Specialty Coffee Shops in Mexico: Factors Influencing the Likelihood of Purchasing High-Quality Coffee

Roselia Servín-Juárez, Carlos J. O. Trejo-Pech, Alma Yanet Pérez-Vásquez and Álvaro Reyes-Duarte
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Roselia Servín-Juárez: Campus Córdoba, Colegio de Postgraduados, Amatlán de los Reyes, Veracruz 94946, Mexico
Carlos J. O. Trejo-Pech: Department of Agricultural & Resource Economics, University of Tennessee at Knoxville, Knoxville, TN 37996, USA
Alma Yanet Pérez-Vásquez: Campus Córdoba, Colegio de Postgraduados, Amatlán de los Reyes, Veracruz 94946, Mexico
Álvaro Reyes-Duarte: Escuela de Agronomía, Facultad de Recursos Naturales y Medicina Veterinaria, Universidad Santo Tomás, Santiago 8370003, Chile
Authors registered in the RePEc Author Service: Roselia Servin Juarez

Sustainability, 2021, vol. 13, issue 7, 1-20

Abstract: This study models the purchasing behavior of specialty coffee by 114 coffee shops across 15 cities in nine states in Mexico. Simple and multilevel mixed-effects logistic models are tested. Our models extend the framework used in prior research. We model the purchase of specialty coffee as a function of: (a) material attributes, (b) symbolic attributes, (c) coffee shop characteristics, (d) profile of the coffee shop’s owner, and (e) socio-economic variables of the cities where the coffee shops were located. Overall, our results are consistent with expectations developed from the coffee literature. That is, the likelihood of purchasing specialty coffee increases when: coffee’s aroma drives the purchase, coffee purchased is from the state of Oaxaca, the coffee shop has a value-added business model, the coffee shop is diversified selling both ground coffee and coffee drinks, the coffee shop owner’s knowledge on coffee supply chain activities is high, and the coffee shop is located in a city with a higher education index. In contrast, the likelihood of purchasing specialty coffee decreases when a coffee professional tastes the coffee before the purchase, when coffee shops are not given the opportunity to roast their own coffee, and in coffee shops located in larger cities. Overall, our research suggests that the specialty coffee niche in Mexico has some elements required for this segment to transition from a supply chain approach to a value-based supply chain approach. This might be particularly beneficial for smallholder coffee growers, who despite several constraints contribute to the sustainability of coffee supply chains.

Keywords: coffee shops; coffee quality attributes; specialty coffee; coffee from Mexico; sustainability of small-scale coffee farmers; value-based supply chain (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
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Working Paper: Specialty Coffee Shops in Mexico: Factors Influencing the Likelihood of Purchasing High-Quality Coffee (2020)
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