Consumer Preferences for “Made with Tennessee Milk” Processed Dairy Products

This study examines consumer willingness to pay (WTP) for a hypothetical logo on processed dairy products (cheese, butter, sour cream, ice cream, or yogurt), indicating the products are made in Tennessee using Tennessee milk. A survey of 381 Tennessee consumers elicited WTP for logoed processed dairy products using the contingent valuation method. Results show consumers’ WTP to be $2.61 more weekly for processed products bearing the Made with Tennessee Milk logo. Of those interested in buying the logoed processed dairy products, 13% would likely shop for the products at farmers’ markets or farm stands.