Professional Documents
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Global food perception is rapidly changing over the time. People are now more health
conscious and place more value on healthy food. As world population is growing
rapidly over the time, to ensure food security, modern techniques are being applied in
food cultivation through using various chemical fertilizer and pesticides. As a result
the natural nutritious value is gradually disappearing from food. As a result health
conscious people have become more interested in food produced naturally without
using chemical fertilizer and pesticides to preserve that healthiness (Childs and
Polyzees, 1997; Zotos et al., 1999; Baltas, 2001; Fotopoulos and Krystallis, 2002).
Research on consumer preferences and demand for organic food is gaining
academic interest too. Majority of the studies showed that, consumers prefer organic
foods and products that has been produced in organic method (Misra et al., 1991;
Wandel and Bugge, 1997; Wilkins and Hillers, 1994). Surprisingly, organic food
concept is well known to many consumers (Roddy et al., 1996; von Alvensleben,
1998), but very few people buy organic product in regular basis (Grunert, 1993;
Wandel and Bugge, 1997; Roddy et al., 1996; Fotopoulos and Krystallis, 2002).
Organic products are obtained by processes friendly to the environment, by
cultivation techniques that consider using natural compost, fertilizers etc (Chinnici et
al., 2002). Since health awareness is increasing, increasing demand for organic food
is expected to continue in the future. It has been found that more information about
the organic food market, which increases consumers organic food knowledge, is
important because it positively influences consumers perception towards organic
food products (Briz and Ward 2009; Gil and Soler 2006).
Organic food production, as the method suggest is not new in Bangladesh. Farmers
for household consumption or general people for their kitchen garden produce foods
in organic method. But organic food in marketing perspective is still not well known to
mass people in Bangladesh. In recent days organic food is becoming popular only
among the consumers living in urban areas in Bangladesh too. Education and
awareness are some major drivers for crating demand for organic product. Thus the
well off and health conscious city dwellers are the major consumers of organic
product than rural areas in Bangladesh. This awareness compels to initiate organic
food shops like Probortana, PROSHIKA, Meena Bazar. On the other hand people
who are not aware with the concept of organic food are getting acknowledged
gradually by the promotion of these organic food shops. Organic foods can be found
there but in limited stock at a premium price which perceived by people as beyond
the capacity of general people.
Consumer perception indicates the experience about the product. On the other hand
consumer attitude can be gained through knowledge without using the product or
may be knowledge gained through experience. In this study of consumer perception
on organic food, not only the consumer perception will be discussed but also the non
user attitude or expectation will be observed too. Consumers purchase products
depending on their perceived quality expectations. The attributes of quality-nutritional
contents like safety, taste; price, environmental production processes are all valued
according to the consumers subjective perception. From a study on organic food
consumers in Bangladesh it has been observed that most of the consumers are
aware of the pesticides or chemical fertilizer usage in food production and its harmful
effect on human body and environment But the reality is, very few people know about
organic food so they have no other alternative than to take normal food (Sarker,
1
2007). On the other hand people, who are the actual consumers of organic food,
consume organic food with enthusiastically and held a very positive attitude towards
it.
Literature Review
Now a day Organic food is a familiar word among us and we all are using the word
organic farming. Health concern appears as the most important reason for
purchasing and consuming organic food (Tregear et al., 1994; Huang, 1996;
Schlegelmilch et al., 1996; Wandel & Bugge, 1997; Alvensleben, 1998; Magnusson
et al., 2001; Padel & Foster, 2005). Previous experience with organic food seems
also to positively affect attitudes towards organics (Roddy et al., 1996). The socio2
demographic profile seems to affect consumer attitudes and buying behavior towards
organic food. Organic food attitudes are mainly influenced by gender, age, income,
level of education and the presence of children in the household (Davis et al., 1995;
Wandel & Bugge, 1997; Thompson & Kidwell, 1998; Magnusson et al., 2001; Wier et
al., 2003). In general, the intention to purchase organic decreases with a limitation of
knowledge and awareness towards those products, with many factors effecting
consumers perceptions and attitudes. Consumers decide whether to buy or not
based on three main aspects: knowledge, attitude, and intention (Aryal et al. 2009).
Consumers knowledge is a construct that effects how and what consumers decide to
buy. Peoples knowledge is affected by the type and quality of information made
available to consumers. Advertisements, processing, awareness of certifications and
labels, all play a pivotal role in knowledge enrichment. Thus, knowledge and
awareness are critical in the consumers behavior.
