The Executive’s Daily Green Briefing

April 23, 2008

As Goes Wal-Mart…Retailer Says Green Product Adoption Up In 2007

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Wal-Mart has announced an adoption rate increase of 66 percent from last year in its sustainability Live Better Index, which has been tracking consumers’ decisions to purchase five key eco-friendly products since April 2007.

The index follows the adoption rates - sales compared to other products in the category - of five eco-friendly products based on Wal-Mart sales data. The retailer says that an overall adoption rate of these products serves as a nationwide trend indicator of consumer demand for green products.

The data for April 2008 shows a 37 percent increase in adoption of organic milk and a 47 percent increase in adoption of compact fluorescent light bulbs since April 2007.

As a whole, Wal-Mart says that adoption rates of the five sustainable Live Better products have increased significantly over the past year:

1. Compact fluorescent light (CFL) bulbs - Average adoption rate of 19.7 percent (up from 13.39% in 2007)
* Delaware leads the category with an adoption rate of 25.8 percent

2. Organic baby food and formula - Average adoption rate of 4.12 percent (down from 4.31% in 2007)
* California continues to lead the category with an 8.58 percent adoption rate

3. Organic milk - Average adoption rate of 1.58 percent (up from 1.15% in 2007)
* Virginia has the highest adoption rate of organic milk at 2.7 percent

4. Extended life paper products - Average adoption rate of 67.5 percent (up from 50.77% in 2007)
* Minnesota has the highest adoption rate with 78.1 percent

5. Concentrated/reduced-packaging liquid laundry detergents - Average adoption rate of 76.3 percent (up from 22.86% in 2007)
* Oklahoma leads the category with an adoption rate of 96.3 percent

Wal-Mart is adding new categories including sustainable coffee and eco-friendly cleaning products - the retailer recently introduced Sam’s Choice coffee and Clorox Green Works lines to Wal-Mart stores as part of a major environmental push this month.

See the index here.

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