Consumer perception and willingness to pay for packaged asaana: a traditional drink in Ghana

Abstract

PurposeIn view of the increasing trend in food policies targeting the promotion of consumer interest in locally produced foods and growing developments in willingness-to-pay (WTP) methodologies, the authors investigate consumer preference for packaged traditional drink asaana.Design/methodology/approachThe study used a simple random sample of 336 consumers to draw on perception index and contingent valuation methods to evaluate consumers' perceptions of the attributes of packaged asaana – a traditional maize-based beverage produced in Ghana (also known as Ghana Coca-Cola). A tobit regression model was employed to analyze consumers’ WTP for the product.FindingsAnalyzing the factors that influence consumers' WTP for packaged asaana using the tobit regression model, the study established the existence of positive health and nutrition, economic benefits and purchasing decision-making perceptions for asaana. While the results further showed that consumers are willing to pay a premium for well-packaged asaana, demographics such as age, income level, labeling, price of the product and savings were found to exert significant influence on consumers’ WTP for packaged asaana. Salient recommendations for food processors and relevant government agencies and food policy implications are identified.Research limitations/implicationsComprehending WTP provides valuable understanding regarding consumer qualms, actions and WTP for more secure traditional drinks and an examination of how the different factors that influence WTP for local beverages help boost local beverage production and guarantee employment.Practical implicationsAnalyzing WTP data for traditional drinks reveals important implications for production, marketing and public health policies. Certification systems for traditional beverages may be beneficial, and the findings can be used to create public awareness campaigns about the safety of local drinks.Originality/valueAssessing the WTP among Ghanaian consumers for traditional drinks, specifically asaana, is a ground-breaking study. The contingent evaluation (CE) and tobit regression approaches utilized in this research are strong, and the results obtained can guide decisions related to traditional drink production, marketing and the development of public health policies.