It outlines consumer responses to price hikes by attempting to evaluate to what extent sugar taxes could halt obesity by discouraging sugar consumption in the UK, which will be the next country to adopt such a policy.
WiseGuyReports published new report, titled “The Implications of Introducing a Sugar Tax”.
"The Implications of Introducing a Sugar Tax" explores the likely effects of sugar taxes on consumer prices and behavior.
The introduction of a sugar tax would hit lower-income groups harder, but this would not guarantee a reduction in sugar consumption as this group is likely to trade down to lower-price goods.
This could stimulate new innovations in product reformulation, positioning and packaging sizes.
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- There is no clear evidence supporting sugar tax as a mechanism to influence consumer diets.
- Despite obesity/overweight and sugar-related health issues being two of the most concerning health issues for British consumers, consumption of sugar is high and climbing.
- Price rises will not necessarily stall the taxed category’s sales as the demand is inelastic and consumers may just shift to cheaper brands.
- The tax would play a key role in promoting a healthy diet, bringing the high sugar content of soft drinks into the spotlight and stimulating demand for low-sugar and sugar-free soft drinks.
Key points to access
- Understand consumer responses to price hikes and to what extent purchasing patterns will be altered with the introduction of a sugar tax.
- Gain a detailed understanding of the unintended outcomes that price increases will generate.
- See the actions that major brands are taking to get ahead of the greater interest in the low-sugar, sugar-free, and alternative sweetener sectors.
Table of Contents
- The rationale behind the sugar tax
2. Implications to consumer prices
3. A cross-country comparison
4. Implications of consumer perceptions
5. Spot light on: Soft Drinks
6. UK: Sugar Tax debate
7. Perceptions of the sugar tax by stakeholder
8. What manufactures need to know about UK consumers
9. Implications to consumer behavior
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