Demography is especially of interest to marketers as it is important to see how
population is changing in number and distribution of gender, age and other
demographic characteristics and variables. Family structure, marriage and education,
income level of individual counties also have effects on consumption habits. In
particular, organic food buyers tend to be older than non-buyers (Jolly, 1991).
Overall, more positive attitudes towards organic food have been detected in women
as opposed to men (Lea & Worsley, 2005). Education has also been reported as a
significant factor affecting consumer attitudes towards organic food products. People
with higher education are more likely to express positive attitudes towards organic
products; require more information about the production and process methods of
organics (Magnusson et al., 2001; Hill & Lynchehaum, 2002; Wier et al., 2003).
Higher income households are more likely to form positive attitudes and to purchase
more organic food as they are a bit expensive compared to regular food product
(Grunert & Kristensen, 1991; Magnusson et al., 2001).
There have been a considerable number of studies on organic consumers in many
countries, especially in South Asia. Concern for health, environmental protection,
concern for the chemical residues in conventional food products, pesticides,
nutritional concern, as well as improved taste and flavor in organic food products are
some of the factors identified in this region (Storstad and Bjorkhaug 2003; Voon,
Ngui, and Agrawal 2011; Sangkumchaliang and Huang 2010). Consumers attitudes,
in particular towards the health attributes and towards the environment, are the most
important factors that explain consumers decision-making processes for organic
food products (Tsakiridou et al. 2008; Lea and Worsley 2005; Roitner-Schobesberger
et al. 2008; Magistris and Gracia 2008). Moreover, it has been found that more
information about the organic food market, which increases consumers organic food
knowledge, is important because it positively influences consumers attitudes towards
organic food products (Briz and Ward 2009; Gil and Soler 2006).
It is generally recognized that there are also numerous barriers to the diffusion of
environmentally friendly products, such as organic food. A major repercussion in
buying organics is the higher price compared to conventional food product prices
(Jolly, 1991; Tregear et al., 1994; Roddy et al., 1996). Moreover, it is often suggested
that organic products have limited availability (Jolly, 1991; Tregear et al., 1994;
Roddy et al., 1996; Wandel & Bugge, 1997). Worner & Meier-Ploeger (1999) also
mention doubts on the product guarantee, lack of promotion and unclear declarations
of the organic status.
Organic food is becoming popular among the consumers of city area of Bangladesh.
Against the backdrop of a campaign against adulterated food during the past few
years, many people are opting for food that are not produced or processed artificially,
tainted with toxic chemicals that pose grave danger to the public health (The Daily
Star, Shanaz Parveen, 2008). In the beginning only customers we had were our
friends. It took a long time to make the public aware about the benefit of ecological
agriculture and organic food. We now have many regulars who prefer safe food," said
Shahid H Shamim, director of Prabartana. But as mentioned earlier the costs of
organic foods are higher than the conventional products and are not affordable for
the poor. Organic products still has limited customers, so production volume is very
low, which eventually increases production cost. (The Daily Star-Report, 2010).
Since couple of years, different private chain departmental stores (like Agora,
Minabazar, Nandan etc.) are selling organic vegetables, at higher prices for the
higher income people.
Methodology
Types of DataTo perform and prepare this research report both primary and secondary data have
been used.
Data Collection ProcedureFor primary data, a survey has been conducted on a representative sampling of 30
respondents about their perception of organic products in Bangladesh. To do that a
questionnaire with different types of questions was designed so as to get a range of
useful data which has helped us to continue further in this research.
For secondary data, the resources of the library and the web books and articles,
newspapers, journals, standard references sources and databases, government
documents, media and academic web-sites, etc. have been used.
Data Analysis & PresentationFor analyzing primary data, we have used MS Excel to present those data in table
format along with graphical representations for better understandings & clarity. We
have also interpreted our research findings from survey data analysis. We have used
SPSS software to do some cross-tabulations in order to find out the relationships
5
between various types of data findings and discussed our analysis results along with
recommendations later on.
27%
Female
22
73%
Total
30
100%
Gender
Male
27%
Female
73%
Interpretation:
In the above figure & table, it is shown that among all 30 respondents, 27% were
Male and 73% were Female.
AgeAge
25-30 years
27%
31-35 years
12
40%
36 to above years
10
33%
Total
30
100%
Age
25-30 years
27%
33%
40%
31-35 years
36 to above
years
Interpretation:
In the above figure & table, it is shown that among all 30 respondents, 27% people
were from 25-30 years, 40% from 31-35 years and 33% from 36 to above year age
group.
