AN ANALYSIS OF CONSUMER ATTITUDE TOWARDS ORGANIC MILK

Authors Hussain Akbar

Mazhar Ashfaq

Shoban Khan

Amir Shehzad

Jehanzaib Zia

Shafqat Hussain

Corresponding Author: Hussain Akbar Awan Hailey College of Commerce, Punjab University

Abstract

This article intends to investigate the consumer attitude towards organic milk consumption.

Furthermore, it also assesses the linkage of consumer attitude with their purchase behavior. The

study reveals the results based which are based on primary research, ANOVA and leavens test

are suggested to indicate the relationship between these concepts. The findings describe the

attitude of the consumer towards the organic milk and this study also helpful for the organic milk

producers in determining the consumer attitude towards milk consumption.

Keywords: Organic Milk, Consumer Attitude

1. INTRODUCTION:

The organic dairy category is known as one of the most famous categories of organic food.

Organic milk consumers consider the quality, taste, price, nutrition level. This research indicates

the behavior of 150 adult participants.

The aim of this study is also to review some of the relevant research which is carried out in this

field and helpful to assess the important determinants of organic milk consumers. Actually, The

Organic milk is produced from cows on a strictly controlled healthy and natural diet. However

from consumer perspective the main difference between non-organic and organic milk is that

organic milk is more expensive and its taste suppose to be better.

In developing the economy the dairy industry has the more potential for the country, because

milk is a unique food item that is easily available in markets without any shortage. Therefore it

plays an important role in feeding the infants and in all age groups(Alwis, Edirisinghe, &

Athauda, 2009).the consumption and marketing of organic milk is also an important factor on the

decisions of potential production(Ocak & Ogun, 2012).in wealthy countries the consumers

demand high quality milk and organic foods which are produced with minimal environmental

losses from healthy animals(Lmke & Boer, 2003)

This study examines those factors and variables that influence the consumer to make purchase

decisions. Consumers always try to buy those products that give him full satisfaction. This

research seeks to explore those factors that affect the consumer attitude towards organic milk.

2. LITERATURE REVIEW:

Organic milk category is one of the growing categories of organic food. Organic milk

consumers generally cite perceived health benefits and lower risk of food contamination, as well

as perceived higher quality and environmental sustainability of organic farming

methods(ZhuoLiu, Christopher, Kanterb, KentMessera, & HarryKaiserc, 2013)

Several studies have attempted to identify the characteristics of organic consumers, often with

conflicting results. Studies have difficulty determine which groups are more likely to purchase

organic products (Dimitri & Venezia, 2007).the producers of organic milk should requires

marketing expertise because in this way the producer can know that who purchases the organic

milk products. So in addition it is important to educate consumers about the organic

milk(Hammarlund, 2002)

Due to the increasing role of organic products and specifically organic milk in the retail

market it is worthwhile to gain an insight into the features of the organic milk as perceived by the

consumers. Furthermore the producers need to understand the organic market in order to make

informed decision on increasing organic production .which can carry high costs relative to

conventional production(Zanoli & Naspetti, 2002)

Several studies have attempted to identify the characteristics of organic consumers often

with conflicting results. Although, Studies have shown that the characteristics of organic

consumers have been found to change over time(Dimitri & Venezia, 2007).another study reveals

that organic milk started to make a notable presence in the food markets(Glaser & Thompson,

2000 june)

Consumer income has been found to be positively correlated with actual organic milk

purchases in some studies while other studies have found that frequent organic milk purchases

have incomes below $50000 per year(Hill & Lynchehaun, 2002).another study referred that the

demand for organic milk was increase sevenfold between 1997 and 2002(Dhar & Foltz, 2003)

The difference of results of the organic milk consumer profiled is likely due to the high prices

that are associated with organic milk. Lower income consumers may be likely to use organic

milk However, their disposable income may abstain them from consuming large quantities of

organic foods(Krystallis, Chryssohoidis, & Govindasamy, 2005).in another study it is stated that

most organic dairy forms are small in operations than those of small conventional operations

because they have limited resources(McBride & Greene, 2007)

Furthermore the high income may be linked with high levels of organic milk purchases, so it

is unclear how income relates to attitudes towards organic products(Bernard & Bernard, 2009)

