Article: Search Data and Geodemographics Determinants of the Avocado Sales in the U.S. Markets Journal: Journal of Business and Management (JBM) 2023 Vol.29 No.1 pp.23 - 56 Abstract: Purpose - This work aims at providing insights into avocado sales and markets in the US by leveraging advanced data analytics and data visualization methods to model the industry data combined with geodemographics and search data. Method - The dataset from the Hass Avocado Board (HAB), collected geodemographic data and search data across multiple metropolitan regions in the US are studied by employing quantitative methods and tools, such as principal component analysis (PCA), cluster analysis, data visualization, and regression models. Findings - The results show that avocado sales and markets are highly affected by geodemographic factors and strongly correlated with the search data in the internet community. Income, Age, Ethnicity, and Education significantly correlate with avocado sales. Not only are Google Trends data correlated with avocado sales, but they also can further improve the explanatory power of regression models. Data analytics and visualization tools can be particularly useful for exploring market data in various areas, such as market segmentation, consumer preferences for different avocados (organic vs. conventional), seasonality, and market patterns. Geographically distant cities may have similar consumer markets for avocado sales. Limitations - The study focuses on the limited panel data from 2015 to 2019 due to the COVID-19 disruption in the 2020 US Census data publication and hence the lack of the geodemographics data in and after 2020, which may not be used to study post-COVID markets. Other limitations include that the study may have possible contemporaneous correlations between conventional and organic avocado sales and only focus on the avocado markets with specific conditions. Therefore, the models developed in this research may need further expanded and studied for different food markets and retailing industries for future improvement and applicability. Implications - The study offers insights into the regional trends and search trends of consumers for potentially better sales and market opportunities. The paper has the potential to advance the understanding of the role of geodemographics and public interest in commercial products. From descriptive and diagnostic perspectives, our work harnesses k-means clustering and hierarchical clustering methods as well as exploratory mapping methods to offer data-driven visualizations, which is one of few studies focusing on food markets. Specifically, the results provide useful information and knowledge of the avocado markets to policymakers, producers, distributors, retailers, and consumers as the trend for health-conscious consumption keeps growing in different regions. Furthermore, the study may have implications for practitioners and scholars interested in other agricultural products. Originality - This paper is among the first to underscore heterogeneous characteristics of consumer appetite for avocados across different regions in the US and to provide evidence and examples on how search data and demographic information can be beneficial to further understanding the sales data, exploring markets in various aspects, and potentially developing effective and efficient sales and marketing strategies by region. Inderscience Publishers - linking academia, business and industry through research

Title: Search Data and Geodemographics Determinants of the Avocado Sales in the U.S. Markets

Authors: Di Wu; Zhenning Xu; Ji Li

Addresses: Author address listing can be found in the "About the Authors" section at the end of the article.

Abstract: Purpose - This work aims at providing insights into avocado sales and markets in the US by leveraging advanced data analytics and data visualization methods to model the industry data combined with geodemographics and search data. Method - The dataset from the Hass Avocado Board (HAB), collected geodemographic data and search data across multiple metropolitan regions in the US are studied by employing quantitative methods and tools, such as principal component analysis (PCA), cluster analysis, data visualization, and regression models. Findings - The results show that avocado sales and markets are highly affected by geodemographic factors and strongly correlated with the search data in the internet community. Income, Age, Ethnicity, and Education significantly correlate with avocado sales. Not only are Google Trends data correlated with avocado sales, but they also can further improve the explanatory power of regression models. Data analytics and visualization tools can be particularly useful for exploring market data in various areas, such as market segmentation, consumer preferences for different avocados (organic vs. conventional), seasonality, and market patterns. Geographically distant cities may have similar consumer markets for avocado sales. Limitations - The study focuses on the limited panel data from 2015 to 2019 due to the COVID-19 disruption in the 2020 US Census data publication and hence the lack of the geodemographics data in and after 2020, which may not be used to study post-COVID markets. Other limitations include that the study may have possible contemporaneous correlations between conventional and organic avocado sales and only focus on the avocado markets with specific conditions. Therefore, the models developed in this research may need further expanded and studied for different food markets and retailing industries for future improvement and applicability. Implications - The study offers insights into the regional trends and search trends of consumers for potentially better sales and market opportunities. The paper has the potential to advance the understanding of the role of geodemographics and public interest in commercial products. From descriptive and diagnostic perspectives, our work harnesses k-means clustering and hierarchical clustering methods as well as exploratory mapping methods to offer data-driven visualizations, which is one of few studies focusing on food markets. Specifically, the results provide useful information and knowledge of the avocado markets to policymakers, producers, distributors, retailers, and consumers as the trend for health-conscious consumption keeps growing in different regions. Furthermore, the study may have implications for practitioners and scholars interested in other agricultural products. Originality - This paper is among the first to underscore heterogeneous characteristics of consumer appetite for avocados across different regions in the US and to provide evidence and examples on how search data and demographic information can be beneficial to further understanding the sales data, exploring markets in various aspects, and potentially developing effective and efficient sales and marketing strategies by region.

Keywords: Clustering and segmentation; data visualization; geodemographics; search data.

DOI: 10.1504/JBM.2023.141302

Journal of Business and Management, 2023 Vol.29 No.1, pp.23 - 56

Published online: 05 Sep 2024 *

Title: Search Data and Geodemographics Determinants of the Avocado Sales in the U.S. Markets

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