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Organic and conventional olive oil consumers: a comparative analysisusing a customer satisfaction evaluation approach
Sandalidou E., Baourakis G., Grigoroudis E., Siskos Y.
in
Nikolaidis A. (ed.), Baourakis G. (ed.), Isikli E. (ed.), Yercan M. (ed.). The market for organic products in the Mediterranean region
Chania : CIHEAMCahiers Options Méditerranéennes; n. 61
2003pages 265-276
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Sandalidou E., Baourakis G., Grigoroudis E., Siskos Y. Organic and conventional olive oil
consumers: a comparative analysis using a customer satisfaction evaluation approach. In :
Nikolaidis A. (ed.), Baourakis G. (ed.), Isikli E. (ed.), Yercan M. (ed.). The market for organic products in
the Mediterranean region. Chania : CIHEAM, 2003. p. 265-276 (Cahiers Options Méditerranéennes; n.
61)
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Cahiers Options Méditerranéennes � no 61
Organic and Conventional Olive Oil
Consumers: A Comparative Analysis
Using a Customer Satisfaction
Evaluation Approach
Evangelia Sandalidou1, Baourakis George1, Evangelos Grigoroudis2, Yannis Siskos3 1 Department of Economic Sciences / Management / Marketing and Finance,
Mediterranean Agronomic Institute of Chania (MAICh), Chania, Greece 2 Department of Production Engineering & Management, Technical University of Crete, Chania, Greece
3 Department of Informatics, Univ. of Peraeus, Greece
ȱ
Abstract: This paper deals with the measurement of customer satisfaction where organic olive oil, the most important biological product that has recently en-tered the Greek food market, is con-cerned. For this purpose a survey was conducted in the region of Thessaloniki. This study examines consumer pref-erences and attitudes using multicriteria preference analysis. The imple-mented methodology is called MUSA (MUlticriteria Satisfaction Analysis) and takes into account that cus-tomers� global satisfaction for organic olive oil depends on five criteria: health, price/quality, pack-aging, specific char-acteristics and promotion & disposition. Effective results are provided de-scribing customer behaviour and identifying market trends. An analysis in order to find out the strengths and weaknesses of organic olive oil compared to the conventional one is also included, contributing in this way to an effec-tive strategic planning for the improvement of the product. Finally, recom-men-dations are given evaluating the alternative market penetration strate-gies, which combined with the existing ones, could lead to the development of optimal marketing techniques for the modification of the products� char-acteristics in the most effective way.
ȱ
Introduction
OliveȱfarmingȱandȱtheȱproductionȱofȱoliveȱoilȱareȱconsideredȱtoȱbeȱanȱimportantȱsectorȱinȱEuroȬpeanȱandȱespeciallyȱinȱGreekȱagriculture,ȱmainlyȱdueȱtoȱtheȱclimaticȱconditions,ȱwhichȱareȱsuitȬableȱ forȱ thisȱcrop.ȱOliveȱoilȱ isȱanȱagriculturalȱproductȱofȱgreatȱnutritionalȱvalueȱdueȱ toȱ itsȱorȬganolepticȱ andȱ biologicalȱ propertiesȱ asȱwellȱ asȱ itsȱ tasteȱ characteristics.ȱGreeceȱ isȱ oneȱ ofȱ theȱleadingȱoliveȱoilȱproducersȱ inȱ theȱworld,ȱ rankingȱ thirdȱ afterȱSpainȱ andȱ Italy.ȱGreekȱoliveȱoilȱproductionȱaccountsȱ forȱalmostȱ22%ȱofȱtheȱEuropeanȱandȱ17%ȱofȱtheȱworldȱproductionȱ(FAO,ȱ1985Ȭ2000).ȱȱ
Nowadays,ȱpeopleȱthroughoutȱtheȱworld,ȱespeciallyȱthoseȱwithȱaȱhighȱstandardȱofȱliving,ȱseemȱtoȱpreferȱfoodstuffsȱthatȱareȱproducedȱandȱprocessedȱbyȱnaturalȱmethods.ȱGreekȱconsumersȱinȱparticular,ȱaccordingȱtoȱpreviousȱconsumerȱresearch,ȱseemȱtoȱbeȱmoreȱandȱmoreȱsensitiveȱand,ȱatȱtheȱsameȱtimeȱdemanding,ȱwhenȱitȱcomesȱtoȱtheirȱnutritionȱandȱtheyȱseekȱforȱproductsȱofȱorȬganicȱoriginȱasȱmuchȱasȱpossible.ȱUnfortunately,ȱuntilȱrecently,ȱcustomers�ȱneedȱforȱqualitativeȱproductsȱwasȱ notȱ consideredȱ toȱ beȱ asȱmuchȱ importantȱ inȱ theȱ agriculturalȱ sector.ȱ Producersȱcaredȱaboutȱ theȱproductionȱvolumeȱandȱregardingȱcustomersȱallȱthatȱmatteredȱwasȱ theȱproviȬsionȱofȱproductsȱwithȱreasonableȱpricesȱ(EuropeanȱUnionȱCouncil,ȱ2000).ȱHowever,ȱthingsȱseemȱtoȱhaveȱchangedȱandȱcustomerȱsatisfactionȱplaysȱanȱincreasinglyȱsignificantȱroleȱinȱorderȱtoȱkeepȱupȱwithȱpeople�sȱdemandȱforȱsafeȱandȱgoodȱqualityȱfood.ȱȱ
