Hostname: page-component-cd9895bd7-p9bg8 Total loading time: 0 Render date: 2024-12-21T18:46:35.741Z Has data issue: false hasContentIssue false

The Effect of Calorie Labels on Caloric Intake and Restaurant Revenue: Evidence from Two Full-Service Restaurants

Published online by Cambridge University Press:  26 January 2015

Brenna Ellison
Affiliation:
Department of Agricultural and Consumer Economics at the, University of Illinoisat Urbana–Champaign, Urbana, Illinois
Jayson L. Lusk
Affiliation:
Department of Agricultural Economics at, Oklahoma State University, Stillwater, Oklahoma
David Davis
Affiliation:
School of Hotel and Restaurant Administration at Oklahoma State University, Stillwater, Oklahoma

Abstract

Field experiment data were used to study the effect of numeric calorie labels in two full-service restaurants. Ultimately, both field experiments, despite using different experimental designs, reached the same conclusion: the numeric calorie label had no significant effect on total caloric intake. However, results revealed the addition of a traffic light symbol to the numeric label led to a 67.8-kcal reduction in average calories ordered. Furthermore, results showed restaurant revenue is unlikely to be affected by the addition of calorie labels on menus. The results have implications for restaurant labeling laws that are being considered around the world.

Type
Research Article
Copyright
Copyright © Southern Agricultural Economics Association 2014

