David Just presentation at 2011 Access to Healthy Foods Summit
-
Upload
accesstohealthyfoods -
Category
Health & Medicine
-
view
419 -
download
0
description
Transcript of David Just presentation at 2011 Access to Healthy Foods Summit
![Page 1: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/1.jpg)
Marketing Nutrition: It’s Not What You Think
David R. Just
June 2011
![Page 2: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/2.jpg)
Obesity– Over the last 40 years the
percentage of overweight adults has increased from 43.8% to 64.5% (NIH).
– 32% of adult males and 36% of adult females are obese
• Double the rate from 1980– Childhood obesity has increased
from 6% to 18% since 1980 – Total annual medical costs due to
overweight $147 billion.• Other costs from reduced life
expectancy, loss in productivity, etc., push total costs to $500 billion
![Page 3: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/3.jpg)
The Response
• More information– Nutrition labels– Government
recommendations– Calorie posting
• Paternalistic interventions– Banning soda in school/on
SNAP– Soda/sugar/fat taxes– Banning happy meals
![Page 4: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/4.jpg)
Are These Policies Effective?
• Nutrition Labels: – 30%-60% use nutrition labels regularly– Observation leads us to a number closer to 10%– Even among those who use them, a majority do
not understand them or use them ineffectively• Focus on one dimension (e.g., Fat)
– Can lead to backfire
• Difficulty understanding what RDA means• Difficulty with understanding per serving information
![Page 5: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/5.jpg)
Are These Policies Effective?
• My Pyramid, etc:– Wonderful coverage and wide viewership– No impact on consumption
• Calorie Posting:– Three major studies
• Two find no effect on consumption– One finds dieters consume more with calorie information
• One finds that those who use the labels consume fewer calories
– Correlation not causation
![Page 6: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/6.jpg)
Why?: Economics and Psychology
• One reason these policies fail is endogeneity– Those who overeat when
visiting a fast food restaurant do so because they like to
– They will be more resistant to information, or other policies
• Reactance – Rebelling against a threat to
freedom– Fat tax versus a thin subsidy– Limits on ketchup– Don’t press this button
![Page 7: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/7.jpg)
Why?: Economics and Psychology• Another reason is an inability
to make reasoned decisions– Individuals make 200-300 food
decisions a day– Making deliberate decisions
for each would be impossible– We fall back on rules of thumb
and habit – What would happen if we did
rationally consider each decision?
– How could cognitively based policies engage the unthinking?
![Page 8: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/8.jpg)
All-You-Can-Eat
►Rational: eat until the next bite of food provides no more enjoyment
►Individuals entering an AYCE pizza buffet were asked to participate– Half were given a coupon for a
free drink– Half were given a coupon for a
free drink and 50% off their meal
![Page 9: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/9.jpg)
All-You-Can-Eat
►Rational: eat until the next bite of food provides no more enjoyment
►Individuals entering an AYCE pizza buffet were asked to participate– Half were given a coupon for a
free drink– Half were given a coupon for a
free drink and 50% off their meal
Pizza Eaten
00.5
11.5
22.5
33.5
44.5
Full Price Half Price
![Page 10: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/10.jpg)
All-You-Can-Eat
►Rational: eat until the next bite of food provides no more enjoyment
►Individuals entering an AYCE pizza buffet were asked to participate– Half were given a coupon for a
free drink– Half were given a coupon for a
free drink and 50% off their meal
Don’t like it? Eat 0.5 slices morePizza Eaten
00.5
11.5
22.5
33.5
44.5
Full Price Half Price
![Page 11: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/11.jpg)
What is normal anyway?
• Soda can – 12 oz• Starbucks – “Tall” 12 oz • McDonald’s soda – “child” 12
oz• McDonald’s coffee – “small”
12 oz• Consumers presented with
two sizes of items– Regular and Double– Half and Regular
• 140 more calories just by naming it smaller
![Page 12: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/12.jpg)
What is normal anyway?
• Soda can – 12 oz• Starbucks – “Tall” 12 oz • McDonald’s soda – “child” 12
oz• McDonald’s coffee – “small”
12 oz• Consumers presented with
two sizes of items– Regular and Double– Half and Regular
• 140 more calories just by naming it smaller
Spaghetti Waste
Salad Waste
Pudding Waste
02468
101214161820
Gra
ms
![Page 13: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/13.jpg)
What is normal anyway?
