What’s it take to make green profitable?
October 14, 2009 by Tom GuayPosted in: Latest News & Views, News
How well do you understand what’s driving customers to reach for, or avoid, your green products and services?
For those that have already adopted some eco-friendly practices: Are you sure your customers even know that your company has joined the green revolution?
There’s some troubling news revealed in a new survey of buying habits — 85% are unaware or cannot recall what green things companies are doing. For example, Hewlett-Packard, Estée Lauder and Intel Corp. have adopted environmentally friendly practices, but few seem to know about it, according to the market research firm, Grail Research.
Right now, buyers are judging a company’s greeniness based on product labels (63%), word of mouth (45%), advertising (38%) and company Web sites (18%).
The survey by Grail Research was designed to explain:
- how consumers define green
- how committed they are to being green, and
- what drives their decisions to purchase green products.
Grail Research has also found some encouraging trends. One of the major findings revealed in The Green Revolution is that consumers think the green thing is here to stay.
Already, 84% of consumers are purchasing green products, and the trend is going to expand even more. The report also notes that a high percentage of these green-buying consumers expect to increase these types of purchases. For example:
- 93% of consumers interviewed expect to buy green cleaning products
- 90% purchase green paper products
- 89% buy organic produce
- 88% shop for green electronics and other small appliances
- 81% shop for eco-friendly durable goods
- 79% look for green packaged foods
- 74% seek out green health and beauty products, and
- 59% want to buy green apparel.
The biggest hurdle to making a green sale? 69% cited price as the limiting factor. And, of course, the green version has to at least match the performance of traditional products.
The recession has had an impact on green purchases, but many are sticking with the environmentally friendly goal as much as possible. 41% switched to cheaper green products while 19% have reduced their green purchases. 16% of those surveyed said they’ve increased purchase of green products.
Tags: green companies, green products
GreenandMore.com
October 27th, 2009 at 12:56 pm
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