Researcher: Consumers Don't Know What ‘Green' Means
By Heath Combs, Furniture Today Staff -- Gifts and Dec, 12/4/2009 9:06:00 AM
Greensboro, NC — Green and sustainable product still faces an uphill battle when it comes to reaching a widespread audience of consumers, according to new market research. In fact, they're still pretty confused about what exactly "green" means and aren't dying to rush out and be green, said Suzanne Shelton, president and CEO of the Shelton Group, a specialist in researching environmental issues
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Shelton presented some of her recent findings at the American Home Furnishings Alliance's second annual Sustainability Summit. The AHFA commissioned the research to measure the importance of environmental attributes in home furnishings purchases. Shelton said the study sought to understand what mainstream consumers care about and respond to in green purchases. The findings are aimed at aiding green marketing messages.
Shelton said that green is a mainstream concept and there is a broad desire – by 60 percent of the population – for greener product. However, consumers still know very little about what green claims mean and what to believe, she added.
The average consumer knows only enough about green to get through a cocktail party conversation, Shelton said. "They can nod their heads, they can say a few things, they might be able cough up the word green or sustainable, or talk about their carbon footprint," she said. "They can cough up a few things just enough to make you think, ‘Oh they know what they're talking about.' Yeah, not so much."
Shelton said that when mainstream consumers were asked to name a feature of a green home, only 53 percent were able to. That almost half were unable to name a green feature was surprising considering that low-wattage light bulbs, flooring from sustainable woods, and solar panels are mainstream examples of green features, she said.
"We've thrown a lot out at them today, particularly as it relates to certifications. There's a whole alphabet soup of stuff out that that means absolutely nothing to consumers. So know that and know that it's your job to educate them," Shelton.
There are also widespread misperceptions about product claims, she said, citing the terms "natural" and "organic." Consumers would rather see a product that is "natural" rather than "organic," but they don't really know the difference between the two, the survey found. Lower middle class income earners believe organic is a fancy marketing term that allows companies to charge more money
"What we hear over and over in focus groups is two things: One, a giant misperception that ‘natural' is actually the regulated term, and ‘organic' is not regulated. Which is exactly the opposite of how it is," Shelton said.
She said companies hoping to market green claims need to understand their audience, and must realize that it will take significant marketing dollars to inform their consumers. Green features, however, can serve as a tiebreaker in mature industries, she said. For example, she said that in facial moisturizers, if consumers are faced with two equal brands at the same price, sustainability features would likely help influence a purchasing decision.
"Green features from furniture are important. It's not most important thing, but it's important in a tiebreaker," she said. "And it commands a higher price point. So that's great news as a marketer. It's mainstream and people will pay more money for it."
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