US Consumers Look for Businesses to Tackle Climate Change, But Don't See It
New York, July 08, 2008
According to a study conducted by brand strategy and design consultancy Lippincott in conjunction with The Climate Group, businesses are not being recognized for the role they play in tackling climate change, despite increasingly committed consumers who look to them for leadership. This research, carried out across the United States, United Kingdom, France and Germany also found that despite substantial corporate effort and “green" advertising spend, an alarming 76 percent of US respondents could not name a single brand that is taking a lead on climate change.
Consumers are becoming increasingly committed to climate issues. The report published today, “Consumers, Brands and Climate Change”, shows that 22 percent of Americans surveyed feel “I am personally making a significant effort to help reduce climate change through how I live today”, up from 13 percent in 2007. At the same time, confidence remains low, and belief that climate change will be halted is very low and falling: from nine percent in 2007 to seven percent in the US. This profile of high commitment and low confidence is similar in the other countries surveyed.
With this increase in both corporate and consumer commitment, the conclusion is that consumers are not finding the current messages compelling enough to build "traction". In particular, many consumers now demand substantial evidence in order to trust the claims made by businesses about green issues. The research also indicates that on the whole, consumers want businesses to be more aggressive in tackling climate change.
WHICH BRANDS CONNECT MOST ON CLIMATE CHANGE?
Some brands are more successful than others in connecting with consumers. In the US, the brands that were named by consumers for taking a leading role in tackling climate change are:
1. GE
2. BP
3. Toyota
4. Walmart
5. Exxon
Walmart and Exxon are new on the top five in 2008, taking the spots held in 2007 by Ford and Honda. While it may appear surprising that high emission sectors are on the top of this list, actions taken within these sectors can have the biggest impact. Further, this provides evidence that consumers are not shunning high emission industries in favor of brands from sectors that are “naturally green”. In the German top five, Greenpeace and WWF appear, but for the most part the geographies’ top five were dominated by the “Big Carbon” and “Big Retail” sectors.
ONE GREEN MESSAGE DOES NOT FIT ALL
The findings group the respondents into definitions and profiles to enable marketers and advertisers to customize messages that will resonate with the diverse segments. Careful targeting is required as the needs of the different segments are often in conflict.
US respondents are split into the following segments:
• Campaigners: at 22 percent, up from 18 percent in 2007, they are deeply committed but require supporting evidence to trust business claims
• Confused: at 17 percent, down from 25 percent in 2007, they are undecided and need clarity on why and how they should act
• Optimists: at 21 percent (unchanged from 2007), they are committed and want to feel good about their green actions
• Followers: at 13 percent, up from 8 percent in 2007, they are partially committed and want to look good
• Unwilling: at 14 percent, down slightly from 12 percent in 2007, they accept climate change as an issue but are not prepared to act
• Rejecters: at 12 percent, down from 18 percent in 2007, they actively reject both the issue and taking action
As commitment has grown, the balance among committed consumers has changed. “Campaigners” represent the largest segment at 22 percent and describe themselves as deeply committed but require supporting evidence in order to trust what they hear about. This is a warning sign for brands that simply rely on feel-good propositions and messaging without rational proof points. The research clearly demonstrates that businesses need to change the way they engage consumers on green issues.
“Consumers are looking to businesses to take a lead in reducing climate change, but businesses are not yet connecting well with them," remarked Simon Glynn, senior partner at Lippincott and the director of the study. "There are very different motivations, even among committed consumers. Businesses must be more coherent in how they appeal to each group, playing to the strengths of their brands. Today, it’s the leaders in Big Carbon, as well as Big Retail, who are making the connection.”
ABOUT THE STUDY
Consumers, brands and climate change was conducted in April 2008 with a nationally-representative sample of 1000 people in each of the UK, US, Germany and France. For the UK and US, it draws comparisons to research conducted in July 2007 by Lippincott together with The Climate Group and Sky. Lippincott’s previous research into consumer and corporate response to climate change has been conducted with, and published by the Carbon Trust, The Climate Group, HSBC, The Prince’s Charities, Sky and the World Business Council for Sustainable Development. Copies of the research are available from www.lippincott.com. To schedule an interview or request a copy of the research, please contact Amy Schneiderman at amy.schneiderman@lippincott.com or +1 212 521 0005.
ABOUT LIPPINCOTT
Lippincott is a leading brand strategy and design consultancy. The firm was founded in 1943 as Lippincott & Margulies and pioneered the discipline of corporate identity. Lippincott operates globally from its offices in the United States, Europe and Asia. Recent clients include American Express, Aviva, Citigroup, ExxonMobil, Goldman Sachs, IBM, McDonald’s, Nissan, Samsung and Sprint. For more information, visit www.lippincott.com.
Contact:
Kathleen Hatfield, Lippincott,
212-521-0052, kathleen.hatfield@lippincott.com