7%
10,000-30,000tk
11
37%
17
57%
Total
30
100%
Income (Monthly)
Less than
10,000tk
7%
10,000-30,000tk
57%
37%
More than
30,000tk
Interpretation:
In the above figure & table, it is shown that among all 30 respondents, 7% peoples
monthly income was less than 10,000tk, 37% peoples was in between 10,00030,000tk and 57% peoples was more than 30,000tk.
3%
HSC/A-level
3%
Honors/BBA
12
40%
Masters/MBA
16
53%
Total
30
100%
Level of Education
SSC/O-level
3%
3%
HSC/A-level
Honors/BBA
53%
Masters/MBA
40%
Interpretation:
In the above figure & table, it is shown that among all 30 respondents, 3% were from
SSC/O-level, 3% were from HSC/A-level, 40% were Honors/BBA graduates and 54%
were Masters/MBA graduates.
0%
Safe
7%
Neutral
20%
Unsafe
30%
Very unsafe
13
43%
Total
30
100%
43%
30%
20%
7%
Very
0%
safe
Safe
Neutral
Unsafe
Very unsafe
Interpretation:
In the above figure & table, respondents were asked about their opinion regarding
the level of the food system of Bangladesh. Among 30 respondents, 0% means no
one said that its very safe, 7% said safe, 20% were neutral, 30% said unsafe and
43% said very unsafe.
So, it can be said that majority number of respondents think that the food system of
Bangladesh is very unsafe.
27
90%
No
10%
Total
30
100%
90%
Interpretation:
In the above figure & table, respondents were asked that do they know about organic
food or not. Among 30 respondents, 90% said yes, they know about organic food and
10% said no, they dont know anything about organic food.
So, it can be said that majority number of respondents knows about organic food.
As this survey was mainly on the perception of people about organic food in
Bangladesh, we decided not to count those 10% peoples opinion anymore as
10
they werent able to answer the questions properly due to not even ever
knowing about organic food and from now onwards; the rest of the survey was
done only on those 27 respondents (90%) who atleast had minimum knowledge
about organic food to answer the further questions.
0%
19%
Internet
7%
20
74%
Total
27
100%
74%
19%
7%
11
Interpretation:
In the above figure & table, respondents were asked that from which source they
came to know about organic food. Among 27 respondents who knew about organic
food, 0% means no one said from TV, Newspaper, Radio etc., 19% said from Friends
& Family (Word of Mouth), 7% said from Internet and 74% said from Direct from
shops.
So, it can be said that majority number of respondents came to know about organic
food from direct from shops.
11
41%
No
16
59%
Total
27
100%
12
41%
Yes
No
59%
Interpretation:
In the above figure & table, respondents were asked that have they ever bought
organic food or not. Among 27 respondents who knew about organic food, 41% said
yes, they have bought organic food and 59% said no, they have never bought
organic food.
So, it can be said that majority number of respondents has never bought organic
food.
55%
Freshness
18%
Nutritious
18%
13
Tasty
9%
Total
11
100%
Tasty
Nutritious
18%
Freshness
18%
55%
20% 40%
60%
Interpretation:
In the above figure & table, respondents were asked that which factor attracted them
the most to buy organic food. Among 11 respondents who bought organic food (found
from data of previous question no. 4), 55% said Safety (No use of Formalin, harmful
Fertilizers & Pesticides etc.), 18% said Freshness, 18% said Nutritious and 9% said
Tasty.
So, it can be said that majority number of respondents were attracted by the Safety
(No use of Formalin, harmful Fertilizers & Pesticides etc.) factor while buying organic
food.
14
7%
19
70%
22%
Total
27
100%
70%
Kacha Bazar
7%
Interpretation:
In the above figure & table, respondents were asked about the places where they
think organic food is mostly available. Among 27 respondents who knew about
organic food, 7% said in Kacha Bazar, 70% said in High-branded Super stores
(Agora, Nondon, Shopno etc.) and 22% said in Normal/Non-branded Super stores
(superstores of various local area corners etc.).
So, it can be said that majority number of respondents thinks that organic food are
mostly available in High-branded Super stores (Agora, Nondon, Shopno etc.).
15
4%
Agree
7%
Neutral
33%
Disagree
12
44%
Strongly disagree
11%
Total
27
100%
44%
33%
30%
20%
10%
4%
0%
Strongly agree
7%
11%
Agree
Neutral
Disagree
Strongly disagree
16
Interpretation:
In the above figure & table, respondents were asked to what extent they agree that
Now-a-days Organic foods are available in superstores in a large-scale amount of
quantity. Among 27 respondents who knew about organic food, 4% strongly agreed,
7% agreed, 33% were neutral, 44% disagreed and 11% strongly disagreed.
So, it can be said that majority number of respondents thinks that Now-a-days
Organic foods are not available in superstores in a large-scale amount of quantity.
