SUSTAINABILITY: CPG MARKETING
IN A GREEN WORLD

EXECUTIVE OVERVIEW
FEBRUARY 2009

IRI's Times & Trends highlights new developments and critical events across all major CPG categories and channels, providing powerful benchmarking data to help guide your strategic decisions. This edition of Times & Trends underscores the importance of micro-targeting to effectively serve target consumer groups, leveraging the massive Baby Boomer generation as a case study. A free summary is also accessible via the GMA website at www.gmaonline.org.
 

INTRODUCTION

Sustainability has established a firm and growing presence in the world of consumer packaged goods.

Efforts go beyond delivering eco-friendly products. CPG companies are working to construct more energy-efficient and “green” manufacturing and retail facilities, leverage environmentally friendly manufacturing processes, and upgrade transportation fleets using low-emitting and fuel efficient vehicles. The end goal is the same across the industry: to minimize environmental impacts and maximize the use of sustainable business practices.
 
The spectrum of green shoppers is broad, and represents a diverse array of consumer demographics, psychographics, values and beliefs.
 
The ability to identify key green consumer segments and deliver against diverse and rapidly changing sustainability-related attitudes and behaviors will define the winners of shopper loyalty in an increasingly green CPG world.
 
This report provides insight into current and emerging sustainability trends that will enable manufacturers and retailers to drive top line growth in the rapidly-evolving green segment of the consumer packaged goods market.
 

KEY FINDINGS

Despite adverse economic conditions, “green” shopping is penetrating new consumer segments; these new adopters are key drivers of industry growth.

Green spending patterns are closely tied with consumers’ core values, and vary markedly across consumer segments.

Organic and fair trade products are gaining momentum and contributing significantly to the growth of the sustainability-focused segment of the CPG industry.

Key green consumer segments demonstrate disparate views of nutrition as a driver of food purchase decisions.
 

Retailers’ private label offerings have established a solid reputation in the CPG arena; as sustainability initiatives further permeate CPG, retailers are likely to extend store-brand product lines touting earth-friendly and natural/organic attributes.
 
 

 

 

 

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Source: IRI's Times & Trends Reports
Information Resources, Inc. (IRI) is the world’s leading provider of enterprise market information solutions and services to the consumer packaged goods (CPG), retail, and healthcare industries.