I’ve said it before and I’ll say it again: the recession was one of the best things that could have happened to the environment. Increasing financial limitations have resulted in a changed consumer psyche. Today’s buyers are rethinking their purchasing habits, reducing their consumption of disposable goods, and even downsizing their living spaces.
With uncertainty about whether or not she’ll have her job next month, every penny counts to the new 21st century consumer. Today’s savvy buyer is more likely to think twice before spending hard earned and precious dollars.
The instant gratification of on-the-spot purchasing on credit cards has largely evaporated. With an average credit card APR of over 20% and a growing portion of banks unexpectedly cutting off accounts, the new 21st century consumer is inclined to wait to make a purchase until she can actually afford the item.
Many goods and services that were once considered necessities are now seen as luxuries. Gone are the days of keeping up with the Jones. Frugality has displaced the extravagance of the boom days, and the biggest winner appears to be the environment (it’s no stretch to understand that fewer disposable products results in reduced resource demand).
The new 21st century consumer is just as label conscious as ever, but instead of gravitating towards designer items, she looks for eco-attributes. According to a study conducted by JWT (formerly J. Walter Thompson), 82% of consumers surveyed said that they would pay at last 5% more for environmentally friendly products, and 70% reported that their purchasing patterns are influenced by environmental messages and labeling.
Today’s savvy consumer is no longer simply concerned with upfront cost. She now thinks longer term and considers things like embodied energy and carbon footprint. She will look for locally produced products to reduce her environmental impact from transportation, and she’ll repair an item rather than throwing it away to minimize her waste output. She’ll invest more in a product that will last, but she won’t necessarily accept a lower quality product just because it’s ‘green’.
Today’s consumer no longer carelessly discards items like she used to. She recycles her light bulbs and print cartridges. She thinks about purchasing refurbished computers instead of new ones. She’s even holding on to her belongings, from cell phones to automobiles, for longer on average than in recent history.
So what does this new 21st century consumer psyche mean to product manufacturers and building professionals? First, we must understand to classify her. She actively practices Green ‘Responsugality’—green laced with responsibility and frugality. Above all, she is searching for value—not just a cheap deal, but something that expresses her ethics through her pocketbook. Offer her a cost-effective and environmentally friendly solution, and you’ve pretty much got it in the bag.
Our modern consumer remains apprehensive about the future of our economy. Her discernment empowers her, so now is a perfect time to harness her emotions with a blended values message that addresses her financial, social, and environmental concerns. In order to capture her heart, mind, and dollars, it’s important to be a company that will care for her budget, her community, and her planet.
A word of caution, though—according to Advertising Age, more than half of today’s consumers are wary of greenwashing and false sustainability claims. And when it comes to going green, companies just can’t fake it—according to Nielsen Online, 25% of online blog entries about sustainability are entered by disgruntled consumers pointing out discrepancies between companies’ claims and the reality of their environmental performance.
Green has emerged as the means for this consumer to validate herself. To be successful in today’s marketplace, it is paramount to provide her ways to recycle, use less for longer, and have a positive impact on the planet. Help her to become experientially educated, and she’ll be your loyal customer for life.
Tell us your thoughts about the 21
st century consumer. Email me at sara@greenbuilermag.com or join me on Twitter at SaraGBM.