Consumer Preferences and Willingness-to-pay for Water-related Residences in Non-urban Settings: A Vignette Analysis

Feitelson E. (1992) Consumer preferences and willingness-to-pay for water-rclated residences in non-urban settings: A vignette analysis, R q. Studies 26, 4948. Watcr bodies are increasingly viewed as amenities that can stimulate growth. To affect such growth the sources of consumer demand for water-related rcsidences need to be understood. A factorial survey technique (also known as vignette analysis) is used to analysc recent home buyers ‘preferences and willingness-to-pay for water-related residences around the Chesapeake Bay. In addition, recent home buyers’ characteristics are analysed as a function of the relationship bctween the residence they bought and the Bay. Thc study shows that consumer preference for water-related residences is a complex phenomenon. Different population groups stress different water relationships, and vary in their willingncss to forfeit other attributes for water-relatcd residences. Consequently, careful targeting is nccessary if water-related development is to stimulate growth.