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With the end of the 'nice' decade, Dorothy MacKenzie, Chairman, Dragon, looks at how robust consumers' commitment to sustainability might be.
Each previous wave of consumer interest in green and ethical issues has foundered during an economic slowdown, as other priorities loomed large for hard-pressed, anxious consumers.
Why should things be any different now?
There are several factors that suggest that consumers' commitment to sustainability may not wither away when under pressure this time.
Green goes mainstream
Firstly, both green attitudes and behaviours have become more strongly embedded over the last few years. Underlying levels of consumer knowledge and understanding are much higher now, and people's perception of the scale and urgency of the problems we face is far greater. Many habits, such as recycling, have become simply 'what we do', and are not seen to conflict with other pressures. Some forms of more sustainable behaviour have become almost second nature - more automatic, less conscious - and therefore have become easier to maintain.
Secondly, whereas in previous ethical waves, ethical and sustainable products tended to be seen as expensive, niche options, it is much more common now for such products to be seen as mainstream offerings, often at little or no price difference. For example, many fair trade teas and coffees are exactly the same price as 'traditional' offerings, and therefore no financial sacrifice is involved in exchange for the 'feel good' benefit. The Co-op's fair trade offer is as prominent as M&S's, and participation in purchasing is now much more broadly spread throughout society.
In addition, as some aspects of more sustainable consumption behaviour have started to become rooted in mainstream, normal life, these behaviours become part of people's identities. “I'm a recycler” or “I buy fair trade” have become important ways in which people define and express themselves, and their self-esteem would be diminished if they moved away from this. The 'inner-directed' motivations to consume more sustainably appear to be stronger at the moment than the 'outer-directed' ones: in other words, “I do this because I want to, and it makes me feel good”, rather than “I do this because I am concerned about what other people think of me”.
'Smart and thrifty'
Finally, there is real potential to align 'more sustainable consumption' with the demands of managing a household budget during an economic downturn. Many sustainable consumption habits are really all about reducing waste, improving efficiency, buying less, using things for longer - themes that are unappealing and dull at a time of economic boom, but become relevant and motivating during a period of economic constraint. Reducing energy consumption helps reduce fuel bills at the same time as reducing carbon emissions. Buying food more carefully to reduce wastage cuts the weekly shopping bill as well as reducing the carbon footprint. Extending product life by using a consumer durable for longer rather than discarding it to buy a newer model saves money and reduces the waste problem.
One could make a case for saying that, far from undermining consumers' commitment to sustainability, the current pressure on household incomes could be the trigger that is needed for much more significant changes in buying habits and in general behaviour towards a greener lifestyle. Walking rather than catching the bus, growing one's own vegetables, shopping from the (now very trendy) Oxfam shop, taking the family for a healthy walk in the park rather than a trip to the shopping centre - all of these are sustainable behaviours that also help save money. There is a major opportunity to portray such behaviours as not only responsible and ethical, but also smart and thrifty. The mutual reinforcement of these two agendas is a powerful driver for change - which could even make people feel less negative about the economic downturn!
However, there are some areas where ethical purchasing is bound to come under scrutiny. Some organic food products, such as chicken, inevitably have a much higher price tag, and this will put them out of reach as a regular purchase for even more people at a time when food price inflation is soaring. But even here, the 'quality versus quantity' argument may emerge, with people prepared to cut down the number of times they eat something, rather than trade down to a lower quality offer.
In for the long haul
Qualitative research carried out by Dragon over the past few months among consumers who are currently making efforts to behave more sustainably and ethically suggests that people do not see the current levels of interest in green issues as a fad. They believe that we are going through an irreversible shift - and their expectation is that behaviours will change even more in the future, rather than reverting to a traditional norm. But perhaps this is because people are interpreting sustainable consumption quite broadly, rather than focusing - as they might have done a few years ago - exclusively on buying more expensive green products.
So, for the first time in recent history, we may see the economic downturn leading to an acceleration in sustainable consumer behaviours, rather than the reverse. |