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Organicȱoliveȱoil,ȱtheȱmostȱimportantȱbiologicalȱproductȱinȱGreece,ȱisȱaȱproductȱthatȱcouldȱkeepȱupȱwithȱ customers�ȱ needsȱ forȱ safeȱ andȱ qualityȱ food,ȱwhileȱ atȱ theȱ sameȱ timeȱ couldȱ provideȱhigherȱpricesȱtoȱproducers.ȱForȱaȱsuccessfulȱpenetrationȱofȱorganicȱoliveȱoilȱ intoȱnewȱmarkets,ȱhowever,ȱcontinuousȱimprovementȱisȱrequired.ȱAchievingȱaȱmaximumȱofȱqualityȱisȱsomethingȱthatȱwouldȱbeȱaȱguaranteeȱ forȱ theȱ economicȱ survivalȱofȱ theȱ sectorȱ inȱ theȱ faceȱofȱ competitionȱ(Fotopoulos.ȱandȱPantzios,ȱ1998).ȱThisȱcouldȱbeȱdoneȱ throughȱevaluatingȱ firstȱcustomerȱ satisȬfaction,ȱwhichȱisȱtheȱobjectiveȱofȱthisȱresearch.ȱCustomerȱsatisfactionȱisȱconsideredȱtoȱbeȱaȱmodȬernȱapproachȱforȱquality,ȱandȱqualityȱisȱaȱtermȱthatȱneedsȱtoȱbeȱdefined.ȱPeopleȱtendȱtoȱpreferȱproductsȱfromȱcertifiedȱfoodȱcompaniesȱ(ISOȱ9000),ȱnotifyingȱtheȱneedȱtoȱimproveȱquality.ȱSinceȱtheȱconnectionȱbetweenȱqualityȱandȱcustomerȱsatisfactionȱisȱbecomingȱobvious,ȱmeasuringȱcusȬtomerȱsatisfactionȱcouldȱleadȱtoȱcorrectionȱactionsȱinȱorderȱtoȱraiseȱquality.ȱInȱthisȱway,ȱcustomȬers�ȱpreferencesȱandȱexpectationsȱregardingȱcertainȱcharacteristicsȱofȱtheȱproductȱareȱprovided,ȱallowingȱforȱitsȱfurtherȱmarketȱdevelopment.ȱȱ
Customerȱsatisfactionȱofȱcourse,ȱisȱaȱnotionȱthatȱhasȱrecentlyȱstartedȱtoȱconcernȱtheȱagriculturalȱsectorȱandȱitȱisȱworthȱmentioningȱthatȱitȱisȱconsideredȱtoȱbeȱaȱpioneerȱinȱtheȱfieldȱofȱagriculturalȱproducts,ȱletȱaloneȱorganicȱones.ȱȱ
Forȱ thisȱpurposeȱaȱ surveyȱwasȱ conductedȱ inȱ theȱ regionȱofȱThessalonikiȱandȱaȱ sampleȱofȱ ranȬdomlyȱselectedȱorganicȱoliveȱoilȱconsumersȱwereȱaskedȱtoȱexpressȱtheirȱopinionȱtowardsȱsomeȱcharacteristicsȱ(health,ȱpriceȱinȱrelationȱtoȱquality,ȱpackage,ȱspecificȱcharacteristics,ȱpromotionȱ&ȱdisposition)ȱ ofȱ organicȱ oliveȱ oil.ȱAȱ comparativeȱ analysisȱ betweenȱ organicȱ andȱ conventionalȱoliveȱoilȱisȱalsoȱincluded,ȱinȱorderȱtoȱfindȱoutȱtheȱstrengthsȱandȱweaknessesȱofȱorganicȱoliveȱoilȱcomparedȱtoȱtheȱconventionalȱone.ȱTheȱmethodȱthatȱwasȱdevelopedȱforȱmeasuringȱandȱanalysȬingȱcustomerȱsatisfactionȱisȱcalledȱMUSAȱ(MUlticriteriaȱSatisfactionȱAnalysis).ȱItȱisȱaȱmulticriteȬriaȱordinalȱregressionȱmodelȱandȱitsȱbasicȱassumptionȱisȱthatȱcustomer�sȱglobalȱsatisfactionȱdeȬpendsȱonȱaȱsetȱofȱconsumerȬassessedȱcriteria,ȱwhichȱrepresentȱtheȱcharacteristicsȱofȱtheȱproduct.ȱȱ
Theȱpaperȱisȱorganisedȱasȱfollows:ȱAfterȱtheȱintroductionȱpresentedȱinȱsectionȱ1,ȱaȱbriefȱdescripȬtionȱofȱtheȱproductȱandȱtheȱcurrentȱsituationȱofȱorganicȱoliveȱoilȱinȱGreeceȱisȱgivenȱinȱsectionȱ2.ȱTheȱmeaningȱofȱcustomerȱsatisfactionȱandȱ itsȱneedȱ toȱbeȱmeasuredȱareȱprovidedȱ inȱsectionȱ3,ȱalongȱwithȱsomeȱalternativeȱmethodologicalȱapproaches.ȱTheȱmethodologicalȱframework,ȱuponȱwhichȱtheȱwholeȱstudyȱwasȱbased,ȱisȱincludedȱinȱtheȱsameȱsection.ȱSectionȱ4ȱprovidesȱtheȱresultsȱofȱtheȱresearch.ȱFinally,ȱsomeȱrecommendationsȱaboutȱtheȱimprovementȱofȱtheȱproduct,ȱasȱwellȱasȱconcludingȱremarks,ȱareȱoutlinedȱinȱsectionȱ5.ȱ
Organic Olive Oil in Greece
Organicȱfarmingȱ isȱindisputablyȱbecomingȱofȱgrowingȱ importanceȱ inȱtheȱagriculturalȱsectorȱofȱmanyȱcountries.ȱMarketȱdemandȱforȱorganicȱproductsȱhasȱexpandedȱrapidlyȱoverȱtheȱpastȱdecȬadeȱ(DeȱHaen,ȱ1999).ȱȱ
OrganicȱcultivationȱofȱtheȱoliveȱtreeȱbeganȱinȱGreeceȱinȱtheȱPrefectureȱofȱMessiniaȱinȱ1988.ȱInȱtheȱfollowingȱyearsȱitsȱevolutionȱwasȱspectacularȱandȱsinceȱthenȱseriousȱeffortsȱhaveȱbeenȱmadeȱinȱmostȱ partsȱ ofȱ theȱ countryȱ toȱ continueȱ theȱ trendȱ (Sgouros,ȱ 1997).ȱ Theȱ organicȱ oliveȱ treeȱ andȱthereforeȱtheȱproductionȱofȱorganicȱoliveȱoilȱpossessedȱtheȱfirstȱplaceȱinȱ1999,ȱsinceȱoliveȱgrovesȱcoveredȱ56,7%ȱofȱ theȱ totalȱorganicallyȱutilizedȱarea.ȱTheȱhighȱpercentageȱ revealsȱ theȱgrowingȱdemandȱofȱGreekȱconsumersȱforȱhealthyȱandȱnutritionalȱfoodȱwithȱhighȱqualityȱandȱsafetyȱcharȬacteristicsȱ(LampkinȱandȱPadel,ȱ1994).ȱȱ
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Manyȱadvantages,ȱbothȱfromȱanȱenvironmentalȱandȱaȱsocialȬeconomicȱpointȱofȱview,ȱareȱofferedȱthroughȱtheȱorganicȱcultivationȱofȱtheȱoliveȱtreeȱ(Sgouros,ȱ1997).ȱAmongȱthem,ȱtheȱmostȱsignifiȬcantȱare:ȱ
