Consumer Preferences Toward Local Versus Carbon: A Study of Value-Added Dairy Products

Azita Varziri; Shuoli Zhao; Timothy A. Woods; Favour Esene

doi:10.1111/agec.70044

Consumer Preferences Toward Local Versus Carbon: A Study of Value-Added Dairy Products

Azita Varziri
, Shuoli Zhao
, Timothy A. Woods
, Favour Esene

Research output: Contribution to journal › Article › peer-review

7 Scopus citations

Abstract

The growing emphasis on local sourcing and sustainability is reshaping consumer preferences in the food industry. This study investigates how consumers evaluate value-added dairy products by examining the interplay between local branding and environmental impact. Using a mixed logit model and segmentation analysis, we explore consumer responses to various local labels, including “Kentucky Proud,” “Made with Kentucky Milk,” and “Produced within 100 miles,” as well as carbon footprint metrics. Our findings reveal a strong preference for state-affiliated labels like “Kentucky Proud” over geographic proximity labels, potentially pointing to the influence of state boundaries on consumer decision-making. Furthermore, we identify six distinct consumer segments, each characterized by unique priorities regarding local identity and environmental sustainability. These insights provide practical strategies for marketers to promote locally produced, environmentally friendly dairy products, emphasizing the need for integrated labeling approaches that resonate with diverse consumer priorities.

Original language	English
Pages (from-to)	961-975
Number of pages	15
Journal	Agricultural Economics (United Kingdom)
Volume	56
Issue number	6
DOIs	https://doi.org/10.1111/agec.70044
State	Published - Nov 2025

Bibliographical note

Publisher Copyright:
© 2025 International Association of Agricultural Economists.

Funding

Zhao acknowledges the Bill‐Gatton Foundation Early Career Professorship funding support from the University of Kentucky Martin‐Gatton College of Agriculture, Food, and Environment. : This study was supported by the , Woods and Zhao USDA‐AMS sub‐award with the University of Tennessee, Grant # AM22DBITN1013. Funding Southeast Dairy Business Innovation Initiative

Funders	Funder number
Bill Gatton Foundation
University of Kentucky Martin-Gatton College of Agriculture, Food and Environment Division of Regulatory Services
University of Tennessee	AM22DBITN1013

Keywords

carbon footprint
consumer preferences
dairy products
local labeling

ASJC Scopus subject areas

Agronomy and Crop Science
Economics and Econometrics

Access to Document

10.1111/agec.70044

Cite this

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doi = "10.1111/agec.70044",

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volume = "56",

pages = "961--975",

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Consumer Preferences Toward Local Versus Carbon: A Study of Value-Added Dairy Products

Abstract

Bibliographical note

Funding

Keywords

ASJC Scopus subject areas

Access to Document

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