Would Knowing What The USDA Means By “Natural” Make For Smarter Meat Buying?

New research from Arizona State University shows that food shoppers not only misinterpret labels on food products, they’re willing to pay a premium price for a “natural” steak without really knowing the USDA’s explanation of the term: no artificial ingredients or added color and only minimally processed. The online study of 663 beef-eaters tested their willingness to pay for steak labeled with different attributes, such as natural, grass-fed, or raised without growth hormones. Half were given the definition of natural, half were not. Uninformed consumers were willing to pay $1.26 more per pound for the “natural” beef, and $2.43 more for natural beef with no growth hormone. Informed consumers, however, were unwilling to pay a premium for the “natural” claim alone, but were willing to pay $3.07 more per pound for steak labeled as natural with no growth hormones. [Image Credit: ©   Arizona State University]