IDEAS home Printed from https://ideas.repec.org/a/fan/ecaqec/vhtml10.3280-ecag2016-002006.html
   My bibliography  Save this article

The Impact of Nutrition Labels on Food Sales: An In-Store Experiment in a Turkish Supermarket

Author

Listed:
  • Sedef Akgungor
  • Andrea Groppel-Klein
  • Joerg Koenigstorfer
  • Yaprak Gulcan
  • Yesim Kustepeli

Abstract

Nutrition information is a policy tool that aims to guide consumers towards healthier diets, thus preventing further increases in obesity. This study focuses on the impact of front-of-pack nutrition labels on Turkish consumers? purchase decisions. In particular, the study investigates whether both the presence of the label itself and the content provided on the label (here: the presence [vs. absence] of health ticks) impact on consumer demand for food products. The authors propose two hypotheses that are grounded in cue utilization and consumer behaviour theories and conducted an experiment in a Turkish supermarket to test the hypotheses. They manipulated the product packages of three brands offering wafers (including a variety of flavours) to contain a nutrition label on front of the package with information on calories, fat, saturated fat, sugars and salt (in kcal and g per 100 g, respectively). The nutrition information was complemented with either a health tick (56% of the products were eligible) or a placeholder for products that failed eligibility criteria (44%). Total daily in-store sales of wafers were monitored before, during and after the manipulation. The results of the study showed that the presence of the label itself increased consumer demand for the follower brand (but not for the leader brands). The presence (vs. absence) of a health tick on the nutrition labels did not affect sales of more (vs. less) healthful foods. The findings thus indicate that consumers were partly more responsive to the nutrition label per se as opposed to the presence of a health tick on the label. The authors derive implications for implementation efforts of nutrition labels.

Suggested Citation

  • Sedef Akgungor & Andrea Groppel-Klein & Joerg Koenigstorfer & Yaprak Gulcan & Yesim Kustepeli, 2016. "The Impact of Nutrition Labels on Food Sales: An In-Store Experiment in a Turkish Supermarket," Economia agro-alimentare, FrancoAngeli Editore, vol. 18(2), pages 207-228.
  • Handle: RePEc:fan:ecaqec:v:html10.3280/ecag2016-002006
    as

