SOCA: Jurnal Sosial Ekonomi Pertanian
Vol 16 No 1 (2022): Vol.16, No.1, 2022

Pricing Strategy for the Organic Eggs: Willingness to Pay and Hedonic Price Approaches

Rahayu Relawati (University of Muhammadiyah Malang, Malang, East Java, Indonesia)
Barbara Szymoniuk (Faculty of Management, Lublin University of Technology, Lublin, Poland)
Bambang Yudi Ariadi (University of Muhammadiyah Malang, Malang, East Java, Indonesia)
Eko Handayanto (University of Muhammadiyah Malang, Malang, East Java, Indonesia)



Article Info

Publish Date
24 Jan 2022

Abstract

Organic eggs have been marketed to provide safe food and protect the environment sustainability all at once. However, the high price is being an obstacle to expanding the organic egg market in East Java Province. The aims of this research were to analyze the factors that influence the willingness to pay (WTP) and hedonic prices of organic eggs and to formulate pricing strategies. This research was conducted by using an online survey method in East Java Province, Indonesia. The survey was conducted from May to July 2021. The obtained data were analyzed by using multinomial logistic, linear regression, and descriptive analysis. The results showed that 26.4% of consumers were willing to pay for organic eggs 10% more than the current price. The factor that influenced WTP was product quality. Meanwhile, the factors that influence the price were the eggs taste and the organic label. The results showed that market players of organic egg agribusiness still have the opportunity to increase the price of organic eggs. However, they must inform consumers about the health benefits of organic eggs and include them on the organic eggs label.

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Journal Info

Abbrev

soca

Publisher

Subject

Agriculture, Biological Sciences & Forestry Economics, Econometrics & Finance

Description

SOCA merupakan jurnal ilmiah yang diterbitkan berkala di bidang social-ekonomi pertanian dan agribisnis, diterbitkan dua kali setahun (Januari-Juni & Juli-Desember). Jurnal SOCA merupakan media untuk penyebarluasan hasil penelitian bagi dosen, peneliti, praktisi maupun masyarakat umum yang yang ...