Information effects on consumer preferences for alternative animal feedstuffs

Abstract

As global demand for dietary protein continues to grow, insects and algae are receiving increased attention as sources of sustainable raw materials for animal feed. However, a lack of evidence on consumer perceptions, demand, and preferences besets changes in EU regulations necessary to produce and use alternative feedstuffs in livestock production. This paper reports the results of a discrete choice experiment (n = 1197) with German consumers eliciting their preferences for chicken breast produced with spirulina algae or insect meal as alternatives to traditional soy-based feed. Participants were randomly assigned to an information treatment that varied the presence of meat quality, feedstuff information, and price attributes about the competing choice options. Estimates of error-component random parameter logit models indicate that consumers informed about the feed-type used in production highly prefer insect-fed chicken when this feedstuff is declared. The provision of information unveils preference heterogeneity, however, with the positive willingness to pay for insect feed confined to environmentally conscious consumers. Mainstream consumers may refrain from purchasing chicken breast produced using insects as feed. Spirulina algae, as a chicken feed, is largely rejected by consumers, due to the altered color in the end product, which can partially be mitigated by information provision. As the debate over alternative protein feed gains momentum, overcoming widespread barriers like disgust and rejection of insects or algae may hinge on the mandatory declaration of feedstuffs and the provision of credible information especially to suspicious mainstream consumers.