Education also plays an important role because consumers with higher levels of education have

also been found to purchase more organic milk(Govindasamy & Italia, 1999).Due to the growing

popularity of organic milk in this response the milk producers actively mobilize the organic milk

production process to serve the organic milk consumers(McKnight, 2007; Miller, 2006, April 10)

Many studies reveals that most of the families take a greater interest in organic milk and

foods when a baby arrives(Hill & Lynchehaun, 2002)Income and education are correlates and it

is difficult to determine whether high income leads consumers to purchase organic milk or the

consumers have high income are more educated(Zanoli & Naspetti, 2002)

To meet the needs of the consumer is a primary goal of marketers and consumer products are

generally marketed to appeal three basics types of consumer needs; functional needs(quality

seekers); social needs(environmental directed) and experimental needs(taste, pleasure

etc)(Krystallis, et al., 2005)However some consumers may refer taste as a motivation for

purchasing organic milk(Fillion & Arazi, 2002)

To choose the best food is a complex phenomenon and depends on many factors which

affect the human attitudes differently resulting in the selection of some and the rejection of other

products(Babicsz-Zielin, 2001)

There are many models describing food choice factors and their relations with each other and

arrange those factors into groups which divides food choice factors into three main groups(Furst,

Connors, Bisogni, Sobal, & Falk, 1996)

1- They may be product relates factors consists of physical and chemical composition,

sensory characteristics(taste,aroma,texture and visual appearance).functional aspects

includes(packaging, and convenience)

2- Consumer related factors include personality (age, education and gender), psychological

factors includes (values, personality, experience, and mood).physiological effects (hunger

and appetite) etc.

3- Environment-related factors include economic (price, incomes), cultural (beliefs, customs

and norms), and social factors (fashion, society and safety) etc.

3. STATEMENT OF THE PROBLEM:

The main focus of this research is to analyze the consumer attitude towards organic milk. The

consumer attitude includes the factors of taste, health and environment that ultimately affect the

attitude of the consumer in using the organic milk.

4. OBJECTIVES OF THE STUDY:

The objective of this study is to explore and analyze the impact of individual consumer in

purchasing organic milk. More precisely it aims to observe which determinants of organic milk

that satisfy the consumer needs.

1. To explore the factors of consumer attitude towards organic milk consumption;

2. To assess the impact of taste of organic milk on consumer attitude;

3. To assess the impact of health consciousness of organic milk on consumer attitude;

4. To assess the significance of taste, health and environment of organic milk with

consumer attitude;

5. To conclude the results which explain the relationship between consumer attitude

towards organic milk consumption.

5. CONCEPTUAL FRAMEWORK:

The conceptual framework based on(Kim, Forsythe, & Moon, 2002) shows the consumer’s

needs or attitude. So the consumer attitude is depending upon the combination of three. So these

three changes the attitude of consumer to buy the organic milk.

Variables: Taste, health and environment consciousness are the variables of the study.

Taste consciousness: A basic sensations of sweet, sour, bitter and salty

Health consciousness: Includes Physical Health, Mental Health

Environment consciousness: Includes convenience, Price, availability and Culture.(Furst, et al.,

1996)

FIGURE 1: CONCEPTUAL FRAMEWORK

6. RESEARCH DESIGN:

6.1. Introduction:

In this study practical approaches used with the intension to response the research questions and

fulfill the purpose of the study, to explore the impact how these factors of attitude on consumer

attitude so the following research methodology was applied in this study.

6.2. Type of research:

For this study inferential research was used because different consumers have different

attitudes and for this quantitative research was used to make analysis on the basis of data

collected.

6.3. Sample of the study:

150 respondents were selected in study to collect the data. The Lahore was selected as the place

of study for data collection. For this study a probability sampling (simple random sampling)

Health

Consciousness

Taste

Consciousness

Environment

Consciousness

Consumer

Attitude

technique was used because each respondent had the equal chance of being selected as sample.

For this study Primary data was used through the questionnaire.

6.4. Instrument for data collection:

All the questions were measured on a five point type likert scale. It includes the questions

relating to all the variables of the study. The questions about the factors of the study were

obtained from(Alwis, et al., 2009; Carol, Wham, & Worsley, 2003) attach in annexure .

7. HYPOTHESES:

H1: There is an association between taste consciousness and consumer attitude.

H2: There is an association between health consciousness and consumer attitude.

H3: There is an association between environmental consciousness and consumer attitude.