Üȱ Protectionȱofȱtheȱenvironmentȱthroughȱnotȱusingȱchemicalsȱduringȱtheȱcultivationȱtechniques.ȱInȱadditionȱtoȱthat,ȱorganicȱoliveȱoilȱisȱmostlyȱpackagingȱinȱglassȱbottlesȱ(insteadȱofȱplasticȱonesȱusedȱinȱtheȱconventionalȱoliveȱoil),ȱcontributingȱtoȱtheirȱbetterȱrecycling.ȱȱ
Üȱ Economicȱadvantages.ȱFromȱtheȱproducerȱpointȱofȱview,ȱitȱwasȱdiscoveredȱthatȱtheȱproductȱisȱsoldȱatȱhigherȱprices,ȱatȱ leastȱ20Ȭ25%ȱhigherȱ thanȱ theȱconventionalȱoliveȱoil,ȱbringingȱsigȬnificantȱprofits.ȱAȱlotȱofȱbenefitsȱcanȱalsoȱariseȱthroughȱtheȱexportȱactivities,ȱwhichȱbiologiȬcalȱoliveȱoilȱisȱinvolvedȱin.ȱ
Üȱ Maintenanceȱofȱtheȱsocialȱstructure.ȱTheȱoliveȱtreeȱisȱgrownȱinȱmountainous,ȱsemiȬȱmountainȬousȱorȱtheȱsoȬcalledȱdisadvantageousȱregionsȱandȱitȱisȱaȱnonȬdemandingȱcrop,ȱwhichȱmeansȱthatȱ itȱcanȱsurviveȱevenȱunderȱ theseȱunfavorableȱconditions.ȱOrganicȱ farmingȱprovidesȱaȱremarkablyȱhigherȱincomeȱperȱhectareȱtoȱtheȱfarmers,ȱwhichȱbecomesȱaȱstrongȱincentiveȱforȱthemȱtoȱremainȱinȱtheseȱregions.ȱ
Üȱ Protectionȱ ofȱ producers�ȱ andȱ consumers�ȱ health.ȱBiologicalȱproductsȱ (oliveȱ andȱoliveȱoil)ȱ areȱproductsȱwithȱnoȱpesticideȱresidues.ȱTheyȱareȱobtainedȱviaȱcoldȱpressingȱofȱolives.ȱInȱthisȱway,ȱallȱtheirȱnutritionalȱsubstancesȱareȱpreservedȱleadingȱtoȱproductsȱofȱhighȱnutritionalȱvalue.ȱ
Apartȱfromȱtheȱbenefits,ȱthereȱareȱalsoȱsomeȱconstraintsȱregardingȱorganicȱfarming.ȱOnȱtheȱoneȱhand,ȱfarmersȱexperienceȱsomeȱlossȱinȱyieldsȱduringȱtheȱphaseȱofȱconversionȱtoȱorganicȱfarmingȱ(VanȱDerȱSmissen,ȱ2000).ȱSometimesȱitȱtakesȱaȱlongȱtime,ȱalmostȱyearsȱtoȱrestoreȱtheȱecosystemȱtoȱ theȱpointȱwhereȱ theȱorganicȱproductionȱ isȱpossible.ȱ̖heȱhighȱcostȱofȱproductionȱ isȱanotherȱdifficultyȱforȱtheȱfarmer.ȱOnȱtheȱotherȱhand,ȱsomeȱconsumersȱdoȱnotȱbelieveȱthatȱorganicȱagriȬcultureȱcanȱimproveȱfoodȱsecurityȱandȱsomeȱothersȱdoȱnotȱevenȱknowȱwhatȱanȱorganicȱproductȱis.ȱThatȱ isȱwhyȱthereȱ isȱaȱneedȱforȱbetterȱaccessȱtoȱmarketȱ information.ȱActionsȱshouldȱbeȱalsoȱtakenȱinȱorderȱtoȱsupportȱconsumerȱconfidence.ȱForȱthisȱreasonȱGreeceȱhasȱadoptedȱaȱsystemȱforȱcontrollingȱandȱcertifyingȱorganicȱproducts.ȱTheȱOrganicȱProductsȱBureauȱwasȱsetȱupȱ inȱ1991ȱundertakingȱtheȱapplicationȱofȱtheȱEuropeanȱRegulations.ȱInȱ1993,ȱpermissionȱwasȱgivenȱtoȱtwoȱprivateȱorganizations:ȱ�DIO�ȱandȱ�SOGE�.ȱ�Fysiologiki�ȱwasȱtheȱthirdȱcertifyingȱorganizationȱestablishedȱinȱ1994ȱ(KaldisȱandȱGardeli,ȱ1996).ȱ
Greece,ȱwhichȱhasȱmanyȱcompetitorsȱconcerningȱconventionalȱagriculturalȱproducts,ȱisȱaȱcounȬtryȱthatȱcanȱeasilyȱexploitȱtheȱpreviouslyȱreferredȱadvantagesȱofȱorganicȱcultivationȱofȱtheȱoliveȱtreeȱandȱthusȱtheȱproductionȱofȱorganicȱoliveȱoil.ȱHowever,ȱeffortsȱshouldȱbeȱmadeȱinȱorderȱtoȱcontinuallyȱimproveȱtheȱproduct.ȱTherefore,ȱcustomerȱsatisfactionȱmeasurementȱcouldȱbeȱveryȱhelpfulȱinȱevaluatingȱtheȱnecessaryȱmarketȱpenetrationȱstrategies.ȱ
Customer Satisfaction Evaluation Methodology
Nowadays,ȱmoreȱandȱmoreȱorganizationsȱhaveȱcomeȱtoȱunderstandȱtheȱimportanceȱofȱcustomerȱsatisfaction.ȱInȱfact,ȱitȱhasȱlongȱbeenȱrecognizedȱasȱaȱstandardȱofȱperformanceȱandȱexcellenceȱforȱanyȱbusinessȱorganization.ȱCustomerȱ satisfactionȱ isȱ consideredȱ toȱbeȱ aȱmodernȱ approachȱ forȱqualityȱandȱaȱdynamicȱparameterȱofȱbusinessȱorganizationsȱofȱallȱtypesȱthroughoutȱtheȱworld.ȱItȱisȱregardedȱasȱaȱnecessaryȱconditionȱforȱcontinuousȱimprovementȱofȱmodernȱenterprisesȱasȱwellȱasȱdeterminationȱofȱpossibleȱ�opportunities�ȱinȱaȱparticularȱmarket,ȱjustȱlikeȱtheȱcaseȱofȱtheȱagriȬculturalȱmarket,ȱandȱthereforeȱitsȱevaluationȱisȱofȱgrowingȱinterest.ȱȱ
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AȱlotȱofȱdefinitionsȱwereȱgivenȱforȱcustomerȱsatisfactionȱbutȱaccordingȱtoȱHillȱ(1996),ȱitȱisȱconȬsideredȱtoȱbeȱ�aȱmeasureȱofȱhowȱanȱorganization�sȱtotalȱproductȱperformsȱinȱrelationȱtoȱaȱsetȱofȱcustomersȱexpectations�.ȱ
Measuringȱcustomerȱsatisfactionȱprovidesȱanȱeffective,ȱdirect,ȱmeaningfulȱandȱobjectiveȱassessȬmentȱofȱcustomers�ȱpreferencesȱandȱexpectations.ȱSinceȱchangesȱinȱtheȱcurrentȱmarketȱcanȱaffectȱtheseȱpreferences,ȱ theȱexistenceȱofȱaȱpermanentȱcustomerȱsatisfactionȱbarometerȱ isȱconsideredȱnecessary.ȱParticularlyȱinȱagriculturalȱproducts,ȱcustomerȱsatisfactionȱcanȱleadȱtoȱcustomerȱloyȬalty.ȱTheȱphilosophyȱaccordingȱtoȱIsraelȱ(1997)ȱisȱtoȱ�neverȱtakeȱcustomersȱforȱgranted,ȱbutȱacȬtivelyȱcultivateȱlongȬtermȱrelationships�.ȱȱ
