Start a Business: Green Business Trends

Although "going green" seems to be the way of the future, the customer's transition to buying green products and services is not moving at record speed. In order to attract new buyers, the most successful green companies are focusing on other benefits that their products can provide to clients.Right now, shoppers are more likely to switch over to green products and services if they offer more benefits, like a cost savings or additional health benefits or greater convenience than the non-green alternatives. Entrepreneurs who want to get into the green industry and launch a company are smart to look at these trends and develop green products and services that offer multiple benefits in order to bring in new buyers.Here are three trends going on in the green industry right now:Saving Customers MoneyCustomers want a good deal. Environmentally conscious people may be interested in saving the environment, but when it comes down to buying, the price may end up being the deciding factor. In order to succeed, green businesses will need to stay competitive in the marketplace. Offering the same value at a higher price generally does not excite shoppers.Even if the initial cost of the green product is higher, it can still compete if it can prove the long-term cost savings versus the cost of the competitor. For instance, compact fluorescent light bulbs may have a higher price tag than standard bulbs, but over their lifetime, they end up costing the consumer less money.A fairly new field that helps consumers save money is green consulting. This is where an environmental consultant performs an energy audit for a homeowner or business to evaluate how the client can save money on his or her utility bills. The whole idea is that the long-term cost savings will far outweigh the upfront consulting investment or cost to switch to low-energy services.Provide Health BenefitsSome green products and services can offer health benefits in addition to being environmentally safe. This can be important to consumers, especially those with health problems associated with harmful chemicals or other environmental toxins.Demonstrate how your business can provide multiple solutions with one product, and shoppers will take notice. A solution to a health problem can be priceless for those who have to endure ailments on a daily basis. On top of that, more parents want non-toxic homes for their children and are looking for products and services do just that.For example, some cleaning franchises use only environmentally friendly cleaners. Generally, their philosophy means non-toxic, chemical-free, all-natural and biodegradable products. This feature can attract clients for health reasons, but also can draw corporations that are trying to demonstrate their green values.Convenience BenefitsWhen it is easier or more convenient to use an environmentally friendly product rather than it's non-green competitor, this alone can be the reason that shoppers will switch to green. For example, Clear Air Lawn Care advertises quiet equipment on their jobs. Another product that offers convenience is the canvas shopping bag. They are easier to carry, more reliable and can haul heavier loads.

Will Green Business Take Off in 2011?

2011 is now underway and both individuals and businesses are refining their plans for the year ahead. There has been a lot of speculation about what will happen in 2011 and a quick Google search shows there are many predictions on key trends in economics, technology and the environment.Although environmental issues have enjoyed a growing awareness over recent years it does not seem that 2011 will be the year when green business gains traction and becomes common business practice. While the general consensus is that green business practices will not take off, the growing momentum of green issues is predicted to continue and the end of 2011 will see a greater global understanding of sustainability. As a result customers will increasingly ask about the environmental impact of a business and its products.Another trend is that customers will be increasingly important in 2011 and businesses will need to develop strategies that talk with their customers rather than at them. How a business defines and seeks out their customers is also likely to change. The greater use of technology is creating opportunities for businesses to reach out to customers beyond their immediate geographical sphere. The rising use of mobile computing and social media (another trend expected to continue in 2011) means customers are now more connected than they have ever been - not only with the business but also with other customers.This year there is also a focus on energy management. With the expectation of oil price increases in 2011, more and more businesses are realising that there are benefits in reducing costs associated with energy consumption. As well as having a positive impact on the bottom line, a focus on energy management to reduce carbon emissions prepares a business for carbon limits likely to be imposed (at least in developed countries) in future.An additional prediction for 2011 is that the gap will widen between businesses who have already started to implement environmental practices and those that have not. This gap may not impact this year but make it more difficult for firms without environmental policies to catch up later.Each business should consider whether these trends will influence how they conduct themselves in 2011. Introducing an energy management program or other green business practices will likely put a business in a more competitive position by the end of the year. Aside from benefits in reduced costs and better market position for the years ahead, 2011 will offer opportunities to engage with customers who have a greater knowledge of sustainability.