Do consumers care about organic when consuming speciality bakery products or is it all about indulgence?

Abstract

PurposeThis study explores the viability of incorporating more expensive organic wheat flour into speciality bakery products, which are of superior quality, thus justifying the higher cost. As consumers may be reluctant to purchase organic speciality baked goods due to unfavorable taste associations with organic foods, particularly those consumed as a treat or for pleasure, this study investigates the impact of providing taste assurances and origin information on consumer acceptance and WTP for organic speciality bakery products.Design/methodology/approachUsing data from an online survey of US consumers, random parameter logit models were estimated and willingness-to-pay (WTP) values were calculated.FindingsStudy results show that the use of more expensive organic flour is justified for speciality bakery products when favorable taste assurances are provided or for consumers who value organic foods. Freshness indictors were only important in the case of speciality breads, but not for other products. Finally, improving consumer awareness of organic labeling standards does not significantly impact their organic product preferences or taste perceptions.Practical implicationsThis analysis aims to identify the product information likely to increase the consumption of organic speciality bakery/pastry products and thus support the incorporation of organic wheat flour into these higher-value products.Originality/valueWhile previous choice experiment studies have extensively examined consumer preferences for organic products, few have evaluated the impact of providing taste and freshness indicators, particularly in the context of vice goods. This study examines the impact of providing taste and freshness indicators on consumer acceptance and WTP for various organic speciality bakery/pastry products in stated choice experiments, where consumers to not have the option to taste the product. Specifically, we examine if taste and freshness assurances reduce potential negative organic product taste biases.