*5.2.1. Consumers' profile*

A demographic profile of a typical local food consumer, from our sample, was established using the data collected from the respondents who indicated that they currently do purchase local foods. Overall, out of the 1611 surveyed respondents, there are more females (59%) than males (41%), with their ages falling predominately between 35-54 years. The income levels of the respondents varied considerably; the median income range was \$60,000 to \$90,000 per annum. Further, only 12% of respondents lived on their own; 88% of people lived in households with more than 2 people. Further, the education level of the respondents indicated that the majority of respondents had a college or university degree.

Given that the survey did not define what local food is, it is assumed that the survey respond‐ ents understand this concept. Further, there was no differentiation between local and local organic. In terms of local food consumption, 15.9% of respondents indicated they do purchase local organic food, 76.6% do purchase local food (non-organic), and 7.5% did not respond. The objective is to explore whether localvores have refined needs in terms of organic values. With respect to consumer concerns over local food products, 55.9% of respondents did indicate they had concerns over local food products, and 44.1% did not. When asked if those concerns affected their buying patterns, 47% indicated yes, while 53% indicated no. The highest response rate, in terms of weekly purchasing, is that 49.4% of respondents say they purchase between \$30 and \$50 of local food products. It is also interesting to note that the lowest ranking attribute for all groups (with and without concerns and those who have and have not changed their buying pattern) is the organic attribute. It is evident that organic local is not of importance for the respondents. Maybe because both concepts have overlapping values.

## *5.2.2. Purchase criteria and preferences*

Through factor analysis, it was determined that there is a difference between respondents' answers in terms of their preferred attributes of regular food products versus local food products. The three dimensions considered by consumers when buying local food products in general would include: general product attributes (29.8%), local food dimension (55.3%) and price (7.1%), which collectively explain 62.4% of the total variance. Hence, consumers consider price when deciding to buy local food products. Respondents were asked how much they would be willing to pay for locally produced foods. Of those surveyed, 41.5% indicated they would pay the typical price for regular food products, while 49.1% indicated they would pay 20% premium. Price, however, is not a determinant factor when deciding to buy local food products. This is consistent with the literature in terms of consumer's willingness to pay a premium for local products. As for the purchasing criteria, two dimensions stand out. These relate to control of the product (54.3%) and food mileage (29.5%) totaling 73.8% of the variance. These dimensions have managerial implications to local food producers when planning to market their food products.

Consumers may express concerns, but seem relatively unknowledgeable and not unified in the nature of the concerns expressed. Frequency analysis reveals that the concerns expressed by the respondents is relatively comparable in all categories (health 29.7%, sanitation 30.5%, production practices 22.5%, antibiotics and hormones 54%). Given that less than one third of the respondents had concerns in all of the respective categories, and also given the somewhat equal distribution, it is noted that there is not a significant concern of one type. It is therefore apparent that the consumers' views on the product attributes (both extrinsic and intrinsic) have more influence on the purchase decisions than the concerns themselves. This is very important as it drives consumers' purchase pattern.

The sample was then divided into two groups, those with concerns over local food products and those without concerns. This helps better understand the differences between both groups' perspective towards general product attributes2 . Table 2 below illustrates the findings.


**Table 2.** Concerns and Product

To recapitulate, there is a thin distinction between local food products producers and distrib‐ utors in terms of production and distribution processes, marketing approaches, and market perception of the value offered. Brands definitely do not add any value whatever the type of distribution channel whereas the product label may play a substantial role for some distribu‐ tors. Furthermore, store managers as well as the production methods contribute in creating

A demographic profile of a typical local food consumer, from our sample, was established using the data collected from the respondents who indicated that they currently do purchase local foods. Overall, out of the 1611 surveyed respondents, there are more females (59%) than males (41%), with their ages falling predominately between 35-54 years. The income levels of the respondents varied considerably; the median income range was \$60,000 to \$90,000 per annum. Further, only 12% of respondents lived on their own; 88% of people lived in households with more than 2 people. Further, the education level of the respondents indicated that the

