Understanding the influence of end-users on the acceptance of gene edited foods and sensitivity to information

Abstract

Consumer acceptance of gene edited foods varies significantly, with this variability increasing when consumers learn about the technology and its advantages. Yet, drivers of this heterogeneity remain mostly unclear. Focusing on milk from gene edited cows, we used data from a survey of U.S. consumers to examine the impact that the end-user (i.e., the individual consuming the good) has on purchaser’s (i.e., the person buying the products) preferences and response to information.

We find substantial differences in respondents’ willingness to pay (WTP) depending on who the end-user is, with the impact varying notably depending on whether the gene edited milk is compared with organic or conventional alternatives. We find that while respondents generally show a higher WTP for all milk alternatives when the product is purchased for children, their valuation of gene edited milk differs significantly when contrasted with organic versus conventional milk. Relative to organic milk, the subgroup purchasing for children showed a considerably lower average marginal WTP for gene edited products than those purchasing for themselves or other adults. This contrast was less pronounced when gene edited milk was compared with conventional milk. The subgroup purchasing milk for children also showed the least pronounced difference across respondents who received information versus those that did not. Again, this was particularly the case when looking at the WTP for organic milk. Together our results highlight the importance of considering the purchase context including the end-user in trying to understand purchasers’ preferences and behavior.