Consumer Willingness-To-Pay

Since 2012, the AERU has engaged in a series of research to estimate the willingness-to-pay (WTP) of international consumers in markets for New Zealand’s primary product exports for a range of product attributes. Summaries of the key results of this research are presented below, along with links to the original source reports.

Product

Year

Country

City/Region

Link

Apples

2021

USA

California

VIEW

Apples

2020

USA

California

VIEW

Beef

2021

China

Beijing

VIEW

Beef

2021

UAE

N/A

VIEW

Beef

2019

China

Beijing

VIEW

Beef

2019

UAE

N/A

VIEW

Beef

2017

USA

California

VIEW

Kiwifruit

2021

Japan

N/A

VIEW

Kiwifruit

2019

Japan

N/A

VIEW

Kiwifruit

2018

China

Shanghai

VIEW

Lamb

2021

United Kingdom

N/A

VIEW

Lamb

2020

United Kingdom

N/A

VIEW

Lamb

2019

United Kingdom

N/A

VIEW

UHT Milk

2021

China

Beijing

VIEW

UHT Milk

2021

China

Shanghai

VIEW

UHT Milk

2019

China

Beijing

VIEW

Wine (Sauvignon Blanc)

2021

USA

California

VIEW

Wine (Sauvignon Blanc)

2019

USA

New York

VIEW

Wine (Sauvignon Blanc)

2019

USA

Texas

VIEW

Wine (Sauvignon Blanc)

2017

USA

California

VIEW

Yoghurt

2018

China

Shanghai

VIEW

Apples in California, USA (2021)

image/svg+xml- 272% - 128% - 250% - 151% 104% 37% - 37% - 31% - 21% - 14% 8% 7% 18% 17% 17% 5% 10% 96% 75% 64% 74% 88% 44% 37% - 60% - 49% - 23% GE-Free Support Growers Contribute to Communities Care for Workers Organic Production 30% Reduction in GHG 15% Reduction in GHG Appearance Only Conscious Consumers Broad Considerations Strong Preferences Moderate Injury Significant Injury Moderate Deformity Significant Deformity

Californian apple consumers’ willingness-to-pay (WTP) for apple attributes (% of product price), 2021

Apples in California, USA (2020)

image/svg+xml73% 55% 45% 76% 58% - 158% - 106% - 204% - 111% 17% 8% 13% 11% - 23% - 7% - 12% 12% 22% - 71% - 24% - 49% - 21% Support Farmers Contribute to local communities Care for workers Organic 30% less GHG 15% less GHG Consumer Group 1 Consumer Group 2 Consumer Group 3 Blemished, Moderately Blemished, Significantly Misshapen, Moderately Misshapen, Significantly

Californian apple consumers’ willingness-to-pay (WTP) for apple attributes (% of product price), 2020

Beef in Beijing, China (2021)

image/svg+xml37% 89% 31% 66% 116% 95% 15% 11% 26% 18% 32% 40% 25% 54% 48% 33% 23% 11% 17% 17% 42% 30% 35% 38% 53% 14% 22% 28% 27% Social responsibility GMO-free Enhanced Animal Welfare No added hormones No added antibiotics Grain-fed 100% Grass-fed 100% Pasture Raised Feedlot Raised Māori Production Organic Production Water Quality Protection Biodiversity Enhancement Carbon Neutral Animal Attentive Cultural Consumer Organic Oriented

Beijing beef consumers’ willingness-to-pay (WTP) for beef tenderloin attributes (% of product price), 2021

Beef in the United Arab Emirates (2021)

image/svg+xml24% 28% 40% 9% 7% 19% 21% 11% 16% 9% 13% 11% 15% 23% 41% 43% 45% 84% 70% 41% 55% 60% 92% 56% 78% 26% Social responsibility GMO-free Enhanced Animal Welfare No added antibiotics No added hormones Grain-fed 100% Grass Fed 100% Pasture Raised Feedlot Raised Māori Production Organic Production Water Quality Protection Carbon Neutral Cultural Consumer Carbon Concerned Feedlot Focused

