Student Opposition to University Pouring Rights Contracts

Abstract

Introduction: The majority of large public universities have exclusive pouring rights contracts with beverage companies that produce and market sugar-sweetened beverages. Pouring rights contracts contain provisions that conflict with recommendations from major public health organizations that institutions reduce sugar-sweetened beverage availability, marketing, and consumption. This study assessed the following among students at 3 public universities: student perception of pouring rights contracts (the extent to which they favored or opposed pouring rights contracts), the association between student socioeconomic characteristics and perception of pouring rights contracts, student estimates of pouring rights contract revenue, and the association between student pouring rights contract revenue estimates and perception of pouring rights contracts. To contextualize results, actual pouring rights contract revenue as a percentage of total revenues was estimated.

Methods: A cross-sectional exploratory study was conducted among a convenience sample of 1,311 undergraduate sugar-sweetened beverages-consuming students recruited from 3 large and diverse public universities in Northern California. On an online questionnaire, undergraduate students indicated the extent to which they favored or opposed pouring rights contracts on a 10-point scale (oppose=1-5, favor=6-10) and provided a numeric estimate of the percentage of total university revenue they thought their university's pouring rights contract generated. Regression models were used to analyze differences in perception of pouring rights contracts by student socioeconomic characteristics and estimates of university revenues generated by pouring rights contracts. In addition, pouring rights contracts and financial reports were obtained from the 3 universities to estimate actual pouring rights contract revenue as a percentage of total revenues. Survey data were collected between August and November 2018 and analyzed in August 2022.

Results: A large majority of students (81%) opposed pouring rights contracts, and the opposition did not significantly differ by student socioeconomic characteristics, including by levels of food security, need-based financial aid, participation in federal food assistance or healthcare programs, parental education, or parental income (all ps>0.14). The median student estimate for pouring rights contract revenue as a percentage of total university revenue was 10%. In contrast, the estimated actual annual revenue generated from the pouring rights contracts ranged from 0.01% to 0.04% at these schools. Revenue estimates were not significantly associated with participants' opposition or favoring of pouring rights contracts (p=0.65).

Conclusions: A large majority of students opposed pouring rights contracts, and this opposition was similar regardless of student socioeconomic characteristics or student estimates of pouring rights contract revenues. Students markedly overestimated (by >100-1,000-fold) the percentage of university revenue that came from pouring rights contracts. University administration should consider student views on pouring rights contracts when deciding whether to exit or continue with pouring rights contracts.

Keywords: Pouring rights contracts; commercial determinants; contracts; student health; sugar-sweetened beverages; university students.

Figure 1

Students’ opinion on university pouring rights contracts (N=1,308). Those who responded 1–5 were classified as oppose in response to the question, Many universities like yours have exclusive contracts with one of either Coca Cola or Pepsi. These companies pay the University in exchange for the rights to sell and market their beverages to students in cafeterias, stores, athletic facilities, vending machines, and through other means. These contracts limit most beverages on campus to those sold by Coke or Pepsi and provide incentives to the University if more product is sold. From what you know about these contracts, do you favor or oppose them? (1=Strongly Oppose, 10=Strongly Favor), and those who responded 6–10 were classified in favor.

Figure 2

Students’ estimates of the percentage of total university revenue generated by the pouring rights contract (N=1,304) ^aStudents were asked, What percent (%) of your University's total revenues each year (money brought in from all sources) do you think comes from its exclusive contract with Coca Cola or Pepsi? (0-100%). The estimated actual PRC revenue as a percentage of total university revenue, calculated from each university's PRCs and financial reports, ranged from 0.01% to 0.04%. PCR, pouring rights contract.