Consumer awareness and willingness to pay for halal certified of beef in Bogor area

Abstract

Indonesian government law No. 33 of 2014 on Halal Product Assurance (Halal Law) states that all products circulating in Indonesia must be halal-certified. The implementation of Halal Law has implications for increasing the cost of delivering beef to consumers because each seller is required to implement a process that is in accordance with Islamic law in order to obtain halal certificate. This cost will be distributed to consumers by increasing the selling price of beef that halal-certified. The aims of this study are, (1) analyze consumers' willingness to pay on halal-certified of beef, beef prices are currently very high (Rp 120,000 / kg), (2) analyze consumer awareness on halal-certified of beef. The research sample was taken in the Bogor area. The method used to analyze consumers' willingness to pay is Contingent Valuation Method (CVM), and the method for analyzing consumer awareness is Partial Least Square (PLS). The results of this study indicate two factors that significantly influence consumer awareness: religious beliefs and halal logos. The results of this study also indicate that beef consumers in Bogor area are willing to pay more than 4-6 percent for beef that is halal certified. These results indicate that consumers from the Bogor area are willing to pay more for halal-certified beef. This shows the community's support for the implementation of the Halal Law.

Meat Traceability: Traditional Market Shoppers’ Preferences and Willingness-to-Pay for Additional Information in Taiwan

“…The CVM decision allows a monetary valuation to be applied to examine non-marketed items or attributes from a service product [76,88,93,94]. The WTP calculates both the median and the mean from the collected responses of simulated-market questionnaires reflecting the consumer's budget perception in the real market situation [77,83]. Furthermore, several prior studies stated that the differences are not significant between the real-market WTP valuation and a hypothetical situation [78,79].…”

“…Lastly, due to the currently limited traceability research on pork products [50,[70][71][72][73][74][75], this study which observes consumers' preference on traceability impact in Taiwanese traditional market for pork products helps fill the gap in research on this topic. This research was conducted using a contingent valuation method to measure the consumers' fondness (or WTP) and how much more they will pay for pork with traceability information in the Taiwan traditional market [76,77]. The research consisted of questions posed in hypothetical market conditions [78][79][80].…”

The Effect of Halal Awareness and Food Ingredients on Consumer Interests of Culinary Seafood Beach Tourism

“…Nurhasanah et al (2018), the results of his research show that halal awareness has a positive and significant effect on the purchase intention of halal processed food products for consumers (Nurhasah et al, 2018). Nofianti and Rofiqoh (2019), the results of their research show that halal awareness has a positive effect on consumer buying interest (Nofianti & Rofiqoh, 2019). Setyaningsih and Marwansyah (2019), the results of their research show that halal awareness has a positive effect on buying interest in halal food products.…”

Minat Beli Produk Halal di Indonesia: Studi Pemetaan Sistematis

“…Dari sisi agama, responden muslim menjadi sasaran utama karena terkait langsung dengan Pada aspek agama, studi umumnya sengaja memilih responden muslim dengan pertimbangan bahwa agama Islam yang secara jelas mengatur mengenai konsumsi halal. Namun dijumpai pula studi yang justru memilih responden nonmuslim (Fitriani, 2018) atau mengabaikan aspek agama responden (Alfiana, 2017;Nugroho and Irena, 2017;Nugraha, Mawardi and Bafadhal, 2017;Trifiyanto, 2018;Lestari et al, 2018;Putri and Abdinagoro, 2018;Nurhasanah and Hariyani, 2018;Alfikri, Baga and Suprehatin, 2019;Vegirawati, Yusnaini and Ningsih, 2019;Saribanon et al, 2020;Lidiawati and Suryani, 2020). Non spesifikasi responden dalam hal agama ini dimaksudkan untuk mengevaluasi potensi pengembangan pasar produk halal pada kelompok nonmuslim.…”

“…Adanya label halal terbukti mendorong minat konsumen pada berbagai jenis produk. Yang paling banyak pada produk makanan dan minuman (Arinilhaq, 2017;Nugraha, Mawardi and Bafadhal, 2017;Atikah, 2017;Nurcahyo and Hudrasyah, 2017;Aminuddin, 2018;Hatta, 2018;Fitriani, 2018;Sudrajat, 2018;Putri, 2019;Novagusda and Deriawan,2019;Pratama, 2019;Ratnasari, 2019;Faturohman, 2019;Pambudi,2018;Fauzia, Pangestu and Bafadhal, 2019;Alkatiri et al, 2019;Rohmah, 2019;Setyaningsih and Marwansyah, 2019;Janah,2018;Alfikri, Baga and Suprehatin, 2019;Yoga, 2019;Ruangkanjanases and Sermsaksopon, 2019;Budiman, 2019;Lidiawati and Suryani, 2020). Restoran atau toko yang bersertifikat halal juga membuat konsumen meminati produk-produk makanan minuman yang disajikan (Mardiani, 2019;Ariyanti, 2019;Khadijah and Wulandari, 2020;Legowati and Ul Albab, 2019;Yulita Amalia and Fauziah, 2019).…”