Consumer Demand vs. Consumer Taste

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The Green Gauge Global report from GfK Roper Consulting in the United States has just revealed that 71% of Americans who took part in the report agree that: “It is important that companies take environmentally responsible actions.”

However, 66% of those surveyed agreed that, “The environmentally friendly alternatives for many of the products I use are too expensive.”

This information shows that people recognise the eco-concern but a) are not willing to pay a premium for ‘green’ products and, b) there isn’t demand for environmentally friendly products.

Case in point: The Frito Lay debacle. In April 2009, Frito Lay introduced a biodegradable bag, made from Polylactic acid (PLA) a thicker and slightly stiffer material that their normal bags.

After a year on the market and an apparent 10% decrease in sales, since the introduction of the bag, Frito Lay have decided to scrap it. They’ve pulled their biodegradable bag off the market and returned to the original, non-biodegradable option. Why? Because consumers complained the bag was too noisy. Insert a bit of a social media stir on Facebook and Youtube by disgruntled consumers and Frito Lay was convinced. Too much noise trumped environmentally friendly option. An unfortunate product design disrupts the green message and thus the product is seen as inferior to the ‘non-eco’ version.

Rather than increase sales, as a company may expect for uping their CSR, Frito Lay experienced the opposite sending the message that they’ll meet the demand of their consumers, and in this instance, that demand is an old bag design that will end up in landfill for decades.

The age old debate around green consumerism lingers, with lots of places, people and companies reporting on trends and the stats, yet not much progress has been made. We all know that many people recognise the need for the products to exist; for companies to develop products and services with the environmental impact in mind, but just how far can real change be made, if there is no demand for environmentally friendly options?

(Spotted in SmartBrief on Sustainability)

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