Fall - InsideOutdoor Magazine

push for change often generates from corporate and board
level executives.
To define “green” within this discussion, respondents were
following three basic paths: products from or for recycled or
reclaimed materials plus friendly disposal, reducing/eliminating
natural resource consumption and emissions, and reducing
packaging and logistics costs.
In some ways, those higher-level executives feel as if they
don’t have much choice but to move in these directions. The way
things are viewed, you gotta give customers what they want.
“Essentially, no executive can publically say no to a green
initiative without public scrutiny of eco-friendly watch organizations,”
Aberdeen analysts find.
When asked about the drivers of greener
product development, respondents listed
corporate responsibility, conscientious customers
and demand for better use of natural
resources all among the top five, while
a “corporate responsibility initiative” was
named as a top driver by 74 percent of respondents
in another recent survey.
That’s not all good news, as it points
to what’s arguably the biggest challenge
so far with eco product initiatives: it’s difficult
to measure the top and bottom line
impact of growing social pressure to act
responsibly. While there may be enormous
pressure to go green, “it’s hard to
quantify the advantage,” Aberdeen analysts
point out.
Traditional product development strategies
can be measured directly, Aberdeen
analyst argue, either in terms of dollars
saved in a budget or a shortened cycle,
but business benefits tied to improved
branding and differentiation “are harder
to measure and an order of magnitude
removed, particularly with the product
development organization.”
And make no mistake, sales managers
and financial officer types will need to
hear about more than “soft” benefits and
proper public perception, much less the
altruism of doing the right thing, in order
to embrace the movement. For them,
eco means an opportunity for growth, a
means to differentiate what they see as a
“commodity” product, findings suggest.
In other words, it’s the desire for the proverbial
“new and improved” product.
The problems is, that won’t likely work
for everyone. Certainly, there is heavy social
pressure on corporations to lessen their
environmental impact, and consumers like
to think of themselves as doing their part
to fight climate change. It still remains to be
seen, however, whether or not consumers
are willing to walk the walk with their wallets and pay the premium
that’s still present most of the time.
Surveys of retailers from both RSR Research and Retail Forward
from earlier this year, for example, both cited little or no
demand from consumers as a top barrier to introducing more
green products into stores. More recently, a July 2008 survey of
more than 2,800 U.S. consumers age 16 years and older by Yankelovich
suggests that Americans who are strongly concerned
about the environment still represents a “niche opportunity,”
says Walker Smith, Yankelovich president.
“While (consumers) are highly aware of environmental issues
due to the glut of media attention, the simple fact is that
Fall 2008 | InsideOutdoor | 37