Some coffee shops offer a discount for beverages when customers choose or bring their own reusable cups. Financial incentives are usually believed to be a strong motivator for choices, but we find no significant impact of visually increasing the saliency of this discount on posters in Sweden. The lottery mechanism tested at some of the Original Coffee locations also provided a form of monetary incentive. Our results showed a strong positive effect of this lottery mechanism, but only being significant in the buying moment opposed to the return moment. It should be noted that the share of the reusable cups increased significantly in intervention period with the return moment, but that the effect is most likely to be driven by the prompt. The incentive of a chance for a reduced price when returning the cup might have been too distant from the moment customers decide between a reusable and single-use cup.
Our findings on the impact of social norms differ depending on how the social norms were communicated. The Green Nudges Playbook advocates communicating social norms to leverage behaviour change, but it is important to highlight the different possibilities with social norms. Previous research has found that simply stating how much others are engaged in a desired behaviour, can have a substantial effect on the increase of this behaviour. In one of the most influential studies on the effect of communicating social norms, Allcott (2011) showed that household energy consumption could be lowered by communicating differences in consumption with similar households. However, subsequent research has had varying success in replicating this finding. For example, Gravert & Olsson Collentine (2021) showed that communicating social norms had minimal effect on the uptake of public transport. Our results also indicate that this approach may not be enough. However, when communicating social norms more actively with a continuously updated graph and numbers on the use of reusable cups at the location where customers buy their beverages, our results show stronger effect. Whether social norms impact our behaviour also depends on which group of people we receive information about, and whether we identify ourselves within that group. Because of this, social norm nudging is also more likely to succeed in a closed setting rather than an open setting.
Settings
Coffee is everywhere, bought in all kinds of settings, from offices and gas stations to universities and sports stadiums. Therefore, it’s important to make a few notes on these different settings, because they have relevance for the applicability of nudges. As the results illustrate, using the same nudge in different settings can result in different impact. A truck driver might not react to a nudge implemented at a gas station, that works on the professor who just needs a coffee while performing a lecture. We advocate for the need to investigate one’s context to understand what might work and what might not, and not to think that an effective nudge would be effective everywhere.
Two overall settings can be identified to have an influence on the applicability of the nudges. We call them open- and closed settings. Closed settings refer to contexts where people are consuming their beverages within the surrounding area of the purchase. The customers are usually regulars and examples could be workplaces like Nordea, Universities like Nordrest or events and festivals. Open settings are the opposite. Here there are fewer regulars and people do not necessarily consume their hot beverages in the surrounding area. These two settings have a substantial impact on the applicability of nudges. As shown in the experiment, the prompt is more likely to successfully be implemented by organisations that operates in open settings. That is because employees can feel uneased or unprofessional if they are performing the prompt continuously to the same regulars, which are more frequent to happen in closes settings opposed to open settings. The social norm nudges also differ in results depending on the setting. In the closed setting of Nordea, the result was significantly higher than in the open system of Original Coffee’s at Store Kongensgade. This is logical, since social norm nudges leverages on already existing communities, and in closed settings customers are more likely to identify stronger with each other and thereby influence each other more.
Systems
The aim for the experiments is to evaluate and test if different nudges can be used to limit the use of single-use cups by getting people to choose a reusable alternative. These alternative options can vary in both material and how they are systemized. In the Swedish tests, Panter was used as the reusable alternative which is like the Kleen Hub cup tested in Nordea, Denmark. In these scenarios, customers can for free choose the more sustainable option instead of the single-use cup. It is though only free if they return it, as they otherwise they will be fined. This system is based on the idea that a reusable alternative will be chosen at a higher frequency if the initial payment isn’t different from ordinary single-use cups. The obstacle is here another behavioural barrier, where people need to use relatively long time to sign up to the system. We tried testing sign-up time with Kleen Hub and it took little over 3 minutes, which in theory is a small investment to make, but in practise this can be too much of a barrier for people to opt-in.
The system used at Original Coffee operates in a different way, where customers pay a deposit fee when buying the hot beverage (5DKK), which they will get back when they return the New Loop cup. Here the initial barrier isn’t time to sign up, but the additional 5DKK that one need to pay as a deposit.