• Soda can – 12 oz• Starbucks – “Tall” 12 oz • McDonald’s soda – “child” 12
oz• McDonald’s coffee – “small”
12 oz• Consumers presented with
two sizes of items– Regular and Double– Half and Regular
• 140 more calories just by naming it smaller
Spaghetti Waste
Salad Waste
Pudding Waste
02468
101214161820
Gra
ms
![Page 14: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/14.jpg)
Debit or Cash• Lunch items were chosen to balance “healthy”
and “unhealthy” choices in each category– Commonly offered in Cornell dining areas– Prices charged in Cornell dining areas
• Two treatments– Cash: Given $20 in cash– Debit Card: Given $10 in cash and $10 on a debit
card
![Page 15: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/15.jpg)
Calorie Consumption
620.00
630.00
640.00
650.00
660.00
670.00
680.00
690.00
700.00
Cash Card
![Page 16: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/16.jpg)
Healthy vs. Unhealthy
$2.60$2.70
$2.80$2.90$3.00
$3.10$3.20$3.30
$3.40$3.50
Cash Card
HealthyUnhealthy
![Page 17: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/17.jpg)
Healthy and Unhealthy Calories
0.00
100.00
200.00
300.00
400.00
500.00
600.00
Cash Card
HealthyUnhealthy
![Page 18: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/18.jpg)
What We Know About Food Decisions
• We have two decision-making mechanisms– Deliberative – Rational – Emotional – Naïve knee-jerk
reactions• Which takes over depends on
the level of cognitive resources available– Stress or distraction leads us to
eat more and eat worse– It takes effort and resources to
resist temptation
![Page 19: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/19.jpg)
Hot vs. Cold Decisions
Cold State• We consider
– Prices– Health information– Logic
• We buy– Smaller portions– Moderate foods
Hot State• We eat for
– Taste– Convenience– Size– Visual effect– This decision is an exception
• We buy– Bigger– More hedonic
![Page 20: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/20.jpg)
ConsumptionDecision
SocializationShape of containersVisceral FactorsMental food accountsCommitment
Cognitive(Low Impact)
Affective(High Impact)
PricePrice of Substitutes and ComplementsAttributes (calories, nutrients)Health Information
PreferencesWealth
EffortSalienceStructureSize of portionsHedonic (Salt, Fat, Sugar)DistractionsAtmosphereEffort/AvailabilitySize of portionFraming of portion
Habit
Individual Control
Primitive
Manufacturer Control
Consumption and Control: Restaurant Consumption
![Page 21: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/21.jpg)
Sin and Virtue• The food environment responds to us
– Marketers have learned to sell sinful foods to those in a hot state
– Healthy convenience food is generally a flop
– Healthy fast food is a flop– Bad foods that are difficult to prepare
are also less successful• Healthy food and portions must be
sold where individuals are likely in a cold state
• The more distracted the consumer, the worse the food
![Page 22: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/22.jpg)
Sin and Virtue
• Cognitive policies won’t impact hot state consumers– In a hot state, I don’t care how
many calories it has– I am not concerned with my
budget– I am concerned with my
hunger, taste and convenience• Policymakers must engage the
thoughtless decision-maker
![Page 23: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/23.jpg)
Sin and Virtue
• Commit while in a cold state:– Control your future environment– Limit exposure to temptation
• Producers can sell commitment– Smaller portions at a premium– Would you like to cut 150 calories
by forgoing the side?– Less distracted eating
environments• Policymakers can use thoughtless
choice to public advantage
![Page 24: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/24.jpg)
The Problem of Influencing Decisions
• Directly restricting choices leads to reactance– This is costly to any policy– Saps the effect, makes the beneficiary feel like they are worse
off• What about regulating subtle influences in the
environment that impact choice?– Simple example: Normative size labels– 12 oz is regular/medium– No restriction on choice
• Benefit from attribution– It was my choice, I will repeat it in the future
![Page 25: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/25.jpg)
What of Endogeneity?
• Because both marketers and consumers respond to each other, well intentioned strategies backfire– Suppose a firm develops reduced fat potato
chips• When consumers are unaware of reduction in
fat, they consume the same amount of chips– This reduces fat consumption
• When aware, those who want to lose weight eat more
– Limits the benefits
• Some overvalue the reduction• Many sense a taste difference (even if there is
none)
![Page 26: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/26.jpg)
What of Endogeneity?
• The producers decision– Differentiate the new product
• Can price discriminate• Higher price for low fat• New consumers for chips• Higher profit
– Don’t differentiate• Now new customers are sales
revenue• Could be higher costs
![Page 27: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/27.jpg)
What of Endogeneity?
• The result– The firm differentiates– Consumers lose the benefits through
irrational reaction• Dieters overeat, maintaining fat consumption
and increasing calories, etc.• Health nuts pay too high a price• Those who think there is a taste difference
miss out on reduced fat– Endogeneity coupled with irrationality
creates a puzzle– Could other incentives be offered to firms
to innovate without differentiating?
