Demand For Natural And Green Products On A Rise

By Margarita Nahapetyan

According to the 2009 BBMG Conscious Consumer Report: Redefining Value in a New Economy, in the current times of economic crisis and global recession consumers are more likely to prefer eco-friendly food, beauty and household-cleaning products. This is the 2nd annual report from BBMG on purchasing behavior and social values.

In a tough state of economy consumers are giving now more preference to natural and healthy food, as well as beauty and cleaning products that go in, on and around their bodies, said Raphael Bemporad, co-founder of BBMG. Products that provide health and safety at a reasonable price will have the best chance to survive the recession and thrive long term, he added.

The report combines ethnographic research in two markets in the United States with a national survey of 2,000 individuals conducted last fall, Sustainable Food News explained. According to the survey, nearly seven out of 10 Americans, which is 67 per cent, agreed that even in tough economic times, it is essential to buy products with "social and environmental benefits"- and half of them expressed their willingness to spend more money on them. Three in 4 consumers - 77 per cent - believe that they could make a positive contribution by buying products from "socially or environmentally responsible companies." On the other side, 71 per cent reported that they rather avoid purchasing from companies whose practices they do not agree with.

About half of the respondents advised others to buy - 55 per cent, or not to buy - 48 per cent, products based on a company's social and environmental practices. However, such recommendations are more likely to cancel each other out, as, for example, Wal-Mart was rated by the surveyors as the most and, at the same time the least socially responsible company in almost equal measure - 7 per cent and 9 per cent, respectively.

"The economic crisis has created a moment of reflection where consumers are redefining what truly matters and evaluating purchases based on both value and values," said Raphael Bemporad. As a result, people now are becoming more and more active when it comes to verify green claims of many companies, the survey finds. Individuals are most likely to check out the consumer reports - 29 per cent, certification seals or labels on products - 28 per cent, and the list of ingredients on products - 27 per cent, in order to find out if a product is as natural as it claims. Consumers are least likely to check out statements on product packaging - 11 per cent, and company ads - 5 per cent, showing their distrust to the company-driven marketing. As to green product attributes, here the price - 66 per cent, and quality - 64 per cent, continue to be the priority on the consumers' list.

According to the report, the next on the list is a factor of healthy food, natural products that are "good for your health," (55 per cent reported it as very important), "hormone or pesticide-free" (40 per cent), "made from all natural ingredients" (31 per cent), "not genetically modified" (30 per cent) and "USDA Organic" (22 per cent). Americans are also very careful about what they put on their bodies. More than 4 in 10 consumers (43 per cent) turned out to be "box-turners" and check the list of ingredients in cosmetic or beauty products before making a purchase (18 per cent always, 25 per cent most of the time), showing this way growing awareness and interest in seeking potentially harmful or eco-friendly ingredients. Furthermore, it was revealed that people are very picky when it comes to choosing cleaning products for their homes. Four out of 10 consumers - 40 per cent, buy environmentally friendly cleaning products on a regular basis - 12 per cent always, and 28 per cent almost all the time.

"This is a moment for leadership," Bemporad said. "By delivering on the multiple dimensions of value - price, performance and purpose - brands will be able to close the green trust gap, weather the economic storm and thrive in the sustainable economy of the future."