Are Sugar-Sweetened Beverage Taxes Effective? Reviewing the Evidence Through a Marketing Systems Lens

The overconsumption of sugar-sweetened beverages (SSBs) is associated with noncommunicable diseases such as obesity, type 2 diabetes, and cancer. Voluntary industry codes have largely failed to curb the overconsumption of sugar, and governments globally are increasingly willing to impose taxes on SSBs. However, the effectiveness of SSB taxation varies significantly. Drawing on a systematic review of the most recent literature (N = 79), the authors find that heterogeneity in outcomes is likely to result from idiosyncratic conditions within marketing systems. Building on marketing systems theory, they identify and critically evaluate (omitted) factors within the marketing environment that have an impact on the effectiveness of SSB taxation. Findings reveal that most studies to date focus on demand-side issues, often omitting supply-side responses such as reformulation or pass-through rates. Furthermore, studies largely disregard evidence from marketing and behavioral sciences, which show that taxation works through psychological mechanisms other than price. Finally, the authors find that few studies have systematically evaluated the complementary effects of SSB taxation and other health-promoting policies. By highlighting these blind spots in the current SSB taxation knowledge, the authors provide fruitful avenues for future research at the nexus of marketing and public policy.