point-of-view

Commentary

I Pledge Allegiance To My Wallet

Who cares if products are “Made in America”? Fewer people than you might suspect. 

According to recent research, only slightly more than half of 632 consumers said they believed buying American-made products is important. Indeed, when it comes to their actual purchases, 76% of those people said they buy products based on price -- not on provenance. Younger adults among them -- 83% -- care even less about the origin of the products they buy.

There are any number of good reasons to buy products that are Made in America. Companies manufacturing in the USA are subject to rigorous environmental regulations, ensuring less pollution than most foreign-made competitors. And you can be assured that products made in the USA don’t involve the exploitation of children, or the abuse of basic human rights.

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Furthermore, when you buy American-made products, you save or create jobs here at home.

It would appear that buying these products is a win-win-win. But many shoppers don’t behave that way. Why is that? Are they unpatriotic? Uninformed? Do they not care about our economy, or American jobs? Possibly, one reason for the lack of loyalty toward the Made in America brand is that it is downright confusing, if not unbelievable.

When it comes to Made in America, the simple truth is you just can’t find a car, a mobile phone or a computer that is truly made in America. However, if it’s marketed here, assembled here, headquartered here, founded here or contains mostly American parts, many consumers think of it as Made in America.

Lately, the Made in America brand has become more top-of-mind thanks to media coverage around Walmart and their pledge to source more products made right here at home. With some effort you can find products and brands that are actually 100% made in this country. Many are good quality, low-tech products. However, fewer and fewer high-volume consumer goods can legitimately make the claim that they are constructed with 100% American-made components, especially if a product involves complex technology.

So the crux of this Made in America brand identity crisis revolves around a simple question for consumers:  What exactly determines whether a product is made in this country? During a study we conducted we discovered that American companies like Apple and Ford are considered Made in America by most, although much of their product is made overseas. It has been widely reported that Apple, the beacon of American success,  produces products that contain up to 90% foreign components.

And, according to the Cars.com American-Made Index, America’s best-selling truck -- the 2012 Ford F-150 -- has only a 60 percent domestic content rating, with more foreign parts than you will find in a 2012 Toyota Camry.

So where does this leave Made in America as a brand? Despite many Americans' patriotism and drive to support products Made in America, most consumers don’t seem to care, or want to know, about a product’s origins. But therein lies the opportunity! The truth is that it’s hard to argue that Made in America isn’t better – even if one only considers jobs and the economic factors. For those products that are 100% legitimately USA made, they should hold their flag high -- and make sure consumers understand the extended brand benefits of Made in America products.

Companies should continue to promote their products as being sourced, manufactured, and assembled in America. I know I’ll be buying them, and I hope everyone else will. Yet, at the same time, I will be content tonight as I drive home in my mostly Made in America Ford F-150 pickup truck. That is, until I find that 100% Made in America truck.

 

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