Consumer perceptions of ‘Green’ Companies.
May 24, 2008
While a significant percentage of U.S. consumers don’t agree that climate change is occurring and is primarily caused by human activity, a sizable majority – nearly three-fourths – said that a significant environmental slip-up can cause them to stop purchasing a company’s products. So reports Eco Pulse, the newest national study on U.S. consumers and green affinity, produced by Shelton Group.
When Eco Pulse asked “How much do you agree or disagree with the following statement: ‘Global warming, or climate change, is occurring, and it is primarily caused by human activity,'” 57 percent of Americans agreed or strongly agreed with this statement, with 20 percent disagreeing or strongly disagreeing (23 percent were unsure).
When asked, “What would you do if you found out that a company that makes your favorite toilet paper and has been advertising itself as ‘green,’ or environmentally responsible, had received a government fine for failing emissions standards or for polluting a nearby river?,” 28 percent said they would likely keep buying, 44 percent said they would likely stop buying and 28 percent said they would stop buying and encourage their friends not to as well.
These percentages remained largely the same when the product category switched to electronic entertainment equipment.
“This number really got our attention – that 72 percent of consumers said that a serious environmental infraction would cause them to take an activist-type role at the point of purchase – with more than one-fourth going so far as to encourage others to boycott an offending company as well,” said Shelton Group CEO Suzanne Shelton.
“Of course, how much these stats play out in reality has a great deal to do with the level of negative media coverage associated with a corporate environmental slip-up,” Shelton said. “Nonetheless, companies should take note that – given today’s public standards – they stand to risk a great deal with their customer base if they encounter an environmental performance crisis.”
Eco Pulse also found that belief in “man-made” climate change varies significantly by political philosophy. While 72 percent of those who defined themselves as “somewhat to very liberal” agreed with climate change being man-made, 64 percent who said they were “completely moderate” agreed and 41 percent of those who said they were “somewhat to very conservative” agreed.
Eco Pulse respondents also confirmed the skepticism Shelton has heard in recent focus groups regarding green corporate positioning. When asked why most companies that adopt environmentally friendly practices do so, most (47 percent) responded, “to make their company look better to the public.” Only 13 percent believed it was “because their owners/shareholders care about the environment.”
Americans are also divided in terms of what they think makes a company green. When given a range of “green company” descriptions and activities to evaluate as to whether they qualified the company as “green” or not, 69 percent chose the strictest standard offered: “a company that uses renewable energy, has zero waste in their manufacturing process and produces ‘green’ products,” while 52 percent chose one of the weakest standards: “a company that recycles.”
However, just because a company makes a green product doesn’t mean it will be perceived as green if its manufacturing plants are not. Only four percent chose as green “a company that has manufacturing plants contaminated with chemical waste, but manufactures wind turbines to produce ‘green’ power.”



