What is interesting with these two systems is that they try to overcome two different behavioural barriers for people choosing the reusable option. The results from the test show that it in practise is easier to nudge people to opt-in to a system like New Loop, since the initial time barrier simply is too inconvenient compared to the extra money. At Nordea the main driver for the effect wasn’t the Kleen Hub cup, but the option of bringing one’s own cups emphasising the sign-up barrier. Kleen Hub have post-experiment chanced their registration process to be easier for people to opt in to.
As stated, Nordea had a third option of a reusable cup, being that customers could bring their own cup and get 2DKK discount. In theory, this is a great alternative, but in practice it’s very important to notice the previous distinction between open- vs closed settings. In a closed setting, this option can work since people are regulars and maybe even have a personal space or desk, like in Nordea. This setting provides the possibility for people to store their cups close to where they buy their coffee and not necessarily have to remember to bring their cups from home every day. Here people have both the possibility of allocating their used cups after they are done drinking their coffee and have it at easy hand when needing it the next time. In the open setting, people would not have the ability to allocate their used cup nor have it at easy access in the coffee-buying moment. They would at all times need to remember their cup every time they were about to buy coffee.
The above highlights the difference between the two initial barriers for the systems, but a combined barrier also exist. It is the inconvenience of carrying a reusable cup around until you can return it, which naturally is more present in open settings opposed to closed settings. This barrier is a major implication for shifting consumer behaviour towards sustainability in open settings, which quickly becomes a broad problem to solve and therefore relevant for future research.
Optimal and normal implementation
When conducting field experiments, one serves the practical interest by using the appropriate experience, theory, and scientific methodology. To serve the practical interest is to develop theories and insights that is applicable to the real-world, which is why we distinguish between scientific praxis and applied scientific praxis, leading in this case to the discussion between optimal and normal implementation (Hansen, in press). When implementing nudges in the real-world that incorporate a human element like instruction to a prompt, nudging can rarely be without noise.
Noise occurs for example when employees forget to prompt, if the coffee machine shuts down or if employees get sick – it’s all that cannot be controlled for when you’re testing in the real world. Optimal implementation is what happens in laboratory studies, where the curiosity of science is of focus. Conducting field experiment often results in normal implementations where noise cannot be avoided – only limited.
To minimise noise, we did daily monitory visits and two undercover visits per week at Original Coffee. Every potential noise was written down, where employees were asked if, for instance, they had performed the prompt correctly, how they felt about doing it, any reaction from customers, or if anything unusual had happened. The undercover visits were performed to double-check their answers in performing the prompt. When reading these notes, it’s clear that we are talking about a normal implementation, meaning that some of our undercover visits show that not every employee did the prompt in every transaction. It was also openly reported in the monitory visits, where employees expressed a struggle in always remembering the prompt, and that they were not comfortable in continuing to do this to regulars or tourists. During the experiment, we therefore tried to tackle these barriers with a dynamic approach by correcting the prompt a bit (not a yes or no question, like some accidentally did), stressing the importance of always asking from an experimental point of view, and making a highlighted poster at counter for the employees to be reminded to prompt.
In the tests with a more static approach, monitoring and controlling that instructions were followed in detail was kept at a minimum. Instead, we had follow-up discussions with the collaborators to gauge how instructions were followed. Indeed, noise was present during the intervention and likely to a significant amount. Instructed prompts were not provided zealously, to avoid inconveniencing the customer or the staff themselves. The reason for the static approach was to test the results of an approach that is likely to be followed when scaling up chain- or market wide. When scaling, a dynamic approach with monitoring becomes time-consuming and expensive. Managers (or consultants) may instruct staff to follow a certain practice, but ensuring full compliance is far from guaranteed. Using a more static approach for some of these tests also allows comparisons with the results from the more dynamic approach. These results are important for conclusions regarding possibilities for scaling. One should expect results similar to test results only if the methodological approach is similar at scale. If the approach is dynamic (monitoring and controlling that instructions are followed), one should expect results similar to the tests with a dynamic approach. If the approach is static (instructing prompts, but limited monitoring and control), one should expect weaker results, similar to tests with a static approach.
To sum up, the nudges can be said to have a normal implementation, both with a dynamic and static approach. However, the implementation is closer to an optimal implementation using a more dynamic approach. The fact that implementation was not optimal makes the results even better – just imagine what could have happened if we could make sure that the nudges was 100% correctly implemented each time someone needed a to-go cup.