We continue our exploration of the basics of consumer behavior by exploring three perspectives: rational, psychological, and sociological. These must be understood if we are to effectively motivate consumers to purchase and properly use sustainable products and services.

1. Sustainable
Consumer
Behavior –
Part 2
BA 442: SUSTAINABILITY
BEHAVIOR OF CONSUMERS,
FIRMS, AND SOCIETIES

2. Keep yourself clean and bright.
Become invaluable.

3. The Problem with
Marketing:
Socio-Ecological
Problems
Sustainable Consumer
Behavior
Sustainability Marketing Values &
Objectives
Sustainability Marketing Strategies
Sustainability Marketing Mix
Fostering Sustainable Behavior
Goal of BA442:
provide students with
the knowledge to
enhance sustainable
behaviors in firms,
among consumers, and
in society at large.

4. Cultivation/P
rimary
Processing
Roasting and
Packaging
Distribution Consumption
& Disposal
Energy
Air
Water
Soil
Waste
Ecosystems
Health
Equity
SOCIO-ECOLOGICAL IMPACT MATRIX
COFFEE

5. SOCIO-ECOLOGICAL IMPACT MATRIX
COFFEE
Cultivation/P
rimary
Processing
Roasting and
Packaging
Distribution Consumption
& Disposal
Energy
Air
Water
Soil
Waste
Ecosystems
Health
Equity
High Impact Medium ImpactKey:

6. Reveals risks: if unmet may cause you to lose
customers
Identifies opportunities for innovation: if
addressed creatively may enable you to gain
customers and/or increase margins
Collaborative and open process: used in
companies such a matrix would be a tool used by
a cross-disciplinary team
High level, quick assessment: additional,
detailed information and data is needed both on
internal processes and also on consumer
preferences
USING THE MATRIX

7. PREFERENCE/IMPACT MODEL
Customer Preference
Socio-ecologicalimpact
Energy
Health/Accidents
Waste

8. Recognition
of Need or
Want
Information
Search
Post-Use
Evaluation
of
Alternatives
Purchase Use
TOTAL CONSUMPTION PROCESS

9. REVIEW & REFLECT: INSIGHT #1
"You have to be willing to fire
your mother. Successful CEOs
know their allegiance must
always remain with
customers and shareholders,
100 percent of the time."
-Kevin O'Leary

10. REVIEW & REFLECT: INSIGHT #1
“Companies like ours are
demonstrating that sustainable
businesses are better, more
profitable businesses.”
Adam Lowry, co-founder of
chemical-free household products
company Method

11. REVIEW & REFLECT: INSIGHT #1
"You have to be willing to fire your
mother. Successful CEOs know their
allegiance must always remain with
customers and shareholders, 100
percent of the time."
-Kevin O'Leary, co-founder and chairman
of O'Leary Funds and ABC's Shark Tank
“Companies like ours are
demonstrating that sustainable
businesses are better, more profitable
businesses.”
Adam Lowry, co-founder of chemical-free
household products company Method

12. LIMITS OF FOCUS ON THE GREEN
CONSUMER (INSIGHT CH 2; DISC 2)
From a marketing point
of view
From an ecological point
of view

14. Recognition
of Need or
Want
Information
Search
Post-Use
Evaluation
of
Alternatives
Purchase Use
TOTAL CONSUMPTION PROCESS

15. Consumer behavior can be
understand from three perspectives:
Rational
Psychological
Sociological
CONSUMER BEHAVIOR:
PUSHING OUR BUTTONS

16. Perceived Benefits
- Perceived Costs
Perceived Net Benefit
RATIONAL PERSPECTIVE
“We just need to
educate people!”

17. PSYCHOLOGICAL PERSPECTIVE
(AKA “IRRATIONAL”)
“Standard economics assumes that we are
rational, but we are far less rational in our
decision making. Our irrational behaviors are
neither random nor senseless - they are
systematic and predictable. We all make the
same types of mistakes over and over, because of
the basic wiring of our brains.”
Dan Ariely, Predictably Irrational

18. PSYCHOLOGICAL (AKA “IRRATIONAL”):
THE CASE OF FREE LAW SERVICES
$0 > $30
For $30!!!
Are you
kidding
me?
For free?
Absolutely, I
would be
happy to.

19. SOCIOLOGICAL PERSPECTIVE
In a consumer study conducted by the folks at
BrightLocal, they found that 88% of consumers read
online customer reviews to determine if a local business
is good.

20. CONSUMER BEHAVIOR:
PUSHING OUR BUTTONS
Let’s
practice…what
are all things
this shopper
might be
thinking about?

21. CONSUMER BEHAVIOR:
PUSHING OUR BUTTONS

22. CONSUMER BEHAVIOR:
PUSHING OUR BUTTONS
What do I
think is
important?
Does this fit
who I am?
Can I make a
difference?
What do I
believe about
sustainability?
I wonder what
my friends are
using? What
did my mom
use?

23. LET’S PRACTICE….
In pairs: How would you
sell an Amazon Echo?
• Who would most likely use it
and what would they hire an
Amazon Echo to do for
them?
• With that in mind, now
consider how you would use
the three perspectives of
consumer behavior to
promote and sell an Amazon
Echo.
Then check out the following
commercial for the Amazon
Echo Dot and see how many
consumer behavior “buttons”
get pushed.

24. WHAT DID YOU SEE?
COUNTING THE CONSUMER BUTTONS…
I noticed the following
“jobs to be done” and
consumer “buttons”:
• Convenience
• Safety
• Enjoyment/pleasure
• Social norm for busy, urban
30-somethings
• Empowered women
• Upper class
• Supports togetherness
(between the couple)
And no indication whether
“Alexa” is energy efficient, made
with responsibly sourced
materials or designed for
remanufacture after its useful
life as “Alexa” is over.