Price promotion of organic foods and consumer demand

Abstract Existing studies have examined the demand elasticities for organic products only in select categories, and their results consumers' sensitivity to price changes are inconsistent. Evidence regarding effects of promotions on foods vs non-organic is scarce. This study aims (1) examine own-price counterparts both with without a promotion variety product (2) investigate how distinctive between depend food category features. Using purchase data 36 categories from 2015 Nielsen Consumer Panel, we find differential foods, regardless whether purchased promotion. When promotion, stronger virtues than weaker vices conventional vices. Price more likely induce health-conscious consumers switch purchases virtues.