Severalȱ studiesȱhaveȱbeenȱ conductedȱ focusingȱonȱ consumers�ȱbehaviorȱ regardingȱGreekȱagriȬculturalȱproducts.ȱ Inȱ theȱ caseȱofȱoliveȱoilȱ specificallyȱ theȱmostȱ commonȱ statisticalȱ techniquesȱusedȱwereȱ frequencyȱdistributions,ȱcrossȱ tabulations,ȱAnova,ȱ factorȱanalysisȱandȱdiscriminantȱanalysisȱ(Baourakisȱetȱal,ȱ1995,ȱSiskosȱetȱal,ȱ1995,ȱBaourakisȱandȱApostolakis,ȱ1999,ȱSiskosȱetȱal,ȱ2001,ȱBaourakisȱetȱal,ȱ2002).ȱ
PreviousȱconsumerȱresearchȱalsoȱshowedȱthatȱthereȱisȱaȱrealȱneedȱforȱimprovingȱoliveȱoilȱqualȬity.ȱHowever,ȱextensiveȱresearchȱhasȱshownȱthatȱtheȱcustomerȱsatisfactionȱevaluationȱproblemȱhasȱnotȱbeenȱconsideredȱsoȱfarȱinȱtheȱagriculturalȱsector,ȱletȱaloneȱtheȱrecentlyȱdevelopedȱmarketȱofȱorganicȱproducts.ȱTherefore,ȱtheȱpresentȱstudyȱonȱorganicȱoliveȱoilȱcanȱbeȱconsideredȱtoȱbeȱaȱpioneerȱinȱtheȱspecificȱfieldȱofȱorganicȱproducts.ȱ
Theȱmethodȱ thatȱwasȱdevelopedȱ forȱmeasuringȱ andȱ analyzingȱ customerȱ satisfactionȱ isȱ calledȱMUSA1ȱ (MUlticriteriaȱSatisfactionȱAnalysis).ȱ Itȱ isȱaȱpreferenceȱdisaggregationȱmodelȱbasedȱonȱtheȱprinciplesȱofȱmulticriteriaȱanalysisȱusingȱordinalȱregressionȱtechniques.ȱItsȱmainȱobjectiveȱisȱtheȱaggregationȱofȱindividualȱpreferencesȱintoȱaȱcollectiveȱvalueȱfunction.ȱMoreȱspecifically,ȱitȱisȱassumedȱaccordingȱtoȱGrigoroudisȱandȱSiskosȱ(2001)ȱthatȱconsumer�sȱglobalȱsatisfactionȱcanȱbeȱexplainedȱbyȱaȱsetȱofȱcriteriaȱorȱvariablesȱrepresentingȱ theȱproduct�sȱorȱservice�sȱcharacteristicȱdimensions.ȱ
Results of the Study
Survey Design
TheȱsurveyȱwasȱconductedȱinȱtheȱregionȱofȱThessalonikiȱinȱGreeceȱbetweenȱNovemberȱ20thȱȬȱ30th,ȱ2000.ȱAȱ totalȱofȱ131ȱorganicȱoliveȱoilȱ consumersȱwereȱ interviewedȱ inȱ specialȱ locationsȱ sellingȱonlyȱorganicȱproductsȱinȱ2ȱsupermarkets.ȱDuringȱtheȱsurvey,ȱeachȱcustomerȱwasȱaskedȱthroughȱaȱsimpleȱquestionnaireȱtoȱexpressȱhis/herȱevaluationsȱforȱaȱsetȱofȱcriteriaȱconcerningȱorganicȱandȱconventionalȱoliveȱoil.ȱLikertȱscalesȱwereȱusedȱtoȱmeasureȱcustomers�ȱjudgments.ȱTheȱquestionȬnaireȱwasȱaddressedȱtoȱthoseȱcustomersȱwhoȱwereȱawareȱandȱhaveȱalreadyȱtastedȱorganicȱoliveȱoil.ȱȱ
Theȱassessmentȱofȱaȱsetȱofȱsatisfactionȱcriteriaȱandȱtheȱdefinitionȱofȱtheȱvalueȱhierarchyȱisȱoneȱofȱtheȱmostȱ importantȱ stagesȱ ofȱ theȱ implementedȱmethodologyȱ (Grigoroudisȱ andȱ Siskos,ȱ 2001).ȱTheȱmainȱsatisfactionȱcriteriaȱinclude:ȱ
Üȱ Healthȱ(theȱdegreeȱthatȱtheȱproductȱcontributesȱtoȱpeople�sȱhealth).ȱ
1 MUSA methodology is fully described in the following paper: Grigoroudis, V., and Y. Siskos (2001), Preference Disaggregation for Measuring and Analysing Customer Satisfaction: The MUSA Method, EJOR, European Journal of Operational Research (to appear)
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Üȱ Price/qualityȱ(howȱexpensive/cheapȱtheȱproductȱisȱinȱrelationȱtoȱitsȱquality).ȱ
Üȱ Packagingȱ(packagingȱmaterial,ȱcapacity,ȱlabelȱinformation,ȱpracticality,ȱresistanceȱandȱimȬage).ȱ
Üȱ Specificȱcharacteristicsȱ(colour,ȱflavourȱandȱtaste)ȱandȱ
Üȱ Promotionȱ&ȱdispositionȱ(informationȱ&ȱadvertising,ȱavailability&ȱaccess)ȱ
Theȱaimȱofȱthisȱsurveyȱwasȱtheȱidentificationȱofȱcustomerȱpreferencesȱandȱtheȱdeterminationȱofȱtheȱweakȱandȱstrongȱpointsȱofȱorganicȱoliveȱoil,ȱcomparedȱtoȱthoseȱofȱtheȱconventionalȱproduct,ȱtherebyȱ contributingȱ inȱ thisȱwayȱ toȱaȱ strategicȱplanningȱ forȱ theȱ improvementȱofȱ theȱproduct,ȱandȱfinallyȱtheȱidentificationȱofȱmarketȱsegmentation.ȱ
Global Satisfaction Analysis
Accordingȱtoȱtheȱresultsȱofȱtheȱbasicȱcriteriaȱ(whichȱareȱpresentedȱinȱAppendixȱI),ȱitȱisȱobservedȱthatȱtheȱhealthȱcriterionȱisȱfarȱmoreȱimportantȱthanȱtheȱotherȱonesȱ(almostȱ36%).ȱThisȱshowsȱhowȱsensitiveȱcustomersȱareȱinȱtermsȱofȱnutrition.ȱTheȱpackagingȱandȱcertainȱspecificȱcharacteristicsȱhaveȱtheȱsameȱsignificanceȱandȱwereȱawardedȱaȱweightȱofȱ20%ȱeach.ȱTheȱremainingȱcriteriaȱdoȱnotȱseemȱtoȱplayȱanȱimportantȱroleȱtoȱcustomers�ȱpreferencesȱ(Figureȱ1).ȱ
35.69%
12.20%20%
20% 12.11%
