Does premium price mediate the consumer awareness and green purchase intention? A consumer study based on organic food, Western Province - Sri Lanka

Abstract

The modern consumer strives for a quality and healthy life, and that motive directs the consumer towards quality food by focusing on both environmental concern and health consciousness. Herein, this paper addresses the impact of consumer awareness of organic food on green purchase intention with the mediation effect of the premium price. A mixed research approach has been adopted and a systematic sample has been selected, whereas impact has been assessed through regression, mediation through the Barron-Kenny model, and the Sobel test. Further thematic analysis was performed to assess the green purchase intention qualitatively. The main findings revealed that both environmental concern and health consciousness positively influence green purchase intention of organic food; health consciousness is the most influential consumer awareness factor, and there was a partial mediation by the premium price. Thus, the results of the analysis concluded that there was a strong positive relationship between consumer awareness and green purchase intention. From the thematic analysis, the main themes were identified as (a) health and nutritional concern, (b) environmental concern, (c) taste, and freshness, and (d) social status. The paper concluded by providing recommendations to policymakers and marketing planners to design and initiate consumer awareness to widen the customer base and plan future strategies.