Investigating Consumer Preferences for Sustainable Packaging Through a Different Behavioural Approach: A Random Regret Minimization Application

Abstract

AbstractPlastic pollution causing the near-permanent contamination of the environment is a preeminent concern. The largest market sector for plastic resins is packaging, and the food industry plays a major role in producing plastic packaging waste. Therefore, the gradual switch of the food system towards pro-environmental packaging strategies is required to contain the plastic packaging waste issue. To this extent, this study aimed to investigate how food consumers relatively value the provision of different sustainable packaging alternatives, namely the unpackaged option and bioplastic packaging. Moreover, to shed light on the behavioural mechanism underlying the decision-making process for sustainable packaging, we considered two different decision paradigms: the traditional random utility maximization and random regret minimization framework. Overall, our results indicate that consumer tastes are highly heterogeneous and that preference patterns change according to the behavioural approach assumed by individuals. Policymakers and marketers of food industries need to carefully consider the differences in the decision mechanism of consumers when implementing strategies to encourage pro-environmental food choices. Notably, our findings elucidate on the importance to embrace other perspectives as well, and not simply limit to utility maximization, to fully comprehend the decision-making process of consumers for sustainable foods.