Volume 3, Issue 8: December 15, 2015 FOOD DEMAND...

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F oo DS FOOD DEMAND SURVEY Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State University | [email protected] Jayson Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465 Susan Murray | Research Specialist | 405-744-4857 This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture. FooDS tracks consumer preferences and senments on the safety, quality, and price of food at home and away from home with parcular focus on meat demand. FooDS is a monthly on-line survey with a sample size of at least 1,000 individuals, weighted to match the US populaon in terms of age, gender, educaon and region of residence. See the online technical document for more details. About the Survey Compared to one month ago, willingness-to-pay (WTP) increased for all products, except chicken wing which remained unchanged. Among meat products, WTP for the two beef products witnessed the highest percentage increases at over 8%. WTP for steak, pork chop, and chicken wing are all lower relave to this me last year, whereas WTP for chicken breast, hamburger, and deli ham are higher compared to this me last year. MEAT DEMAND Expenditures on food eaten at home decreased 0.86% from November to December and expenditures on food purchased away from home decreased 6.44% relave to last month. Consumers expect higher beef and pork meat prices than they did a month ago, and they report expecng to buy slightly more chicken, beef, and pork compared to last month. Plans for eang out fell significantly. FOOD EXPENDITURES Willingness-to- Pay Steak Chicken Breast Hamburger Pork Chop Deli Ham Chicken Wing Beans & Rice Pasta Last Year: December 2014 $7.80 $5.02 $4.49 $4.08 $2.67 $2.52 $2.35 $3.79 Last Month: November 2015 $7.06 $5.44 $4.15 $3.82 $1.98 $2.45 $2.04 $2.77 December 2015 $7.63 $5.52 $4.51 $3.85 $2.83 $2.45 $2.66 $3.80 % change (Nov. - Dec.) 8.07% 1.47% 8.67% 0.79% 42.9% 0.0% 30.39% 37.18% Current weekly at home Current weekly away from home Ancipated change in at home in next 2 weeks Ancipated change away from home in next 2 weeks December 2014 $94.05 $49.04 0.69% -1.46% November 2015 $95.54 $53.39 0.72% -1.59% December 2015 $94.72 $49.95 0.93% -1.05% % change (Nov. - Dec.) -0.86% -6.44% -------- --------

Transcript of Volume 3, Issue 8: December 15, 2015 FOOD DEMAND...

Page 1: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

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FooDSFOOD DEMAND SURVEY

Volume 3, Issue 8: December 15, 2015

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

FooDS tracks consumer preferences and sentiments on the safety, quality, and price of food at home and away from home with particular focus on meat demand. FooDS is a monthly on-line survey with a sample size of at least 1,000 individuals, weighted to match the US population in terms of age, gender, education and region of residence. See the online technical document for more details.

About the Survey

Compared to one month ago, willingness-to-pay (WTP) increased for all products, except chicken wing which remained unchanged. Among meat products, WTP for the two beef products witnessed the highest percentage increases at over 8%. WTP for steak, pork chop, and chicken wing are all lower relative to this time last year, whereas WTP for chicken breast, hamburger, and deli ham are higher compared to this time last year.

MEAT DEMAND

Expenditures on food eaten at home decreased 0.86% from November to December and expenditures on food purchased away from home decreased 6.44% relative to last month. Consumers expect higher beef and pork meat prices than they did a month ago, and they report expecting to buy slightly more chicken, beef, and pork compared to last month. Plans for eating out fell significantly.

FOOD EXPENDITURES

Willingness-to-Pay

Steak Chicken Breast

Hamburger Pork Chop Deli Ham Chicken Wing

Beans & Rice

Pasta

Last Year:December 2014

$7.80 $5.02 $4.49 $4.08 $2.67 $2.52 $2.35 $3.79

Last Month:November 2015

$7.06 $5.44 $4.15 $3.82 $1.98 $2.45 $2.04 $2.77

December 2015 $7.63 $5.52 $4.51 $3.85 $2.83 $2.45 $2.66 $3.80

% change(Nov. - Dec.)

