Globally we are entering into  a new phase of sustainability - one that is consumer driven and strongly gaining momentum.  Over 39% of consumers now select environmentally friendly goods all or some time...but it has taken a journey of over 7 years to identify and capture this trend.

In the wake of the devastating  natural disasters that occurred  from 2004, a plethora of research was commissioned into consumer attitudes towards the environment and whether these translated to a change in purchasing preferences. 

UK research undertaken by Ipsos Mori during 2007¹ found that 77% of surveyed consumers preferred eco-friendly options and over 70% wanted to know more about the environmental impacts of their purchases. Euan Murray - Carbon Footprinting General Manager - Carbon Trust² cited evidence that more than 75 per cent of consumers agreed that more information about a company’s social, environmental and ethical behaviour, would influence their purchasing decisions. Final confirmation of this global trend was provided in the 2008 research by Ipsos Mori³ where three quarters of the 23,000 consumers polled over 23 countries considered a company’s social responsibility as a central element of their purchasing decision. Care for the environment was cited as the most critical of all issues.

From thinking green, there has been a shift to mainstream consumers actually purchasing green over the past three years.  This was clearly reflected in the 2008 PWC survey⁴ where majority of businesses reported that their consumers were beginning to seek environmentally friendly or neutral products/services. There was no longer debate regarding consumer preferences⁵- purchasing behaviour was being altered.

The advent of the Global Financial Crisis proved challenging as companies, including Four Leaf, shelved plans believing that consumers would temporarily forfeit environmental principles for cost saving behaviour. We were proven wrong with the 2009 Greendex study⁶ of many thousands of consumers over 17 major economies showing, except for Brazil, an increase in consumer environmental behaviour compared to the 2008 pre-GFC study. Australia, Spain, Germany and France recorded the largest percentage increases.

That environmental concerns overrode recessionary fears was confirmed in the Green Marketing Trends⁷ study where 96% of consumers reported they had purchased an environmentally friendly option over that of a competitor and are prepared to pay a premium. This research, undertaken during June/July 2009, reaffirming the high regard which consumers place on environmental issues in their purchasing decision.

The Green Marketing Trends survey of 2009 also contributed one of the most crucial findings - that consumers now rated environmental performance as their second highest purchasing criteria. Whilst product/service performance still remained the overriding criteria, price was relegated to third. Also confirmed was the lack of consumer trust in the myriad of eco-friendly endorsements acquired by suppliers. The need for independent assessment, such as the Four Leaf system, was advocated by over 92% of respondents.

In the UK, the Co-operative Bank's Ethical Consumerism Report⁸ showed a similar trend with expenditure on eco-friendly products and services increasing by 5% whilst purchases of ethical food and drink products increased 14% to £5.8 billion.

The 2010 Greendex study confirmed the increasing trend towards eco-friendly behaviour.   Globally 15% of consumers purchase environmentally friendly options 'all of the time' whilst an additional 24% practice green behaviour 'often'.  Impediments to increasing eco-friendly purchasing were seen as too few options being available (26%) and lack of clear information (25%).

Consumers clearly seek empowerment to be environmentally responsible with their purchasing. The retailer who listens and proactively satisfies customer demand for environmental information has the potential to gain massive market share and competitive advantage from being the first mover.