Consumers perceive coffee labeled as "eco-friendly" tastes better than non-labeled coffee, and are willing to pay more for it, according to a new study published in the journal PLOS ONE.
Researchers at University of Gävle surveyed consumer reactions to coffee labeled "eco-friendly" to determine whether or not the consumers would pay more for the labeled product and how the labeling affected consumers perceived taste of the product.
In a series of experiments, researchers asked participants to sample two identical cups of coffee brewed from the same batch of Arabica beans using a "standard model coffee machine." Researchers told participants that one of the cups was made with "eco-friendly" coffee and the other was not.
Participants were categorized as either "high sustainability" or "low sustainability" based on their responses to a questionnaire. The questionnaire asked participants about their frequency of buying eco-friendly products, the importance of buying eco-friendly products, whether or not the participant felt guilt purchasing products not labeled eco-friendly and other sustainability-related questions.
Among high sustainability consumers, 74% preferred the "eco-friendly" coffee and preferred its taste compared to the non-labeled coffee. These consumers were also willing to pay more for the "eco-friendly" coffee, even if they had preferred the non-labeled alternative.
Of the low sustainability consumers, 48% chose the "eco-friendly" coffee and 52% choose the non-labeled coffee. These consumers demonstrated no taste preference for either coffee.
"Eco labels not only promote a willingness to pay more for the product but they also lead to a more favorable perceptual experience of it," the study concludes. "Understanding the psychological mechanisms that underpin the eco-label effect and how to modulate its magnitude could potentially be a key to promote sustainable consumer behavior."