8. RESULTS AND DISCISSIONS

TABLE 1: MEANS AND STANDARD DEVIATION OF THE VARIABLES

N MEAN ST.DEVIATION

TASTE 150 16.34 3.74

HEALTH 150 17.22 4.76

ENVIORNMENT 150 16.18 5.57

VALID(N) 150

The respondents rated health consciousness highest representing by the table before any other

need. Consumers ranked taste consciousness second highest after health and environmental

consciousness values. Although there is no significant difference between environment

consciousness and taste consciousness means.

8.1. INTERNAL CONSISTENCY CHECK

The collected data has been verified for its reliability by calculating internal consistency in

number of ways. The most commonly used statistics is known as chronbach’s coefficient

alpha.(Nunnally, Jum, & 1978) recommends a minimum level of reliability is 0.7.the values are

depending on number of items in the scale. When there are a small number of items in the scale

the value of cronbach’s alpha will quite small(Khadija, Humayun, & Hasnu, 2009)

TABLE 2: RELIABILITY STATISTICS

Cronbach’s

alpha

N

0.846 150

The cronbach’s alpha coefficient is 0.824 as shown in the table 2.it exceeds the recommended

value 0.7, demonstrating sufficient internal consistency in the scale applied to the research

model.

Table 3

Variables Cronbach,s Alpha N

Taste consciousness .66 5

Health consciousness .74 5

Environment consciousness .62 5

Table shows the reliabilities of items of each factor such as the taste factor has the reliability

value 66% which is significant. The Health factor shows the maximum 74% reliability of the

items relating to health factor while the reliability 62% of environment is also sinifucant.

DISCUSSIONS:

Table: 1

Affect of age on consumer attitude towards organic milk

ANOVA

Variables F Sig

Taste 6.217 .014

Health 2.900 .091

Environment 3.309 .071

* Significant at the 0.05 level.

Discussion:

As in the table shows the analysis of consumer attitude with their attitude that the significance

value of taste .014 which is less than .05 so it is interpreted that taste of the organic milk has no

impact on the age factors because all the age groups give equal importance to its taste. The

second factor of consumer attitude is the Health which has the sig value .091 which is greater

than .05 so it means that there is a difference exists between the age groups about the their health

consciousness. As with the increase of age people become more health consciousness when they

take decisions to buy the organic milk products.

Environment consciousness also an important factor of consumer attitude it depicts the sig value

.071 which is greater than .05 so the analysis gives the findings that people always take attention

when they take decisions to buy the organic milk. They worry about the aroma, texture and

packaging of the milk.

Table: 2

Impact of different educational levels on consumer attitude towards organic milk

ANOVA

Variables F Sig

Taste 7.903 .000

Health 6.036 .001

Environment 25.38 .001

* Significant at the 0.05 level.

Discussion:

As in this table the results shows the impact of different educational levels on consumer attitude.

First the statistics shows that the taste has the significance value 0.000 which is less than 0.05 so

the result interpreted that there is no significant difference in respondents attitude in different

educational levels about the taste consciousness of the organic milk because in all levels taste

does not change their attitude. Then an important factor is Health which shows the significance

value of .001 which is less than 0.05 that descries that there is no significant difference between

in the attitude of the consumer in different educational levels about the health factor of the

organic milk. Further the environment factor also has the significance value of 0.001 which is

less than 0.05 so for this factor of attitude it is interpreted that for this factor there is also no

significant difference between attitude of respondents in different educational levels because all

the consumers whatever their education level they do not change their attitude about the aroma

or texture of the organic milk.

Table: 3

Independent Samples t-test with respect to Gender

Levean’s test for equality of variance

F Sig. t df Sig.(2 tailed)

Taste 22.61 .000 2.59 132.7 .011

Health 23.95 .000 1.75 139.87 .081

Environment 1.066 .303 1.819 148 .071

* Significant at the 0.05 level.

Discussion:

Independent samples t test is being used for the analysis with respect to the gender group male

and female. This test is used to check the equality or inequality of the variances the factor taste

shows the value of two tailed significance is 0.011 which is less than the level of 0.05 so the

result describes that the attitude of the male and female does not change for the taste of organic

milk when they go to buy the milk.

