Consumer preference for animal welfare when buying eggs

By conducting three natural field experiments in Norwegian grocery stores, we measure consumers' perception of animal welfare-labelling when they buy eggs. The three natural field experiments are: 1) Introduction of an 'unpleasant' carton for battery eggs which clearly informs that the eggs come from hens living in cages. 2) In-store information about the welfare for hens' living in organic production systems. 3) Removal of battery eggs in the grocery chain. In addition to these experiments, we conducted a supplementary instore survey among egg buyers. Positive labelling sends a signal that a product appears as above average quality in the segment, whereas negative labelling signals that it is below average quality. Our results show that negative labelling (cf. experiment 1) has an impact on sales, whereas positive labelling (experiment 2) does not influence sales. Consumers seem to be more responsive to negative labelling of animal welfare than to positive labelling. Our supplementary survey in-store confirms that this strategy seems to work for all consumer groups. We also found that when the grocery chain removed battery eggs from their assortment (experiment 3), the group of consumers who had previously bought battery eggs, then preferred indoor free-range eggs.