Consumer’s Preference And Willingness To Pay For Organic Agricultural Product’s Attributes Labeling

Over the past 40 years of reform and opening-up,China’s agriculture has achieved rapid development,the national consumption level and the residents of environmental health awareness continue to improve,people are more concerned about the quality and safety of agricultural products.2021 Central Government No.1 document clearly put forward to accelerate the quality of agricultural products and food safety supervision,the development of green agricultural products,organic agricultural products and geographical indications of agricultural products,the pilot implementation of edible agricultural products to meet the standard certificate system,and promote National agricultural products quality and safety county creation and a series of requirements.People’s demand for agricultural products from quantity to quality,organic agricultural products as the highest level of safety of agricultural products,showing unique advantages and gradually favored by the majority of consumers,organic agricultural market development gradually from production to demand-driven.At this stage,organic agricultural products have a huge potential demand market in China,and there are also studies showing that consumers have a positive attitude towards organic agricultural products consumption.However,due to the existence of information asymmetry,consumers are unable to accurately assess the quality of organic agricultural products,which to a certain extent limits the quality of consumer decisions and consumer satisfaction.As an important tool to express the attributes of agricultural products,it is important to explore consumers’ preference for organic agricultural product attribute labels and their willingness to pay under different attribute labels to rebuild consumers’ trust and expand the demand for organic agricultural products.Based on the random utility theory,market signal theory and consumer purchasing behavior theory,this study will take organic kiwifruit as the research object and conduct an investigation within the scope of Xi ’an,Shaanxi Province,starting from six attributes: price attribute,organic certification type attribute,traceability attribute,nutrient detection attribute,self-owned planting base attribute and manufacturer reputation attribute.The selection experiment method was used to construct the selection set,and the random parameter Logit model was used to empirically explore the degree of consumers’ preference for the attributes of organic kiwi,the interaction relationship between the attributes and the source of heterogeneity,and based on this,the specific willingness of consumers to pay for the attribute label was calculated.This paper concludes the following conclusions:(1)Consumer awareness of organic agricultural products is relatively low,but consumers generally recognize the environmental benefits of organic production and are more likely to purchase organic produce for environmental protection purposes.(2)Consumer preferences for organic kiwifruit attributes are somewhat heterogeneous,with gender,education,and income all influencing consumer preferences and thus willingness to pay to some extent.(3)Organic certification type attribute,traceability attribute,nutrient testing attribute,own planting base attribute and producer reputation attribute all significantly affect consumers’ willingness to pay.Respondents have higher willingness to pay for organic certification attribute,among which the highest willingness to pay premium for Chinese organic certification can reach 13.95 yuan,followed by producer reputation attribute(7.85 yuan),nutrient testing attribute(5.69 yuan),own planting base(2.34 yuan),and willingness to pay for traceability attribute(1.38 yuan).(4)Consumers’ willingness to pay for organic kiwifruit increases with the overlay of label attributes,and consumers pay a higher premium for kiwifruit with both attributes labeled organic kiwifruit.Based on the above results,this paper puts forward the following suggestions:(1)strengthen publicity and promotion,focusing on the unique advantages of organic agricultural products for environmental protection and health.(2)Differentiated marketing strategies should be implemented in different market segments based on consumer heterogeneity.(3)Pay attention to the superposition of labels to implement the overall marketing strategy,the government encourages multidimensional labels to show information while strengthening supervision.