Factors affecting the consumers’ willingness to pay for health and wellness food products

Abstract

This study aims at analyzing the factors affecting the consumer's willingness to pay for health and wellness food products in India, based on the primary consumer survey of 218 respondents. A structured questionnaire survey was administered using a stratified random sampling technique. The Poisson Count Regression Model (PCRM) has been used to analyse the factors affecting the willingness to pay for health and wellness food products. The analysis reveals that 44 percent of the consumers are willing to pay an average of 9 percent additional price for buying their desired health and wellness food products. Results of regression analysis show that important demographic variables that are more likely to affect the consumers' willingness to pay for healthy food products are income and education. Health consciousness is the key psychological factor of the buyers influencing their willingness to pay for purchasing followed by product quality, taste, packaging, price, and consumers look for convenience in shopping and are less influenced by market offerings and sales assistance in the store while buying health and wellness food products. This study provides practical insight to various stakeholders and helps in mapping the factors affecting the willingness to pay for purchasing health and wellness food products.