FOOD AND BEVERAGE CLOSE-UP-8 June 2009-Nielsen and NMI Analysis: Green Consumers Spend More in Warehouse Clubs(C)2008 - CloseUpMedia - newsdesk@closeupmedia.com

The Nielsen Company and the Natural Marketing Institute have unveiled results connecting green consumers attitudes to their

The analysis was presented at Nielsen s Consumer 360 Conference, consumer packaged goods industry educational and networking event, attended by more than 1,000 industry professionals.

Nielsen and NMI s research shows that compared to other consumers, LOHAS (Lifestyles Of Health And Sustainability) consumers are the top spenders in many CPG categories offering a higher development of organic, natural or environmentally-friendly options, such as produce, cereal, soup, eggs, pasta, nuts and light bulbs. Based on further analysis, opportunities for CPG manufacturers and retailers seeking to capture the LOHAS consumer wallet include non-carbonated soft drinks, such as isotonics and sports drinks, baking mixes, and indulgences, such as frozen novelties and syrups.

Sustainability is here to stay, and clearly, our research shows that LOHAS consumers are important consumers for CPG manufacturers and retailers to attract to their brands and stores, said Todd Hale, senior vice president, Consumer & Shopper Insights, The Nielsen Company. CPG companies looking to engage or expand their sustainability efforts need to know what the LOHAS consumer is buying - - and where - - in order to meet the needs of this influential consumer segment.

Nielsen and NMI s analysis also shows differences in store choice between LOHAS and non-green consumers. LOHAS and CONVENTIONAL consumers (a segment of the population driven to environmental sustainability by traditional means such as cost savings) spend more in warehouse clubs than other channels, such as grocery stores, drug stores, or supercenters. For example, LOHAS consumers spend 10 percent more in warehouse clubs given the distribution of sales across all shoppers. NATURALITES (health-motivated consumers) and UNCONCERNED consumers tend to shop in lower cost channels such as supercenters and dollar stores, each segment spending 43 percent more in supercenters than expected.

Knowing where green and non-green consumers are shopping provides retailers with an advantage in capturing these consumers purchases, said Hale. Not only do we see LOHAS consumers spend more in certain shopping channels compared to non-green consumers, but we also see LOHAS consumers spend more than non-green consumers in virtually every department of the store, with the exception of the meat department, perhaps as a reflection of vegetarian lifestyles.

Nielsen and NMI announced an agreement in February to link NMI s LOHAS Consumer Trends Database with Nielsen Consumer Panel Services. The alignment quantifies LOHAS consumers attitudes, psychographics and behavioral patterns into their actual purchase behavior, providing CPG manufacturers and retailers with a better understanding into LOHAS market and the ability to make smarter eco-decisions about product development, positioning, pricing, communication and distribution to meet LOHAS consumers needs, the groups noted in a release.

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