The health factor which is most important has the two tailed significance value .081 which

greater than 0.05 so it reveals that there is a difference exists in the attitude of the respondents of

two group male and female about the organic milk because male and female are both health

conscious about the organic milk. The last factor environment has the two tailed significance

value is 0.071 this value is greater than 0.05 so it is interpreted that there are different attitudes

between two groups of respondents about the organic milk in context of environment factor.

Table: 4

Independent Samples t-test with respect to Occupation

Levean’s test for equality of variance

F Sig. t df Sig.(2 tailed)

Taste 21.145 .000 1.29 109.94 .198

Health .062 .804 1.72 148 .087

Environment 2.027 .157 3.22 148 .002

* Significant at the 0.05 level.

Discussion:

This analysis shows the different significant values on the basis of the equality or inequality of

the variances with respect to occupation of the respondents they have. First the taste factor an

important factor of consumer attitude shows the two tailed significance value 0.198 this value is

greater than 0.05 so here the study states that there is the difference exist in the attitude of the

respondents about the organic milk within their occupation groups such as student and employee

they may have different attitude towards the organic milk with respect to occupation.

Health is also a vital factor that may change the attitude of the respondents. This study shows its

two tailed significance value 0.087 that is greater than 0.05 so the results depicts that there are

different attitudes between these two types of groups student and employee in using the organic

milk about their health .

Environment factor also the vital part of the consumer attitude that has the two tailed

significance value 0.002 which is less than the 0.05 here the attitude of the respondents does not

change due the external packaging, aroma or texture of the organic milk. Both the students and

the employee have same perceptions about the environment consciousness.

9. CONCLUSION:

In summary, there is relationship exists between factors of consumer attitude in the context of

organic milk. Every customer before purchasing the organic milk makes insight into the features

of the organic milk product. Analysis provides that before using the organic milk more

customers pay attention to Health consciousness than taste and environment consciousness

because consumer is now anxious about the health of his infants and family as well.

10. IMPLICATIONS OF THE STUDY:

1. Clearly this study provides a roadmap for the organic milk producers. Moreover, they

can use this study to determine the consumer attitude that ultimately influences the

consumer willingness towards organic milk.

2. A producer that seeks to enter the organic milk industry requires marketing expertise

because these results suggest that it is important to know what factors influence the

consumer attitude.

3. The organic milk producing companies can maintain the taste and quality of the milk

up to the standard by this study to retain their organic consumers.

11. LIMITATIONS:

1. There are always cost and time constraints which restricted the study on a small group

of population.

2. Some factors which are beyond this study could not discuss such as volume, organic

milk production methods, personal values of consumer, income of the consumer.

3. There is a market for the organic milk but it is small. Therefore its generalizability is

questionable in other area of the population.

12. RECOMMENDATIONS FOR FUTURE RESEARCH:

Future studies can be conducted across consumers in different cities within the same country

markets .On the basis of needs, consumers can be segmented into sub markets. So that in each

country’s market effective marketing strategies can be developed.

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ANNEXURE

QUESTIONNAIRE

READ OUT

Good morning\afternoon\evening. We are the students of Hailey College of Commerce University of the Punjab

Lahore. We are conducting a short survey about consumer attitudes towards Organic Milk. It should only take around 3

minutes to fill the questionnaire and all of your answers will be treated with the strict confidence. Please extend your

cooperation.

Scale

1 2 3 4 5

Strongly disagree Disagree Neutral Agree strongly Agree

Q.1:Preference of organic milk should be on the basis of taste

1 2 3 4 5

Q.2: Organic milk is more nutritious. 1 2 3 4 5

Q.3: Aroma of organic milk is natural 1 2 3 4 5

Q.4: Organic milk is easily available. 1 2 3 4 5

Q.5:Quality of organic milk is similar throughout the brands

1 2 3 4 5

Q.6:Products made by organic milk have better flavor

1 2 3 4 5

Q.7: Organic milk is more convenient in use. 1 2 3 4 5

Q.8: Prices of organic milk are high. 1 2 3 4 5

Q.9: Organic Milk meets your standards. 1 2 3 4 5

Q.10: Organic milk is available on credit 1 2 3 4 5

Q.11: Doctors recommend organic milk for

your infants.

1 2 3 4 5

Q.12: Organic milk provides more energy than

non organic

1 2 3 4 5

Q.13: Tea made by organic milk is better for health.

1 2 3 4 5

Q.14: Organic milk is free from chemicals.

1 2 3 4 5

Q.15: Organic milk provides more calcium to

body