“Social and environmental consciousness among consumers has reached a tipping point” (p.19)Consumer concern for the environment has been increasing steadily over the past decade.Currently, over half of global consumers take “green” factors into account when making purchasing decisions.60 Euromonitor, Global Survey Database (2012). This survey included 16,000 online consumers ranging in age from 15 to over 65, living in eight major markets: Brazil, China, France, Germany, India, Japan, the U.K. and the U.S.

Companies know that they have to show how their products and services fit into an integrated, green and sustainable approach. P19 BDC

“Ethical consumption” is increasingly important to Canadian consumers; information on unethical business and sourcing practices is more easily accessible, and consumers use their wallet to influence companies to adopt more responsible practices.

“approximately three-quarters of consumers [in developed countries] claimed they would pay more for products or services from a socially responsible company with ethical production practices, such as child-free labour” “Moreover, three in 10 said they would pay a premium of 15% and more on products guaranteed to be ethically fabricated, and three out of five claimed they would be willing to pay a 5% premium or more.”

This environmental and social awareness is having a growing impact on sub-trends, such asbuying locally sourced products.

Consumers want to know more about the environmental impact of their purchases. Most have already integrated some environmentally conscious decisions into their routines. For example, one in four Americans say they systematically take steps to make their home or lifestyle greener, such as recycling, weatherproofing their home, using eco-friendly products or driving energyefficient vehicles.p.20

permit packaging reuse, make the product easier to use, and prevent messes and spills. People around the world like ecological packaging, with consumers consistently selecting this option as one of the top two features they would be most likely to pay extra for.67 – p.20

“It’s becoming increasingly clear that sustainability can be a driver of new growth that capitalizes on a rising demand for environmentally friendly and energy-efficient products.” (p.3)

“The results of the survey reinforce our belief that there is broad market demand for products with an enhanced environmental profile, and that demand is coming from customers” p.3

“consumers have increasingly high expectations that the products they buy do not cause significant environmental harm. Many consumers seek information on how products are made, what they are made from, how far they travel, and how they are packaged.” P.3

“to tap into this emerging consumer mindset and create new market opportunities based on sustainability-inspired innovations.”p.3

“Perceived as a permanent shift in consumer attitude, the business world is responding with environmentally and socially responsible practices.” MORE PRODUCTS P.3

(MORE CUSTOMER ON BOTH SIDES – MULTIPLATFORM) business opp.

MARKET RESEARCHA recent PwC study completed for consumer products companies found that greater focus on health and well-being, a rising incidence of allergies, and concern about chemical safety have all increased demand for organic and natural household and personal products. (CUSTOMERS)

Low price elasticity of demand

Procter & Gamble (P&G) also cites new research that finds strong consumer interest in goods that offer both environmental and economic benefits. The company recently announced plans to convert its entire powder laundry detergents to a compacted formula in February 2011. (BUSINESSES)

Market Research:1. Customer segment

a. Consumersb. Producers

2. CompetitorsBy segment

a. Customersi. Physical shops (independent shops) FOOD: Whole foods,

Planet Organic – Clothing: People tree – Expensive: Sergio Rossi

ii. Online (specialized)b. Producers

Amazon, Wal Mart, Ebay

Sales & MarketingPricing Customers

Management

Operations

Risk Assessment No customer engagement (marketing, brand) Poor quality sellers (certification & reviews) Bad customer experience (certifications of distributors and transport) Market is not ready (marketing strategy) Entry of new Competitors (brand and customer relationship/loyalty)

Financial Plan