United Arab Emirates beef consumers’ willingness-to-pay (WTP) for beef mince attributes (% of product price), 2021

Beef in Beijing, China (2019)

image/svg+xml98% 99% 53% 8% 20% 20% 30% 45% 135% 48% 55% 13% 30% 8% 37% 74% 42% 70% 22% 52% 33% 43% 42% 56% 13% 9% 8% 111% 16% 17% 94% 24% 21% 19% 8% 15% Raised on Māori farms in NZ Raised in NZ Raised in Argentina Raised in USA Raised in Australia Raised in China Fresh Chilled Grain-fed 100% Grass-fed Traceability Social responsibility No added hormones No added antibiotics 100% Pasture Raised Feedlot Raised Water Quality Protection Biodiversity Enhancement Carbon Neutral GMO-free Enhanced Animal Welfare Organic Consumer Group 1 Consumer Group 2 Consumer Group 3

Beijing beef consumers’ willingness-to-pay (WTP) for beef tenderloin attributes (% of product price), 2019

Beef in the United Arab Emirates (2019)

image/svg+xml169% 77% 80% 48% 46% 126% 115% 51% 26% 101% 23% 16% 59% 36% 44% 31% 27% 24% 46% 16% 26% 78% 73% 14% 15% 9% 23% 12% 29% 22% 12% 9% 58% Raised in Pakistan Raised in South Africa Raised in Brazil Raised in Australia Raised on Māori farms in NZ Raised in NZ Water Quality Protection Biodiversity Enhancement Carbon Neutral 100% Pasture Raised Feedlot Raised Grain-fed 100% Grass-fed No added hormones No added antibiotics Fresh Chilled GMO-free Low fat Enhanced Animal Welfare Organic Social responsibility Consumer Group 1 Consumer Group 2 Consumer Group 3

United Arab Emirates beef consumers’ willingness-to-pay (WTP) for beef mince attributes (% of product price), 2019

Beef in California, USA (2017)

image/svg+xml10% 9% 9% - 11% 15% 12% 10% 6% 7% 6% 6% 4% 3% 3% - 3% - 7% 11% 11% 10% - 12% 23% 14% 11% 7% 8% 7% 7% 5% 4% 4% - 5% - 8% 22% 22% 20% - 26% 35% 29% 23% 15% 16% 14% 14% 9% 7% 6% - 7% - 16% NZ Raised and Processed US Raised and Processed NZ Raised, US Processed 100% Grass-Fed 100% Pasture Raised Organic Enhanced Animal Welfare No Added Hormones GMO-Free Social Responsibility No Added Antibiotics Environmentally Sustainable Traceability Ground Beef Ribeye Steak Top Sirloin Steak Feed - lot Raised Grain - Fed Australian Raised, US Processed

Californian beef consumers’ willingness-to-pay (WTP) for beef product attributes (% of product price), 2017

Kiwifruit in Japan (2021)

image/svg+xml19% 39% 25% 31% 27% 33% 14% 14% 16% 27% 13% 13% 70% 77% 27% 12% 16% 28% 77% 87% 39% 7% 19% 33% 116% Social Responsibility Water Quality Protection Biodiversity Enhancement Carbon Neutral Enhanced Food Safety Organic Balance of Acidic and Sweet Sweet Taste Acidic Taste Increased Vitamin C Increased Fibre Healthy Me, Healthy Environment Broad Considerations - Taste Driven Safety Focused

Japanese kiwifruit consumers’ willingness-to-pay (WTP) for kiwifruit attributes (% of product price), 2021

Kiwifruit in Japan (2019)

image/svg+xml44% 26% 74% 88% 15% 16% 18% 9% 8% 22% 10% 49% 51% 146% 168% 176% 74% 88% 44% 32% 155% 27% 25% 67% 96% 46% Grown in Chile Grown in Italy Grown in New Zealand Grown in Japan Increased Vitamin C Increased Fibre Large Size Social Responsibility Enhanced Food Safety Organic Water Quality Protection Carbon Neutral Balance of Acidic and Sweet Sweet Taste Consumer Group 1 Consumer Group 2 Consumer Group 3

