Socio-Economic Team Goals and Activities - Home | Social marketing concept: satisfy customers’...
Transcript of Socio-Economic Team Goals and Activities - Home | Social marketing concept: satisfy customers’...
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Socio-Economic Team
Goals and ActivitiesChengyan Yue, Team Leader, Univ. of Minnesota
Karina Gallardo, Washington State Univ.
Raymond Jussaume, Washington State Univ.
Vicki McCracken, Washington State Univ.
Jim Luby, Univ. of Minnesota
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Outline of Presentation
Production orientation versus Marketing
orientation
Socio-Economic Activities
Socio-Economic Outcomes
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Production Orientation versus
Marketing Orientation
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Key Stakeholders for Fruit Cultivars
Exports
Imports
Wholesalers &
Distributors
Brokers
Consumers
Retail Outlets
Institutions &
Food Service
Outlets
Processors
Service Businesses
Shippers &
Packers
Growers
Breeders
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Production Orientation
• Focus on the most efficient ways
to make and distribute products,
…like Henry Ford’s Model T &
Ivory soap
• Produce a product and then try to
sell it
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Marketing Orientation• Focus on satisfying customers’
needs and wants
• Focus on building long-term bonds
with customers.
• Social marketing concept: satisfy
customers’ needs and also benefit
society
– Sustainability: meeting present needs
and ensure that future generations’
needs are metPhotos courtesy of David Byrne, Kate Evans
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Rosaceae Fruit Breeding
• Rosaceae fruit breeders lack empirical
basis to assign relative importance to traits
• Breeding targets have been based largely
upon a production-driven orientation
• Value has been considered primarily from
the breeders’ viewpoint - influenced by
industry and market forces, but not
transparently so
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Grower’s priorities
1. Size
2. Yield
3. Disease res.
4. Firmness
5. Flavor
6. Shelf life
7. Color
Do Breeders’ Trait Priorities Match
Those of Stakeholders?
Breeder’s priorities
1. Size
2. Yield
3. Firmness
4. Flavor
5. Shelf life
6. Color
7. Disease resistance
$$ What is the Marginal Value of Trait to Stakeholder? $$
?
?Consumer’s
priorities
1. Size
2. Flavor
3. Shelf life
4. Color
5. Firmness
6. Juiciness
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Rosaceae Fruit Breeding
• Breeder’s decision-making process will
benefit from a science-based
understanding of stakeholder
– Preferences
– Purchasing motives
– Attitudes, beliefs, concerns, constraints
– Willingness to pay
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RosBREED Socio-Economic
Activities
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Surveys and interviews of stakeholders
Exports
Imports
Wholesalers &
Distributors
Brokers
Consumers
Retail Outlets
Institutions &
Food Service
Outlets
Processors
Service Businesses
Shippers &
Packers
Growers
Breeders
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1. Determine breeders’ current target
trait selection priorities
• Breeder interviews (conducted 2010)
• U.S. and Canadian Breeders Surveyed
– Determine specific traits under selection
– Current relative weights placed on those traits
– Traits ignored due to limited staffing,
technology, or knowledge
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2. Determine producers’ preference
and willingness to adopt new cultivars
• Survey administered in 2011-12
– Sample top-producing three states for each crop with
combination of mail and internet survey, supported by
in-person interviews
– Determine priorities for fruit traits and production traits
– Model the likelihood of new cultivar adoption based
on producer attributes
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3. Determine market intermediaries’
preference and values for fruit traits
• Survey and interviews with market
intermediaries in 2010-11
– Suppliers, retailers and wholesalers
– Preferences and values for different fruit quality
attributes
– Marketing constraints
– Target markets
– Size of operation
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4. Determine consumer preference and
willingness to pay for fruit traits and
consumer market segments• A national survey of consumers in 2011-12
– Combination of mail and internet survey methods with
a randomly selected national sample of consumers
– Consumers’ fruit selection and purchase decisions
– Relative importance of different attributes
– Their stated willingness to pay for attributes
• A grocery based auction/experiment
– Place a value on an attribute by bidding on fruits with
different attributes
– Test of willingness-to-pay
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RosBREED Socio-Economic
Outcomes
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Expected Outcomes
• Routine use of economic weighting in marker-
assisted breeding for fruit traits and production
traits in Rosaceae
• Increased awareness and support of breeding
and marker-assisted breeding (MAB) among
stakeholders
• Improved profitability and sustainability of US
rosaceous fruit, nut, and floral crops with
increased consumption and enjoyment
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Acknowledgements
This project is supported by the
Specialty Crops Research Initiative
of USDA’s National Institute of Food and Agriculture
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Questions?
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Determine producer/processors’
preference and willingness
to adopt new cultivars
• A model will be developed to measure the
likelihood of adoption
– Size of operation
– Diversification of products
– Credit availability
– Degree of risk aversion
– Synergies with other technologies
– Input and output price uncertainty
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Determine Producer/processors’
preference and willingness to adopt
new cultivars
• Conduct in-person interviews with
producers/processors at industry
gatherings
• Preferences for fruit traits (color, size,
texture, etc.) and production traits
(flowering, growth habit, annual bearing,
postharvest drop, etc.).
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Determine consumer preference and
willingness to pay for fruit traits and
market segments
• These two components will allow us to
– Investigate how much consumers are willing
to pay for fruits with different attributes
– Assess different market segments
– Determine the degree of heterogeneity in fruit
crop preferences
– Analyze consumer attitudes and
demographics
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Determine consumer preference and
willingness to pay for fruit traits and
market segments• Consumers typically overestimate their
willingness-to-pay in stated preference studies
• A grocery based auction/experiment
– Show randomly selected shoppers real fruits
– Ask them to sample
– Place a value on an attribute by bidding on fruits
with different attributes
– Participants will pay real money for the product