I’m just coming back from BIOFACH the yearly German trade fair showing new products and trends of the booming bio/eco market https://www.biofach.de This is all about food, cosmetics, lifestyle products and the rest. All green, organic, healthy things. The fair alleys were crowded. Much more than usual. I could feel the pulse of the market. I love that !
It’s interesting to watch European consumers becoming green crazy. The trend is not new. It started here in Europe 20 years ago. I will always remember one of my students proposing a thesis subject about “green marketing” at that time. Nobody, included me, knew what it was at that time. Now , although the bio sector only represents 2-3% of household food expenses, the EU market for organic products is growing constantly at annual rates of 7-8 %. This is exceptional given an average annual growth rate in grocery retail markets of around 2% to 3% over the last 10 years (Source: Case “Preserve® Products Strategy for Europe”, Baeyens, Brussels 2015).
Consumers are definitely spending more on organic food: between 2005 and 2014, per capita organic produce consumption increased by 110% while In the same period, household consumption of food in general remained almost constant. (Source: Organic In Europe: Expanding Beyond A Niche, Matthias Stolze,1 Raffaele Zanoli2 and Stephen Meredith3, in ORGANIC IN EUROPE: prospects and developments 2016, IFOAM EU Group, http://www.ifoam-eu.org)
But the most interesting aspect of “green consumerism” is its integration into a larger trend of “positive consumption” as Sharon Greene, the managing director of RISC International, a global consumer behavior consultancy already put it in a 2009 interview:
“We identified an increasing convergence of five facets of the Positive Consumption trend, which all come together within the same individual consumer:
- Social Engagement – or consumer empowerment – is the main dimension driving Positive Consumption across the world, it reflects a growing desire to engage and give back to society but also to take back control over one’s life, it’s all about reciprocity.
- Environment – characterized by an active concern for environmental issues and a desire to do what one can to protect the environment
- Health – reflecting concerns for the effects that products can have on one’s health and the health of one’s family. This dimension is increasingly linked to environment.
- Feel Good – an aspiration towards enhancing personal and individual well-being a dimension which emphasizes the fact that the Positive Consumption trend is not about denying oneself pleasure
- Ethics and ethical behavior – a preference for ethical business and an increasing sensitivity to the collective responsibility we have to ensure that companies do business in an ethical way.
Marketing often addresses these dimensions separately. But consumers will increasingly look for products and services which satisfy all five aspirations.”
This calls for an integrated approach to formulating value propositions. Consumers are complex and more demanding than ever. That’s why I love socially responsible marketing. It obliges us to be more sophisticated, more intelligent marketers. It forces us to practice a more respectful marketing and it finally allows us to reconcile our personal values with consumers current needs and wants.
Be inspired !