An analysis of consumers' preferences for orange juice in India during COVID-19

ABSTRACT

Boosting the immune system's response through better nutrition has been suggested as a coping strategy to help fight COVID-19. Among other food products, orange juice, a rich source of Vitamin C, has been in huge demand in India since the outbreak of COVID-19. Panic buying has further added to this increased demand for orange juice. Using data collected through online surveys, this paper applies both conjoint and market simulation analysis to study consumers' preferences when purchasing orange juice. Nine important product attributes (flavour, preservatives, sweetener, brand, taste, pulp concentration, container, production method of orange and price) as well as different levels for each attribute are considered for the analysis. Among the selected attributes, relatively respondents gave more importance to the 'method of production' of orange, followed by 'brand', 'pulp concentration', 'sweeteners', and 'preservatives.' The market simulation analysis showed that a new product with the desired levels (high mean utility values) across the selected attributes would stand to enjoy a market share of around 32 percent. These findings support product differentiation as a strategy by firms in the food processing sector under conditions of intense competition.