Navigation Links
The big gulp: consumers avoid extremes in soda sizes
Date:8/22/2008

As portion sizes have increased, Americans' waistlines have expanded. And as a new study in the Journal of Consumer Research demonstrates, consumers are tricked into drinking more soft drinks when retailers eliminate small drink sizes.

No matter what the volume of the soft drink, customers tend to avoid the largest and smallest options, according to authors Kathryn M. Sharpe, Richard Staelin, and Joel Huber (all Duke University). "Our basic premise is that consumer purchases are altered by the portfolio of drink sizes made available," the authors explain.

Fast-food restaurants, in an attempt to boost profit margins, have eliminated smaller drink sizes and added even larger sizes. The authors believe these policies have led to a 15 percent increase in the consumption of these high-calorie drinks. "Consumers who purchased a 16-ounce drink when a 12-ounce drink was available later chose a 21-ounce drink when the 12-ounce drink option was removed, since now the 16-ounce soda is the smallest option," they write. "This effect also occurred at the large end of the spectrum; people who purchased a 21-ounce drink when the 32-ounce drink was the largest size available moved up to the 32-ounce drink when a 44-ounce drink was added to the range of drink sizes available."

By adding the 44-ounce option, the restaurant is able to shift the demand curve upward, even though the authors believe customers still want 12-ounce drinks.

The researchers go on to simulate policy directions for slimming America's waistlines. Their models show that for flat taxation of soft drinks to reduce consumption by 10 percent, it would need to be 28 cents per drink and would reduce corporate profits by at least 7 percent.

But by simply reversing the trend they started in the first place, retailers could do their part to improve public health. If they eliminated the largest drink size and brought back the smallest, retailers could help curb soft drink consumption with only a slight reduction in profit (less than 2 percent).


'/>"/>

Contact: Mary-Ann Twist
JCR@bus.wisc.edu
608-255-5582
University of Chicago Press Journals
Source:Eurekalert

Related medicine news :

1. Grocery Manufacturers Association: FDA Once Again Reaffirms Safety of Bisphenol A (BPA) for All Consumers
2. New Assisted Living Regulations Do Little to Protect Consumers
3. Consumers, Nurses, Seniors Tell Governor: Dont Break Your Promise to Protect Innocent Patients from Health Insurance Cancellations, Dont Weaken Existing Law
4. Bedside Manner, Board Certification Matter: Survey Reveals Top Qualities for Consumers Choosing a Doctor
5. Redema Ergonomic Footrest Provides Consumers with Edema Relief and Portability Benefits
6. Alternative to LASIK Increases Momentum with U.S. Consumers
7. Combined Insurance Provides Needs Assessment Checklist to Help Consumers Evaluate Their Current Supplemental Health Insurance Coverage
8. GNC and WebMD Announce Agreement To Provide Consumers with Health and Nutritional Information While Promoting the Benefits of a Healthy Lifestyle
9. ANTHELIOS 40 Sunscreen With Mexoryl(TM) SX Now Available to Consumers in the US
10. The Shape of Things to Come: Website Gives the Lowdown on Liposuction, Pioneers the Field by Offering Consumers $800 Coupons Toward Procedures
11. PA Agriculture Department Warns Consumers About Raw Milk Sold by York County Dairy
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/24/2016)... ... June 24, 2016 , ... June 19, 2016 is ... associated with chronic pain and the benefits of holistic treatments, Serenity Recovery Center ... suffering with Sickle Cell Disease. , Sickle Cell Disease (SCD) is a disorder of ...
(Date:6/24/2016)... ... June 24, 2016 , ... Global law firm Greenberg Traurig, P.A. announced that ... chosen by their peers for this recognition are considered among the top 2 percent ... special honors as members of this year’s Legal Elite Hall of Fame: Miami ...
(Date:6/24/2016)... ... ... BioMedics, Inc, makers of Topricin and MyPainAway Pain Relief Products, join The ‘Business for a ... an hour by 2020 and then adjusting it yearly to increase at the same rate ... assure the wage floor does not erode again, and make future increases more predictable. , ...
(Date:6/24/2016)... ... June 24, 2016 , ... The Haute Beauty Network, affiliated ... Weintraub as a prominent plastic surgeon and the network’s newest partner. , ... most handsome men, look naturally attractive. Plastic surgery should be invisible.” He stands ...
(Date:6/24/2016)... ... ... National recruitment firm Slone Partners is pleased to announce the placement of ... President of North American Capital Sales at HTG Molecular . , ... the commercialization of the HTG EdgeSeq system and associated reagents in North America. , ...
Breaking Medicine News(10 mins):
(Date:6/24/2016)... 24, 2016 ... the addition of the " Global Markets for ... This report focuses on ... updated review, including its applications in various applications. The ... which includes three main industries: pharmaceutical and biotechnology, food ...
(Date:6/24/2016)... 2016 Research and Markets has announced ... Diagnostic Tests" report to their offering. ... The World Market for Companion Diagnostics covers ... Market analysis in the report includes the following: ... Diagnostic Kits) by Region (N. America, EU, ROW), 2015-2020 ...
(Date:6/23/2016)... 2016  MedSource announced today that it has ... solution of choice.  This latest decision demonstrates MedSource,s ... their clients by offering a state-of-the-art electronic data ... nowEDC as the EDC platform of choice in ... "nowEDC has long been a preferred EDC platform ...
Breaking Medicine Technology: