Demand response to sustainable goods: the case of eco-certified fish

Consumers are increasingly concerned about sustainability and demand sustainable products in the stores. Past research has focused on demand reaction to organic food, but certain product categories such as fish, and minority... [ view full abstract ]

Consumers are increasingly concerned about sustainability and demand sustainable products in the stores. Past research has focused on demand reaction to organic food, but certain product categories such as fish, and minority labels have gone underexamined. This study examines how consumers react to sustainable fish (MSC certified). In particular, it examines elasticity to price and distribution, two variables that are thought to influence demand but about which there is inconclusive evidence, by estimating panel data and SUR models using data obtained from the Nielsen retailers´ panel, from the retailers of the Madrid region. Results show that demand is relatively inelastic to own price but high elastic to increased distribution and do not experience seasonal effects. Yet, the share of MSC-certified seafood is marginal, probably due to the high premiums and the limited availability.