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Ariely, D. and Levav, J.. “Sequential Choice in Group Settings: Taking the Road Less Traveled and Less Enjoyed”. The Journal of Consumer Research 27(2000):279290.CrossRefGoogle Scholar
Behan, D.F.Cox, S.H., Lin, Y., Pai, J., Pedersen, H.W., and Yi, M. 2010. Obesity and Its Relation to Mortality and Morbidity Costs. Report prepared for the Society of Actuaries, Internet site: www.soa.org/files/pdf/research-201 l-obesity-relation-mortality.pdf (Accessed February 4, 2012).Google Scholar
Berning, J.P.Chouinard, H.H., and McCluskey, J.J.. “Consumer Preferences for Detailed versus Summary Formats of Nutrition Information on Grocery Store Shelf Labels”. Journal of Agricultural & Food Industrial Organization 6(2008): 120.CrossRefGoogle Scholar
Bollinger, B.Leslie, P., and Sorensen, A.. “Calorie Posting in Chain Restaurants”. American Economic Journal: Economic Policy 3(2011):91128.Google Scholar
Cai, Y, Alviola, P.A., Nayga, R.M., and Wu, X.. “The Effect of Food-Away-from-Home and Food-at-Home Expenditures on Obesity Rates: A State-Level Analysis”. Journal of Agricultural and Applied Economics 40(2008):507521.CrossRefGoogle Scholar
Centers for Disease Control and Prevention. Adult Obesity Facts. Internet site: www.cdc.gov/obesity/data/adult.html (Accessed February 2, 2012).Google Scholar
Centers for Disease Control and Prevention. Childhood Obesity Facts. Internet site: www.cdc.gov/healthyyouth/obesity/facts.htm (Accessed February 26, 2013).Google Scholar
Center for Science in the Public Interest. 2009. Nutrition Labeling in Chain Restaurants. Internet site: www.cspinet.org (Accessed June 12, 2011).Google Scholar
Downs, J.S.Loewenstein, G., and Wisdom, J.. “Strategies for Promoting Healthier Food Choices”. The American Economic Review 99(2009): 159164.CrossRefGoogle Scholar
Downs, J.S.Wisdom, J., Wansink, B., and Loewenstein, G.. “Supplementing Menu Labeling with Calorie Recommendations to Test for Facilitation Effects”. American Journal of Public Health 103(2013): 16041609.CrossRefGoogle Scholar
Elbel, B.Kersh, R., Brescoll, V.L., and Dixon, L.B.. “Calorie Labeling and Food Choices: A First Look at the Effects on Low-Income People in New York City”. Health Affairs 28(2009):w1110w1121.CrossRefGoogle Scholar
Ellison, B.Lusk, J.L., and Davis, D.. “Looking at the Label and Beyond: The Effects of Calorie Labels, Health Consciousness, and Demographics on Caloric Intake in Restaurants”. The International Journal of Behavioral Nutrition and Physical Activity 10(2013): 19.CrossRefGoogle Scholar
Finkelstein, E.A.Strombotne, K.L., Chan, N.L., and Krieger, J.. “Mandatory Menu Labeling in One Fast-Food Chain in King County, Washington”. American Journal of Preventive Medicine 40(2011): 122127.CrossRefGoogle Scholar
Food and Drug Administration. 2011. FDA Proposes Draft Menu and Vending Machine labeling Requirements, Invites Public to Comment on Proposals. U.S.Department of Health and Human Services. Internet site: www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm249471.htm (Accessed May 10, 2011).Google Scholar
Food Standards Agency. 2007. Front-of-pack Traffic Light Signpost Labelling Technical Guidance. Internet site: www.food.gov.uk/multimedia/pdfs/frontofpackguidance2.pdf (Accessed February 21, 2013).Google Scholar
Fuenkes, G.I.J.Gortemaker, I.A., Willems, A.A., Lion, R., and van den Kommer, M.. “Front-of-Pack Nutrition Labeling: Testing Effectiveness of Different Nutrition Labeling Formats Front-of-pack in Four European Countries”. Appetite 50(2008):5770.CrossRefGoogle Scholar
Gorton, D.Mhurchu, C.N., Chen, M., and Dixon, R.. “Nutrition Labels: A Survey of Use, Understanding and Preferences among Ethnically Diverse Shoppers in New Zealand”. Public Health Nutrition 12(2009): 13591365.CrossRefGoogle Scholar
Harnack, L.J.French, S.A., Oakes, J.M., Story, M.T., Jeffrey, R.W., and Rydell, S.A.. “Effects of Calorie Labeling and Value Size Pricing on Fast Food Meal Choices: Results from an Experimental Trial”. The International Journal of Behavioral Nutrition and Physical Activity 5(2008):113.CrossRefGoogle Scholar
Harrison, G.W. and List, J.A.. “Field Experiments.” Journal of Economic Literature 42(2004): 10091055.CrossRefGoogle Scholar
Hersey, J.C.Wohlegenant, K.C., Arsenault, J.E., Kosa, K.M., and Muth, M.K.. “Effects of Front-of-Package and Shelf Nutrition Labeling Systems on Consumers”. Nutrition Reviews 71(2013): 114.CrossRefGoogle Scholar
Holmes, A.S.Serrano, E.L., Machin, J.E., Duetsch, T., and Davis, G.C.. “Effect of Different Children's Menu Labeling Designs on Family Purchases”. Appetite 62(2013): 198202.CrossRefGoogle Scholar
