Bottled vs Tap Water: Unveiling Consumer Choices in Italy

This study analyses the determinants of consumer choice between bottled and tap water in Italy, a nation characterised by high bottled water consumption despite having a safe public supply. We first develop our testable predictions out of a simple conceptual framework based on Viscusi et al. (2015), augmented to account for pro-social attitudes and an “ego-rent†mechanism . Then, Using a large-scale Italian level survey of 7,292 individuals, we employ an Extended Ordered Probit (EOP) framework to investigate the relationship across bottled and tap water, as well as the factors driving usage frequency. The robustness of results is also tested using a bivariate probit setting and a Conditional Mixed Process (CMP) model. Our findings show that a strong substitutability takes place between tap and bottled water. Also, the EOP approach allows us to establish a causal link between perceived subjective risks from tap water consumption (e.g., prior health issues or grid failures) and bottled water consumption, while high-frequency tap water use is significantly predicted by civic and environmental engagement. Furthermore, geographical factors, consistent with Zapata (2021), reflect persistent local habits and trust perceptions. The results underscore a “consumption paradox†, rooted in a crisis of trust and alignment with non-economic values, rather than in simple cost convenience.