Returns From OJ Promotions Projected

Josh McGill Florida Department of Citrus

Florida Department of Citrus (FDOC) promotions of orange juice (OJ) are projected to have produced a $2.23 return on investment for each dollar Florida producers paid to support the promotions, a University of Florida (UF) economist reported. Lisa House, UF professor and chair of the UF Food and Resource Economics Department, made that projection in a virtual presentation on Nov. 7.  


House noted that non-Florida OJ producers also benefited from the FDOC promotions, since the domestic share of total available OJ only averaged 27% for the three seasons through 2022–23. FDOC promotion expenditures for OJ averaged $15.4 million a year over those three seasons, she said.

According to House, when people hear positive things about OJ, they are willing to pay more for it. And the things they hear about OJ are positive, including the health benefits. Consumer awareness of OJ is higher than for all other juices and is similar to energy drinks and sports drinks, she said.

Other points from House’s presentation include:

  • Consumers are still feeling the inflation in prices for OJ and other food items in recent years, even if the prices are increasing at a lower rate. “Prices are really on consumers’ minds,” House said. She reported that inflation for food items surpassed 11% in 2022 but is expected to return to 3% or less in 2024.
  • For the past seven years, taste has been the most important factor consumers cite when buying OJ. Price is the second most important factor considered, followed by health and nutritional benefits, whether the OJ is organic, and where it is grown.
  • On average, 49.5% of households tracked by UF researchers purchased OJ in the past 30 days. House projected that would drop to 45.7% without awareness of OJ. 

Learn about the FDOC’s 2023–24 budget here.       

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Ernie Neff

Senior Correspondent at Large

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