Natural Marketing Institute, Nielsen Value LOHAS Mart At $209 bn

Lifestyles Of Health And Sustainability, LOHAS, for short, is an incremental part of the green marketing effort. The concept received a boost recently when marketing research giant Nielsen teamed up with the Natural Marketing Institute (NMI) to create an in-depth study of LOHAS.

The two research houses put the LOHAS market size down at $209 billion. This number includes services as well as tangible products. LOHAS are determined by NMI and Nielsen as people who “have a meaningful sense of environmental and social responsibility and incorporates those values into their purchase decisions.”

Apart from participating in the consumer research, last year the NMI collaborated with financial consultants on the launch of what’s known as the LOHAS index. The index comprises the top fifty “most ethical companies” as rated by both consumers and investment analysts.

Surprisingly, Microsoft corporation tops the list. McDonald’s is in the ranking as well. But mind you, the financial analysts involved in constructing the index said that they themselves had been in for a surprise too. They had included consumer opinions in their decisions and found consumers to be way less tolerant of companies’ social behavior than the financial analysts themselves. That’s quite poignant.

It underscores the importance of getting an independent body to verify that what’s being marketed as ethical, actually lives up to the term.

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