8.07% 1.47% 8.67% 0.79% 42.9% 0.0% 30.39% 37.18%

Current weekly at home

Current weekly away from home

Anticipated change in at home in next 2 weeks

Anticipated change away from home in next 2 weeks

December 2014 $94.05 $49.04 0.69% -1.46%

November 2015 $95.54 $53.39 0.72% -1.59%

December 2015 $94.72 $49.95 0.93% -1.05%

% change(Nov. - Dec.)

-0.86% -6.44% -------- --------

Page 2: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

Consumer Expectations FooDS Page 2

E. coli, Salmonella, and GMO were the most visible issues in the news over the past two weeks. Awareness of all items increased over last month. The largest percent jump in awareness from November to December was for GMO and E. coli. E. coli, Salmonella, and antibiotics were ranked as the top three concerns during December. Concern for all items increased compared to last month. The largest percent increase in concern was for E. coli. Changes in awareness and concern may be due to highly publicized food borne illnesses associated with the Chipotle restaurant chain.

AWARENESS & CONCERN TRACKING

Awareness of Food Issues

Page 3: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

Concern for Food Issues FooDS Page 3

Taste, safety, and price remained consumers’ most important values when purchasing food this month. Consumer values remained similar to those in past months, with slight decreases in perceived values of animal welfare and fairness and an increase in perceived values of taste, safety, and price. Similar to previous months, consumers reported that their main challenge was finding affordable foods that fit within their budget. Finding time to cook at home and finding food children will eat remained the least pressing challenges. 7.24% of participants reported having food poisoning, more than double that from a month ago.

GENERAL FOOD VALUES

Consumer Challenges Consumer Values

Page 4: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

FooDS Page 4

Three new ad hoc questions were added to the survey this month.The first question asked: “Which of the following labels, if seen on a meat or animal product in a grocery store, do you think would indicate and assure the highest and lowest levels of farm animal welfare?”Participants were then shown images of nine different labels and were asked to click three labels and move them to a box indicating the highest level of animal welfare and then click three of the labels and move them to a box indicating the lowest level of animal welfare. More than half the respondents put the following three labels in the highest welfare category: Certified Humane, Animal Welfare Approved, and American Humane Certified. Two labels, 100% natural and non-GMO verified had nothing to do with animal welfare and they were generally ranked neither high nor low. The largest percentage of respondents placed the Tyson brand label in the lowest animal welfare category, but it had more “highest welfare” category placements than Global Animal Partnership or Food Alliance Certified. The Global Animal Partnership label (which showed a Step 4 rating) was most likely to not be placed in either the the highest or lowest welfare categories.

AD HOC QUESTIONS

Indicators of Farm Animal Welfare

Page 5: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

FooDS Page 5

The second question asked: “How much would you support or oppose a genetically engineered food or crop (aka “GMOs”) created by the following organizations?”Respondents replied on a 1 to 5 scale ranging from strongly oppose to strongly support. GMOs from a chemical company, Monsanto, and a pharmaceutical company were the were least supported. GMOs from a non-profit scientific organization, a university, and the USDA were most supported. For the latter two categories the percentage of respondents supporting equaled or exceeded those opposing.

AD HOC QUESTIONS

Page 6: Volume 3, Issue 8: December 15, 2015 FOOD DEMAND SURVEYagecon.okstate.edu/faculty/publications/5124.pdf · Volume 3, Issue 8: December 15, 2015 Food Demand Survey | Oklahoma State

Food Demand Survey | Oklahoma State University | [email protected] Lusk | Regents Professor & Willard Sparks Endowed Chair | 405-744-7465

Susan Murray | Research Specialist | 405-744-4857This project is supported by a Willard Sparks Endowment, the Oklahoma Agricultural Experiment Station, and the

Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture.

FooDS Page 6

The last question asked, “Of all the possible benefits that arise from the genetically engineered (or “GMO”) food and crops currently being produced, what percent of the benefits do you believe go to the following entities?” Eight different groups were listed, and respondents had to allocate 100 points across the groups. Respondents thought seed, chemical and farm input suppliers received the largest share of the benefits (at 17.7%) followed by governments and food processors (each at about 15%). Farmers were next at almost 14%. At the bottom were consumers (10.6%) and universities (8.7%).

AD HOC QUESTIONS