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Influencing Consumer
Choice Toward
Sustainable
Consumption


 Kirsi Sormunen
 VP Sustainability, Nokia
Company Confidential
Influencing Consumer
Behavior Towards
Sustainable Consumption

Sustainable Brands 10
June 2010
Kirsi Sormunen, V ice President, Sustainability,
Nokia
9 billion people living well,
within the limits of the
planet??
Sustainability – a mega-size global
challenge




  Population    Energy demand   Temperature




      Water         Food              Ecosystems
The golden age of consumerism…
Global economic – and purchasing –
power is shifting
  Top 10 economies by GDP in 2050
  Source: Goldman Sachs, WBCSD
WBCSD Vision 2050
          “9 B people live well within the limits of the
                             planet”
    • Meeting the development needs of billions of people
    • Satisfying aspirations of the middle class , ~ 3.6 B people in 2030
    • Incorporating the costs of externalities
    • Doubling agricultural output
    • Four-to-tenfold improvement in the use of materials and resources
    • Universal access to low-carbon mobility
    • Managing ecosystems and biodiversity better
    • Halving CO2 emissions from 2005 levels

Company Confidential                                           7
7     © 2008 Nokia   V1-Filename.ppt / YYYY-MM-DD / Initials
Sustainable
consumption

Business as a part of the solution
Green issues increasingly important for
consumers




Source: Eurobarometer 2009
EU consumers pay more for
green products
• European consumers pay a price premium of
  46% on average for Green retail products and
  25% for food and drink items in 2010
• Green premium will continue to decrease
• European Green retail sales will double in 5
  years
• Share of total retail sales to double from 2.5 -
  5%
• European households spend ~EUR369 /year
  on Green products


Source: Keikoo Co/UK, March 2010
Business role in driving sustainable consumption

• Innovation
• Choice editing
• Choice
influencing


Is this less or just
smarter
consumption?

Source: WBCSD
Sustainable
Comsumption Facts
and Trends
Advocating sustainable
consumer choices

Case Nokia
Over 4 billion people in
     the world use a mobile
     phone




13
Multiple devices
in one –
less materials
and CO2



Company Confidential
Dematerialization
                                        Innovation
Nokia Talkman
                                                     Choice editing


                Nokia Cityman



                                Nokia
                                2110
                                            Nokia
                                            6110          Nokia
                                                          8210




   4,8kg          770g           236g        137g           79g
   1984           1987           1994        1997           1999
Convergence
                                    Innovation
                                                 Choice editing




              + MP3, Alarm Clock,
              Calendar, Compass…
What makes a mobile device “green”?
                                    Innovation
                                            Choice editing

• Use of recyclable materials
• Low energy consumption: optimized
  screen brightness and screen savers
• Energy efficient charger
• Packaging: compact size, reusable
  materials, eliminate or minimize use of
  plastics
• Avoiding substances of concern
Smart packaging – saving money and
reducing CO2
                         Choice editing




    Compact size         Chargerless sale
Advocating environmentally
conscious choices
Choice influencing
Making sustainable choices easy for consumers
                                         Choice influencing
Energy labels                           Choice editing


                 Energy        Green Explorer:
                 saving tips   Choices & Content    Navigation
Choice influencing
Eco-tips for consumers


      Save energy - Turn off Bluetooth,
      WLAN etc. when not using them
      Eliminate stand-by energy - Unplug
      your charger when the battery is full
       Use teleconferences instead of
      travelling to a meeting
       Let GPS help you find the shortest
      driving – or walking - route
       Read emails and browse internet
      with your mobile device –Uses only 3
      % of the energy used by a laptop
       Take your mobile phone back for
      recycling to save valuable natural
      resources!
Company Confidential
What about e-waste?
Raising consumer awareness on recycling
                                              Choice influencing
• Research shows that in order to recycle
  used mobile devices people need:
   • Information – only 50 % know about it
   • Making it easy – >80% would return
     their phone

• Nokia makes an effort to collect used
  devices
   • 5,000 recycling points globally
   • Ongoing web campaign and instructions
   • Up to 40 local recycling campaigns per
     year
   • Incentives for consumers in exchange

