Eliciting Egg Consumer Preferences for Organic Labels and Omega 3 Claims in Italy and Hungary

Abstract

This paper investigates consumers’ preferences for egg purchase in two European countries, Hungary and Italy. We utilize random parameter logit models to interpret the results of discrete choice experiments (DCE) for the elicitation of preference of the egg consumers. A sample of 403 in the Hungarian survey and 404 in the Italian survey were recruited in summer 2018. The DCE questionnaire includes the following product and process characteristics: organic labels, nutrition and health claims, and price. Our results show that for Hungarian and Italian consumers, the price is the most important attribute, followed by the nutrition and health claim and the organic production labelling. Three egg consumer segments can be identified via latent class models for each country. In both countries, we found similar consumer groups, the Price Sensitive and Quality Optimizing Opportunist Consumers and Health Conscious Buyers, respectively. Particularly, compared to the other segments the Health Conscious Buyers (46% in Hungary and 49% in Italy) exhibited stronger preference for and are willing to pay a higher price premium for eggs with organic label and nutrition claims. In Italy, we identified a third segment with consumers preferring simpler labelling approach, whilst in Hungary we found a consumer segment distrusting the EU organic logo.