Green is Essential, But is it Enough?

Harleysville, Pa. (August 2007) – The Natural Marketing Institute (NMI), the leading provider of strategic consulting, consumer insights and market research services for the health, wellness and sustainability marketplace, today expanded on key findings from their proprietary LOHAS Consumer Trends Database™, an annual study of the U.S. general population regarding all facets of the ethical consumerism groundswell.

There has been a recent proliferation of new products and services in the marketplace that are being touted as “green”, “eco”, “sustainable” and “socially-conscious”. In part, manufacturers are offering these products in response to consumer demand and to seek out new market opportunities to drive growth and differentiation. These new products and services are appealing to a significant portion of the population.

According to NMI’s LOHAS Business Director Gwynne Rogers, “In addition to green benefits, many LOHAS-related products and services are now balancing their offering with conventional benefits that appeal to a wider consumer base. For example, some consumers are motivated to purchase hybrid cars in order to save money on gasoline, with environmental impact being a secondary or feel good benefit.”

Sales of other green products have also increased due to declining price premiums (such as the case of renewable power) and improved product performance (for natural household cleaning products). In addition, LOHAS products are also becoming more convenient to purchase thereby requiring fewer trips to specialty retailers. Recycled paper products are widely available at stores such as Office Depot and Staples. And big box home improvement stores are selling natural and organic lawn care products among other eco-related items.

NMI believes that the continued growth of green and socially-conscious products will be based on the ability of product and service manufacturers to provide this suite of balanced benefits to consumers. Providing “green” benefits is an important differentiation and provides meaningful value to consumers, but many consumers expect additional (or at least comparable) performance. Particularly for manufacturers who need to achieve a larger critical mass in the market, targeting not only LOHAS consumers but also NATURALITES may be needed, which elevates the importance of products and services being able to communicate the optimal mix of both green and conventional benefits. As such, finding such a “sweet spot” is vital to the success of many green initiatives.

NMI's annual proprietary LOHAS Consumer Trends Database™, conducted since 2002, is the only vehicle that covers the LOHAS market across a broad range of attitudes, behaviors, product usage rates, lifestyle patterns, and trends in this marketplace. LOHAS is an acronym for Lifestyles Of Health And Sustainability and describes an integrated, rapidly growing market for goods and services that appeal to consumers who have a meaningful sense of environmental and social responsibility and incorporate those values into their purchase decisions. For more information, please visit the NMI website at www.NMIsolutions.com or contact NMI at 215-513-7300.

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NMI is a strategic consulting, market research, and business development company specializing in health, wellness and sustainability. For more information on NMI’s proprietary research reports and services, visit NMI’s web site at www.NMIsolutions.com.