  *) Nokia research 2008               www.nokia.com/werecycle
Incentives to consumers for responsible
choices                       Choice influencing
Making sustainability a part of all we do
                               Choice influencing
Thank you!
Nokia: Influencing Consumer Choice Toward Sustainable Consumption - Kirsi Sormunen

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Nokia: Influencing Consumer Choice Toward Sustainable Consumption - Kirsi Sormunen

  • 1. Influencing Consumer Choice Toward Sustainable Consumption Kirsi Sormunen VP Sustainability, Nokia Company Confidential
  • 2. Influencing Consumer Behavior Towards Sustainable Consumption Sustainable Brands 10 June 2010 Kirsi Sormunen, V ice President, Sustainability, Nokia
  • 3. 9 billion people living well, within the limits of the planet??
  • 4. Sustainability – a mega-size global challenge Population Energy demand Temperature Water Food Ecosystems
  • 5. The golden age of consumerism…
  • 6. Global economic – and purchasing – power is shifting Top 10 economies by GDP in 2050 Source: Goldman Sachs, WBCSD
  • 7. WBCSD Vision 2050 “9 B people live well within the limits of the planet” • Meeting the development needs of billions of people • Satisfying aspirations of the middle class , ~ 3.6 B people in 2030 • Incorporating the costs of externalities • Doubling agricultural output • Four-to-tenfold improvement in the use of materials and resources • Universal access to low-carbon mobility • Managing ecosystems and biodiversity better • Halving CO2 emissions from 2005 levels Company Confidential 7 7 © 2008 Nokia V1-Filename.ppt / YYYY-MM-DD / Initials
  • 9. Green issues increasingly important for consumers Source: Eurobarometer 2009
  • 10. EU consumers pay more for green products • European consumers pay a price premium of 46% on average for Green retail products and 25% for food and drink items in 2010 • Green premium will continue to decrease • European Green retail sales will double in 5 years • Share of total retail sales to double from 2.5 - 5% • European households spend ~EUR369 /year on Green products Source: Keikoo Co/UK, March 2010
  • 11. Business role in driving sustainable consumption • Innovation • Choice editing • Choice influencing Is this less or just smarter consumption? Source: WBCSD Sustainable Comsumption Facts and Trends
  • 13. Over 4 billion people in the world use a mobile phone 13
  • 14. Multiple devices in one – less materials and CO2 Company Confidential
  • 15. Dematerialization Innovation Nokia Talkman Choice editing Nokia Cityman Nokia 2110 Nokia 6110 Nokia 8210 4,8kg 770g 236g 137g 79g 1984 1987 1994 1997 1999
  • 16. Convergence Innovation Choice editing + MP3, Alarm Clock, Calendar, Compass…
  • 17. What makes a mobile device “green”? Innovation Choice editing • Use of recyclable materials • Low energy consumption: optimized screen brightness and screen savers • Energy efficient charger • Packaging: compact size, reusable materials, eliminate or minimize use of plastics • Avoiding substances of concern
  • 18. Smart packaging – saving money and reducing CO2 Choice editing Compact size Chargerless sale
  • 21. Making sustainable choices easy for consumers Choice influencing Energy labels Choice editing Energy Green Explorer: saving tips Choices & Content Navigation
  • 22. Choice influencing Eco-tips for consumers Save energy - Turn off Bluetooth, WLAN etc. when not using them Eliminate stand-by energy - Unplug your charger when the battery is full  Use teleconferences instead of travelling to a meeting  Let GPS help you find the shortest driving – or walking - route  Read emails and browse internet with your mobile device –Uses only 3 % of the energy used by a laptop  Take your mobile phone back for recycling to save valuable natural resources! Company Confidential
  • 24. Raising consumer awareness on recycling Choice influencing • Research shows that in order to recycle used mobile devices people need: • Information – only 50 % know about it • Making it easy – >80% would return their phone • Nokia makes an effort to collect used devices • 5,000 recycling points globally • Ongoing web campaign and instructions • Up to 40 local recycling campaigns per year • Incentives for consumers in exchange *) Nokia research 2008 www.nokia.com/werecycle
  • 25. Incentives to consumers for responsible choices Choice influencing
  • 26. Making sustainability a part of all we do Choice influencing
  • 27.