Organic consumers’ profile beyond the mean

Abstract

The European organic food market is characterized by very different consumer segments. There are significant differences concerning motivations for organic food consumption, preferences for various attributes, and frequency of purchase among consumers. Although the organic food sector has been studied for about 20 years, little is known about consumer behavior at different levels of consumption. The aim of this study was to investigate the determinants of organic food consumption in various market segments characterized by different purchasing frequencies. The determinants of purchase frequency in Italy and Germany are analyzed not only at the mean regression, by OLS, but also at the median and at the mode. Differing estimates at these measures of central tendency generally occur with asymmetric distributions, and this occurs in the following analysis as well. Moreover, since in Germany the dependent variable presents more than one peak/mode, interpretation of the mode regression becomes problematic and a different tool is implemented, namely the finite mixture model. The latter clusters the observations in homogeneous groups while computing the regression coefficients within each group. Buyers are split into two groups, frequent and rare consumers of organic food, and two different sets of estimated coefficients explain frequency of purchases within each group.