Valuation of roasted coffee attributes of highland green coffee product by consumers in Bangkok

Abstract

The trends in consuming coffee is growing rapidly. This influences the upland farmers to increasingly change their farming behavior from growing coffee along with the forest to coffee monoculture. As a consequence, it adversely affects the environment to the upland area. The objectives of this study were to analyze factors influencing roasted coffee product buying decision and investigate customer’s preferences and willingness to pay for different level in each attribute of roasted coffee product. 300 coffee consumers in Bangkok were interviewed. Choice Modelling Method was employed. The research found that consumers concerned about the coffee farming types and environmentally friendly label, roasted coffee level and the Royal Project brand. Consumers preferred and were willing to pay for the coffee that farming along with the forest and environmentally friendly label. These were the main factors, compared with other factors, that influences the consumers preference to pay higher for the improvement and development in the quality of the coffee production at 75.40 baht/200g as a premium price. Therefore, the Royal Project Foundation should allocate this part of budget to the upland farmers by increasing the coffee price to the farmers who grow coffee along with the forest. This will be an incentive for farmers to grow coffee in an environmentally friendly farming.