Consumers news and comment CCB 106

August 06, 2009

Consumer confidence in food manufacturers plunges across America An IBM study, released on 24 June from the United States, suggests that consumer confidence in food companies has plummeted after less than one in five consumers said they trusted food companies to develop and sell food products that are safe and healthy. One thousand consumers responded to the survey in the ten largest cities across the US. According to the researchers, customers are demanding more information on the products they buy and purchasing habits have shifted as people are prepared to pay more for higher quality food.
Contact: IBM
www.ibm.com

Orange introduces new “eco-citizen” offers
Orange has launched new products and services to help its customers in France make more environmentally friendly choices. “Les Occasions” is a range of pre-owned mobiles available from Orange stores at lower prices. The company has been selling preowned mobile telephones in all its French stores since 18 June, after trialling the offer in 70 stores in western France. Orange has also set up the “Seconde Vie Mobile” programme where people can take their used mobile to an Orange store. In the long run this programme will act as supplier to the pre-owned mobile market.
Contact: France Telecom
www.francetelecom.com

Carbon labelling expands internationally
The world’s first carbon label for consumer products is set to go global with the announcement on 30 June that Australia is to join the UK in using the Carbon Trust’s system. The Carbon Trust has signed an agreement with Planet Ark, a leading Australian environmental organisation, to establish its Carbon Reduction Label in Australia. The first products bearing the label are expected to hit Australian supermarket shelves in 2010. The Carbon Trust’s scheme was launched in the UK in 2007 and in less than two years has won the support of over 60 product manufacturers, with the label now appearing on more than 2,500 UK consumer products.
Contact: Carbon Trust
www.carbontrust.co.uk

Global fairtrade sales increase by 22%
Fairtrade Labelling Organisations International (FLO) announced on 4 June that the global market for Fairtrade certified products experienced significant growth in 2008, despite the onset of the global recession. Fairtrade sales grew by 22%, as consumers spent an estimated ?2.9 billion on Fairtrade products globally. Major growth was experienced across all main Fairtrade product categories and Fairtrade sales grew by at least 50% in seven countries, as well as gaining popularity in a number of new markets, including Eastern Europe, Eastern Asia and South Africa. Ruth Simba, Coordinator of the African Fairtrade Network, said “as the global recession hits us, the income and stability that Fairtrade brings is all the more important.”
Contact: Fairtrade Labelling Organisations International
www.fairtrade.net

Hertz relaunches green collection
Car rental company Hertz announced on 5 June that it is relaunching its Green Collection throughout Europe, offering a range of fuelefficient vehicles at 70 airport and downtown locations. The Green Collection offers ecofriendly models selected according to the company’s enhanced CO2 emissions policy. All of the vehicles have a CO2 output of less than or equal to 140g/km, the voluntary output target set by the European Union for the European Automobile Manufacturers Association. In Europe the Green Collection is available in Austria, Belgium, Finland, France, Germany, Italy, Lithuania, Netherlands, Slovakia, Spain, Switzerland, UK, Czech Republic and Sweden. Hertz has also committed to develop and agree to fuel economy goals and reducing its rental fleet’s emissions.
Contact: Hertz
www.hertz.com

Samsung launches solar-powered mobile
On 10 June, Samsung India announced the global launch of the world’s first solar powered mobile phone, the “Solar Guru”, priced at $59. With an extended solar powered battery, the phone solves the problem of unavailable or unstable electric supply as well as allowing users to save money and energy consumption on traditional electric charging. Following its introduction in India, the phone is being launched in various markets including Europe, Southeast Asia, Southwest Asia, and Latin America throughout the summer of 2009.
Contact: Samsung
www.samsung.com

M&S introduces recycled pastic for food packaging
Marks & Spencer announced on 8 June that it is introducing recycled plastic to its food packaging. Recycled PET plastic (rPET) is now being used by the high street retailer across its lunchtime ‘Food to go…’ range of salads, juices and smoothies. Marks & Spencer is working with recycling experts Closed Loop London and London Remade in the programme, which is being funded by WRAP – the Waste & Resources Action Programme. To encourage customers to ‘close the loop’ and recycle the packaging from their lunchtime snacks, recycling bins will also be placed at four Marks & Spencer stores in central London.
Contact: Marks & Spencer
www.marksandspencer.com

UNEP head calls for worldwide ban on plastic bags
UNEP released a report on 8 June, ‘Marine Litter: A Global Challenge’, which identifies plastic as the most pervasive form of ocean litter. Achim Steiner, UNEP Executive Director, said that some of the litter, including plastic bags which choke marine life, should be banned or phased out rapidly everywhere. The report’s findings reveal that despite several international, regional and national efforts to reverse marine pollution, ocean litter continues to endanger people’s safety and health, entrap wildlife, damage nautical equipment and deface coastal areas around the world. The study is the first-ever attempt to take stock of the marine litter situation in the 12 major regional seas around the world.
Contact: UNEP
www.unep.org

‘High street failing on footprinting’, say consumers
Research released on 29 June from the Carbon Trust reveals almost two thirds of consumers (63%) are more likely to buy a product if they know action is being taken to reduce its carbon footprint. Furthermore, 70% of consumers want businesses to do more to help them make more informed environmental choices about the products they buy. The research questioned more than 1,000 consumers across the UK to better understand their attitudes towards carbon reduction and the labelling of individual products. Euan Murray, General Manager of Carbon Footprinting, Carbon Trust comments “Companies can’t ignore the fact that consumers do care about climate change and what a brand is doing to fight it.”
Contact: Carbon Trust
www.carbontrust.co.uk

Comment

Various consumer related news items in this section touch on the wide range of approaches companies are taking to support the sustainable lifestyles of their consumers.

At one end of the spectrum, are those businesses that are choice editing – removing the ‘irresponsible’ option from the consumer completely. Examples include supermarkets that have removed plastic carrier bags from their stores, a number of restaurants in New York and London that have removed bottled water, and Marks & Spencer, who is replacing all of its salad boxes with recycled ones.

Then there are those that are offering products which enable customers to make more environmentally friendly choices. For example, Samsung is releasing a solarpowered mobile phone, and Orange has launched a range of pre-owned mobiles to customers in France. We have also seen a big increase in carbon labelling – a means of providing product information to the consumer allowing them to make more informed purchasing decisions. The Carbon Trust’s label now appears on more than 2,500 UK consumer products, and is championed by brands including Tesco, PepsiCo’s Walkers, Quakers and Tropicana.

There are those that are using the carrot or stick approach. Incentivising responsible or green choices by offering points, or penalising (charging) non green choices – back to the carrier bags!

At the other end of the spectrum, are companies that are going beyond their immediate responsibilities; educating and motivating consumers and the wider public to make changes across their whole lifestyle. One example is the Tesco’s Greener Living website, which provides a number of functions, from explaining the science behind climate change and raising awareness around the issues, to carbon calculators and tips on how to live a low carbon lifestyle.

All of these developments reinforce the sense that CR is not just about corporate responsibility – it must also be accompanied with a real sense of consumer responsibility and accountability.

Victoria Hartley
victoria.hartley@corporatecitizenship.com

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