Listening to the Heartbeat of the ‘Green’ Market

In the last 10 years, the consumer product market has experienced a dramatic increase in eco awareness, with a significant shift observable in the general public. Consumer preferences for sustainable products have sparked a corresponding response from the business world. Shifting market trends have given rise to a myriad of alternative products and services. Evidence of this shift can be seen in the shear number of ‘green’ products available on the shelves at the local grocery store.

A recent study released by the Shelton Group, Eco Pulse, reveals that 60% of American consumers are seeking out green products. However, many consumers are presently confused about what exactly are the criteria for green products. According to Eco Pulse, this confusion leads to a lack of trust.

Business and product reputation have become increasingly important in the ‘green’ consumer market. The Eco Pulse study examines some of the questions facing businesses looking to engage ‘green’ consumers:

•    Who is likely to buy green products by category?
•    Which categories are the hottest for green?
•    What price premium consumers will pay for a variety of green features?
•    Which messages will consumers respond to, which terms need to be clarified and which promises will be believed?

Growing consumer eco awareness has also placed consumer preferences as a major defining aspect of business sustainability. With consumer preferences shifting, the business world is responding. According to Datamonitor's Product Launch Analytics, 458 new products have been launched so far this year with claims of “sustainable,” “environmentally friendly” or “eco friendly”.

This massive surge in alternative products has expanded the general public’s eco awareness and created a mind shift towards alternative options. It has also created confusion for consumers at the cash resister. Leading businesses see the value in a strong sustainable business reputation to drive consumer trust.

As a sustainability consultant, we believe that growing eco awareness and resulting pressure on business sustainability will dictate that best of the best products and services will continuously rise to the top. Companies on the forefront of sustainable development will differentiate themselves from their lagging competitors to capture more informed consumers.