated product.<br />
Overall, consumers ranked Jersey <strong>Fresh</strong> above other tomatoes <strong>and</strong><br />
favored them because of their orig<strong>in</strong>. F<strong>in</strong>d<strong>in</strong>gs suggest that local<br />
New Jersey-grown tomatoes should be promoted under the Jersey<br />
<strong>Fresh</strong> logo as v<strong>in</strong>e-ripened tomatoes of local orig<strong>in</strong> that are better<br />
than other tomatoes. The scope of this work did not permit test<strong>in</strong>g<br />
whether this f<strong>in</strong>d<strong>in</strong>g would apply to locally grown tomatoes <strong>in</strong><br />
other areas of production. Flavor, freshness, <strong>and</strong> nutrition should<br />
also be promoted because these were all significant <strong>in</strong> the dem<strong>and</strong><br />
equation when added one at a time. Higher priced premium<br />
tomatoes should also be promoted based on these three factors but,<br />
<strong>in</strong> addition, should be targeted to high-<strong>in</strong>come consumers for<br />
whom uniformity of size <strong>and</strong> color, better appearance, <strong>and</strong> lack of<br />
blemishes is important.<br />
<strong>Consumer</strong>s are will<strong>in</strong>g to pay a premium for Jersey <strong>Fresh</strong><br />
tomatoes. From the producer’s po<strong>in</strong>t of view, a price premium is<br />
necessary if they are to market Jersey <strong>Fresh</strong> Premium tomatoes<br />
because of additional grad<strong>in</strong>g <strong>and</strong> packag<strong>in</strong>g costs of these premium<br />
tomatoes. In an urbanized environment such as New Jersey,<br />
upper-<strong>in</strong>come consumers tend not to have home gardens <strong>and</strong> are<br />
not familiar with truly v<strong>in</strong>e-ripened tomatoes. Only 36% of respondents<br />
<strong>in</strong>dicated that they obta<strong>in</strong> tomatoes from home gardens.<br />
Promotion should <strong>in</strong>clude educat<strong>in</strong>g consumers about the appearance<br />
<strong>and</strong> superior flavor of v<strong>in</strong>e-ripened tomatoes.<br />
S<strong>in</strong>ce consumers perceive Jersey <strong>Fresh</strong> tomatoes to be a better<br />
tomato overall (attribute preference), <strong>in</strong> addition to preferr<strong>in</strong>g<br />
tomatoes of local orig<strong>in</strong> (nonattribute preference), improvements<br />
<strong>in</strong> the quality <strong>and</strong> the appearance of the tomatoes themselves<br />
should cont<strong>in</strong>ue to be made. Varieties <strong>and</strong> production techniques<br />
that will reduce the problem of green shoulders, nonuniformity,<br />
<strong>and</strong> blemishes should be selected for <strong>and</strong> developed further. Us<strong>in</strong>g<br />
uniform ripen<strong>in</strong>g tomato varieties would elim<strong>in</strong>ate the problem of<br />
green shoulders, <strong>and</strong> <strong>in</strong>creased adoption of trellis<strong>in</strong>g <strong>and</strong> more<br />
careful grad<strong>in</strong>g would help reduce blemishes <strong>and</strong> <strong>in</strong>crease uniformity.<br />
Although this study focuses on New Jersey tomatoes, the<br />
f<strong>in</strong>d<strong>in</strong>gs may be relevant to other crops <strong>and</strong> other areas. Promotion<br />
of local produce has become more important <strong>in</strong> recent years as<br />
states attempt to ma<strong>in</strong>ta<strong>in</strong> <strong>and</strong> exp<strong>and</strong> their market shares. The<br />
importance of orig<strong>in</strong> <strong>in</strong> consumer purchas<strong>in</strong>g decisions suggests<br />
other states may be successful <strong>in</strong> promot<strong>in</strong>g local produce on the<br />
basis of orig<strong>in</strong> alone. Results also <strong>in</strong>dicate that product attributes<br />
are important. Thus, improvements <strong>in</strong> the produce should be made<br />
<strong>in</strong> addition to promot<strong>in</strong>g <strong>and</strong> br<strong>and</strong><strong>in</strong>g local produce. Otherwise, a<br />
state could f<strong>in</strong>d itself with produce that is highly visible but<br />
recognized for <strong>in</strong>ferior attributes.<br />
437