9%
Occasionally
36%
Rarely
55%
Total
11
100%
17
55%
50%
40%
36%
30%
20%
9%
10%
0%
Very frequently
Occasionally
Rarely
Interpretation:
In the above figure & table, respondents were asked about how frequently they buy
organic food. Among 11 respondents who bought organic food (found from data of
previous question no. 4), 9% said very frequently, 36% said occasionally and 55%
said rarely.
So, it can be said that majority number of respondents bought organic food rarely.
33%
High
11
41%
Moderate
26%
Low
0%
18
Very low
0%
Total
27
100%
41%
33%
26%
Very high
High
Moderate
Low
0%
Very0%
low
Interpretation:
In the above figure & table, respondents were asked about their opinion regarding
organic foods pricing in Bangladesh. Among 27 respondents who knew about
organic food, 33% said very high, 41% said high, 26% said moderate and 0% means
no one said low or very low either.
So, it can be said that majority number of respondents thinks that the pricing of
organic food in Bangladesh is high.
19
73%
No
27%
Total
11
100%
27%
Yes
No
73%
Interpretation:
In the above figure & table, respondents were asked that whether they will increase
their frequency of consuming organic food is the price is reduced or not. Among 11
respondents who bought organic food (found from data of previous question no. 4),
73% said yes, they will consume organic food more frequently if price is reduced and
27% said no, even if the price is reduced, they wont increase their frequency of
consumption of organic food.
So, it can be said that majority number of respondents are willing to consume
organic food more frequently if price is reduced.
20
11. When you buy organic foods, do you check the special
certification mark used only for Organic products to ensure
its quality & safety?
27%
No
73%
Total
11
100%
27%
Yes
No
73%
Interpretation:
In the above figure & table, respondents were asked that whether they check or not
the special certification mark used only for Organic products to ensure its quality &
safety before buying. Among 11 respondents who bought organic food (found from
21
data of previous question no. 4), 27% said yes, they check the special certification
mark used only for Organic food before buying and 73% said no, they do not check
the special certification mark used only for Organic food before buying.
So, it can be said that majority number of respondents do not check the special
certification mark used only for Organic food before buying.
4%
Trustworthy
19%
Neutral
16
59%
Untrustworthy
15%
Very untrustworthy
4%
Total
27
100%
22
19%
30%
20%
15%
4%
4%
10%
0%
Interpretation:
In the above figure & table, respondents were asked about the trustworthiness of
organic food in Bangladesh. Among 27 respondents who knew about organic food,
4% said very trustworthy, 19% said trustworthy, 59% were neutral, 15% said
untrustworthy and 4% very trustworthy.
So, it can be said that majority number of respondents thinks that organic food in
Bangladesh is neither trustworthy nor untrustworthy; its in a neutral position.
Cross-tabulation Analysis
Gender & Buying decision of Organic food-
23
Gender
Yes
No
Missing
Total
Male
Female
11
22
11
16
30
Total
The above table illustrates the cross tabulation analysis between Gender and buying
decision of Organic food. As the data suggest, the respondents who have actually
bought organic food atleast for once (11 people) are mostly female (9 female, 2
male). So, it can be said that among the respondents, more females bought organic
food than males.
Age
Total
Yes
No
Missing
Total
25-30 years
31-35 years
12
36 to above years
10
11
16
30
The above table illustrates the cross tabulation analysis between Age and buying
decision of Organic food. As the data suggest, the buyer respondents of organic food
(11 buyers) are mostly bit aged or older (5 people from 31-35year age group & 4
people from 36 to above age group) than the non-buyer respondents. So, it can be
said that among the respondents, bit older people mostly bought organic food.
24
Level of
Education
Yes
No
Missing
Total
SSC/O-level
HSC/A-level
Honors/BBA
12
Masters/MBA
16
11
16
30
Total
The above table illustrates the cross tabulation analysis between Level of Education
and buying decision of Organic food. As the data suggest, among the buyer
respondents of organic food (11 people) highly educated people were more in
number (5 Honors/BBA graduates & 6 Masters/MBA graduates). So, it can be said
that highly educated respondents bought organic food mostly.
Income (Monthly) & Buying decision of Organic foodIncome (Monthly) * Bought Organic Food
Bought Organic Food
Income
(Monthly)
Total
Yes
No
Missing
Total
10-30k
11
10
17
11
16
30
The above table illustrates the cross tabulation analysis between Income (Monthly)
and buying decision of Organic food. As the data suggest, among the buyer
respondents of organic food (11 people) majority (10 people) are from higher income
group (earning more than 30k monthly). So, it can be said that mostly the higher
income respondents bought organic food.
