Traditionally, research on the impacts of generic advertising on food demand has focused on television advertising and in‐store promotions. However, with the an increased use of advertising using social media, such as online banner advertisements, there is a need for investigation to determine whether online advertising has a similar impact as television advertising. We investigate the factors related to both the awareness and impact of online and television advertisements on the frequency of orange juice consumption. A negative time trend is found with regard to awareness of both online and television advertising. The relationship between awareness of orange juice advertisements and frequency of consumption is somewhat surprising. The major surprise is the lack of relationship between online advertising and consumption frequency. Only awareness of online Facebook advertisements is positively related to the number of days per week orange juice is consumed. The lack of relationship with awareness of television advertisements, which at first may be surprising is reflected in a recent decision by the Florida Department of Citrus, which is responsible for the funding and placement of orange juice advertisements, to no longer invest in television advertising. Additional research on whether or not online advertisements are proving ineffective is needed.
Generic advertising is commonly used to market agricultural products by groups of producers to increase the overall demand. With the popularity of social media, a cheaper and convenient alternative platform has been created for generic advertising. Despite social media advertising gaining success in some areas, little is known about whether this success can be duplicated to agricultural products. Questions also remain about potential benefits to producers when multiple organizations conduct generic advertising for the same or similar products. This study investigates the own and spillover effect of duoregional generic advertising of two grower organizations' (Florida and California) social media on consumer preference for fresh produce with different origins. Overall, a significant increase in willingness-to-pay is found for the products being promoted by social media, indicating a strong own effect of duo-regional generic advertising. A substantial spillover effect of generic advertising is also found for social media conducted by California and Florida on domestic and imported products, correspondingly.Mexico receives a free-rider benefit from the generic advertising provided by Florida social media. The results shed light on the industries that try to promote food products using social media and inform policy decisions on how to utilize generic advertising better to expand the market.
This paper investigates the determinants of fresh and processed mushroom consumption in the United States by employing the zero-inflated ordered probit (ZIOP) model. The ZIOP model accounts for excessive zero observations and allows us to differentiate between genuine non-consumers and individuals who did not consume during the given period but might under different circumstances. The results indicate that the market for fresh mushrooms is larger than that for processed mushrooms. However, the market for processed mushrooms has a larger portion of potential consumers which might indicate more potential if appropriate marketing strategies are applied. The results also suggest that the decisions to participate in the market or not and the consumption frequency are driven by structurally different factors. A comparison of the ZIOP to other models is included to show the advantages of allowing for non-consumers and potential consumers to be analyzed separately.
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