Quantifying effects of convenience and product packaging on consumer preferences and market share of seafood products: The case of oysters

Abstract

This study analysed the relative importance of product packaging format and preparation convenience for oysters on consumer choice and market share. Consumer preferences for opened versus unopened oyster preparation formats and the provision of easy-to-prepare accompaniments with or without visual serving suggestions were assessed in a choice experiment. The impact of product packaging and preparation convenience on consumer choice was analysed relative to the traditional demand factors of price, region of origin, oyster species, health, environmental and quality claims. A total of 1718 Australian oyster consumers participated in an online choice experiment with visual product stimuli to simulate their choice of ready-packaged oysters in a retail store. Considering preference heterogeneity respondents’ choices were analysed with a scale adjusted latent class model and six different consumer segments were identified. Market share simulations illustrate the impact of oyster product variations on consumer choice. Overall, price, preparation format and species were the most important choice drivers, followed by region of origin and accompaniments, while packaging format and claims only had a minor influence on consumer choice. Consumer differences in price sensitivity and preferences for species and different oyster accompaniments provide scope for consumer oriented product differentiation with the potential to increase oyster demand and healthy seafood consumption.