An Error Corrected Almost Ideal Demand System for Crustaceans in the United States

A Demand Analysis for Crustaceans at the U.S. Retail Store Level

“…Therefore, any marketing program, such as advertising, that increases the consumers' marginal utility with an additional small increase in the selling price of crab, crawfish and lobster products will be feasible, bringing higher sales values. Price elasticities obtained from this study are greater than those in a similar study of Singh et al (2011), who developed a demand system of U.S. crustacean products using aggregated time series data (from 1950 to 2007) on total landing and its value, and on trade statistics. The greater magnitudes of price elasticities implies that demands are more elastic at disaggregated level, where scanner data are collected from individual consumers who have more substitutes for crustacean products at store level.…”

“…Promotion intensities have positive effects on own-products' market shares, and significant at 5% or 1%, except for lobster at 10%. 220 G. V. Nguyen et al Demographics should play a role in crawfish and lobster market shares, because crawfish and lobster account for small segments of the U.S. seafood retail market, and are consumed by high-income and specific consumer groups in Louisiana and surrounding states along the Gulf of Mexico (Singh et al, 2011). The current data of weekly frequencies spanning from June 2008 to June 2010, do not allow demographic information to vary much, or to be available at all in the Nielson retail scanner data.…”

“…The study of crustacean demands as a distinguished seafood group is absent, except for a recent study by Singh et al (2011). However, Singh et al (2011) used U.S. aggregated import quantities and values of trade data in their study.…”

“…The study of crustacean demands as a distinguished seafood group is absent, except for a recent study by Singh et al (2011). However, Singh et al (2011) used U.S. aggregated import quantities and values of trade data in their study. We make use of purchased scanner data on seafood products at the U.S. retail store level to revisit the demand for disaggregated crustacean species at the retail level.…”

“…The crustacean seafood category includes shrimp, crab, crawfish, and lobster that are in high demand by U.S. consumers (Singh et al, 2011) as these products are rich in protein and calcium and are low in fat. Shrimp and crab contributed 3.67 pounds to U.S. per capita seafood consumption in 2000 and increased to 4.57 pounds by 2010 (National Fisheries Institute, 2011).…”