Red alder (Alnus rubra Bong.) lumber is widely used to produce furniture and other secondary wood products. Tongue and groove (T&G) paneling is a product with potential niche applications and requires relatively small investments in processing equipment. As such, it represents potential business opportunities for smaller wood products manufacturers in Alaska. This study considered red alder paneling with various levels of character marks, ranging from clear wood to high levels of character. Residential consumers evaluated four panels in Anchorage and Fairbanks, Alaska, and selected their overall favorite panels for potential use in their homes. Character marks, grain consistency, and color also were evaluated for all panels. Statistically significant differences were found between male and female respondents in their attribute ratings for three of the four panels and in color attribute ratings between Anchorage and Fairbanks respondents for the panels with high levels of character. For all four panels, highly significant differences in mean ratings were found among the three attributes (character marks, grain consistency, and color). Market location was generally more significant than gender in influencing attribute ratings. These results suggest that even though strong preferences may exist for clear wood in T&G panels, consumers are able to perceive and rate character mark features differently.