Green opportunity: Are green products recession-proof ?

During a recession consumers become more sensitive to price as compared to other product attributes such as quality or brand. Consumers are trying to stretch their dollars and become more concerned about what they can afford across all product categories from laundry detergent and frozen pizza to clothing and furniture. A number of studies and articles and have shown most consumers change their purchasing behavior during a recession; not only the ones temporarily unemployed and laid-off.

Green products seem to defy this trend and may be somewhat recession-proof. A number of reports in recent days from Forrester Research, the Carbon Trust Standard and IRI have shown environmental considerations remaining important even during a recession. Environmentally conscious consumers seem to remain green even during hard times. They are willing to pay more for green and ethically produced products and they are brand loyal to companies with genuine environmental benefits.

The market for green products was estimated at $209 billion in 2008. This represents an opportunity for green marketers as green consumers are truly distinct from mass consumers. Green consumers are willing to pay more or stick to brands that serve their ethical values and meet their needs for a more sustainable environment. Some authors such as J. Ottman suggest that products should not be sold on their green-ness alone. Obviously sub-par or lower quality products sold at a premium because they are labeled green will not fool consumers. However, these studies indicate that consumers with a positive perception of green products will continue buying them in harder economic conditions and will not compromise.

According to J.Ottman the five rules for green product marketing are:

1. Consumers must be aware of and concerned about the issues

that your product professes to address. Don’t sell a green features nobody cares about.

2. They have to feel that they’ll make a difference by using your

product. Are your eco-friendly light bulbs saving them $1.50 per year in electricity?

3. They have to believe your claims. Are you claiming to save the earth with your laundry detergent?

4. The product has to work. Even if your detergent is saving the earth it also has to remove stains!

5. If you’re charging a premium, the consumer has to feel that it’s

worth it. Greenwashing is a no no. Shown real green benefits.

There is a real opportunity for entrepreneurs to develop and market eco-friendly and green products given the size and growth of this market. We can think of a number of green products services that contribute to the environment and meet a genuine need for environmentally conscious consumers. Green solutions to old problems. There may be a way to eco-innovate our way out of this recession. Green jobs and opportunities are waiting. This economic crisis will end in a few months but the climate crisis will remain for decades to come and so will the opportunities for a better, cleaner environment. This is a call for action from innovative eco marketer to seize the opportunity. Do good, Make money.

Marketing green products with a story

How do you stand out when consumers are bombarded with incessant bad news, stock market rollercoaster and a general doom and gloom attitude. How do you market green products in a recession?

Green and eco product stories

Successful marketing starts with the value fundamentals: a product that works well at the right price and promoted to the right customer. But green or eco products have an additional advantage: they have a story to tell. The problem with green and eco product is not performance, design or price in most cases but in promotion and communication of the green story. In order to successfully market green products we need to communicate how remarkable they are. Remarkable green products are a way to stand out and thrive in a downturn economy.

In the book, The Purple Cow (Portofolio, 2002) Seth Godin suggests: “ Remarkable marketing is the art of building things worth noticing right into your product or service..”. Green products are by design remarkable in the sense of being different and noticeable.

In 2005 we were asked to design for Cirque du Soleil a product line made from their recycled big top material. Big tops are large circus tents used during traveling tours. These tents are made of sturdy vinyl and Guy Laliberté, Cirque du Soleil owner and founder didn’t want to send them to landfills. We created a line of bags and accessories with a story.: A piece of Cirque du Soleil history and adventure with recycled and reusable materials.

Consumers want to be told the story behind a green product. How is it made? Where is it made? In a sweatshop–free environment or in China. Does it respect different aspects of what they perceive as sustainable development? Green storytelling is at the earth of green marketing and this may be the single most powerful way to successfully market eco products. As eco-marketers we need to do a better job at communicating not only the product benefits; which must be equal if not superior to a non-eco product but also the eco-story behind the product.

Earth day 2009: Reduce, Reuse, recycle with a cool reusable shopping bag

What are you doing on Earth Day to be greener and contribute to a cleaner, healthier planet this year?

We have decided to present every day until Earth Day on April 22nd a cool and unique reusable shopping bag.

Our criteria is simple :the bag should promote R3 behaviour(Reduce,Reuse,Recycle) from consumers while being original in design and use of materials.

For the sake of full disclosure we are featuring one of our original Cirque du Soleil shopping bag made from recycled promotional banners as our first pick! This is a midsized shopping bag made by Everquest Design using recycled advertising promo banners. This bag is unique in the use of authentic Cirque du Soleil banners. It is also available in a larger model and made of original Cirque du Soleil big top material(Circus tents).