HEALTH PRICE/QUALITYPACKAGING SPECIFIC CHARACTERISTICSPROMOTION & DISPOSITION
. Weights Criteria of Organic Olive Oil
Asȱfarȱasȱtheȱaverageȱglobalȱsatisfactionȱindexȱisȱconcerned,ȱitȱhasȱaȱrelativelyȱsatisfactoryȱvalueȱofȱoverȱ78%ȱwithȱmarginsȱforȱimprovement.ȱThisȱisȱmainlyȱdueȱtoȱtheȱcriterionȱofȱhealth,ȱwhichȱhasȱ theȱhighestȱaverageȱ satisfactionȱ indexȱ (96,7%),ȱwhileȱ itȱ isȱ theȱmostȱ importantȱ satisfactionȱdimensionȱforȱcustomers.ȱTheȱcriteriaȱofȱpackagingȱandȱspecificȱcharacteristicsȱhaveȱalsoȱquiteȱhighȱsatisfactionȱindicesȱ(78,1%ȱandȱ84,1%ȱrespectively).ȱHowever,ȱcustomersȱdoȱnotȱseemȱtoȱbeȱsatisfiedȱbyȱtheȱpromotionȱandȱdispositionȱofȱtheȱproductȱ(averageȱsatisfactionȱindexȱisȱ31,3%),ȱevenȱthoughȱ12,1%ȱofȱtheȱrespondentsȱdoȱnotȱconsiderȱthisȱparticularȱcriterionȱimportant.ȱThereȱareȱ stillȱpeopleȱwhoȱdoȱnotȱ evenȱknowȱwhatȱorganicȱproductsȱare.ȱFigureȱ2ȱbetterȱ illustratesȱhowȱdissatisfiedȱcustomersȱseemȱtoȱbeȱfromȱtheȱpromotionȱ&ȱdispositionȱasȱwellȱasȱtheȱpriceȱofȱtheȱproduct.ȱTheȱblackȱlineȱrepresentsȱtheȱglobalȱsatisfactionȱindexȱandȱtheȱdifferenceȱamongȱtheȱvariousȱcriteriaȱcanȱbeȱeasilyȱseen.ȱ
78,39%
51.27%
78.13% 84.08%
31.30%
96.73%
0%
20%
40%
60%
80%
100%
HEALTH PRICE/QUALITY PACKAGING SPECIFIC CHARACTERISTICS
PROMOTION & DISPOSITION
. Satisfaction Indices of the Criteria of Organic Olive Oil
270
Theȱnegativeȱvalueȱofȱ theȱaverageȱdemandingȱ indexȱ (Ȭ47,2%)ȱ showsȱ indeedȱ theȱ factȱ thatȱ cusȬtomersȱareȱnotȱsoȱdemandingȱregardingȱtheȱparticularȱproduct.ȱCustomers�ȱdeclareȱtoȱbeȱsatisȬfiedȱfromȱorganicȱoliveȱoil,ȱevenȱthoughȱtheyȱareȱnotȱhappyȱfromȱallȱtheȱproduct�sȱdimensions.ȱȱ
Theȱactionȱdiagramȱ inȱFigureȱ3ȱ indicatesȱ theȱstrongȱandȱweekȱpointsȱofȱ theȱproduct.ȱTheȱperȬceptualȱmapȱpresentedȱbelowȱrevealsȱthatȱthereȱisȱnoȱdimensionȱinȱtheȱcriticalȱquadrantȱandȱsoȱnoȱ immediateȱ improvementȱ isȱrequired.ȱHowever,ȱattentionȱshouldȱbeȱpaidȱtoȱtheȱcriterionȱofȱpromotionȱ&ȱdispositionȱasȱ itȱcanȱbeȱcharacterizedȱasȱaȱpotentiallyȱcriticalȱsatisfactionȱdimenȬsion.ȱCustomersȱseemȱtoȱbeȱdissatisfiedȱ(lowȱperformance)ȱfromȱitȱasȱwellȱasȱfromȱtheȱpriceȱinȱrelationȱtoȱquality.ȱHealthȱonȱtheȱotherȱhand,ȱ isȱaȱstrongȱpointȱandȱ isȱconsideredȱtoȱbeȱaȱcomȬpetitiveȱadvantageȱofȱorganicȱoliveȱoilȱ(highȱimportanceȱandȱhighȱperformance).ȱ
HEALTH SPECI FI C
CHARACTERI STI CS
PACKAGI NG
PRI CE/ QUALI TY
PROMOTI ON & DI SPOSI TI ON
Low high IMPORTANCE
PE
RF
OR
MA
NC
E
Low
Hig
h
Relative Action Diagram for Organic Olive Oil Criteria
Therefore,ȱ theȱ improvementȱ prioritiesȱ accordingȱ toȱ theȱ improvementȱ diagramȱ inȱ Figureȱ 4,ȱshouldȱbeȱfocusedȱon:ȱ
Theȱpromotionȱ&ȱdispositionȱofȱorganicȱoliveȱoil,ȱgivenȱ thatȱ theȱaverageȱ satisfactionȱ indexȱ isȱparticularlyȱ low.ȱConsumersȱareȱnotȱveryȱdemandingȱandȱalsoȱnoȱgreatȱeffortȱ isȱrequiredȱforȱitsȱimprovementȱdueȱtoȱitsȱhighȱeffectiveness.ȱȱ
Theȱ criterionȱofȱprice/quality,ȱwhereȱ theȱ satisfactionȱ indexȱallowsȱ significantȱmarginsȱ forȱ imȬprovementȱwithȱnoȱparticularȱeffort.ȱ
Theȱpackagingȱofȱtheȱproduct,ȱsinceȱitȱisȱveryȱcloseȱtoȱtheȱ1stȱpriorityȱquadrant,ȱtoo.ȱ
PROMOTI ON & DI SPOSI TI ON
PRI CE/ QUALI TY
PACKAGI NG SPECI FI C
CHARACTERI STI CS
HEALTH
Low High EFFECTIVENESS
DE
MA
ND
ING
Low
Hig
h
Relative Improvement Diagram for Organic Olive Oil Criteria
271
Itȱ isȱworthȱmentioningȱ thatȱeffortsȱ shouldȱbeȱmadeȱ inȱorderȱ toȱmaintainȱ theȱhighȱ satisfactionȱlevelȱofȱtheȱhealthȱcriterion,ȱsinceȱitȱisȱresponsibleȱforȱtheȱsatisfactoryȱglobalȱperformanceȱofȱtheȱproduct.ȱ
Criteria Satisfaction Analysis
Theȱcriteriaȱsatisfactionȱanalysisȱconfirmsȱtheȱconclusionsȱofȱtheȱpreviousȱsection.ȱGenerally,ȱtheȱproduct�sȱperformanceȱisȱquiteȱhighȱinȱtheseȱsatisfactionȱdimensions,ȱwhichȱareȱconsideredȱtoȱbeȱimportantȱbyȱtheȱcustomers.ȱTheȱpartialȱanalysisȱthatȱfollowsȱcouldȱdetermineȱmoreȱspecificallyȱtheȱstrengthsȱandȱweaknessesȱofȱorganicȱoliveȱoil.ȱItȱfactȱitȱcouldȱshowȱexactlyȱwhichȱcharacterȬisticsȱshouldȱbeȱpaidȱmoreȱattentionȱto,ȱforȱtheȱimprovementȱofȱtheȱproduct.ȱTakingȱintoȱconsidȬerationȱtheȱdetailedȱresultsȱinȱAppendixȱII,ȱitȱcanȱbeȱconcludedȱthat:ȱ
