© 2010 by Strategic Business Insights. All rights reserved.

overcoming mass market resistance to green behaviors

15 November 2010

BECC conference

Carrie Hollenberg senior consultant, VALS™www.strategicbusinessinsights.com

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the VALS™ consumer segmentation

VALS combines psychology and demographics

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motivation to achieve and maintain status in a society can be an important

driver of consumption

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two definitions of status in US society

Innovators (IN) are leading-edge consumers and a clear target for environmental messaging

Innovators:-digest complex ideas-can balance trade-offs

-show flexibility in problem-solving-often think on a global scale

Achievers (AC) pursue the ‘American Dream’ and generally do not prioritize the environment

Achievers:-prioritize work and family

-follow a busy schedule-hold moderate attitudes

-reject untested ideas

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“I’m convinced global warming is happening.”

Strongly Agree

Source: California Climate Values Survey, (2008)

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“I worry that we won’t have enough energy resources in the future if we don’t conserve now.”

Strongly Agree

Source: Utiiity Study, (2008)

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“Our country is in more danger from environmental hazards such as air pollution and global warming than it is from terrorists.”

Strongly Agree

Source: SBI/ecoAmerica American Climate Values Survey

(2008)

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“I would be willing to accept a lower standard of living to conserve energy.”

Strongly Agree

Source: SBI/ecoAmerica American Climate Values Survey

(2008)

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“I prefer to buy a brand associated with an environmental cause even if it costs more money.”

Strongly Agree

Source: SBI/ecoAmerica American Climate Values Survey

(2008)

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Achievers: the weakest link…..

consistently rank the environment and climate change as a low priority

little to no interest in “conspicuous conservation”

little to no interest in “status signaling with green products”

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Achievers: why they are critical

Achievers often serve as a gateway to the mass market, for products and ideas

Achievers are a social influence hub- they look to respected peers for feedback,

information- they serve as role models to their peers and to

lower resource (mass market) groups in society

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2.5% 13.5% 34% 34% 16%

Innovators Early Adopters Early Majority Late Majority Laggards

Source: Everett Rogers, 1983 and SBI’s VALS™; www.strategicbusinessinsights.com/vals

Time

groups adopt new products/behaviors at different rates

Believer

Percent of population in each adoption phase

Innovators are the early adopters

Order of other groups varies by product or behavior

SurvivorThinkerMakerExperiencer

AchieverInnovator

EXAMPLE

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eBay diffusion: Innovators early; Achievers were next

Ordered from eBay 2009

19%

6% 6% 9%

1%

13% 17% 11%

Ordered from eBay 2001

10%

1% 2% 2%

.5%

4% 4% 2%

Source: VALS™/GfK MRI, Spring 2001 and Spring 2009

Reads: 10 % of Innovators ordered from eBay.com

2.89% of US adults ordered from eBay 10.11% of US adults ordered from eBay

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reaching Achievers

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leveraging the Achiever Psychology

-respected professionals

-community connection

-the role of family

-competition

-tangible rewards

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case: California Department of Conservation Recycling Project (2007)

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the case of curbside recycling

in 2007 50% of California residentsparticipated in curbside recycling

Source: SBI/CDOC Recycling Project (2007)

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Percent of VALS Groups Living in Geographic Areas of Interest

Source: geoVALSTM 2008

EXAMPLE

execution with geoVALS™

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Achiever media examples: Radio format

Radio Format

Vertical % (% of

Achievers that listen) Index

Soft Adult Contemporary

9 160

All Talk 6 151Sports 6 145Adult Contemporary 26 140Source: MRI

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Achiever radio ad“Mrs. Busy”

WOMAN: Between packed lunchesand piano lessons, between PTAmeetings and MAYBE catching aPilates class, I admit this Momdoesn’t think about recycling ona daily basis. Thankfully, I don’thave to. See, our community hascurbside recycling. Which meansonce a week, someone in thefamily just has to take ourrecycle bin full of empty bottlesand cans and put it on the curb.Of course by “someone,” I mean“anyone but Mom.” I’m too busy.

ANNCR: Recycle. It’s in your hands. To learn more, visit bottlesandcans.com.

Ad created by For CA Dept of Conservation

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Achiever radio ad“Brothers”

MAN: My brother and me…not toomuch alike. Like the other daywhen he was visiting, he wasshocked to see me carry therecycling bin out to the curb. Heasked if I had turned over a newleaf. I said no — I’m still the yinto your yang, brother. I just don’tlike seeing all those emptybottles and cans sit there andbecome nothing. So I toss ‘eminto the bin. Then I suggested hehop in there, too. And pointedout that he might actuallybecome something one day.

ANNCR: Recycle. It’s in your hands. To learn more, visit bottlesandcans.com.

Ad created by For CA Dept of Conservation

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focused Achiever campaign inMonterey, CA

recycling of bottles and cans in

Monterey increased

15% in 3 months

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overcome mass market resistance

-use research to inform audience selection

-all segmentations are not created equal

-consider diffusion process

-identify program barriers and benefits

-frame program communications for your audience; not for everyone

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Contact

Carrie HollenbergSenior Consultant, VALS ™Strategic Business Insights

333 Ravenswood AveMenlo Park, CA 94025

Chollenberg@sbi-i.com