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Can Consumer Preference for “Green” Products Help the Environment?

Posted March 27, 2008

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All of the recycling, and walking, and bicycle riding, and public transport using, and keeping thermostats low, and not-a-lot-of-meat eating that goes on in poor countries is just a matter of economic necessity.

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Kermit the frog was wrong; it is easy to be green, if you are poor. And if you are otherwise well off and your car breaks down and you have to take the bus, at least you are green for a day.

Environmentalists in wealthier countries such as the U.S. turn green with envy (greenis envy?) to know about all of the recycling, and walking, and bicycle riding, and public transport using, and keeping thermostats low, and not-a-lot-of-meat eating that goes on in poor countries is just a matter of economic necessity.

The consumer who pays extra for something or voluntarily goes without something in order to be more environmental is a rarer bird to spot. Even at the high end, are all Prius owners driven by environmental concerns, or do they mostly like paying less for gas?

In the United States, according to a poll of 800 consumers conducted by Leo J. Shapiro & Associates in August 2007, the three highest-rated issues from a long list of things that might be considered green are the safety and cleanliness of water, food, and air.

Two in three (64%) said they could think of a product their household purchased in the past year that was designed to conserve energy or protect the environment. Of these, 49% said that their foray into being environmental was represented by the purchase and use of energy-efficient light bulbs.

Another 16% went further and mentioned purchasing more energy-efficient household appliances, such as air conditioners, heating systems, washers, and dryers. U.S. consumers realize they could be doing more and give themselves an average rating of only 5.8 on a nine-point scale, where one is “environmental criminal” and nine is “God’s gift to Gore.”

Consumers place much of the blame on the business world: 81% say manufacturers don’t do enough to conserve energy and protect the environment and 73% say retailers fall short in being green.

In the survey, 46% thought—for whatever reason—that it would be easier to shop at a green store that is energy efficient, conserves resources as a matter of policy, and recycles than at a store which is not green. Half (50%) imagined the green store would also be more comfortable than the non-green alternative.

But would these same consumers pay extra or otherwise settle for less from a manufacturer or retailer who was greener? Not for the most part. But retailers and manufacturers who manage not to pass the costs of being green on to consumers will be rewarded with loyal customers, increased sales, and the satisfaction of knowing that they are leaving a cleaner, greener land in their wake.

To be kept informed about further findings from ongoing research on this topic, contact 8SAGES.com.