Effects of Health-related Claims on Millennials’ Willingness to Pay for Probiotics in the U.S.: Implications for Regulation

Document Type

Article

Publication Date

2019

Abstract

The availability of a large number of probiotic products with and without various health-related claims create challenges for manufacturers and consumers alike. Although empirical studies that provide insights for manufacturers and regulators on the effect of health-related claims on consumers' willingness to pay (WTP) for probiotics are important for informed policymaking and effective research and marketing strategies, such studies are currently lacking. In this study, we examined whether there is any difference in WTP for probiotic products based on the health-related claims. The study used data from a national survey of 1497 U.S. millennials to examine the effect of claims on the product label on millennials' WTP for probiotic products. The study showed that millennials' WTP for the word “probiotic” is the same as that for a product with a broad structure-function claim and lower for a more specific structure-function claim.

Publication Title

Journal of Functional Foods

Volume

60

DOI of Published Version

10.1016/j.jff.2019.103434

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