Commentary

Consumers Want Proof It's Green

According to the new BBMG Conscious Consumer Report: Redefining Value in a New Economy, 23% of U.S. consumers say they have "no way of knowing" if a product is green or actually does what it claims. But, 77% agree that they "can make a positive difference by purchasing products from socially or environmentally responsible companies," and they are actively seeking information to verify green claims.

To find the necessary information, consumers are:

  • most likely to turn to consumer reports .....29%
  • most likely to look at certification seals or labels on products .....28%
  • most likely to consider the list of ingredients on products .....27%
  • least likely to look to statements on product packaging .....11%
  • least likely to believe company advertising .....5%

Raphael Bemporad, co-founder of BBMG, says "... consumers are redefining what truly matters and evaluating purchases based on both value and values...  by delivering... price, performance and purpose... brands will be able to close the green trust gap... "

Key findings from the Conscious Consumer Report (2009):

  • 67% Americans agree that "even in tough economic times, it is important to purchase products with social and environmental benefits"
  • 51% say they are "willing to pay more" for them
  • 66% say price very important in purchase decision
  • 64% look for quality  
  • 55% want "good for your health"
  • 49% look for "made in the USA"

Green benefits have increased in importance since last year, says the report:

  • Energy efficiency (47% very important in 2008, 41% in 2007)
  • Locally grown or made nearby (32% in 2008, 26% in 2007)
  • All natural (31% in 2008, 24% in 2007)
  • Made from recycled materials (29% in 2008, 22% in 2007)
  • USDA organic (22% in 2008, 17% in 2007)

When asked unaided which companies come to mind as the most socially or environmentally responsible companies:

  • 7% of Americans named Wal-Mart
  • 6% said Johnson & Johnson
  • 4% Procter & Gamble
  • 4% GE
  • 3% Whole Foods

Asked to name the least responsible companies:

  • 9% named Wal-Mart
  • 9% said Exxon Mobile
  • 3% GM  
  • 3% Ford
  • 2% Shell
  • 2% McDonald's

41% of Americans could not name a single company that they consider the most socially and environmentally responsible. And:

  • 71% of consumers agree that they "avoid purchasing from companies whose practices they disagree with"
  • 55% tell others to shop products based on a company's social and environmental practices
  • 48% tell others to drop products based on a company's social and environmental practices

Mitch Baranowski, co-founder of BBMG, concludes that "At a time of... growing demand for accountability, ... consumers are rewarding brands that align with their values... punishing those that don't... and spreading the word with their family, friends and peers... "

For more information, and access to purchase report from BBMG, please visit here.

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