25
Pricing
Total
Yes
No
Total
Very high
High
11
Moderate
Low
Very low
11
16
27
The above table illustrates the cross tabulation analysis between Pricing and buying
decision of Organic food. As the data suggest, the respondents who said that the
pricing is moderate (7 people) all of them have actually bought organic food (from the
11 buyer respondents). So, it can be said that the actual buyers think that the price of
organic food is moderate in Bangladesh.
Discussion of Results
From the overall findings and analysis of survey data along with the cross-tabulation
analysis, we have got some specific information regarding the perception about
organic food in Bangladesh which we are going to relate with our secondary data
findings below We have identified that there is a lack of information availability about
organic food in mass-media of Bangladesh. From our survey data we found
that the majority number of respondents who know about organic food got the
information direct from shops and it was shocking that no people got any
information about organic food from TV/Newspaper etc. Because of which not
that much people are getting attracted to buy organic food. Our secondary
findings also justify this like In general, the intention to purchase organic
decreases with a limitation of knowledge and awareness towards those products,
with many factors effecting consumers perceptions and attitudes. Consumers
decide whether to buy or not based on three main aspects: knowledge, attitude,
and intention (Aryal et al. 2009).
We have found from the cross-tabulation analysis that highly educated
respondents bought organic food mostly which can be justified with our
secondary finding, People with higher education are more likely to express
positive attitudes towards organic products; require more information about the
production and process methods of organics (Magnusson et al., 2001; Hill &
Lynchehaum, 2002; Wier et al., 2003).
26
Recommendations
From the survey analysis of consumer perception what can be considered as the
most significant short coming of organic food product market in Bangladesh is lack of
awareness. A significant number of people in Bangladesh do not know about organic
food in Bangladesh. People who know, majority got to know it from shops directly.
There is no media coverage for organic food. Thus it is very important to create
awareness about organic food product. Also it is necessary to improve the level and
quality of information through materials ranging from simple leaflets up to Web sites
and comprehensive information campaigns.
Lack of information and transparency about organic food is also present. Surveyed
people are said to lack trust on organic food authentication in Bangladesh. To remove
this confusion consumers need to be provided information about organic product and
farming and also the market through market studies, market intelligence and
business directories, published for free access on paper and on the Internet.
There need to be a strong certification policy for organic food in Bangladesh.
Consumers also need to be made well aware of that certification. At present
knowledge about certification is not clear in Bangladesh at mass level. Consumers
and also non consumers still remain confused about the authentication of organic
food in. To overcome that confusion certification needs to be clear and transparent.
Another problem is availability. Still now organic food supply is not widely available.
Only in some few numbers of super stores like Meena Bazar, Probortona etc, organic
food can be found. This inadequate supply discourages people to buy organic food.
Few consumers buy organic food frequently and rarely non consumers convert to
consumers. If organic food has been made available then the frequency of
consumption and acceptance rate could have been increased.
Pricing is another major factor for organic food consumption. In this survey it has
been seen that, the real consumers perceived the current organic food pricing to be
moderate. On The other hand, people who do not buy organic food normally, thinks
the price of organic food to be very high. So between consumer and non consumer
there is a major price misconception. It indicates that consumers really value what
they are getting from organic food and thus are paying high price for the organic
food. But for the non consumers, it has been seen that most of the people agreed
that if the price has been lower, they would have start consuming organic food. Since
organic food availability is less, reason for high price is understood. So to attract the
non consumer, organic food producer should increase availability and then reduce
price to grab the non consumer segment.
Implications and directions for further research The results demonstrate that the most
important criteria affecting consumers attitudes and buying behavior are health and
environmental issues as well as production and price considerations. Level of
awareness, availability and visual quality and performance seem also to have an
effect in consumers attitudes and purchasing patterns. With respect to organics
performance, quality has been identified as the single most important attribute. A
quality improvement and a smaller price differential between conventional and
organic foods would seem to be essential in order to increase the proportion of
regular organic food buyers.
28
Conclusion
Organic food product market is not big in Bangladesh. Consumer base is still
evolving. Very few people are loyal consumers and very hard to find. Among the
irregular consumers perception on organic food is still not very promising. Most
people to find an alternative of chemical free food product buy organic food once in a
while. But the message and purpose of organic food has still not reached everyone in
the country. So much awareness needs to be created along with availability, whereas
due to lack of awareness and also high price other people hesitate to convert to
organic food consumer. The market base needs to be strong first to make the
consumer base strong. Proper education and awareness and market development
can bring a positive perception toward organic food.
29
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