Japanese kiwifruit consumers’ willingness-to-pay (WTP) for kiwifruit attributes (% of product price), 2019

Kiwifruit in Shanghai, China (2018)

image/svg+xml45% 40% 55% 40% 32% 46% 50% 123% 46% 29% 75% Water use and pollution minimisation Integrated pest and disease management Organic Waste minimisation GHG emissions minimisation Social responsibility Grown in China Grown in NZ Grown in Italy Grown in Greece Grown in Chile

Shanghai kiwifruit consumers’ willingness-to-pay (WTP) for kiwifruit attributes (% of product price), 2018

Lamb in the United Kingdom (2021)

image/svg+xml27% 15% 15% 11% 12% 12% 18% 22% 4% 5% 5% 17% 9% 20% 9% 33% 29% 23% 9% 15% 13% 32% 15% 17% 100% Grass Fed No GM Feed Carbon Neutral Biodiversity Enhancement 100% Pasture Raised Water Quality Protection Organic farming system Māori farming system Enhanced Animal Welfare No added growth hormones No added antibiotics Environmentally Engaged Cultural Consumers Natural Necessary

United Kingdom lamb consumers’ willingness-to-pay (WTP) for lamb leg attributes (% of product price), 2021

Lamb in the United Kingdom (2020)

image/svg+xml21% 27% 31% 10% 14% 16% 10% 46% 34% 40% 43% 42% 25% 24% 22% 13% 20% 21% 6% 21% 74% 50% 40% 30% 26% 25% 22% 20% 17% 17% Produced in Scotland Produced in Wales Produced in England Produced on Māori farms Produced in New Zealand No added growth hormones No added antibiotics 100% Pasture Raised 100% Grass Fed No GM Feed Biodiversity Protection Carbon Neutral Enhanced Animal Welfare Organic Water Quality Protection Consumer Group 1 Consumer Group 2 Consumer Group 3

United Kingdom lamb consumers’ willingness-to-pay (WTP) for lamb leg attributes (% of product price), 2020

Lamb in the United Kingdom (2019)

image/svg+xml48% 47% 42% 34% 16% 24% 24% 22% 34% 15% 14% 14% 6% 52% 46% 34% 34% 21% 21% 20% 18% 25% 10% 8% 8% 41% 37% 28% 46% 18% 12% 21% 13% 14% Produced in England Produced in Wales Produced in Scotland Produced on Māori farms Produced in New Zealand No added growth hormones No added antibiotics 100% Pasture Raised 100% Grass Fed No GM Feed Enhanced Animal Welfare Organic Water Quality Protection Consumer Group 1 Consumer Group 2 Consumer Group 3

United Kingdom lamb consumers’ willingness-to-pay (WTP) for lamb leg attributes (% of product price), 2019

UHT Milk in Beijing, China (2021)

image/svg+xml46% 75% 48% 119% 51% 103% 66% 16% 15% 8% 19% 28% 21% 8% 17% 24% 19% 46% 20% 13% Water Quality Protection Support for Farmers Contribute to Local Communities Care for Workers Grain Fed 100% Grass-Fed Feedlot Raised 100% Pasture-Raised Increased Calcium Increased Protein Organic Production Enhanced Animal Welfare Broad Considerations Socially Responsible Pasture Preferred

Beijing UHT milk consumers’ willingness-to-pay (WTP) for UHT milk product attributes (% of product price), 2021

UHT Milk in Shanghai, China (2021)

image/svg+xml85% 49% 45% 82% 88% 53% 81% 63% 17% 21% 29% 84% 11% 33% 24% 12% 7% 20% 5% 19% 24% 15% Water Quality Protection Support for Farmers Contribute to Local Communities Care for Workers Grain Fed 100% Grass-Fed Feedlot Raised 100% Pasture-Raised Increased Calcium Increased Protein Organic Production Enhanced Animal Welfare Broad Considerations Pasture Preferred Strong Preferences

Shanghai UHT milk consumers’ willingness-to-pay (WTP) for UHT milk product attributes (% of product price), 2021

