Consumer, retailer, and producer assessments of product differentiation according to regional origin and process quality

Antje Wirthgen
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Antje Wirthgen: University of Hannover, Faculty of Economics and Business Administration, Institute of Economics in Horticulture, Market Analysis and Agricultural Policy, Königsworther Platz 1, 30167 Hannover, Germany, Postal: University of Hannover, Faculty of Economics and Business Administration, Institute of Economics in Horticulture, Market Analysis and Agricultural Policy, Königsworther Platz 1, 30167 Hannover, Germany

Agribusiness, 2005, vol. 21, issue 2, 191-211

Abstract: Regional marketing concepts can be a successful strategy for product differentiation. A research project in Northern Germany reveals the following results: consumers' stated preferences show clearly potential demand for regional food, in particular if environment-friendly produced and controlled. The main influencing factors that could be identified by means of a rank-ordered logit analysis are consumers' regional, nutrition, and environment consciousness as well as a low price sensitivity and mistrust in conventional food from somewhere else.

Also some retailers indicated interest in regional marketing concepts, but rarely in environment-friendly produced food: listing of regional specialities and a seasonal offer as well as a farmer's market outlet in a shopping center. Further, farmers showed general interest in regional marketing, but not combined with environment-friendly production. Overall, one can conclude of these results, that the limiting factor for regional marketing seems to be more the supply than the demand side. [EconLit citations: Q130, M310.] © 2005 Wiley Periodicals, Inc. Agribusiness 21: 191-211, 2005.

Date: 2005
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Persistent link: https://EconPapers.repec.org/RePEc:wly:agribz:v:21:y:2005:i:2:p:191-211

DOI: 10.1002/agr.20043

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