Measuring the Informational Value of Interpretive Shelf Nutrition Labels to Shoppers
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We use the voluntary adoption of the NuVal shelf nutrition labels by a grocery retailer to
estimate the value of these labels to shoppers in the yogurt category. Using an incomplete
quadratic almost ideal demand system to represent consumer demand, we found a statistically
significant positive effect of these shelf labels on demand for yogurt with above-average NuVal
scores. The coefficients on the NuVal treatment variable in the demand equations for yogurt with
below-average NuVal scores and unlabeled yogurt are not statistically significant. The value of
nutrition information brought by NuVal labels is estimated to be 3.1% of consumer expenditures
on yogurt at the store that uses the labels.