generation green

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Presented by Steven L. Kleber, President Kleber & Associates

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Generation Green presentation given at The Remodeling Show 2008 by Steve L, Kleber, president of Kleber and Associates.

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Page 1: Generation Green

Presented bySteven L. Kleber, PresidentKleber & Associates

Page 2: Generation Green

INTRODUCTIONS

The Dynamic Multi-Generational Demographic

GENERATION GREEN

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Page 3: Generation Green

PRESENTATION TAKEAWAYS

DNA Make-up of theGreen Generation

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Page 4: Generation Green

GREEN IS HERE TO STAY

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Page 5: Generation Green

WOMEN

51% of the total U.S. population

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THE CHIEF PURCHASING OFFICER OF THE HOME

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80%of all household related purchasing decisions are controlled by CPOs

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WHAT CPOS ARE REALLY LIKE

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Family life is important, but career goals are the driving force behind the CPO.

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25-54AGE

$1.4SPENDING POWER

TRILLION

63%

COMPARED TO MEN, WOMEN’S MEDIAN INCOME HAS RISEN

CPOS MAKE BIG PURCHASING DECISIONS

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IN 3 OUT OF 10 HOMESTHE WOMAN EARNS HALF OR MORE OF THE HOUSEHOLD INCOME

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WHAT MAKES THEM GREEN

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For CPOs It’s a Way of LifeSocially responsible companies and products are preferred.

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Page 10: Generation Green

SOCCER MOMS NO MORE

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Gone are the soccer moms…

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Page 11: Generation Green

MILLENNIAL MOMS EMBRACE NEW TRENDS

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Eco MomsYoga Moms

Millennial Moms take the natural

approach.

Social Networking

Community Involvement

More empowered than their parents.

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MILLENNIAL MOMS ARE THE REAL DEAL

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9 millionMillennial Moms

in the U.S.

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Page 13: Generation Green

WHAT MAKES THEM GREEN

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Information generation

Technologically savvy

Eco-friendly hits home

Newest generation of

mothers

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Page 14: Generation Green

SINGLE FEMALES

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2:1

SINGLE FEMALES OUTNUMBER MALES

NOT SEX IN THE CITY

DIVORCED, WIDOWS, SINGLE MOMS, FIRST TIME HOME BUYERS

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Page 15: Generation Green

SINGLE FEMALES ARE AN OVERLOOKED OPPORTUNITY

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Young single women reside intheir homes 5 years or less

…a prime opportunity for you remodelers, designers andhome product manufacturers out there.

Single female households areincreasing at a staggering rate.…three head-of-households under one roof

may become the new tradition.

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Page 16: Generation Green

WOMEN AND THEIR ROLE IN THE GREEN MOVEMENT

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OF ALL NEW HOMES

$5WOMEN SPEND

TRILLIONANNUALLY

91%BUY

50% WANT “GREEN CHOICES”

25% OF PRODUCTS THEY BUY ARE

ENVIRONMENTALLY FRIENDLY.

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Page 17: Generation Green

YOUNG HOMEOWNERS - GEN X

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1965-81BORN

51 MILPOPULATION

27-43AGE

$125 BILLION A YEARTHIS GROUP SPENDS

$200 BILLION ANNUALLYWITH TOTAL SPENDING POWER OF OVER

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GENERATION X -- WHAT THIS GROUP IS REALLY LIKE

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Generation X: diverse, self-reliant and pragmatic…judge “green” brands, products and

services by how they honor their promises…research everything on the internet.

Page 19: Generation Green

WHAT MAKES THEM GREEN

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Generation X - sustainability is a way of life.…it’s not about talking the talk, but walking the walk.

They are adaptable and open to change.

Sustainability is the step toward a secure future…

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Page 20: Generation Green

YOUNG HOMEOWNERS - GEN Y

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1982-98BORN

75 MILPOPULATION

20-26AGE

$150 BILLION A YEARCUMULATIVE SPENDING POWER OF

FASTEST GROWINGHOME-BUYING AGE GROUP

BUYERS UNDER AGE 25 ARE THE

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Page 21: Generation Green

GENERATION Y, DEFINING TRAITS

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Generation Y: optimistic, confident, moral,diverse, individualistic, education focused,

enthusiastic and socially conscious.…the green movement means different things

to different members of this group...

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Page 22: Generation Green

DO THEY REALLY CARE ABOUT THE ENVIRONMENT? JUST LOOK AT THE NUMBERS

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Generation Y embraces sustainabilityas a way of life.