    Download full text from publisher

    File URL: http://www.francoangeli.it/riviste/Scheda_Rivista.aspx?IDArticolo=57983&Tipo=ArticoloPDF
    Download Restriction: Single articles can be downloaded buying download credits, for info: https://www.francoangeli.it/DownloadCredit
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Michael Rothschild & Joseph Stiglitz, 1976. "Equilibrium in Competitive Insurance Markets: An Essay on the Economics of Imperfect Information," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 90(4), pages 629-649.
    2. Karl–Gustaf Lofgren & Torsten Persson & Jorgen W. Weibull, 2002. "Markets with Asymmetric Information: The Contributions of George Akerlof, Michael Spence and Joseph Stiglitz," Scandinavian Journal of Economics, Wiley Blackwell, vol. 104(2), pages 195-211, June.
    3. Ford, Gary T & Smith, Darlene B & Swasy, John L, 1990. "Consumer Skepticism of Advertising Claims: Testing Hypotheses from Economics of Information," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 16(4), pages 433-441, March.
    4. Bauer, Hans H. & Heinrich, Daniel & Schäfer, Daniela B., 2013. "The effects of organic labels on global, local, and private brands," Journal of Business Research, Elsevier, vol. 66(8), pages 1035-1043.
    5. Glynn T. Tonsor, 2011. "Consumer inferences of food safety and quality," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 38(2), pages 213-235, June.
    6. Julie A. Caswell & Eliza M. Mojduszka, 1996. "Using Informational Labeling to Influence the Market for Quality in Food Products," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(5), pages 1248-1253.
    7. Kristin Kiesel & Jill J. McCluskey & Sofia B. Villas-Boas, 2011. "Nutritional Labeling and Consumer Choices," Annual Review of Resource Economics, Annual Reviews, vol. 3(1), pages 141-158, October.
    8. Wim Verbeke, 2005. "Agriculture and the food industry in the information age," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 32(3), pages 347-368, September.
    9. Rao, Akshay R & Monroe, Kent B, 1988. "The Moderating Effect of Prior Knowledge on Cue Utilization in Product Evaluations," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 15(2), pages 253-264, September.
    10. Mario F. Teisl & Nancy E. Bockstael & Alan Levy, 2001. "Measuring the Welfare Effects of Nutrition Information," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(1), pages 133-149.
    11. Ippolito, Pauline M & Mathios, Alan D, 1995. "Information and Advertising: The Case of Fat Consumption in the United States," American Economic Review, American Economic Association, vol. 85(2), pages 91-95, May.
    12. W. Bruce Traill, 2012. "Economic Perspectives on Nutrition Policy Evaluation," Journal of Agricultural Economics, Wiley Blackwell, vol. 63(3), pages 505-527, September.
    13. Michael Spence, 1973. "Job Market Signaling," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(3), pages 355-374.
    14. Brian E. Roe & Mario F. Teisl & Corin R. Deans, 2014. "The Economics of Voluntary Versus Mandatory Labels," Annual Review of Resource Economics, Annual Reviews, vol. 6(1), pages 407-427, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Annunziata, Azzurra & Vecchio, Riccardo, 2012. "Factors affecting use and understanding of nutrition information on food labels: evidences from customers," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 13(2), pages 1-14.
    2. Bonanno, Alessandro & Bimbo, Francesco & Cleary, Rebecca & Castellari, Elena, 2018. "Food labels and adult BMI in Italy – An unconditional quantile regression approach," Food Policy, Elsevier, vol. 74(C), pages 199-211.
    3. Dionne, G. & Doherty, N., 1991. "Adverse Selection In Insurance Markets: A Selective Survey," Cahiers de recherche 9105, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
    4. Tingqiang Chen & Lei Wang & Jining Wang & Qi Yang, 2017. "A Network Diffusion Model of Food Safety Scare Behavior considering Information Transparency," Complexity, Hindawi, vol. 2017, pages 1-16, December.
    5. Josse Delfgaauw & Robert Dur, 2008. "Incentives and Workers' Motivation in the Public Sector," Economic Journal, Royal Economic Society, vol. 118(525), pages 171-191, January.
    6. Dongyuan Zhan & Amy R. Ward, 2019. "Staffing, Routing, and Payment to Trade off Speed and Quality in Large Service Systems," Operations Research, INFORMS, vol. 67(6), pages 1738-1751, November.
    7. Dosis, Anastasios, 2016. "Bertand Competition and the Existence of Pure Strategy Nash Equilibrium in Markets with Adverse Selection," ESSEC Working Papers WP1606, ESSEC Research Center, ESSEC Business School.
    8. Bimbo, Francesco & Bonanno, Alessandro & Viscecchia, Rosaria, 2019. "An empirical framework to study food labelling fraud: an application to the Italian extra-virgin olive oil market," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(4), October.
    9. Noldeka, G. & Samuelson, L., 1994. "Learning to Signal in Market," Working papers 9409, Wisconsin Madison - Social Systems.
    10. Irz, Xavier & Mazzocchi, Mario & Réquillart, Vincent & Soler, Louis-Georges, 2015. "Research in Food Economics: past trends and new challenges," Revue d'Etudes en Agriculture et Environnement, Editions NecPlus, vol. 96(01), pages 187-237, March.
    11. Villas-Boas, Sofia B & Taylor, Rebecca & Krovetz, Hannah, 2016. "Willingness to Pay for Low Water Footprint Food Choices During Drought," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt9vh3x180, Department of Agricultural & Resource Economics, UC Berkeley.
    12. Francois Lantin & Pierre Roy, 2007. "L'impact de la notation financière sur les stratégies de croissance externe," Post-Print halshs-00692570, HAL.
    13. Robert J. Gary-Bobo & Alain Trannoy, 2015. "Optimal student loans and graduate tax under moral hazard and adverse selection," RAND Journal of Economics, RAND Corporation, vol. 46(3), pages 546-576, September.
    14. Marcus Berliant & Chia-Ming Yu, 2015. "Locational Signaling And Agglomeration," Journal of Regional Science, Wiley Blackwell, vol. 55(5), pages 757-773, November.
    15. Nano Barahona & Cristóbal Otero & Sebastián Otero, 2023. "Equilibrium Effects of Food Labeling Policies," Econometrica, Econometric Society, vol. 91(3), pages 839-868, May.
    16. Arguedas, Carmen & Rousseau, Sandra, 2012. "Learning about compliance under asymmetric information," Resource and Energy Economics, Elsevier, vol. 34(1), pages 55-73.
    17. Anastasios Dosis, 2016. "Bertand Competition and the Existence of Pure Strategy Nash Equilibrium in Markets with Adverse Selection," Working Papers hal-01285185, HAL.
    18. Lazear, Edward P & Rosen, Sherwin, 1981. "Rank-Order Tournaments as Optimum Labor Contracts," Journal of Political Economy, University of Chicago Press, vol. 89(5), pages 841-864, October.
    19. Fabrice Etilé & Sabrina Teyssier, 2012. "Signaling Corporate Social Responsibility: Third-Party Certification vs. Brands," PSE Working Papers halshs-00736551, HAL.
    20. von Siemens, Ferdinand A. & Kosfeld, Michael, 2014. "Team production in competitive labor markets with adverse selection," European Economic Review, Elsevier, vol. 68(C), pages 181-198.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fan:ecaqec:v:html10.3280/ecag2016-002006. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stefania Rosato (email available below). General contact details of provider: http://www.francoangeli.it/riviste/sommario.aspx?IDRivista=214 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.