September 26, 2007
Energy Pulse: Wallets Drive Many Green Purchase Decisions
Companies that want to sell themselves as “green” and environmentally friendly must address product cost concerns as well as put their own money where their mouth is -? or else face rising skepticism with a cost-conscious and more discerning U.S. consumer, according to a national study that evaluates the consumer mindset on energy use and conservation, according to the third annual Shelton Group Energy Pulse study, to be released October 8.
Energy Pulse documents that purchase intention for every energy-efficient home product evaluated is down from the study’s 2006 results. For example, only 69 percent of consumers would choose one home over another based on energy-efficiency, down from 86 percent who said they would do so in 2006.
“Even with all the talk today about consumers seeking to save energy costs and help the environment, the shaky housing market and other recent economic uncertainties prove that wallets are still driving many Americans’green purchase decisions,” said Shelton Group CEO Suzanne Shelton. “As it stands, ‘?energy-efficient’ is consistently equated to ‘?more expensive’ in the minds of consumers for products across the board.”
“But saying ‘?save money’ when advertising an energy-efficient product isn’t necessarily good enough,” Shelton said. “Our research shows that consumers want proof. Messages also need to offer other subtle suggestions such as happiness, safety, peace of mind and security in order to resonate with what consumers desire.”
The finding is similar to a recent Marketing Profs article which said that green marketing must satisfy two objectives: Improved environmental quality and customer satisfaction. Misjudging either or overemphasizing the former at the expense of the latter is what can be called green marketing myopia – a corporate preoccupation with a products “greenness” rather than consumer needs.
In the Energy Pulse survey, when asked “Given an extra $10,000 in your construction budget for discretionary items, which of the following would you choose?” the top answers were:
• Granite counter tops (26 percent)
• Higher efficiency HVAC unit (24 percent)
• Upgraded or additional energy-efficient kitchen appliances (21 percent)
• Additional tile or hardwood (21 percent)
• Indoor air purification system (18 percent)
When asked, “If you were given $10,000 to make home renovations, which one or two things would you
do?” the top answers were:
• Replace carpet or add hardwood or tile (31 percent)
• Refinish kitchen or bathroom (29 percent)
• Repaint interior or exterior (27 percent)
• Replace windows (23 percent)
Advertisers
Stay competitive through sustainability.
Find out how at the SAP Sustainability Resource Center. >>
Unclear about the EPA's new GHG Rule?
Learn how it could affect your business. >>
EPA mandatory emissions reporting starts Jan 1st
CSA Standards can help your organization get ready for compliance. Find out how. >>
Best Practices: Product Environmental Compliance
How to achieve compliance at a significantly lower cost. Download the full report. >>
Join the Discussion
Recent Daily News [ see all ]
- 11/20/2009
- 11/19/2009
- 11/18/2009
- Ontario May Follow California’s Lead on TV Energy Efficiency
- EPA Is One Step Closer to New Ship Emissions Standards
- European Paper Industry Cuts CO2 Emissions by 42% since 1990
- CDP Launches Water Disclosure Project
- Whirlpool Cuts Water Use by Nearly 22% from 2004 to 2008
- National Grid Again Rejects High Costs of Offshore Wind
- California City’s Green Building Ordinance Applies to Commercial Buildings
- Agilent To Save $3.5M Over 10 Years With Solar
- S. America Takes Most Urgent View of Copenhagen Talks
- Texas, China Wind Partners May Build U.S. Factory to Appease Critical Lawmaker
- Volvo, Mack Engines First to Meet 2010 EPA Emissions Standards
- Around the Web – Nike, Google, Nissan, Bush’s Green Library, WWF
- Fossil Fuel Emissions Rose 29% since 2000
- SEC Charges Four in ‘Green’ Investment Ponzi Scheme
- No Sunny Skies for Two Solar Projects in Texas, California
- Canada Delays GHG Emissions Regs, Russia Ups Emissions Cuts
- News Corp. Taps Hara for Energy Efficiency, Environmental Management
- Rising Sea Levels Would Hit U.S. East Coast Hardest
- Building an Energy-Efficient Data Center Using Virtualization Technology
- Trade Group on EPA Chemical Regs: ‘If Everything is a Priority, Then Nothing is a Priority’
- A/V Equipment Gets New Energy Star Requirements
- By Scaling Back Catalogs, JC Penney to Save 30% on Paper
- Around the Web – Starbucks, EcoFactor, UPS, Brownfields, Eco-Labels
- Subaru Touts Energy & Environmental Initiatives
- U.S., China Partner on Renewable Energy, Energy Efficiency
- Green Buildings Do Double Duty: Reduce Energy Use, Lower Financial Risk
- UK to Ease Rules for On-Site Renewable Energy Installations
- Intel Eyes Wind, Electric Cars
- Nike Tops Annual Climate Action Scores
- Iranian Tanker Firm to Cut Fuel Use 28%
- Corporate Jetsetters Can be Carbon Offsetters
- USPS Energy Use Down 9% From 2005 to 2008
- From Solar Applications to Christmas, LEDs Light the Night
- EPA May Regulate Sulfur Dioxide Emissions on Hourly Basis
- MITEI: Sustainable Energy & Terawatt-Scale Photovoltaics
- Around the Web – Health Care & Energy, Shell, NBC
Charts [ see all ]
Popular Topics
Energy Efficiency
Data Center
Emissions
Facilities
Electricity
Sustainability
Water
Supply Chain
Efficiency
Green Marketing
Strategy & Leadership
Research
Fleets & Transportation
Carbon Finance
Conventional Energy
Clean Energy
Waste & Recycling
Paper & Packaging
Policy & Law
Utilities
Construction
Comments and Discussions
Trade Association on Trade Group on EPA Chemical Regs: ‘If Everything is a Priority, Then Nothing is a Priority’
"Seriously… that..."
Gary Markowitz on Supermarkets Tackle Emissions Reductions, Fuel Efficiency
"Supermarkets waste over 10 percent of their energy through improper..."
peter in ireland on Ontario May Follow California’s Lead on TV Energy Efficiency
"Governor Schwarzenegger is shooting himself in the foot! 1...."
Environmental Leader on S. America Takes Most Urgent View of Copenhagen Talks
"The survey respondents (the PDF report mentions 4,000 respondents in 38..."
Jake on UPS Trying New Hydraulic Hybrid Trucks
"A point of clarification: the Reuters press release referenced herein reports that 20 UPS will purchase..."
Custom Organic Shirts on S. America Takes Most Urgent View of Copenhagen Talks
"90% of North Americans believe it is urgent to get a global climate..."
peter dublin on California City’s Green Building Ordinance Applies to Commercial Buildings
"Why energy efficiebnt regulation on buildings –..."




Reader Comments
We are a construction firm that roofs with an energystar rated system. We fully believe in the product that we sell to our customers. Our initial conversation with a prospecitve customer is typically about trying to explain that in the long run the product will save them money and help the environment by reducing landfill waste. I believe most people are visual and want to see the outcome immediatly, because their primary concern isn’t about the enviroment. Another way to put it is there is a lack of consumer education.
Your artical states that informing customers of the benefit/cost advantages of any energy efficiient product as a primary objective. In what ways can our organization become better at accomplishing this goal and what methods have been proven to be most reliable to do so?
andrew perry | September 26th, 2007