The Effects of Extrinsic Product Attributes on Buyers’ Perceptions of Product Quality: A Causal Approach

Abstract

Contemporary lab-examination methods allow to objectively measure product quality variables indicating health aspects and sensory attributes as well as the product’s suitability for fresh consumption, processing or storage. Chemical and physical parameters include the content of vitamines, pesticide residues, nitrate, glucosinulates, disulfides, sugars, quercitine, as well as texture, color, etc. There is no doubt that corresponding intrinsic product attributes determine vegetable and fruit quality. Changing intrinsic product attributes means changing the product itself. Nevertheless, it is assumed that intrinsic parameters are not necessarily consistent with product attributes driving consumers’ choice. Lacking immediate insight in intrinsic product quality attributes, consumers’ perception of vegetable or fruit quality instead is most often based on extrinsic product attributes, for example price, labeling (indicating cultivation method, quality grade or origin), appearance (eye-appeal), brand or store name. Modifying extrinsic product attributes does not change the product itself. I hypothesize that vegetable and fruit consumers perceive product quality forming an opinion about intrinsic quality attributes from extrinsic attributes. To test this hypothesis and hence to understand how consumers form expectations towards vegetable quality a causal model has been developed. A preliminary path diagram based on an extensive literature review represents hypotheses about the nature of underlying relationships. The path diagram will be translated in a structural equation model to allow quantification of the model parameters by way of consumer research, thus explaining linkages among variables and modeled relationships. Incorporating consumer attributes in the survey allows to identify distinct market segments. The results will provide information to support decisions of producers, trade, and retail in areas of (1) market communication and (2) integrated quality management: 1) Cues on how to adjust extrinsic product attributes for optimal consumer perception of the factual vegetable (intrinsic product attributes). This is the issue of properly communicating to the consumer a given product attribute resulting from a particular cultivation. Communication strategies with a focus on labels can be developed to specifically target distinct consumer groups to gain satisfying acceptance for the vegetable and fruit products. 2) Cues on how to match not only products as 294process output but instead complete cultivation systems to demand. Based on the findings of the quantified causal model, integrated quality management policies can be developed that help fulfilling consumer quality expectations by the best means available to growers.