Benefit or harm: Consumers' quality expectation of orange juice in recycled packaging

Packaging contributes significantly to global waste production. To reduce emissions and waste, a transition to a more sustainable approach, the circular economy, is being promoted. This approach focuses on strategies such as reuse and recycling. Companies have the option to display a label indicating the recyclate percentage, though its impact on consumer choice remains uncertain. This study investigated how such a label affects consumers' expectations of the quality, safety, taste, and sustainability of orange juice. An online survey with 1080 German consumers using a between-subjects design was conducted: Each group saw a different picture of orange juice in a PET bottle: either with a 25 % recyclate label, a 100 % recyclate label, or no label. Results showed a halo effect of labelling, i.e., a recyclate label indicating the percentage of recyclate used in a PET bottle improves consumers' expectations of orange juice. The exact recycled content does not significantly affect quality and safety expectations but does impact sustainability perceptions. Furthermore, expected safety, expected taste, and expected sustainability were found to mediate the effect of a recyclate label on expected quality. A moderating effect of environmental concern was observed, i.e. participants with higher environmental concern expect orange juice with a recyclate label to be more sustainable. Thus, communicating recyclate content to consumers appears beneficial, and exceeding legal requirements may be advantageous for companies.