Theȱmaterial,ȱtheȱcapacityȱandȱtheȱresistanceȱareȱtheȱmainȱcompetitiveȱadvantagesȱofȱtheȱorganicȱoliveȱoil�sȱpackaging,ȱ justifyingȱ itsȱrelativelyȱhighȱsatisfactionȱ index.ȱCustomersȱareȱquiteȱsatisfiedȱfromȱtheȱremainingȱcharacteristicsȱtoo,ȱbutȱtheyȱdoȱnotȱconsiderȱthemȱtoȱbeȱasȱimȬportantȱasȱtheȱformer.ȱ
Customersȱareȱveryȱsatisfiedȱfromȱtheȱcolourȱandȱtasteȱofȱtheȱproduct.ȱEvenȱthoughȱflavourȱalsoȱhasȱquiteȱaȱhighȱaverageȱsatisfactionȱindex,ȱitȱisȱnotȱaȱsignificantȱcharacteristic.ȱ
Theȱlowȱlevelȱofȱsatisfaction,ȱasȱfarȱasȱtheȱpromotionȱ&ȱdispositionȱisȱconcerned,ȱisȱmainlyȱdueȱtoȱ theȱ subcriterionȱ ofȱ informationȱ andȱ advertisingȱ ofȱ theȱ product.ȱ Particularȱ attentionȱshouldȱbeȱpaidȱtoȱthat,ȱsinceȱcustomersȱregardȱitȱasȱveryȱimportant,ȱbutȱonȱtheȱotherȱhandȱtheyȱareȱcompletelyȱunsatisfied.ȱCustomersȇȱdemandȱ forȱbeingȱ informedȱaboutȱ theȱprodȬuctȇsȱattributesȱisȱcomprehensible.ȱMarginsȱforȱimprovementȱalsoȱexistȱforȱtheȱcharacteristicȱofȱavailabilityȱandȱaccess,ȱevenȱthoughȱitȱisȱnotȱveryȱsignificant.ȱ
Theȱactionȱdiagramȱ inȱFigureȱ5ȱ indicatesȱ thatȱ theȱ informationȱ&ȱadvertisingȱofȱ theȱproductȱ isȱreallyȱinefficient.ȱTheȱfactȱthatȱitȱisȱlocatedȱinȱtheȱcriticalȱquadrantȱsimplyȱshowsȱtheȱneedȱforȱimmediateȱimprovement.ȱApartȱfromȱthat,ȱimage,ȱlabelȱinformationȱandȱpracticalityȱareȱtheȱweakȱpointsȱofȱ theȱpackagingȱandȱcouldȱbeȱ improved.ȱOnȱ theȱotherȱhand,ȱ theȱcolourȱandȱpackagingȱmaterialȱareȱtheȱstrongȱpointsȱofȱtheȱorganicȱoliveȱoil.ȱ
AVAILABILITY
& ACCESS
LABEL INFORMATION
FLAVOUR INFORMATION
& ADVERTISING
TASTE
COLOUR PACKAGING MATERIAL
IMAGE
PRACTICALITY
RESISTANCE CAPACITY
Low High IMPORTANCE
PE
RF
OR
MA
NC
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Lo
w
Hig
h
Relative Action Diagram for Organic Olive Oil Subcriteria
AccordingȱtoȱFigureȱ6,ȱtheȱimprovementȱeffortsȱshouldȱbeȱfocusedȱonȱtheȱfollowingȱsubcriteriaȱinȱorderȱofȱprecedence:ȱ
Informationȱ &ȱ advertisingȱ ofȱ theȱ productȱ (theȱ criticalȱ dimension).ȱ Customersȱ areȱ veryȱ deȬmandingȱwhereȱ theȱparticularȱ subcriterionȱ isȱ concernedȱ indicatingȱ thatȱ extendedȱ effortsȱshouldȱbeȱmadeȱsoȱasȱtoȱraiseȱtheȱsatisfactionȱlevel.ȱ
272
Labelȱinformationȱshouldȱbeȱmoreȱadequateȱinȱorderȱtoȱmeetȱcustomerȱdemandȱandȱyetȱeffortsȱmadeȱtowardsȱthisȱdirectionȱseemȱtoȱbeȱratherȱminimal.ȱ
Marginsȱforȱimprovementȱalsoȱexistȱforȱtheȱpracticalityȱandȱimageȱofȱtheȱproduct.ȱTheirȱhighȱefȬfectivenessȱmeansȱthatȱnoȱgreatȱeffortȱisȱrequiredȱtoȱachieveȱthisȱpurpose.ȱ
INFORMATION & ADVERTISING
AVAILABILITY & ACCESS
TASTE COLOUR
IMAGE FLAVOUR
LABEL INFORMATION
PACKAGING MATERIAL
RESISTANCE CAPACITY
PRACTICALITY
Low High EFFECTIVENESS
DE
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Lo
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H
igh
Relative Improvement Diagram for Organic Olive Oil Subcriteria
Comparative Analysis between Organic & Conventional Olive Oil
Apartȱfromȱorganicȱoliveȱoil,ȱcustomerȱsatisfactionȱmeasurementȱwasȱappliedȱalsoȱinȱtheȱcaseȱofȱconventionalȱoliveȱoil.ȱWhatȱfollowsȱisȱanȱanalysisȱinȱorderȱtoȱfindȱoutȱtheȱstrengthsȱandȱweakȬnessesȱofȱorganicȱoliveȱoilȱcomparedȱtoȱtheȱconventionalȱone,ȱcontributingȱinȱthisȱwayȱtoȱanȱefȬfectiveȱstrategicȱplanningȱforȱtheȱimprovementȱofȱtheȱproduct.ȱȱ
Inȱgeneral,ȱcustomersȱseemȱtoȱbeȱmoreȱsatisfiedȱfromȱorganicȱoliveȱoilȱevenȱthoughȱtheȱdifferȬenceȱisȱveryȱsmallȱ(onlyȱ2,8%).ȱMoreȱspecifically,ȱaccordingȱtoȱFigureȱ7,ȱtheyȱseemȱtoȱpreferȱorȬganicȱoliveȱoilȱ inȱ termsȱofȱhealthȱandȱ itsȱ specificȱcharacteristics,ȱwhileȱ theyȱ findȱconventionalȱoliveȱoilȱtoȱbeȱbetterȱpackagedȱ(dueȱtoȱtheȱfactȱthatȱtheyȱareȱlessȱdemandingȱforȱthisȱcriterionȱinȱthisȱ case)ȱ andȱ promotedȱ andȱ haveȱ lowerȱ priceȱ relatedȱ toȱ itsȱ quality.ȱ Theȱ tradeȬoffȱ betweenȱhealthȱ andȱ promotionȱ &ȱ dispositionȱ betweenȱ theȱ twoȱ productsȱ isȱworthȱmentioning.ȱ Evenȱthoughȱoliveȱoilȱhasȱwonȱaȱprivilegedȱpositionȱinȱhumanȱnutrition,ȱdueȱtoȱitsȱbiologicalȱandȱnuȬtritionalȱ features,ȱorganicȱoliveȱoilȱ isȱaȱchemicalȬfreeȱproduct,ȱwhichȱsatisfiesȱbetterȱcustomersȱdemandȱforȱqualityȱfood.ȱOnȱtheȱotherȱhand,ȱtheȱexistingȱdistributionȱnetworkȱandȱadvertisingȱcampaignsȱ concerningȱ theȱ conventionalȱoliveȱoilȱ favourȱ itsȱ consumption,ȱmakingȱ clearȱatȱ theȱsameȱtimeȱtheȱneedȱforȱbetterȱpromotionȱregardingȱtheȱorganicȱproduct.ȱ
