Marketing Assignment: Consumer Perception of Organic Product Value

This assignment delves into the concept of consumer perception, defining it as the process of organizing and interpreting sensory information to form opinions about products. It examines how consumers perceive products labeled as "Organic," noting that while these products are often seen as healthier and environmentally friendly, the premium price can sometimes be a deterrent. The assignment argues that organic labels generally increase product value, driven by increased consumer awareness and a willingness to pay more for perceived benefits. It emphasizes the effectiveness of organic labeling as a marketing strategy, particularly when combined with consumer education and a strong corporate social responsibility structure. The assignment provides examples of products like Bubble and Bee cosmetics and Maya Organic Toys to illustrate how companies utilize organic labeling in their marketing efforts and concludes by referencing academic sources to support its claims.

Running Head: Consumer perception
Question:
Perception is an important part of consumer decision making process. Define perception.
How do you think consumer perceive products with “Organic” labels? Do you think it
increases or decreases the value of the product? Do you think it is an effective marketing
strategy to use organic labels? Provide two example of product using organic labeling for
products. Use three academic journals or sources to support your answer.
Perception:
Perception is organizing, identifying and interpreting our own sensory information to
symbolize a product or an environment. Perception is shaped by past experiences, visual
sensory and knowledge. People translate their sensory impression to a substantial opinion
about a product or a purchase choice. Perception of a consumer is a major influencing factor
of a product’s design and market segmentation. A consumer is influenced by his past
experiences, mindset, personal opinion, and with the right marketing techniques perception
can be manipulated. Perception is a mindset of an individual which is unique to himself or a
group of individuals and certainly not the same for every situation or product. However,
companies should consider this factor while marketing their products (Lueg, 2013).
Perception about Organic labeled Products
Based on previous studies, The revenue generated in the Organic product industry
especially Organic food is three times higher than local and conventional food industry.
Generally people perceive organic products as healthier and tastier alternatives. Organic
products are also perceived to be environmentally friendly and in the 21st century people tend
to adapt environmental awareness into their lifestyles and product selection. Organic label
marketing is the best example of spreading “Health halo effect” amongst the consumers.
However, consumers might believe organic products are manufactured and processed with

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extra care and effort; hence the premium price over conventional products. A consumer can
contrastingly perceive an organic labelled product the same as any product and consider the
premium cost a liability. Consumers with no awareness or knowledge may perceive the
organic label as a marketing stunt. As per USDA organization, National Organic product label
signifies that that food has been manufactured and processed with cultural, biological, and
mechanical eco friendly practices (Janssen & Hamm, 2011).
Value of an organic product
Several studies have been made to understand the advantages of an organic product
over traditional products. In the early years organic products rarely entered the mass market
and consumers hardly understood the products. Thanks to continuous consumer education
and the increase in the ratio of educated buyers in the market, organic labels have reached
new market peaks. Consumers have started to recognize the value a organic product brings to
the society and a consumer’s lifestyle. Products with organic labels are being valued more,
the organic industry is seeing a high rise in market share. There are several certifications
within the category of organic product labels, the companies providing such certifications are
considered trustworthy and genuine (Paul & Rana, 2012).
Effective marketing strategy
Manufacturers producing and selling organic products must consider consumer
education as a prime strategy. A traditional consumer needs to be educated about the
benefits of organic products in the simplest methods. Differentiating the organic label,
education campaigns, demonstrations and a efficiently developed CSR structure will form a
effective marketing strategy. The manufacturer’s corporate social responsibility structure can
play a key role in the marketing strategy. Manufacturers can also connect to the consumers
on a personal level humanizing their brands and appealing to the market with a story and a
background.

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Bubble and Bee
Bubble and Bee, a cosmetics manufacturer created a new line of organic products for
personal care created with completely natural materials. These products are meant to be
chemical free and appeal to sensitive consumers. They have a strong social media presence
and an attractive website displaying the advantages of chemical free cosmetics. The page tells
the story of Stephanie Greenwood, considered a young entrepreneur in the cosmetics
industry. The company rigorously updates their pages and blogs explaining everything about
their products from the raw material to the finished goods. The company tries to prioritize
their natural ingredients in their campaigns and additionally offer attractive promotions for
gaining ground in the market (bubbleandbee.com, 2019).
Maya Organic Toys
Yes, surprisingly a successful organic toy industry exists. Maya organic toys are created
and hand crafted by artisans from India. They produce toys such as Go Go stacking, which are
completely made of wood and the paint used in the process chemical free. Toys made by
maya are meant to improve the motor skills of a child i.e hand and eye co-ordination. The
company emphasizes on safe toys and showcases itself as an alternative to cheap Chinese
manufactured toys. Though they do not have active social media presence their website tells
a story. A safety of a child is important enough for maya to educate consumers about safe
toys and the importance of organic manufacturing. (n.a, 2013).

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References
bubbleandbee.com. (2019). About Us. Retrieved April 5, 2019, from /bubbleandbee.com:
https://bubbleandbee.com/about-us/
Janssen, M., & Hamm, U. (2011). Consumer Perception of Different Organic Certification
Schemes in Five European Countries. Organic Agriculture, 1 (1), 31-43.
Lueg, C. P. (2013). Characteristics of Human Perception and Their Relevance When Studying
Information Behaviour. Journal of Documentation , 70 (4), 562-574.
n.a. (2013, April 12). Maya Organic Toys: Fun for All Little Ones . Retrieved April 5, 2019, from
www.diaryofaworkingmom.com:
http://www.diaryofaworkingmom.com/2013/04/12/maya-organic-toys-fun-for-all-
little-ones/
Paul, J., & Rana, J. (2012). Consumer behavior and purchase intention for organic food.
Journal of Consumer Marketing , 26 (9), 412-422.