Given that the survey did not define what local food is, it is assumed that the survey respond‐ ents understand this concept. Further, there was no differentiation between local and local organic. In terms of local food consumption, 15.9% of respondents indicated they do purchase local organic food, 76.6% do purchase local food (non-organic), and 7.5% did not respond. The objective is to explore whether localvores have refined needs in terms of organic values. With respect to consumer concerns over local food products, 55.9% of respondents did indicate they had concerns over local food products, and 44.1% did not. When asked if those concerns affected their buying patterns, 47% indicated yes, while 53% indicated no. The highest response rate, in terms of weekly purchasing, is that 49.4% of respondents say they purchase between \$30 and \$50 of local food products. It is also interesting to note that the lowest ranking attribute for all groups (with and without concerns and those who have and have not changed their buying pattern) is the organic attribute. It is evident that organic local is not of importance for

Through factor analysis, it was determined that there is a difference between respondents' answers in terms of their preferred attributes of regular food products versus local food products. The three dimensions considered by consumers when buying local food products in general would include: general product attributes (29.8%), local food dimension (55.3%) and price (7.1%), which collectively explain 62.4% of the total variance. Hence, consumers consider price when deciding to buy local food products. Respondents were asked how much they would be willing to pay for locally produced foods. Of those surveyed, 41.5% indicated they would pay the typical price for regular food products, while 49.1% indicated they would pay 20% premium. Price, however, is not a determinant factor when deciding to buy local food

and communicating the embedded value to localvores.

majority of respondents had a college or university degree.

the respondents. Maybe because both concepts have overlapping values.

**5.2. Consumers' market value**

*5.2.2. Purchase criteria and preferences*

*5.2.1. Consumers' profile*

14 Food Production and Industry

In general terms, those concerned with local food products have a higher importance associ‐ ated with the product attributes, illustrated by the higher means with food safety and freshness being the top scorers for both groups. Also, it is noted that the attributes of price and taste are not statistically different between the two groups (concerned and not concerned); even though price is an important but not a determinant variable.

<sup>2</sup> This was done by comparing the means using the 5-point Likert scale; 3 being the median point.


A further comparison was done using the rankings of attributes in comparison to those whose concerns have affected their buying patterns, against those whose have not (cf. Table 3).

\*significance at the.05 level

**Table 3.** Impact of Concerns on Buying and Desired Attributes

Overall, those whose concerns have affected their buying behavior, place a higher importance associated with local food attributes. Taste, healthiness, food safety, freshness, and country of origin are important regardless if those attributes are affecting the purchase pattern of respondents. Conversely "organic" and "healthiness" discriminate best between both groups. This is in line with has been said above. Also, it is noted that the attributes of taste, food safety, freshness, and the country of origin (Canada) are not statistically different between the two groups (concerned and not concerned). However, these are very important considerations, given that the means for these attributes are greater than four, on a scale of five points.

## *5.2.3. Purchasing and consumption patterns*

Cross tabulations show that 39% of all respondents indicated that their concerns about local foods affected their buying patterns. The Chi-square test is conclusive (*sig.* = 0.000 < 5%) which indicates there is an association between local food concerns and local food purchasing. Concerns are therefore determinants of local food consumption and its corresponding purchasing patterns. It is conceivable that food concerns are altering people's decisions to purchase alternative food products. However, ANOVA results indicate that 62.8% of respond‐ ents who have concerns do not buy local organic food products. This results is seconded by Chi-square testing, it was determined that concerns are not determinants of current purchases of local organic products. Therefore, contrary to the results of the previous test, in which concern were found to impact sales, these concerns are not related to the decision to buy local organic products. Again, it is conceivable that concerns over local food products in general, are causing people to seek other alternative foods. This is an interesting result as Hamzaoui et al. (2012) show that food concerns drives consumers to choose healthy alternative such as organic foods and to a lower extent local foods. All these results are consistent with the current research and industry data, which indicates that concerns over specific food products have impacted sales.