96.73%
84.08%
78.39%
72.43%
89.71%
65.78%
60.25%
51.27%
78.13%
31.30%
58.14%
75.59%
HEALTH
PRICE/QUALITY
PACKAGE
SPECIFIC CHARACTERISTICS
PROMOTION & DISPOSITION
GLOBAL SATISFACTION
ORGANIC CONVENTIONAL
Satisfaction Indices of Organic & Conventional Olive Oil
Comparingȱnowȱtheȱsignificanceȱofȱtheȱcriteriaȱforȱbothȱproducts,ȱitȱbecomesȱobviousȱthatȱthereȱisȱaȱtradeȬoffȱinȱtermsȱofȱtheȱcriteriaȱofȱhealthȱandȱpackage.ȱThatȱis,ȱcustomersȱconsiderȱtheȱcriteȬrionȱofȱhealthȱ toȱbeȱ farȱmoreȱ importantȱwhenȱorganicȱoliveȱoilȱ isȱconcerned.ȱPeopleȱexpectȱ toȱ
273
haveȱaȱqualityȱproductȱwithȱexcellentȱnutritionalȱfeatures,ȱwhichȱseemȱtoȱbeȱtheȱmainȱreasonȱforȱitsȱconsumption.ȱExactlyȱtheȱoppositeȱhappensȱforȱtheȱpackageȱofȱtheȱproducts,ȱwhichȱseemsȱtoȱbeȱmoreȱsignificantȱinȱtheȱcaseȱofȱconventionalȱoliveȱoilȱ(Figureȱ8).ȱ
35.69%
12.20%
20%
12.11%
13.41%
12.24%
15.81%
12.47%
20% 46.08%
HEALTH
PRICE/QUALITY
PACKAGE
SPECIFIC CHARACTERISTICS
PROMOTION & DISPOSITION
ORGANIC CONVENTIONAL
Criteria Weights of Organic & Conventional Olive Oil
Theȱ aforementionedȱ resultsȱ areȱalsoȱ justifiedȱbyȱ lookingȱatȱ theȱglobalȱ criteriaȱandȱ subcriteriaȱfrequenciesȱofȱ theȱ twoȱproducts,ȱpresentedȱ inȱAppendixȱ III.ȱ Itȱ isȱworthȱsayingȱ thatȱcustomersȱpreferȱmostlyȱorganicȱoliveȱoilȱforȱitsȱcolourȱandȱitsȱtaste.ȱThisȱcanȱbeȱeasilyȱunderstood,ȱsinceȱtheȱnaturalȱmethods,ȱthroughȱwhichȱorganicȱoliveȱoilȱisȱproducedȱandȱprocessed,ȱattributeȱspeȬcialȱandȱdistinctȱcharacteristicsȱ (colour,ȱ tasteȱandȱ flavour)ȱ toȱ thisȱproduct.ȱOnȱ theȱotherȱhand,ȱcustomersȱareȱveryȱsatisfiedȱfromȱtheȱavailabilityȱandȱaccessȱofȱconventionalȱoliveȱoil,ȱdueȱtoȱitsȱestablishedȱdistributionȱnetwork.ȱTheȱ inefficientȱdistributionȱ channelsȱ alongȱwithȱ theȱ limitedȱavailableȱ informationȱareȱtheȱmainȱweaknessesȱofȱtheȱorganicȱoliveȱoil.ȱSince,ȱinformationȱandȱadvertisingȱofȱorganicȱoliveȱoilȱplaysȱaȱreallyȱimportantȱroleȱforȱpeople,ȱthenȱmostȱeffortsȱshouldȱbeȱfocusedȱonȱthisȱdirection.ȱ
Conclusion and Recommendations
Theȱaboveȱanalysisȱmakesȱclearȱwhatȱareȱtheȱstrongȱpointsȱregardingȱorganicȱoliveȱoilȱandȱwhatȱeffortsȱ shouldȱ beȱmadeȱ inȱ orderȱ toȱ improveȱ theȱweakȱpointsȱ ofȱ theȱproduct.ȱAllȱ theȱ recomȬmendedȱstrategiesȱprovideȱalternativeȱsolutions,ȱwhichȱcombinedȱwithȱ theȱexistingȱmarketingȱstrategies,ȱcouldȱleadȱtoȱtheȱdevelopmentȱofȱoptimalȱmarketingȱtechniquesȱforȱtheȱmodificationȱofȱtheȱproduct�sȱcharacteristicsȱinȱtheȱmostȱeffectiveȱway.ȱȱ
TheȱorganicȱcultivationȱofȱtheȱoliveȱtreeȱoffersȱmanyȱadvantagesȱatȱbothȱtheȱsocioȬeconomicȱandȱenvironmentalȱlevelȱinȱGreece.ȱItȱisȱtheȱmostȱimportantȱbiologicalȱproductȱandȱisȱconsideredȱtoȱbeȱaȱpromisingȱoneȱforȱpenetratingȱ intoȱnewȱmarkets.ȱTheȱpresentȱstudyȱhasȱattemptedȱtoȱexȬploreȱcustomers�ȱpreferencesȱregardingȱorganicȱoliveȱoil,ȱaimingȱatȱdevelopingȱaȱstrategicȱplanȱforȱ theȱcontinuousȱ improvementȱofȱ theȱproduct.ȱTheȱ improvementȱpriorities,ȱ takingȱ intoȱconȬsiderationȱcustomers�ȱdemandȱandȱ theȱ requiredȱeffort,ȱshouldȱbeȱ focusedȱonȱ theȱ followingȱ inȱorderȱofȱprecedence:ȱ
Promotionȱ&ȱdispositionȱseemsȱtoȱbeȱtheȱgreatestȱweaknessȱofȱorganicȱoliveȱoil.ȱOnȱtheȱcontrary,ȱconventionalȱoliveȱoilȱseemsȱtoȱbeȱbetterȱpromotedȱthanȱtheȱorganicȱone.ȱTheȱexistingȱdistribuȬtionȱnetworkȱandȱadvertisingȱcampaignsȱconcerningȱ theȱconventionalȱoliveȱoilȱ favourȱ itsȱconȬsumption.ȱEvenȱthoughȱpeopleȱareȱawareȱofȱtheȱnutritionalȱandȱorganolepticȱattributesȱofȱconȬventionalȱoliveȱoil,ȱunfortunately,ȱthereȱisȱaȱlargeȱnumberȱofȱpeopleȱwhoȱstillȱdoȱnotȱknowȱwhatȱanȱorganicȱproductȱ is.ȱInȱadditionȱtoȱthat,ȱcustomersȱareȱuncertainȱaboutȱtheȱorganicȱoriginȱofȱtheȱproduct.ȱTherefore,ȱsystematicȱprovisionȱofȱinformationȱmainlyȱthroughȱadvertisingȱisȱnecȬessary.ȱTheȱproductȱneedsȱ toȱbeȱbetterȱpromotedȱenhancingȱ consumers�ȱawarenessȱofȱ itsȱ feaȬ
274
turesȱandȱnutritionalȱ content.ȱ Informingȱpeopleȱaboutȱ theȱqualityȱ standardsȱ couldȱbeȱaȱgoodȱstartȱforȱbuildingȱtheirȱconfidence.ȱReliableȱsystemsȱofȱmonitoringȱandȱverificationȱforȱcertifyingȱtheȱorganicȱnatureȱofȱoliveȱoilȱareȱalsoȱnecessary.ȱApartȱ fromȱ this,ȱcustomersȱwantȱ toȱ findȱtheȱproductȱeasily,ȱthus,ȱtheȱselectionȱofȱoptimalȱchannelsȱofȱdistributionȱcouldȱcontributeȱtoȱbetterȱaccessȱtoȱtheȱproduct.ȱȱ
