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Calorie Posting in Chain Restaurants

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  • Bryan Bollinger
  • Phillip Leslie
  • Alan Sorensen

Abstract

We study the impact of mandatory calorie posting on consumers' purchase decisions, using detailed data from Starbucks. We find that average calories per transaction falls by 6%. The effect is almost entirely related to changes in consumers' food choices--there is almost no change in purchases of beverage calories. There is no impact on Starbucks profit on average, and for the subset of stores located close to their competitor Dunkin Donuts, the effect of calorie posting is actually to increase Starbucks revenue. Survey evidence and analysis of commuters suggest the mechanism for the effect is a combination of learning and salience.

Suggested Citation

  • Bryan Bollinger & Phillip Leslie & Alan Sorensen, 2010. "Calorie Posting in Chain Restaurants," NBER Working Papers 15648, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:15648
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    References listed on IDEAS

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    1. Julie S. Downs & George Loewenstein & Jessica Wisdom, 2009. "Strategies for Promoting Healthier Food Choices," American Economic Review, American Economic Association, vol. 99(2), pages 159-164, May.
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    More about this item

    JEL classification:

    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality

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