Consumer preference study among three brands of Herbal Coffee./ Zarah Joy Pareja Angeles

Date

2010

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Agnes T. Banzon

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Abstract

Herbal coffee is a product innovation from the combination of coffee and plants or herbs. It is made from special ingredients and added with extracts of special plant or herb that has active elements and nutritional properties. In effect, it gives nutritional benefit in the health of an individual and helps in reducing the risk on having different diseases. In this market research study, three brands of herbal coffee were tested for the comments and preference of the respondents. These were DXN Lingzhi 3 in 1 Coffee, First Vita Plus Choco Coffee 8 in 1 and KDI Premix Spirulina Ganoderma Coffee which were labeled as Brand X, Brand Y and Brand Z, respectively. A consumer preference study was done to determine if preferential differences existed between these three brands. Furthermore, the

study presented the profile and described the behavior of herbal coffee drinkers and non- herbal coffee drinkers; identified attributes where the preferential differences existed and

determined the acceptability of Spirulina Ganoderma Coffee to the respondents. One hundred twenty respondents were purposively chosen for the market and consumer survey. They were divided into three groups; the students, working professionals and working non-professionals. Furthermore, each group was classified into two; the herbal coffee drinkers and the non- herbal coffee drinkers. For the Focus Group Discussion, 18 respondents were chosen to form three groups. Each group was composed of six participants. The chosen area for the study was Los Banos because residents in this area came from different places in the country or even outside the country. Therefore it was assumed that this place has rich diversity of preference. The data gathered from the survey and product test were presented using frequency counts and analyzed using mean rankings, rank sign test, mean, median and mode. Non-parametric tools were also used such as Mann-Whitney Test of U, Chi-Square Test of Independence and Kruskal-Wallis Test of H. With regards to the familiarity of the respondents to herbal coffee, almost all of the respondents were aware of its existence in the market. First Vita Plus was the most popular brand of herbal coffee among the respondents, while DXN was the most tasted brand by the respondents. Moreover, majority of the herbal coffee brand of the herbal coffee drinkers was DXN. When it comes to the attributes of an herbal coffee that the respondents were looking for, taste was identified as the top requirement. For the importance ratings, nutritional benefit was the most important attribute that was identified by the respondents. The respondents have identified good acidity as the superior attribute in taste of an herbal coffee. Moreover, roasty aroma and sweet residual taste were identified as the superior attributes of aroma and after taste, respectively. For the color and appearance, rich and creamy appearance were identified by the respondents and for the nutritional benefit, the benefit of improving memory and mental functions was the identified superior attributes by the respondents. Furthermore, flavorful aroma and promising nutritional benefits were

2 considered by the respondents as dissatisfier or the basic requirement of an herbal coffee. On the other hand, good color and appearance was identified as satisfier or the source of additional satisfaction on the product. Brand Z or the spirulina coffee of KDI was considered as acceptable to the respondents because majority of them liked it and are willing to buy it at the prevailing price. However, only the willingness of the respondents to buy the product was measured, not their ability to buy it. The respondents also did not identified inferior attributes of the product. Majority of the respondents liked the taste, aroma and nutritional benefits of spirulina coffee. Chi-square test of independence determined whether the groupings of the respondents affect their preference on the attributes of the three brands. The results revealed that nutritional benefit was the only attribute that has significant difference among the six respondent-groups. Kruskal-Wallis, on the other hand, determined if there were significant differences in the preferences among the three brands of herbal coffee for a specific attribute. Based on the results, aroma, taste, after taste and nutritional benefits have significant differences with the six respondent-groups among the three brands of herbal coffee. Since taste as the top priority identified by the respondents and nutritional benefits as the most important attribute of the respondents have significant preferential differences among the three brands of herbal coffee. Therefore, there were preferential differences that exited among the three brands of herbal coffee. Since spirulina coffee was acceptable to the Los Baños market, two intensive strategies were recommended to market the product in the area; market penetration and market development. The identified target market was the working professional and non- professional herbal coffee drinkers since majority of them liked the spirulina coffee and they were the ones who were most willing to buy it.

Language

English

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2010 M17 A54

Document Type

Thesis

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