![Page 28: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/28.jpg)
What Does this Mean for Kids• Ever wonder why kids food is
generally less healthy?• Kids have not fully developed their
rational system– Very little understanding of long term
consequences– Developing understanding of the
marketplace– Almost like a hot state – all the time– Reactance to paternalism
• Fortunately most kids find some healthy foods to be appealing and acceptable– We can make some foods cool– We can lead them to make the right
choice
![Page 29: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/29.jpg)
School Lunch Trilemma• Pressure to improve the nutrition of meals• Pressure to keep participation up• Pressure to balance revenue and cost
![Page 30: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/30.jpg)
School Lunch Trilemma• Pressure to improve the nutrition of meals• Pressure to keep participation up• Pressure to balance revenue and cost
We are going to stop selling
chocolate milk
![Page 31: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/31.jpg)
School Lunch Trilemma• Pressure to improve the nutrition of meals• Pressure to keep participation up• Pressure to balance revenue and cost
We are going to stop selling
chocolate milkI’m going to stop buying
![Page 32: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/32.jpg)
School Lunch Trilemma• Pressure to improve the nutrition of meals• Pressure to keep participation up• Pressure to balance revenue and cost
We are going to stop selling
chocolate milkI’m going to stop buying
I’m going to drink three glasses of chocolate milk
when I get home
![Page 33: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/33.jpg)
What Works
• Small inexpensive changes– Subtle nudges in the right direction– Reframing the decision of what to eat– Changes that kids will seldom even notice
• If they think it’s their choice it can form a habit
![Page 34: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/34.jpg)
A Few Keys
• Keep it simple:– Line of sight– Convenience– Suggested social norms– Bottlenecks– POS questions
• Sound familiar?– Many of these tools are well understood in marketing– These same tools can be used by restaurants and food
manufacturers to build a reputation of selling health conscious food, without gutting sales
![Page 35: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/35.jpg)
Line of Sight
Vitamin Water 125 cals
Iced Tea 120 cals
Water 0 cals
![Page 36: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/36.jpg)
Example: Plattsburg SchoolsBefore:
Under a shelfFruit mixed – people had to dig
After: In an attractive basketEye level – by itselfSeparated
![Page 37: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/37.jpg)
Convenience
• Small inconveniences can have a big impact– Moving vending
machines more distant locations (23%)
– Closing the lid to the on the ice cream cooler (14-30%)
![Page 38: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/38.jpg)
Hot Lunch Line
Hot Lunch Line
Old Locatio
n for Salad Bar
Old Locatio
n for Salad Bar
Ala Cart ItemsAla Cart Items
Cash Register
#2
Cash Register
#2
Cash Register
#1
Cash Register
#1
New Locatio
n for Salad Bar
New Locatio
n for Salad Bar
![Page 39: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/39.jpg)
Hot Lunch Line
Hot Lunch Line
Old Locatio
n for Salad Bar
Old Locatio
n for Salad Bar
Ala Cart ItemsAla Cart Items
Cash Register
#2
Cash Register
#2
Cash Register
#1
Cash Register
#1
New Locatio
n for Salad Bar
New Locatio
n for Salad Bar
Increased salad salesby 2 to 3 times
![Page 40: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/40.jpg)
Suggesting Social Norms
![Page 41: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/41.jpg)
Suggesting Social Norms
• Balancing demand with prevalence
• Self serve items and size– Larger tray sections means
more taken (30%)– Large serving spoons (14%)– A vat of mayonnaise with a
spoon • Single serving portions (jar
with a pump, packets)
![Page 42: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/42.jpg)
Hot Lunch Line
Hot Lunch Line
Less Healthy Snack Items
Less Healthy Snack Items
Cash Register
#2
Cash Register
#2
Cash Register
#1
Cash Register
#1
Hot Lunch Items
Hot Lunch Items
![Page 43: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/43.jpg)
Bottlenecks• Kids impulse buy
– At the register you have their attention
– What do you want them to buy?
• Remove snacks?– Gut revenue, lose customers
• Move the less healthy and add healthy snacks– Maintain revenues, preserve
customers
![Page 44: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/44.jpg)
POS Questions
What to ask• Complete the meal
– Milk • Half finds its way into the
garbage– Fruit?
• Portable• Several studies have shown
effective
• Wait for an answer (30%)
How to ask
![Page 45: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/45.jpg)
Debit Purchases
Debit purchases• Large national data set
shows– Eat more high calorie– Eat fewer of the high
nutrition
• Experiment– Even given the same pool of
money, they buy more brownies and soda
– Increase calorie consumption (70 cals)
Controlled Debit• Dramatically cuts calorie
content (130 cals)• Increases nutritional
content
![Page 46: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/46.jpg)
![Page 47: David Just presentation at 2011 Access to Healthy Foods Summit](https://reader035.fdocuments.in/reader035/viewer/2022070319/557e6c90d8b42a1e178b4fa0/html5/thumbnails/47.jpg)
Thank You
www.Smarterlunchrooms.org