1- Sari Agricultural Sciences and Natural Resources University
2- Food Security Research Institute
2- Food Security Research Institute
Abstract: (4 Views)
Introduction and Objective
In monopolistic competition markets, consumers evaluate product attributes simultaneously. Given the difficulty of verifying saffron authenticity, branding can serve as a critical signal of quality. However, limited research has addressed the relative importance of various saffron attributes in consumer choice. This study aims to determine the preference structure of saffron consumers regarding four key attributes: brand, price, packaging type, and presentation form, utilizing a conjoint analysis approach.
Materials and Methods
This survey-based research employed face-to-face interviews with 50 heads of households in districts 6 and 13 of Tehran in 2023. To elicit preferences, a full-profile conjoint analysis was conducted. Four attributes—brand (4 levels), price (3 levels), packaging (3 levels), and presentation form (2 levels)—were designed into 10 selected profile cards for ranking. Part-worth utilities and the relative importance of each attribute were estimated using a cumulative part-worth utility model.
Findings
The results indicate that the brand is the most critical determinant of consumer preferences, with a relative importance of 55.17%, which is nearly three times that of price (18.63%) and packaging (17.17%). Among the brands, “Novin Saffron” yielded the highest utility, while simple packaging was the most preferred packaging type. Regarding price, findings suggest that a “below-average” price point, in isolation, is not necessarily favored by buyers, potentially because consumers perceive it as an indicator of inferior quality. The optimal product profile identified consists of the Novin brand, a below-average price, simple packaging, and bulk presentation.
Conclusion
The results underscore that consumer preferences for saffron are driven by the simultaneous evaluation of multiple product attributes. To strengthen their competitive position, suppliers should focus on enhancing brand equity and selecting functional packaging. This study validates why brand reputation and higher price points are often preferred over lower prices; they serve as critical signals that mitigate the perceived risk of purchasing counterfeit products. Consequently, competing firms in the saffron packaging industry are advised to prioritize marketing incentives—such as advertising, branding, and product mix optimization—rather than engaging in price wars. However, given sample size limitations, the generalization of these findings to the broader population should be interpreted with caution
In monopolistic competition markets, consumers evaluate product attributes simultaneously. Given the difficulty of verifying saffron authenticity, branding can serve as a critical signal of quality. However, limited research has addressed the relative importance of various saffron attributes in consumer choice. This study aims to determine the preference structure of saffron consumers regarding four key attributes: brand, price, packaging type, and presentation form, utilizing a conjoint analysis approach.
Materials and Methods
This survey-based research employed face-to-face interviews with 50 heads of households in districts 6 and 13 of Tehran in 2023. To elicit preferences, a full-profile conjoint analysis was conducted. Four attributes—brand (4 levels), price (3 levels), packaging (3 levels), and presentation form (2 levels)—were designed into 10 selected profile cards for ranking. Part-worth utilities and the relative importance of each attribute were estimated using a cumulative part-worth utility model.
Findings
The results indicate that the brand is the most critical determinant of consumer preferences, with a relative importance of 55.17%, which is nearly three times that of price (18.63%) and packaging (17.17%). Among the brands, “Novin Saffron” yielded the highest utility, while simple packaging was the most preferred packaging type. Regarding price, findings suggest that a “below-average” price point, in isolation, is not necessarily favored by buyers, potentially because consumers perceive it as an indicator of inferior quality. The optimal product profile identified consists of the Novin brand, a below-average price, simple packaging, and bulk presentation.
Conclusion
The results underscore that consumer preferences for saffron are driven by the simultaneous evaluation of multiple product attributes. To strengthen their competitive position, suppliers should focus on enhancing brand equity and selecting functional packaging. This study validates why brand reputation and higher price points are often preferred over lower prices; they serve as critical signals that mitigate the perceived risk of purchasing counterfeit products. Consequently, competing firms in the saffron packaging industry are advised to prioritize marketing incentives—such as advertising, branding, and product mix optimization—rather than engaging in price wars. However, given sample size limitations, the generalization of these findings to the broader population should be interpreted with caution
Keywords: Purchasing behavior, packaging design, product differentiation, monopolistic competition market.
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