CONSUMER CHARACTERISTICS AND PREFERENCES FOR ORGANIC PRODUCTS IN KAMPALA, UGANDA

Summary

This study describes the findings from a consumer survey that was conducted to understand the consumer characteristics and preferences for organic products in Kampala, Uganda. The survey used a mall intercept survey method to investigate consumer revealed preferences for key organic and conventional products attributes. A face-to-face interview was used to collect data on consumer preferences towards organic food attributes that reveals preference for specific organic and conventional products. The survey was conducted in two purely organic retail outlets in Kampala as well as from consumer outlets that sell conventional alongside few organic products. A sample of 228 respondents was interviewed. An empirical analysis of the factors that influenced consumption of organic products indicated: (i) that being female positively and significantly (p≤0.05) influenced a consumer‟s decision on choosing an organic product. (ii) being a foreigner was associated with higher odds of being an organic consumer as compared to being of Ugandan decent; (iii) there was a positive and significant relationship (p≤0.1) that consumers attached to organic product taste when purchasing; (iv) price positively and significantly (p≤0.1) affected the decision to purchase an organic product; (v) organic product availability at the retail outlets positively and significantly (p≤0.01) influenced a consumer‟s decision to purchase an organic product. It was therefore established that product availability increased a consumer‟s predisposition to buying organic food products; (vi) WTP for quality products was negative though significant (p≤0.01). People bought organic products because they felt that they were getting a higher quality for organic products and because they perceived it as more of a quality product than the conventional food products. (vii) consumers‟ decisions to purchase organic products was influenced by their concern for the environment (p≤0.05); (viii) the study revealed a positive and statistically significant (p≤0.1) relationship between concern for health benefits and whether a consumer will purchase an organic product which indicated that the more consumers believed that organic foods were healthier than conventional foods or attached greater importance to the organic food product healthiness attribute when shopping, the more they were likely to buy organic food products. Drawing from key findings, the study recommends that all products aimed for the domestic market should be packaged with concise messages that appeal to the differing consumer base in terms of sensory preferences (taste); affordable pricing; appealing product appearance; ensure product availability at the different retail outlets and communicate health benefits that accrue due to organic consumption. In addition, since majority of the consumers reported that they were of foreign descent and majority doubled as tourists, creation of purely organic retail shops at for example the most visited tourist destinations in the country or having organic food served on the menus would in turn help tap into the un-served tourist organic market. Furthermore, increasing foreign consumer awareness of the local certification labelling synonymous with locally grown certified organic food would go a long way in increasing consumer trust. At a policy level, the government of Uganda should promote local consumption of sustainably and locally grown organic food through enacting favorable policies for example the Uganda Organic Agriculture Policy. Besides government, NGOs and NOGAMU should increasingly consider the development of products for particular consumer categories for example supplying primary schools, secondary schools and other government institutions through government procurement