Fruit and Vegetable Quality

(Greg DeLong) #1

pineapple developed using tissue culture. The fruit, marketed under a
recognized brand name, has been promoted as being sweeter than other
available cultivars. The company modified the original brand name used
on pineapples of other cultivars sold by the company to reflect and pro-
mote its primary attribute—sweetness. The fruit is smaller in size than
other pineapples and has an intense yellow color. The size of a pineap-
ple can encourage purchases because a smaller size may appeal to small
households. The yellow skin of the new cultivar can visually commu-
nicate to consumers the maturity, implying taste.
Among temperate fruits, apples are probably branded most often. In
the United States apples are branded by growers’ associations rather than
a single producer. Other branded temperate-zone fruits and vegetables
include pears, melons, onions, and carrots. A separate group of branded
produce is represented by edible nuts and berries. Both in-shell and
shelled nuts are sold under brand names, although the frequency of brand
use varies among different nut industries. Generally, the brand name is
used more often on nuts where the industry’s internal organization led
to highly integrated production and marketing, increasing the efficiency
of brand promotion.
Successful branding emphasizes qualitative attributes (e.g., taste of a
new pineapple cultivar) or nutritive characteristics (Nichols, 1996). A
study of Berlin, Germany, consumers indicated that attitudes toward
branding fresh produce are influenced by consumer characteristics and
perceptions. Furthermore, the nutritive characteristics of branded pro-
duce, especially when reflecting different production methods, attract
different groups of consumers, who can be distinguished from the gen-
eral population. Organic produce and produce with scientifically proven
nutritional or medicinal benefits will become increasingly popular
among consumers.


Quality as a Risk Management Tool


Quality is a criterion distinguishing among substitutes and has been
used effectively to establish market segments on durable goods markets.
For the fresh produce industry, quality is important although the value
of a single purchase of produce can be small and the risk of buying poor-
quality product is perceived as low. However, Shewfelt’s concern about
quality defined from the standpoint of a retail customer implies the need
to minimize quality defects because defects can induce a shift of de-
mand away from a specific kind of fresh produce.


242 ECONOMICS OF QUALITY

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