In comparing the ranking of product attributes, between those who currently indicated that they do buy local food products and those who did not, there is a significant difference between the two groups on many attributes (cf. Table 4): healthy and nutritious, local or regional brand, and small family farm. This is consistent with the literature, in that reduced food mileage often gives consumers the perception that local food has improved health benefits and is fresher. If targeting local food consumers, communicating the benefits of reduced food mileage may be a possible avenue of promotion. Another item of interest is the difference between those who do buy local and those who do not in terms of embeddedness, namely their ranking of the attribute small family farm and local brand. Those who do not intend to buy local foods place a higher importance on these "sustainability" aspects. It is conceivable that the embeddedness theory is correct, in that those who do buy direct from farmers have a greater level of trust and connectedness with the farmer, therefore having fewer requirements for the product to be inspected and tested.


### **Table 4.** Desired Attributes of Local Foods Consumers

A further comparison was done using the rankings of attributes in comparison to those whose concerns have affected their buying patterns, against those whose have not (cf. Table 3).

**Purchase pattern not affected**

**by concerns Significance**

**by concerns**

Organic 3.1 2.2 **.00\*** Taste 4.3 4.1 .11 Price 3.7 3.8 .32 Nutritious and Healthy 4.3 3.7 **.00\*** Food Safety 4.5 4.4 .11 Product is Fresh 4.5 4.5 .52 From Canada 4.3 4.0 .07 Local or Regional Brand 3.5 3.3 .11 Small Family Farm 3.1 2.9 .22

Overall, those whose concerns have affected their buying behavior, place a higher importance associated with local food attributes. Taste, healthiness, food safety, freshness, and country of origin are important regardless if those attributes are affecting the purchase pattern of respondents. Conversely "organic" and "healthiness" discriminate best between both groups. This is in line with has been said above. Also, it is noted that the attributes of taste, food safety, freshness, and the country of origin (Canada) are not statistically different between the two groups (concerned and not concerned). However, these are very important considerations, given that the means for these attributes are greater than four, on a scale of five points.

Cross tabulations show that 39% of all respondents indicated that their concerns about local foods affected their buying patterns. The Chi-square test is conclusive (*sig.* = 0.000 < 5%) which indicates there is an association between local food concerns and local food purchasing. Concerns are therefore determinants of local food consumption and its corresponding purchasing patterns. It is conceivable that food concerns are altering people's decisions to purchase alternative food products. However, ANOVA results indicate that 62.8% of respond‐ ents who have concerns do not buy local organic food products. This results is seconded by Chi-square testing, it was determined that concerns are not determinants of current purchases of local organic products. Therefore, contrary to the results of the previous test, in which concern were found to impact sales, these concerns are not related to the decision to buy local organic products. Again, it is conceivable that concerns over local food products in general,

**Attribute Purchase pattern affected**

\*significance at the.05 level

16 Food Production and Industry

**Table 3.** Impact of Concerns on Buying and Desired Attributes

*5.2.3. Purchasing and consumption patterns*

Lastly, when ranking the product extrinsic characteristics, it is evident that food packaging can influence a consumer's decision. Consumers in this study indicated a strong importance associated with packaging containing the contact information of farmers as well as the ability to determine the freshness (date of packaging). This finding also would benefit those interested in promoting and retailing their products through grocery stores and supermarkets. Further, respondents indicated that they eat local food products between 1-3 times a week, with shopping occurring at 40.8% at farms' gate (small producers and community farmers), specialty stores (24.9%), community groceries and community chain stores (25.4%), and only 8.9% from farmers' markets. Given that 15.9% of the sample indicated that they do buy local organic products, and only 8.9% do their shopping at the farmers' market, it is questionable whether or not consumers fully understand what local organic is. It may be that when purchasing food products at a local community stores, the consumer might falsely believe they are supporting a local farmer. Furthermore, respondents expressed a willingness to purchase local food products at Supermarkets (22.5%), Local Grocery Stores (93.1%), local community shops (81.8%), local farmer in small quantities (52.4%), in bulk (31.8%) and at local restaurants (60.6%). The high percentages across the board indicate great market potential for farmers to retail their product in all channels, and to strategize better promotion of direct sale of their product.
