Many Canadians say they care about ethical products . They want coffee that supports farmers, chocolate made without child labour and everyday goods that are better for the environment.
Authors
- Mehak Bharti
Assistant Professor of Marketing, Toronto Metropolitan University
- Jing Wan
Associate Professor of Marketing, University of Guelph
Many also say they are willing to pay more for ethically produced goods. Yet those values often fade once people are standing in front of a shelf of seemingly identical products.
This gap between what consumers say they value and what they actually buy is often described as hypocrisy . That explanation is tempting, but it misses something important. In most shopping situations, people are not choosing between right and wrong - they are choosing between prices.
That tension has become harder to ignore as food prices in Canada have risen sharply , squeezing household budgets and making cost the dominant concern in everyday decisions .
At the same time, Canadians continue to express concern for sustainability and ethical production . Caring has not disappeared. Acting on it simply feels harder now.
When good intentions meet the checkout
Consumer research has long documented a gap between stated preferences and actual behaviour. In surveys, people tend to express stronger ethical intentions than they act on in real shopping situations. That does not mean those values are insincere, but that values are pushed aside when everyday constraints take over.
This gap shows up most clearly in routine purchases like groceries, coffee and chocolate. These are items people buy often, and even small price differences add up quickly. In those moments, price becomes the easiest decision shortcut, especially as food costs continue to rise in Canada .
Ethical products usually cost more because they support higher wages, safer working conditions and lower environmental harm. While those benefits matter socially, they don't directly benefit the person paying at the checkout.
As household budgets tighten, choosing the ethical option can start to feel less like a moral decision and more like a financial burden.
Rethinking the ethical premium
Much of the debate around ethical consumption assumes that supporting better practices necessarily requires paying more. Ethical products are often framed as "premium" goods, with higher prices justified by their social or environmental benefits.
In our recent research study, we asked whether the ethical premium always had to be paid in money . Instead of focusing on higher prices, we examined whether consumers would respond differently if ethical products were offered at the same price as conventional ones, but in smaller quantities.
To explore this, we ran a series of experiments with more than 2,300 participants in Canada, the United States and Europe. Participants were asked to choose between ethical options (such as Fair Trade or sustainably produced goods) and conventional alternatives for everyday products like coffee and soap.
Participants were then randomly assigned to conditions that framed the ethical premium either through price or quantity. In the price-premium condition, participants chose between a higher-priced ethical option and a conventional alternative of the same quantity. In the quantity-premium condition, the ethical option was offered at the same price as the conventional alternative, but in a smaller quantity.
Across our experiments, consumers were consistently more likely to choose ethical products when the premium was framed as giving up quantity rather than paying a higher price.
Choosing less instead of paying more
Across our experiments, people reacted more strongly to price increases than to size changes. Consumers are more sensitive to price information than quantity information.
When ethical products cost the same as conventional ones, consumers no longer feel financially penalized for acting on their values. Rather, paying the premium with quantity makes the ethical product feels more affordable.
Importantly, this approach is not the same as shrinkflation , where companies quietly reduce package sizes over time without informing consumers. In our studies, the smaller size was explicitly visible, and consumers knew exactly what they were choosing.
Making ethical choices affordable
With grocery prices remaining high in Canada , expecting consumers to close the ethical gap by paying more money may be unrealistic. Ethical consumption does not fail because consumers are indifferent or hypocrites.
It fails because ethical choices are often presented in ways that make them feel financially out of reach.
Rethinking how the ethical premium is paid will not solve the problem overnight. Structural issues, such as supply chains, corporate practices and regulation, still matter deeply. But our findings suggest that design choices and pricing strategies can make a meaningful difference in whether consumers are able to act on their values.
If ethical consumption is to become more than an aspiration, it may need to be integrated into everyday affordability rather than positioned as an added cost. How we ask consumers to support ethical practices matters more than we often assume.
Jing Wan received funding from The Social Sciences and Humanities Research Council (SSHRC) of Canada.
Mehak Bharti does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