…84 percent are activelyconcerned about the climate...

Environmental messages impact customer loyalty …

50%say it influences their shopping

behavior

46%say they’d shop at a retailer

more if they were environmentally friendly.

47%say they’d be willing to

pay more for environmentally friendly services.

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Page 23: Generation Green

“RUPPIES” - RETIRED URBAN PROFESSIONALS

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1946-54BORN

40 MILPOPULATION

54-62AGE

$2 TRILLION A YEARANNUAL SPENDING POWER

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Page 24: Generation Green

RUPPIES SET THE NEW STANDARD FOR POST-RETIREMENT

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Motivated to stay young, healthy and fit, Ruppies remain active in their communities.

…not sitting on a porch in a Florida retirement community…

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Page 25: Generation Green

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RUPPIES ARE ENGAGED AND INTERACTIVE

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Page 26: Generation Green

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This is all great, but what is Generation Green buying, how do they buy and how do

I reach them?

…you’re about to find out...

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Page 27: Generation Green

SHOWING THE GREEN SIDE

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Energy and water conserving appliances

Touch free faucets

High-efficiency toilets

Low-flow faucets

Recycled materials in countertops, flooring and cabinets

Energy-efficient roofing options

Water storage tanks

Solar power systems

Micro-hydro systems

Low VOC substrates

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Page 28: Generation Green

SHOWING THE GREEN SIDE

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“WE ARE DOING OUR PART” TO PROTECT THE ENVIRONMENT.75%

OF 2,602 US ADULTS SURVEYED

“INSTALLING RESOURCE-FRIENDLY APPLIANCES.”

46%

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Page 29: Generation Green

GENERATION GREEN MOTIVATING FACTORS AND PURCHASING HABITS

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Focus group members were all familiar with

…they would be willing to pay anincremental increase…no more than 5%.

For CPOs, Millennial Moms, a majority of Single Femalesand Young Homeowners, cost is a main purchasing factor…

But, for Ruppies, price is not always the determining factor;safety and convenience are moretypically the underlying factors.

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Page 30: Generation Green

QUALITY AND PRICE OUTWEIGHS BRAND NAME

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Generation Green knows that awell-known brand does not necessarily

equal quality workmanship.With Ruppies, brand loyalty isn’t as high as you may presume.

…according to Multichannel News, this older cohort actually has LESS brand loyalty than their younger counterparts.

They expect the highest quality service -

Or they move on

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Page 31: Generation Green

COMBINATION OF LUXURY AND ENVIRONMENTAL CONSCIOUSNESS

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Generation X and Yhave varying styles, but bothchoose design and comfort

above other product attributes.

Ruppies…choose products and services for the home based on desired

comfort, convenience and performance.

Recycled plastics, reclaimed wood, reused products.

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Page 32: Generation Green

HOW TO REACH GENERATION GREEN

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PROVIDE ONLINE INFORMATION…

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Page 33: Generation Green

LIMIT THE FLUFF

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Sound, direct, honest

messaging……busy lives leave no time

for gimmicks or false “green” claims.

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Page 34: Generation Green

COMMUNICATE REFERRALS FROM A TRUSTED SOURCE

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Generation Green prefers input and advicefrom trusted sources: family, spouses,

significant others, friends. Internet reliant…create an online community on company Web sites for them

to converse with current customers and prospects about what you offer.

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Page 35: Generation Green

BE ACTIVE WITHIN THE GREEN COMMUNITY

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Join and support green-minded organizations and national, regional

and local community programswith similar environmental goals.

A demonstrated commitment to a sustainable planetis as important as saying your product or service is “green.”

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Page 36: Generation Green

CREATE COMPELLING, GREEN FOCUSED MARKETING MESSAGES

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Generation Green is sharp,knowledgeable andnot easily fooled.

You can’t just say you’re green; you need to prove it.

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Page 37: Generation Green

SMARTER MARKETING

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The most important thing… tailor your sales and marketing effort to each individual attitudinal and

generational cohort...…informed targeting pays dividends.

Page 38: Generation Green

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CONCLUSION

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Avoid misleading and unsubstantiated

green claims.Be a true advocate for theecological movement —

stay true to your customersand to the environment.

…Generation Green willcontinue to rise in numberand sheer spending power

in the future.

Page 39: Generation Green

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Questions?!?

Call 770.518.1000 or visitkleberandassociates.com