Green Facts

A strong association between corporate action – and potentially inaction – on the environment and social irresponsibility leaves company’s reputations at risk unless proactive steps are taken to become green.  Emerging green consumer purchase behavior suggests this scenario:

•  Despite the real threat of global warming, consumers will continue to spend on the things that they want and enjoy

•  Demand for green (or greener) products will increase over time as attitudes and social norms evolve, new product choices become available and information that enables consumers to make informed purchase decisions (e.g. green labels) is introduced. The LOHAS Group (Lifestyles of the Health and Sustainability) 15-30% of the market  will lead the demand.

•  Consumers will start to shift spending to greener brands within a category

•  Consumers will increasingly prefer to purchase from companies with a brand that

is perceived as green, regardless of whether or not the product that they ultimately purchase is one of the company’s “green” products

For companies, this should be a wake-up call.  Simply put, every company will soon need to be green, regardless of whether or not customers are actively buying green products today.  However, product’s presented to customers must follow some basic guidance (reproduced from Ottman’s Rules of Green Marketing):

1. Consumers must be aware of and concerned about the issues that the product professes to address.

2. They have to feel that they’ll make a difference by using the product.

3. They have to believe your claims.

4. The product has to work.