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Assessing consumer preferences for organic vs eco-labelled olive oils

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Abstract

In this study, a choice experiment was performed to investigate consumer preferences and willingness to pay for a set of eco-labels on extra-virgin olive oil. Specifically, we tested three types of eco-labels indicating that the olive oil was (i) obtained from ancient trees, (ii) produced in mountainous areas, and (iii) obtained with sustainable water use. These three different eco-labels were analyzed in combination with the well-known organic label and other relevant attributes of extra-virgin olive oil. The choice experiment was based on a consumer survey carried out in Italy, the largest olive oil consuming country in the world, in January–February 2017. A market research agency recruited a nationally-representative total sample of 1061 participants who were involved in a web-based interview. Consumer choices were analyzed using a Random Parameter Logit model. The main result of the study is that, on average, Italian consumers are willing to pay a significant premium price for all the tested eco-labels on extra-virgin olive oil with the organic label being the most preferred eco-label. However, high heterogeneity in consumer preferences was also detected.

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Funding

This study was funded by the EU through the Puglia Region: “Avviso aiuti a sostegno dei Cluster Tecnologici Regionali per l’Innovazione” – Progetto: “T.A.P.A.S.S. – Tecnologie Abilitanti per Produzioni Agroalimentari Sicure e Sostenibili” – codice PELM994.

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Correspondence to Domenico Carlucci.

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Giannoccaro, G., Carlucci, D., Sardaro, R. et al. Assessing consumer preferences for organic vs eco-labelled olive oils. Org. Agr. 9, 483–494 (2019). https://doi.org/10.1007/s13165-019-00245-7

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  • DOI: https://doi.org/10.1007/s13165-019-00245-7

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