Consumer Preferences for Low-Methane Beef: The Impact of Pre-Purchase Information, Point-of-Purchase Labels, and Increasing Prices

Abstract

Cattle production is estimated to be the largest methane (CH₄) emitter associated with consumer demand in the United States of America (U.S.). With a national commitment to reducing methane emissions by 30% before 2030, methane-reducing additives (MRAs) in livestock feed are being explored as a viable solution. This study investigated consumer preferences for low-methane ground beef produced using one of three MRAs with varying levels of methane mitigation: Aspagopsis taxiformis (seaweed), the organic compound 3-nitroxypropanol (3NOP), or a blend of essential oils (e.g. garlic extract and citrus). In a nationally representative survey, 3,009 respondents completed a labeled discrete choice experiment used to estimate preferences, WTP, and market shares for conventional and low-methane ground beef. Randomized groups were given pre-purchase information about methane emissions from beef production and point-of-purchase labels communicating the methane reduction levels for each MRA. Given the contemporaneous rise in beef prices, respondents were randomized between a low and high-price group to examine the sensitivity of results. While conventional ground beef was generally preferred, consumer WTP and average market shares for the seaweed MRA product (the MRA with the highest methane reduction potential) surpassed conventional beef for the group that received pre-purchase and point-of-purchase information. Information added more utility and was more effective in the low-price group. Government policies that incentivize the adoption of a seaweed MRA could aid in meeting climate goals.