Jalonick, M.C. FDA Head Says Menu Labeling ‘Thorny’ Issue. The Associated Press, March 12, 2013. Internet site: http://bigstory.ap.org/article/fda-head-says-menu-labeling-thorny-issue (Accessed August 21, 2013).Google Scholar
King County. 2010. Be Informed Be Healthy. Internet site: www.kingcounty.gov/healthservices/health/nutrition/healthyeating/menu/campaign.aspx (Accessed February 7, 2013).Google Scholar
Krieger, J.W.Chan, N.L., Saelens, B.E., Ta, M.L., Solet, D., and Fleming, D.W.. “Menu Labeling Regulations and Calories Purchased at Chain Restaurants”. American Journal of Preventive Medicine 44(2013):595604.CrossRefGoogle Scholar
Levitt, S.D. and List, J.A.. “What do Laboratory Experiments Measuring Social Preferences Reveal about the Real World?” The Journal of Economic Perspectives 21 (2007): 153174.CrossRefGoogle Scholar
Mayer, J.A.Brown, TP, Heins, J.M., and Bishop, D.B.. “A Multi-Component Intervention for Modifying Food Selections in a Worksite Cafeterias”. Journal of Nutrition Education 19(1987):277280.CrossRefGoogle Scholar
Mesonet. 2013. Daily Data Retrieval: Maximum Air Temperature in Stillwater, OK, from September—November, 2010. Internet site: www.mesonet.org/index.php/weather/daily_data_ retrieval (Accessed October 11, 2013).Google Scholar
Milich, R.Anderson, J., and Mills, M.. “Effects of Visual Presentation of Caloric Values on Food Buying by Normal and Obese Persons”. Perceptual and Motor Skills 42(1976): 155162.CrossRefGoogle Scholar
Oklahoma State University. 2011. School of Hotel and Restaurant Administration: Taylor's Dining Room. Internet site: http://humansciences.okstate.edu/hrad/content/view/15/40/ (Accessed January 29, 2012).Google Scholar
Pang, J. and Hammond, D.. “Efficacy and Consumer Preferences for Different Approaches to Calorie Labeling on Menus”. Journal of Nutrition Education and Behavior (2013): in press.CrossRefGoogle Scholar
Pulos, E. and Leng, K.. “Evaluation of a Voluntary Menu-Labeling Program in Full-Service Restaurants”. American Journal of Public Health 100(2010): 10351039.CrossRefGoogle Scholar
Quester, P. and Steyer, A.. “Revisiting Individual Choices in Group Settings: The Long and Winding (less traveled) Road?” The Journal of Consumer Research 36(2010): 10501057.CrossRefGoogle Scholar
Roberto, C.A.Larsen, P.D., Agnew, H., Baik, J., and Brownell, K.D.. “Evaluating the Impact of Menu Labeling on Food Choices and Intake”. American Journal of Public Health 100(2010):312318.CrossRefGoogle Scholar
Rosenbloom, S. Calorie Data to be Posted at Most Chains. The New York Times, March 23, 2010. Internet site: www.nytimes.com/2010/03/24/business/24menu.html?_r=0 (Accessed January 31, 2013).Google Scholar
Storcksdieck Genannt Bonsmann, S. and Wills, J.M.. “Nutrition Labeling to Prevent Obesity: Reviewing the Evidence from Europe”. Current Obesity Report 1(2012): 134140.CrossRefGoogle Scholar
Stutts, M.Zank, G.M., Smith, K.H., and Williams, S.A.. “Nutrition Information and Children's Fast Food Menu Choices”. The Journal of Consumer Affairs 45(2011):5286.CrossRefGoogle Scholar
Sutherland, L.A.Kaley, L.A., and Fischer, L.. “Guiding Stars: The Effect of a Nutrition Navigation Program on Consumer Purchases at the Supermarket”. The American Journal of Clinical Nutrition 91(2010):1090S1094S.CrossRefGoogle Scholar
Thorndike, A.N.Sonnenberg, L., Riis, J., Barraclough, S., and Levy, D.E.. “A 2-Phase Labeling and Choice Architecture Intervention to Improve Healthy Food and Beverage Choices”. American Journal of Public Health 102(2012): 527533.CrossRefGoogle Scholar
Unnevehr, L.J. and Jagmanaite, E.. “Getting Rid of Trans Fats in the U.S.Diet: Policies, Incentives, and Progress”. Food Policy 33(2008):497503.CrossRefGoogle Scholar
Vermeer, W.M.Steenhuis, I.H.M., Leeuwis, F.H., Heymans, M.W., and Seidell, J.C.. “Small Portion Sizes in Worksite Cafeterias: Do They Help Consumers to Reduce Their Food Intake?” International Journal of Obesity 35(2011): 12001207.CrossRefGoogle Scholar
Wansink, B. “Environmental Factors that Increase the Food Intake and Consumption Volume of Unknowing Consumers”. Annual Review of Nutrition 24(2004):455479.CrossRefGoogle Scholar
Wilcox, K.Vallen, B., Block, L., and Fitzsimons, G.J.. “Vicarious Goal Fulfillment: When the Mere Presence of a Healthy Option Leads to an Ironically Indulgent Decision”. The Journal of Consumer Research 36(2009):380393.CrossRefGoogle Scholar
Wisdom, J.Downs, J.S., and Loewenstein, G.. “Promoting Healthy Choices: Information versus Convenience”. American Economic Journal: Applied Economics 2(2010): 164178.Google Scholar