When we looked at how much a soy latte cost, I ended with a question ‘Shouldn’t soy lattes be charged at a price lower or equal to that of a regular latte so that consumers are more willing to adopt more environmentally friendly choices?’. That is what we will be exploring today! To find out how the preference for soy latte will change when it’s sold at a cheaper price, I surveyed 45 friends and family members.
The ‘oh no’ moment
We often associate healthy food with being expensive and assume the other way around too – expensive food must be healthy. If the price of a soy latte was lower or equal to that of a regular latte, consumers might have a perception that the latter is a healthier option than the former. As such, this could drive the consumption of regular lattes instead.
Though this could be a possible consequence, my survey results showed that some consumers were not as willing to switch their drink option to a soy latte, as they prioritised taste over the price of their drinks. 18 out of 45 respondents would only sacrifice 0-1 cup of regular latte for soy latte (Figure 1).
Figure 1
As such, it can be seen from these two examples that decreasing the price of soy latte alone is not enough to encourage everyone to completely change their drink options. This is largely due to other factors like taste preference that could affect one’s choice of drink.
The ‘ah hah’ moment
Nonetheless, the decrease in price of soy lattes still managed to gain 27 supporters who were willing to sacrifice at least 3 out of 5 of their regular lattes (Figure 2)!
Figure 2
When all respondents were informed that soy milk is more environmentally friendly, half of them were more willing to try out soy latte (Figure 3)! Of which were 4 respondents who initially chose to sacrifice none of their regular coffee, and 6 respondents who chose to sacrifice one regular coffee for soy coffee.
Figure 3
On the average, respondents were willing to give up at least one more cup of regular latte for a soy latte. When prompted why, respondents mentioned they were happy to do their part in protecting the environment.
This shows that with the knowledge that soy milk is more environmentally friendly, it can greatly affect the decision making by individuals. In fact, the heart to consciously make an eco-friendly option is what drives one to change one’s decisions.
Overall, this mini survey taught me that a simple adjustment in the price of soy latte cannot fully affect the decisions made by consumers. It can cause some to drink more soy lattes, while others remain drinking regular lattes. That is because we all have different factors that affect our choice of consumption. Perhaps, a decrease in the price of soy lattes will be a great start in encouraging consumers to choose soy lattes over regular lattes. However, the most important factor in deciding our choice of drinks will be the understanding of the environmental impacts of each drink, and the heart to care for the environment 🙂
Life is not a bed of roses – there is no single solution to any problem
Joanna Coleman October 26, 2020
Hi Jo,
This post demonstrates (1) advanced skills when it comes to thinking about a research question, (2) considerable interest in the business side of env issues (when I look at the overall assignment). Never mind the visual appeal.
I’m very impressed.
I mean, you’re venturing into discrete choice experimentation – this is something that at least one of your seniors did for their FYP – in this case, the student (Nicholas) examined the substitutability of cooling drinks derived from saiga horn with those made from other ingredients, like chrysanthemum.
Small piece of writing feedback : you got the verb tense wrong in the title – it should read “were cheaper”.
Great job !
jolee2001 October 26, 2020 — Post Author
Hi Dr Coleman!
Thank you so much for your comment and feedback 🙂 Also, thank you for pointing out my mistake in the title! I’ll take note of that in the future too.
– Jo
amira October 27, 2020
Hello Jo! Thank you for the interesting read 😮
I actually really love soy milk (even though oat milk might taste a little better hehe)! Matcha lattes with soy milk is really really good!
I personally do not like trying new things, however, I found that my shift from regular milk to soy/oat milk was rather smooth. I wondered why and realised it was due to it being ‘trendy’ and many influencers started promoting these alternatives recently. In your opinion, if prices of soy milk were lower than regular milk, coupled with a second wave of soy milk being ‘trendy’, do you think the results of your survey would be different?
Thank you and hope to hear from you soon 🙂
jolee2001 October 27, 2020 — Post Author
Hello Amira!
Thank you for visiting my blog and I’m glad you enjoyed reading this post! I feel that if prices of soy milk were lower than regular milk and there was a second wave of soy milk being trendy, my results would differ slightly in the short and long run. Since about 50% of my respondents mentioned that price was one of the factors that affected their choice of drink, a drop in price of soy milk could cause them to opt for coffee with soy milk. Also, given that most of the respondents were in their early 20s, I assume they would follow the trend to not feel left out. As such, there may be a spike in respondents who are willing to give up more regular latte for soy latte in the short run. However, since 80% of the respondents’ choice of drink was affected by taste preferences, it may not be as easy for them to accept soy milk in the long run. Hence, if the same survey was sent out in a month or two when the trend of drinking soy latte dies down, there may be a decrease in number of people who are willing to sacrifice regular latte for soy latte (as compared to the survey results in the short run).
– Jo
markgys99 October 27, 2020
Hi Jo,
I must say that even though I am not an avid drinker of coffee, this post has got me craving a soy latte now 😀 It is actually quite heartening to find out that people would actually be willing to switch products despite the difference in taste when they found out that it was more eco-friendly.
I am quite curious, however, as going vegan/vegetarian has been promoted for quite a long time now as being more eco-friendly. Despite this, the majority of people still consume meat. Why do you think there is a difference between this and being willing to make the switch to soy milk?
Looking forward to hearing from you!
Mark
jolee2001 October 28, 2020 — Post Author
Hello Mark!
Hahaha hope you’ve gotten your coffee fix 😉 I feel that this difference is mainly due to the fact that many regard meat as having a greater importance in their diet, compared to milk/soy milk. Many may consider meat a necessity in their diets, as there are certain nutrients than can only be found in meat. On the other hand, not many may think that drinking milk/ soy milk as a necessity in their diets. Having a glass of milk or soy milk would seem more of an addition to their meals. As such, although going vegan/vegetarian has been promoted as being more eco-friendly, not many are willing to stop their meat consumption. It may be hard for them to transition to the extreme end of not eating meat, since they have been eating it all along. Although there may be mock meat or food like impossible burgers, they lack certain nutrients and still taste different from real meat. Hence, people may find it difficult to find alternatives to meat, which has a taste and texture that is hard to replicate. In comparison, milk and soy milk may have slightly more similar textures. Given that some soy milk is slightly sweet, it also adds on to the taste profile of a soy latte, making it more palatable for many. Furthermore, since drinks like soy milk may not be a necessity in most people’s diets, many are willing to try out this new change. I guess it is natural to be willing to experience something new when we are not yet too comfortable with the norm! I hope this answers your question 🙂
– Jo