Abstract
Despite the growing interest of producers and consumers toward grass-fed, local, and organic beef, the supply chain for these products to reach consumers is not always clear-cut. Among the available options are direct-to-consumers and the conventional food supply chain. Although consumers may pay a premium for beef differentiated by quality attributes, the willingness to pay (WTP) difference across point-of-sales is unclear. In this study, we contrast the WTPs for conventional, grass-fed, local, and organic beef by brick-and-mortar supermarkets (B&Ms), farmers’ markets, and via online stores. We conduct a choice experiment with a nationwide online sample of American consumers. The findings indicate that compared to B&Ms, more consumers are reluctant to purchase beef from farmers’ markets and online outlets. Moreover, the WTP for quality-differentiated attributes varies significantly by the point-of-sales. For most consumers, the downside of online or farmers’ markets outweighs the upside of the quality-differentiated attributes sold in those venues.
Document Type
Article
Publication Date
7-21-2018
Digital Object Identifier (DOI)
https://doi.org/10.3390/su10072560
Funding Information
This study has received support from Tennessee State University’s College of Agriculture Start Up Fund.
Repository Citation
Lim, Kar Ho; Vassalos, Michael; and Reed, Michael R., "Point-of-Sale Specific Willingness to Pay for Quality-Differentiated Beef" (2018). Agricultural Economics Faculty Publications. 16.
https://uknowledge.uky.edu/agecon_facpub/16
Notes/Citation Information
Published in Sustainability, v. 10, issue 7, 2560, p. 1-13.
© 2018 by the authors. Licensee MDPI, Basel, Switzerland.
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license (http://creativecommons.org/licenses/by/4.0/).