Big end Buzz at the 2009 LOHAS Forum

Boulder, Colorado – a mile above sea level at the foot of the Rockies – an outdoor haven and a city embracing community and sustainability in a big way.

And for three days in late June, the destination for 550 attendees representing 360 different organisations for the 13th annual LOHAS Forum, sponsored again by Mobium Group.

Nick Bez, Mobium’s Research Director was the only Australian based delegate in the audience that featured participants from the USA, Canada, South America, a variety of European countries, New Zealand and Asia.

Freshly returned from the conference and extended study tour to LA, Chicago and Boston he has compiled the following highlights:

Increased Audience Diversity

The audience mix continues to grow in diversity - from the largest multinational manufacturers to start ups, investors, government and charities from sectors ranging from spa to solar and cosmetics to vehicles.

In 2009, one of the most notable changes was the number of top tier multi-national food, retail, automotive and personal care brands in attendance. This representation has grown from a handful to a 'who’s who' over the three years that Mobium has participated.

The conference heard from some of the world’s most influential conscious commerce leaders, LOHAS businesses, and a range of inspiring keynotes including Ray Anderson, the effusive chairman of Interface, globally acknowledged as a company that has achieved an amazing re-invention based on applying sustainability and learning from nature, Hunter Lovins, author of seminal book, Natural Capitalism and Adam Werbach from Saatchi & Saatchi S.

Mainstream Corporate Participation

Presentations from the likes of Walmart, Coca-Cola ,eBay, BMW and Frito Lay re-enforced that addressing the LOHAS market is not ‘optional’, ‘add-on’ or ‘nice for the PR team’ – rather, broad sustainability is now a fundamental component of corporate, operational, brand and product strategy.

These brands, along with progressive (and aggressive) LOHAS businesses such as Method, Keen, Tom’s and We to Me are pushing ahead with a raft of initiatives and business models that are set to reinvent (and already are) the retail and brand landscape.

The consensus view? The market for healthier, more sustainable products is poised to breakout and further mainstream, delivering a fundamental commercial market transition over the next 36 months.

Key barriers broken down

  • The ‘next wave’ of products and services that match or better conventional counterparts on performance, style, and price have hit mainstream stores in an ever expanding number of categories as the current consumer barriers are broken down.
  • Innovation in design, quality, durability and minimalism is the new focus.
  • Research and case studies from BBMG and Saatchi as well as clear messages from brand owners such as Mohawk, Mini and Pepsi, clearly demonstrated that the simplistic approach of slapping ‘green’ tags on products is well past its use by date.

'Green' Branding Out, Embedded Sustainability In

Using the colour green for packaging, in communication or the use of ‘green’, ‘eco’ , ‘sustainable’ or a plethora of other loosely defined sustainability terms is to set off on a hiding to nowhere, as leading firms demonstrate that the future lies in embedding sustainability in all aspects of the business and brand rather than as a bolt-on attribute ‘over the top’ of a conventional platform.

This approach requires a highly authentic and transparent offer along with credible, verified information to assist consumers in making an informed choice.

The new wave approach is evidenced by recent campaigns from companies as diverse as IBM, Toyota and Target USA that deliver benefits on multiple dimensions including at a personal, community and planetary level.

This format is gaining traction simply because leading with a ‘green’ message does not resonate with the majority of consumers, and a more holistic approach is required.

This outcome is a direct response to Western consumers’ growing distrust for the environmental claims made by marketers.

In Australia, Mobium’s research clearly supports this position, with over 85% of Australian consumers saying they are “often sceptical of health and environmental claims” made about products.

What’s Coming - Practical, Social & Tribal, Materials Efficiency & Conversation

  • Brands focusing on a balanced approach to personal, community and planetary health and well-being rather than narrower definitions revolving around ‘green’.
  • Brand value propositions considering the practical, social and tribal (see more at BBMG.com)
  • Strong emphasis on materials efficiency and capturing and re-using the ‘waste’ stream.
  • Major investments in recycling and re-capture of inputs by corporates to control commodity costs.
  • New business models emerging based on re-use and re-purposing
  • Increasing emphasis on storytelling and decline of mass communication in favour of PR, online social and engagement platforms that promote dialogue
  • LOHAS specific social networking sites proliferating.
  • De-emphasising’ flat’ content for personalisation of messaging and providing options and customisation through Web 2.0+ helping individuals contextualise the product, brand and business in terms of their own lifestyle and point of interest.

Mobium Exploring Key Trends in Living LOHAS 3 - October 2009 Release

The Forum remains inspirational, engaging and innovative in the quality of its speakers, the general tempo of the event and the networking and collaboration opportunities generated and LOHAS continues to be embraced as a strong platform to understand and address modern consumers.

Mobium will explore the Australian context for a number of the emerging trends (including a number we’ve kept up our sleeves) in the upcoming Living LOHAS 3 rsearch.

The best bit - it is great fun and Mobium learned a lot (again).

LOHAS 14 will be in June 2010 – venue TBC – well worth putting in the diary and considering joining us next year.