Consumer Responses to Multiple and Superfluous Labels in the Case of Eggs

Abstract

Food labels convey various information about credence attributes. An increasing number of labels and the existence of superfluous labels lead to questions on how consumers value different number of co-presented labels. Average respondents to our national survey about eggs were willing to pay a premium for all considered attribute labels, but their valuations depended on how many other labels were presented simultaneously. For example, certified organic label lost value as it was presented with more labels. On average, respondents also valued labels that conveyed no additional information, even after being presented with their superfluity.