5 Barriers to Greener Sales

According to an article by Sheila M. J. Bonini and Jeremy M. Oppenheim dated October 2008 featured in the McKinsey Report Quarterly, there are 5 barriers—lack of awareness, negative perceptions, distrust, high prices, and low availability. Overcoming these 5 barriers is crucial if consumers are going to accept and support greener products. While the article did not focus on fashion products, the lessons learned are certainly applicable to the Fashion/Lifestyle industry.

Barrier 1 - Lack of Awareness
Resolution: Consumer Education. Companies, non-profits and government must not only educate consumers on specific products but also the larger issues of pollution, climate change, overfishing, and other environmental problems. The Energy Star program is a successful example of this partnership. Launched by the EPA and the US Department of Energy in 1992, Energy Star educates consumers about the way suitable products can cut energy use, save consumers money, and protect the environment. Every appliance that meets government energy-efficiency standards can carry the Energy Star label, which has gained widespread consumer recognition and trust through the education process.

Barrier 2 - Negative Perceptions
Resolution: Offer well-designed products made with quality raw materials. Fashion is an area that has worked to overcome negative perceptions and our discussion of Sam's Club organic cotton program illustrated this. Although this is not the case, much of sustainable Fashion is still clouded by the perception the 1960's hippie movement. In the Sam's Club case study, we discussed the tenet that green products must be equal to, or better than, conventional alternatives. In Fashion, people make their purchasing decisions based on style, color, hand (the feel of the fabric) and price. Green is the added value.

Barrier 3 - Distrust
Resolution: In an effort to gain the green consumer, some companies mislead consumers by highlighting a single positive product feature while ignoring the negative ones. Bamboo is a great example of this. Bamboo is a sustainable natural resource. It is easy to grow and replenishes itself very quickly, however, the process that makes bamboo into fiber (Bamboo Rayon) is one of the dirtiest processes in the Fashion industry. Companies must come clean about the true environmental impact of their products and their attempts to reduce it.Only then will consumers believe a company’s green claims. As we have mentioned before H&M, Patagonia and Timberland are examples of companies who do this.

Barrier 4 - High Prices
Resolution: This is a difficult one to overcome unless you are a huge company like Walmart or Payless that can keep prices low through the sheer volume of units they sell. Quanitfying the savings and environmental returns for the consumer on their investment is a good start. Creating a design or positioning a brand in such a way that the consumer is known to be environmentally conscious on sight is another way to help them justify the higher cost. For example, a person wearing the Patagonia label will be seen by others as environmentally conscious by wearing that brand.

Barrier 5 - Low Availability
Resolution: Make the products easy to buy. Advertise where they can be purchased. Invest in enough units to make a statement. Display items prominently at retail. Place Green products in prominent locations. On the fixtures, place them in the sweet spot "eye level". Provide educational materials or signage whenever possible. Make sure your employees are aware of the products and where they are placed so that they can help direct consumers through the store.

As a consumer, you have the power to overcome these barriers as well. Educate yourself on green products, production processes and producers. Research new green products for design - especially look and feel in Fashion. Consider the higher price against the benefits. Demand green products from your local retailers and support those retailers that supply them.

till next week --Restore, Refresh, Recycle and Renew