Asȱfarȱasȱtheȱpriceȱisȱconcerned,ȱsomeȱpeopleȱareȱwillingȱtoȱpayȱtheȱhighȱprice,ȱsinceȱtheyȱtakeȱintoȱaccountȱorganicȱoliveȱoil�sȱcontributionȱ toȱaȱhealthyȱdiet.ȱNevertheless,ȱ thereȱareȱpeople,ȱwhoȱcannotȱaffordȱtoȱpayȱforȱtheȱproduct.ȱInȱthisȱcase,ȱaȱflexibleȱpricingȱstrategyȱcouldȱbeȱfolȬlowedȱ(bonus,ȱspecialȱoffers,ȱdiscounts,ȱetc),ȱifȱpossible.ȱItȱshouldȱbeȱnoticedȱthatȱtheȱpriceȱisȱexȬpectedȱtoȱbeȱreducedȱifȱtheȱlevelȱofȱtheȱproductionȱrises,ȱthroughȱsomeȱgovernmentȱpoliciesȱandȱpriceȱsupport.ȱ
Evenȱthoughȱpeopleȱseemȱtoȱbeȱquiteȱsatisfiedȱfromȱtheȱwayȱtheȱproductȱisȱgenerallyȱpackaging,ȱattentionȱshouldȱbeȱpaidȱtoȱtheȱlabelȱofȱtheȱpackaging.ȱMoreȱspecifically,ȱtheȱlabelȱisȱcharacterȬizedȱasȱunsatisfactory,ȱsinceȱitȱdoesn�tȱprovideȱenoughȱinformationȱtoȱtheȱconsumer.ȱȱ
Theȱspecialȱproduct�sȱcharacteristicsȱ (colour,ȱ tasteȱandȱ flavour),ȱareȱanotherȱconsiderationȱbutȱtheyȱ areȱ difficultȱ toȱ quantifyȱ objectively.ȱ Peopleȱ seemȱ toȱ beȱ satisfiedȱ fromȱ themȱ andȱ effortsȱshouldȱbeȱmadeȱtoȱmaintainȱandȱimprove,ȱifȱpossible,ȱtheȱlevelȱofȱcustomerȱsatisfaction.ȱȱ
Consumers�ȱneedȱ forȱsafeȱandȱgoodȱqualityȱ foodȱhasȱ increasedȱduringȱ theȱ lastȱ fewȱyearsȱandȱthus,ȱhealthinessȱandȱnutritionalȱvalueȱareȱtheȱbasicȱreasonsȱgivenȱbyȱconsumersȱforȱpurchasingȱorganicȱoliveȱoil.ȱBut,ȱsinceȱchangesȱinȱtheȱcurrentȱmarketȱcanȱaffectȱtheseȱpreferences,ȱtheȱexisȬtenceȱofȱaȱpermanentȱcustomerȱsatisfactionȱbarometerȱisȱconsideredȱnecessaryȱandȱextensiveȱreȬsearchȱisȱrequiredȱinȱorderȱtoȱkeepȱupȱwithȱconsumers�ȱdemands.ȱToȱsumȱup,ȱifȱsuitableȱactionsȱareȱtakenȱatȱaȱnationalȱlevel,ȱthenȱorganicȱoliveȱoilȱcouldȱbeȱaȱstrategicȱproduct,ȱbringingȱGreeceȱtoȱanȱadvantageousȱpositionȱinȱtheȱinternationalȱmarketȱoverȱtheȱcomingȱyears.ȱ
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Appendix
Global Satisfaction Results of Organic Olive Oil
Criterion Subcriterion Weight Average
Satisfaction Index
Average Demanding
Index
Average Improvement
Index
Health - 35,69% 96,73% -66,378% 1,168
Price/Quality - 12,20% 51,27% -1,611% 5,943
Packaging Material 28,81% 86,57% -58,353% 3,87
Capacity 16,67% 78,87% -26,91% 3,523
Label Infor-mation 12,22% 54,16% -1,784% 5,601
Practicality 13,09% 65,65% -8,327% 4,497
Resistance 16,67% 75,74% -27,736% 4,044
Image 12,55% 65,61% -4,344% 4,314
Packaging
Total 20% 78,13% -40% 4,374
Colour 54,28% 94,12% -77,823% 3,19
Flavour 12,39% 73,51% -3,109% 3,281
Taste 33,33% 91,03% -63,34% 2,991
Specific Characteristics
Total 20% 84,08% -40% 3,183
Information & Advertising 87,60% 2,91% 86,301% 85,052
Availability & Access 12,40% 34,62% 3,239% 8,108
Promotion & Disposition
Total 12,11% 31,30% 0,309% 8,322
Global Satisfaction
- - 78,39% -47,198% -
276
Results of Organic Olive Oil Subcriteria
Criterion Weight Average Satisfaction Index
Average Demanding Index
Average Improvement Index
Health 35,69% 96,73% -66,378% 1,168
Price/Quality 12,20% 51,27% -1,611% 5,943
Packaging 20% 78,13% -40% 4,374
Specific Characteristics 20% 84,08% -40% 3,183
Promotion & Disposition 12,11% 31,30% 0,309% 8,322
Global Satisfaction - 78,39% -47,198% -
Criteria Satisfaction Results for Organic & Conventional Olive Oil
Organic Olive Oil Conventional Olive Oil
Criterion Subcriterion Weight Average
Satisfaction Index Weight
Average Satisfaction
Index
Health - 35.69% 96.73% 13.41% 72.43%
Price/Quality - 12.20% 51.27% 12.24% 58.14%
Package Material 28.81% 86.57% 13.21% 64.39%
Capacity 16.67% 78.87% 13.21% 73.41%
Label Infor-mation 12.22% 54.16% 12.61% 52.36%
Practicality 13.09% 65.65% 31.91% 86.22%
Resistence 16.67% 75.74% 16.67% 74.44%
Image 12.55% 65.61% 12.40% 60.78%
Package
Total 20% 78.13% 46.08% 89.71%
Colour 54.28% 94.12% 13.06% 59.84%
Flavour 12.39% 73.51% 21% 31.95%
Taste 33.33% 91.03% 65.94% 39.84%
Specific Characteristics
Total 20% 84.08% 15.81% 65.78%
Information & Advertising 87.60% 2.91% 12.35% 43.85%
Availability & Access 12.40% 34.62% 87.65% 96.00%
Promotion & Disposition
Total 12.11% 31.30% 12.47% 60.25%
Global Satisfaction
- - 78.39% - 75.59%
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