UHT Milk in Beijing, China (2019)

image/svg+xml14% 56% 23% 10% 23% 11% 18% 27% 16% 24% 50% 15% 15% 32% 12% 44% 12% 15% 12% 16% 13% 35% 33% Grain-Fed 100% Grass-Fed Feedlot Raised 100% Pasture-Raised Water Quality Protection Biodiversity Enhancement Carbon Neutral Support for Farmers Contribute to Local Communities Care for Workers Increased Calcium Increased Protein Organic Enhanced Animal Welfare Consumer Group 1 Consumer Group 2 Consumer Group 3

Beijing UHT milk consumers’ willingness-to-pay (WTP) for UHT milk product attributes (% of product price), 2019

Wine (Sauvignon Blanc) in California, USA (2021)

image/svg+xml0.2% 9% 4% 10% 8% 9% 7% 10% 0.1% 12% 8% 5% 8% 9% 13% 10% 0.4% 41% 32% 39% 24% 31% 36% 22% 30% 41% Critic rating (per point >80) Māori Production 100% Organic Production By-products Management Soil Management GHG Management Social Responsibility Pest & Disease Management Energy Management Water Management Biodiversity Management Cultural Consumer Organic Origin Score Strategy

Californian wine consumers’ willingness-to-pay (WTP) for sauvignon blanc attributes (% of product price), 2021

Wine (Sauvignon Blanc) in New York, USA (2019)

image/svg+xml34% 37% 47% 35% 45% 2% 21% 15% 24% 133% 132% 120% 141% 160% 151% 2% 21% 8% 6% 16% 90% 121% 134% 107% 121% 138% 14% 14% 12% 13% 9% 9% Made in Italy Made in Australia Made in France Made in USA Made in NZ by Māori enterprise Made in New Zealand Critic rating (per point >80) 100% Organic Made with Organic grapes GHG Management Social Responsibility Pest & Disease Management Energy Management By-product Management Water Management Biodiversity Management Consumer Group 1 Consumer Group 2 Consumer Group 3

New York wine consumers’ willingness-to-pay (WTP) for sauvignon blanc attributes (% of product price), 2019

Wine (Sauvignon Blanc) in Texas, USA (2019)

image/svg+xml112% 133% 124% 134% 166% 133% 4% 21% 7% 14% 12% 16% 28% 46% 28% 49% 84% 60% 3% 14% 17% 14% 14% 40% 72% 66% 54% 71% 74% 13% 11% 13% 12% 5% 11% 7% Made in Italy Made in Australia Made in France Made in USA Made in NZ by Māori… Made in New Zealand Critic rating (per point >80) 100% Organic Made with Organic grapes GHG Management Social Responsibility Pest & Disease Management Energy Management By-product Management Water Management Biodiversity Management Consumer Group 1 Consumer Group 2 Consumer Group 3

Texas wine consumers’ willingness-to-pay (WTP) for sauvignon blanc attributes (% of product price), 2019

Wine (Sauvignon Blanc) in California, USA (2017)

image/svg+xml13% 16% 20% 9% 19% 11% 19% 23% 25% 2% 20% 25% 12% 5% 7% 8% 9% 6% 4% 10% 14% 2% 8% 7% 15% 19% 17% 8% 8% 8% 7% 9% 6% 9% 7% 10% 2% 11% 12% 22% 36% 27% Biodiversity management Water management By-products management Energy management Pest and disease management GHG management Social responsibility Made with Organic grapes 100% Organic Critic Score (per point >80) Appellation: Chile Appellation: South Africa Appellation: France Appellation: USA Appellation: NZ Baby Boomer Gen X Millennial

Californian wine consumers’ willingness-to-pay (WTP) for sauvignon blanc attributes (% of product price), 2017

Yoghurt in Shanghai, China (2018)

image/svg+xml54% 45% 47% 38% 51% 93% 85% 58% - 11% 143% Enhanced Food Safety Enhanced Animal Welfare Environmentally Sustainable Social Responsibility Organic Origin: China Origin: Germany Origin: Spain Origin: New Zealand Origin: Thailand

Shanghai yoghurt consumers’ willingness-to-pay (WTP) for yoghurt product attributes (% of product price), 2018