Regional loyalty matters : the impact of product-specific attributes on consumer loyalty

Abstract: Food consumption trends change continuously. A noticeable trend in Sweden and the western world is consumers’ need for knowledge about the food they consume and where it originates from. Moreover, consumers appreciate food products produced close to home. The interest towards locally produced food has lately increased amongst today’s consumer, as has many researchers’ interest in the topic.  The purpose with this dissertation is to investigate how and if product-specific attributes attached to a locally produced food product, like Price, Quality, Brand and Organically produced can lead to that consumers’ are loyal towards a region. A deductive research approach is applied for this dissertation. Based on the theories of consumer loyalty, and by regarding current food trends, the theory of regional loyalty as a concept is developed. The product-specific attributes Brand, Price, Quality and Organic are examined and tested. A model and hypotheses are developed in order to understand the relationship better. By using a quantitative method and conducting a questionnaire, the consumer’s attitudes were examined. The research was conducted in themunicipalityofKristianstadand 130 questionnaires were handed out outside the biggest grocery stores in town. The findings indicate that there is a positive correlation between the variables attached to locally produced food products and regional loyalty. The results show that all these attributes are related to regional loyalty except of price, regardless of age, income or current occupation. According to the authors’ knowledge, since no study has been conducted on regional loyalty or product-specific attributes affecting this, the results of this dissertation will bring new knowledge to this area of research. The results may also be useful for executives when marketing locally produced food products.