Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising

In countries where regulatory enforcement is weak, voluntary third‐party verification of firms' food safety processes can allow concerned consumers to select safer products. However, due in part to their legal ambiguity, and the potential to attract additional regulatory scrutiny, food safety claims...

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Autores principales: Hoffmann, Vivian, Moser, Christine, Herrman, Timothy J.
Formato: Journal Article
Lenguaje:Inglés
Publicado: Agricultural and Applied Economics Association 2021
Materias:
Acceso en línea:https://hdl.handle.net/10568/142320
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author Hoffmann, Vivian
Moser, Christine
Herrman, Timothy J.
author_browse Herrman, Timothy J.
Hoffmann, Vivian
Moser, Christine
author_facet Hoffmann, Vivian
Moser, Christine
Herrman, Timothy J.
author_sort Hoffmann, Vivian
collection Repository of Agricultural Research Outputs (CGSpace)
description In countries where regulatory enforcement is weak, voluntary third‐party verification of firms' food safety processes can allow concerned consumers to select safer products. However, due in part to their legal ambiguity, and the potential to attract additional regulatory scrutiny, food safety claims are rarely made by firms. As a result, the impact of such claims on consumer demand is not well understood. We examine how labeling maize as tested for aflatoxin, a carcinogen also associated with stunting in children, affects sales. By randomly varying the timing and intensity of a marketing campaign to promote the first maize flour brand in Kenya labeled as tested for aflatoxin, we characterize dynamic consumer response to information about food safety. We find an immediate response in sales to marketing alone, which disappears as soon as marketing ceases. Sales remain elevated in the weeks after a temporary discount is offered, but this effect also fades over time and is not associated with greater awareness of the firm's food safety claims. These results suggest that it is unrealistic to expect for‐profit firms serving mass markets in low‐ and middle‐income countries to invest heavily in marketing based on food safety claims.
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spelling CGSpace1423202025-02-24T06:47:52Z Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising Hoffmann, Vivian Moser, Christine Herrman, Timothy J. mycotoxins consumer behaviour advertising maize food safety aflatoxins prices In countries where regulatory enforcement is weak, voluntary third‐party verification of firms' food safety processes can allow concerned consumers to select safer products. However, due in part to their legal ambiguity, and the potential to attract additional regulatory scrutiny, food safety claims are rarely made by firms. As a result, the impact of such claims on consumer demand is not well understood. We examine how labeling maize as tested for aflatoxin, a carcinogen also associated with stunting in children, affects sales. By randomly varying the timing and intensity of a marketing campaign to promote the first maize flour brand in Kenya labeled as tested for aflatoxin, we characterize dynamic consumer response to information about food safety. We find an immediate response in sales to marketing alone, which disappears as soon as marketing ceases. Sales remain elevated in the weeks after a temporary discount is offered, but this effect also fades over time and is not associated with greater awareness of the firm's food safety claims. These results suggest that it is unrealistic to expect for‐profit firms serving mass markets in low‐ and middle‐income countries to invest heavily in marketing based on food safety claims. 2021-01-01 2024-05-22T12:10:19Z 2024-05-22T12:10:19Z Journal Article https://hdl.handle.net/10568/142320 en https://hdl.handle.net/10568/146736 https://doi.org/10.2499/p15738coll2.133582 https://doi.org/10.22004/ag.econ.259133 Open Access Agricultural and Applied Economics Association Hoffmann, Vivian; Moser, Christine; and Herrman, Timothy J. 2021. Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising. American Journal of Agricultural Economics 103(1): 275-295. https://doi.org/10.1111/ajae.12093
spellingShingle mycotoxins
consumer behaviour
advertising
maize
food safety
aflatoxins
prices
Hoffmann, Vivian
Moser, Christine
Herrman, Timothy J.
Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title_full Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title_fullStr Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title_full_unstemmed Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title_short Demand for aflatoxin‐safe maize in Kenya: Dynamic response to price and advertising
title_sort demand for aflatoxin safe maize in kenya dynamic response to price and advertising
topic mycotoxins
consumer behaviour
advertising
maize
food safety
aflatoxins
prices
url https://hdl.handle.net/10568/142320
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AT moserchristine demandforaflatoxinsafemaizeinkenyadynamicresponsetopriceandadvertising
AT herrmantimothyj demandforaflatoxinsafemaizeinkenyadynamicresponsetopriceandadvertising