Financial incentives and nudges fail to reduce plastic use

Studies from around the world suggest that individual financial incentives and behavioral nudges have limited success in reducing plastic pollution. While these approaches aim to encourage more sustainable choices, they often fall short of achieving significant behavioral change.

France introduces a reusable cup discount

In France, a law enacted in July 2021 requires cafes to offer a discount for customers who bring their own cup. This policy, part of the Anti-waste and Circular Economy law, was designed to reduce plastic use. However, similar initiatives have shown mixed results in practice.

Nudges and their limitations

A nudge is a strategy that alters the choice environment to influence behavior without banning options or offering financial rewards. This concept, developed by Richard Thaler and Cass Sunstein, has been used in various policies, including those related to the circular economy. However, studies show that nudges often fail to address deeper structural issues and can sometimes lead to unintended consequences.

Hong Kong study on reusable cups

A study conducted in 223 cafes in Hong Kong between 2018 and 2019 found that offering small discounts for bringing reusable cups did not significantly increase their use. Despite nearly 80% of cafes offering such discounts, the proportion of customers using reusable cups did not increase and even slightly decreased in some cases.

Exclusion effect observed

In cafes offering discounts, customers who were not eligible for the discount (because they had not brought their own cup) were more likely to use disposable cups. This exclusion effect suggests that the perceived value of reusable cups may have been diminished by the presence of discounts for others.

Global consistency in findings

The results from Hong Kong align with similar studies in the United Kingdom, Brazil, and Canada, where soft financial incentives and informational nudges failed to shift consumer behavior away from disposable packaging. In these cases, habits and convenience often outweighed the influence of minor incentives.

Need for stricter regulations

These findings highlight the need for more stringent policies to effectively reduce plastic pollution. In the European Union, a plastic directive was implemented in 2019, leading to a ban on ten single-use plastic items in France in 2021. Similar bans in Rwanda and California have also shown success in reducing plastic waste.

Plastic industry's counter-narrative

Despite these regulatory efforts, the plastic industry continues to influence public perception. Campaigns like Too Much, launched in 2026 by Polyvia, aim to shift the blame from plastic production to its disposal. However, the health and environmental risks of plastic pollution remain well-documented and cannot be ignored.