A STUDY TO EXPLORE THE EFFECT OF BRAND LABEL VS. INFORMATION LABEL IN THE FOOD AND BEVERAGE INDUSTRY TOWARDS GREENWASHING PRACTICES

The study explores the impact of brand labels versus nutritional labels on consumer perceptions in the food and beverage industry addressing the growing concern of greenwashing practices. Brand labels strongly impact consumer choices because of their established associations. However, the influence of labels such as nutritional details in changing consumer perceptions is a less studied area. This research aims to compare the effects of these labels on consumer decisions with a lens of greenwashing. Using a descriptive survey design, data was collected from 271 consumers in retail settings like malls and supermarkets. Participants were exposed to brand labels followed by nutritional labels to assess shifts in perception and purchase intention. Findings indicate that trust and visual attention in the context of brand labelling significantly impact perception and purchase intention of a product. Trust and awareness factors in the context of nutrition labels significantly influence consumer brand-driven perceptions by revealing a product's true value. This highlights greenwashing practices where brands exploit consumer trust through vague or misleading claims. The study underscores the potential of labelling in promoting transparency and encouraging informed and health-conscious purchasing behaviors. These findings are valuable for brands aiming to build trust and for policymakers to design effective labelling regulations. Future research could explore label impacts across varied retail formats and product categories to enhance consumer education on healthful choices.