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KEEPING THE FAITH: CONSUMER TRUST, GREEN MARKETING CLAIMS AND SUSTAINABLE CONSUMER BEHAVIOR

KEEPING THE FAITH: CONSUMER TRUST, GREEN MARKETING CLAIMS AND SUSTAINABLE CONSUMER BEHAVIOR. Prof. Lucy Atkinson Department of Advertising & Public Relations College of Communication University of Texas at Austin. Consumption trends…. Organic food sales: 2009: $24.8 billion

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KEEPING THE FAITH: CONSUMER TRUST, GREEN MARKETING CLAIMS AND SUSTAINABLE CONSUMER BEHAVIOR

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  1. KEEPING THE FAITH: CONSUMER TRUST, GREEN MARKETING CLAIMS AND SUSTAINABLE CONSUMER BEHAVIOR Prof. Lucy Atkinson Department of Advertising & Public Relations College of Communication University of Texas at Austin

  2. Consumption trends… • Organic food sales: • 2009: $24.8 billion • 1990: $1 billion • Made in America • 3/5 Americans say more likely to purchase something if it’s made in USA • Product (RED) has raised $150 million • But spent $100 million on advertising • Automakers are introducing dozens of new models of electric cars

  3. Socially Conscious Consumption • Consumer choices that are made with broader social goods or benefits in mind • Sometimes called: • ethical consumerism, political consumerism, responsible consumerism, green consumerism, sustainable consumption • Consumer choices can be politicized

  4. “Now, the American people have got to go about their business. We cannot let the terrorists achieve the objective of frightening our nation to the point where we don't conduct business or people don't shop.” President George W. Bush (Oct. 11, 2001)

  5. Consumption & Citizenship • Theoretical underpinnings: • Declining political engagement, rising consumerism • Changing media environment • Globalization and postmodernism • Alternative politics • Shift from politics of loyalties to politics of choice (Norris, 2002) • Changing citizenship norms • Socially conscious consumption as citizenship • Citizen v. consumer

  6. Consumption & Prosocial Orientations • Consumer socialization as a component of political socialization • ARC – Transformative Consumer Research • Consumer socialization among preschoolers • AEJMC – Mass Communication & Society • Green advertising claims and consumer interpretations

  7. Consumption & Prosocial Orientations • Attitude-behavior gap • (Kalafatis & Pollard 1999; Peattie 2010; Vermeir & Verbeke 2006)

  8. Consumption & Prosocial Orientations

  9. Consumption & Prosocial Orientations

  10. Corporations & Sustainability (Lacy, Peter, Tim Cooper, Rob Hayward & Lisa Neuberger (2010). A New Era of Sustainability: UN Global Compact-Accenture.)

  11. Corporations & Trust

  12. Consumers & Trust • Persuasion depends on trust • (Boush et al. 1993; Hovland & Janis 1959; McGuire 1968) • Salient for sustainability issues • Credence claims = benefits or attributes that cannot be verified through information or personal experience • (Teisl, Rubin & Noblet 2008) • Green trust gap • Consumer concern ≠ purchase • Greenwashing: • 7 in 10 Americans think “green” is a marketing tactic • TerraChoice study: 99% of claims were greenwashing

  13. Eco-labels • Certification • Leading to market differentiation, greater purchase intent and a willingness to pay a premium for eco-labeled products. • Kinds: • Sponsored/administrated by governments or corporations or non-profits (NGOs) • Single-item or multi-attribute

  14. Eco-labels

  15. Eco-labels • Backlash • (Crane 2000; Prothero 1990) • Lack of empirical research • (McEachern 2008) • Inconsistencies • (Lirtzman & Avichai 1986; Sheffet 1983) • Conceptual or methodological shortcomings • Operationalizing variables like trust, label source • Sampling • (Beltramini and Stafford1993; Teisl, Rubin & Noblet 2008)

  16. Objectives • To clarify the role of eco-labels and account for the influence of consumer trust • Methodologically rigorous approach • How does trust predict eco-label perceptions? • Which labels are most effective? • Method: • Experiment embedded in a survey • Knowledge Networks • Probability-based, representative sample (n=400)

  17. Survey • IVs: • Trust (advertising, government, corporate) • PCE • Environmental knowledge and behaviors • plus demographics • DVs: • Eco-label awareness • Eco-label attitude • Eco-label use

  18. Experiment • Eco-label factors that influence message processing and persuasion • ELM (Petty and Cacioppo) • Source credibility • Corporate vs. government • (Lirtzman & Avichai 1986; Ozanne &Vlosky 1997; Parkinson 1975; Sheffet 1983) • Argument quality • High v. low • (Boer, Huurne & Taal, 2006; Tang, Fryxell & Chow 2004; Teisl et al. 2002)

  19. Experiment

  20. Experiment • DVs: • Eco-label credibility • Product attitude • Purchase intent

  21. Experiment

  22. Experiment

  23. Experiment: Discussion • DV: Eco-label trust • Main effect of Argument quality • DVs: Product attitude and purchase intent • Interaction • Government sources must be high quality • Purchase most likely

  24. Implications • Labels are useful • Must be done “right” • Consumer trust • Where to focus efforts: advertising v. corporate trust • Future research • Third label source • Different products • Cross cultural

  25. Future Plans • SCP’s Advertising and Consumer Psychology Conference in Eugene, OR in May • Summer research funding • Aim for journal submission in August

  26. Thank you! Questions?

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