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Consumers Want Green Benefits, Confused by Details
Consumers are not fully embracing green building because most are not aware of what is required and the costs involved, according to the latest Eco Pulse green marketing consumer survey. The survey is conducted annually by the Shelton Group, a Tennessee advertising agency that focuses on energy and sustainability.
Most consumers seem to think green homes are an all-or-nothing proposition, said Shelton Group CEO Suzanne Shelton, adding that marketers need to make green purchasing decisions easier, simple and less overwhelming for consumers.
From a list of 17 green features, consumers chose an average of 10.4 that they thought were required to make a house green.
Eighty-two percent of the respondents believed that Energy Star®-rated appliances were required, followed by water conserving features (78%), high-efficiency windows and solar powered electric systems (71%).
Shelton said solar power was a big stumbling block to green building because it is one of the most expensive home upgrades and because most consumers mistakenly believe it is required when building green. Consumers are throwing their hands up and saying, “I just can’t do all of this,” Shelton said.
When asked for the primary reason they would purchase green products for their home, 49% of the consumers surveyed said they want to reduce their energy bills. Though 78% believe that green products “sometimes to always” cost more, they are willing to pay a premium for products that will increase their home’s efficiency and lower their monthly bills, the survey said.
The study results echo a survey conducted for NAHB in October 2007 that found that consumers’ primary reason to choose a green home was to achieve greater energy efficiency.
Of the 800 consumers polled in the NAHB survey, 64% said that “reduced energy costs” would be the most important factor in their decision to purchase a new green home or remodel their home green.
“I have seen a change in my clients’ awareness,” said NAHB Green Building Subcommittee Chair Ray Tonjes of Ray Tonjes Builder, Inc. in Austin, Texas. “I’ve always had clients who are pretty conscientious about energy features, but now with national attention on green, there is a heightened awareness.”
A recent survey of builders on the trends and opportunities in residential green building, conducted by McGraw-Hill Construction, found that the number of builders who are “moderately green” has surpassed those with a “low share” of green building.
Of the builders surveyed by McGraw Hill:
- 84% said energy costs and utility rebates are an important trigger in the demand for green homes.
- 40% found it easier to market green building in the down economy.
- 95% said a “very or somewhat important motive” for building green was to create a better quality product that would retain value longer.
- 76% found there was no difference in the approval time of a green home vs. a traditionally built home.
According to the survey, the most requested green features were increased insulation, tankless water heaters, Energy Star-rated appliances and air sealing/tight construction.
The green features builders installed most were air sealing, insulation and water-reduced plumbing.
“Builders aren’t as keyed in as consumers are starting to be,” Tonjes said. The consumer and builders surveys about green building provide “a great deal of knowledge and benefits to builders. In the uncertainty of today’s market, it helps to know how other builders are dealing with the same issues.”
Harvey Bernstein, of McGraw Hill, said that rising energy costs are increasing customers’ willingness to pay a premium for green homes and predicted that “highly green builders” ― those whose homes are 60% green or more ― will see greater sales.
Over the next five years, green building is estimated to double, from $40 billion to $70 billion in sales by 2012.
 The Future of Residential Construction Is Green
The Certified Green Professional (CGP) designation teaches builders, remodelers and other industry professionals techniques for incorporating green building principles into homes using cost-effective and affordable options.
Earning the CGP demonstrates to clients and peers your commitment to the best and latest in green building practices and techniques. More than 500 people have earned the CGPdesignation to date.
For more information, visit www.nahb.org/CGPinfo.
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