Touch and Purchase?
Sustainability is a growing social trend and it seems companies are trying harder than ever to give its brand a green makeover by creating biodegradable, renewable, and organic products. Consumers are feeling the ethical need to make a switch, however they are still unwilling to pay more and take on risks for the new environmentally friendly products. Are ethical claims from those companies really going to change the consumers mind?
According to a new study from Concordia University’s John Molson School of Business, there is a theory that better sales are linked to sustainable products consumers have a physical connection with. Another study by Onur Bodur also supports the theory that ethical claims promote sales when consumers have physical contact with the product. It sounds like a strange enough theory; however, imagine walking into a store to buy printer ink and dish soap. Between the choices of normal printer ink, biodegradable printer ink, normal dish soap and biodegradable dish soap, you might choose to save money on the normal printer and spend on the biodegradable dish soap. It makes sense that consumers would care less about choosing the biodegradable printer ink and care more about choosing the sustainable dish soap. The difference is something called the positive contagion effect – consumers do not automatically think about the ink used in a printer because ink isn’t something people physically interact with on a daily basis, whereas dish soap touches the consumers’ hands two or three times a day allowing customers to quicker perceive the increased benefits of the sustainable product.
Consumers are likely skeptical of the new ingredients, the functionality, and the danger of losing money when faced with a new product. Not all firms can increase its product’s perceived value by going green, but for companies selling the types of products that have tactile consumer involvement, it may be worth the money to invest in going green.
References:
(1) http://phys.org/news/2013-09-physical-contact-ethical-consumer.html