Are Quality Labels a Real Marketing Advantage?

Abstract Quality constitutes the main topic of numerous seminars. It is top priority for the organization of research groups and the reorganization of structures within firms. The adoption of different quality assurance schemes such as the Protected Denomination of Origin/Geographical Indication (PDO/PGI) by the EU has been a response to the growing demand for certified quality food products among the EU consumers. Several useful benefits have been claimed for these schemes, including their value as marketing advantages (Walley et al., 1999). Given that influencing the highly motivated quality-conscious consumer is a crucial objective of any state or private quality assurance policy, the present paper tries to offer some insights into the effectiveness of the PDO scheme and its acceptance by the consumer. The use of Conjoint Analysis in exploring Greek consumers' willingness to pay (WTP) for PDO olive oil from the area of Peza, Crete, has been selected as one of the most appropriate approaches to that target. This paper opens with a brief theoretical background presentation on the concepts of food quality and labeling. It proceeds with a detailed description of the research methodology, focusing on the WTP measurement method through the use of Conjoint Analysis. Finally, it concludes with the discussion of the findings, the limitations of the survey and the suggested research extensions.