The farmer's market organic consumer of Costa Rica

Abstract

PurposeThe purpose of this article is to provide local authorities, consumers, retailers and vendors information about the consumer profile of shoppers at the organic farmers market that could be used for devising strategies for local organic market development.Design/methodology/approachThe survey included information about the socio‐demographic, product characteristics and motives to purchase the product by the organic consumer. The selection of persons to be surveyed was random. The location of the survey was “La Feria del Trueque”, the largest organic farmers market in Costa Rica. During February 2004, 280 surveys were conducted and in 2005, 200 surveys. A single database was developed on the outcomes of the analysis of variance conducted. In order to detect the variables influencing the money spent monthly on organic fresh fruits and vegetables products and rank their importance, an ordinal probit model was specified using a restricted procedure.FindingsThe organic consumer in Costa Rica appears to be largely of middle age, with high monthly family incomes, female the primary buyer and highly educated. With an average family size of four members, one third of its income is spent on food and between 12 and 20 percent on organic fruits and vegetables and there seems to be a limit of around 20 percent in relation to the premium they are willing to pay for organic products. The organic consumer in Costa Rica recognizing the “obvious” differences seems to be somewhat similar to the organic consumer in the USA, Canada and Europe.Practical implicationsThe similarities detected are significant for those looking to import and sell fresh and processed organic products in Central America, because they can apply international information to open the “local markets”, while they develop their local market research information. Buyers and sellers can use the information of this study to better negotiate local purchasing conditions. At the same time it will help local producers to improve its negotiations capabilities with the new international retailers arriving in Costa Rica.Originality/valueThe central objectives of this study are to identify the consumer profile of Costa Rica of those buying organic products at the organic farmers markets, and to determine the key variables influencing the consumer expenditures for organic products at the farmers organic markets.