Mimetic isomorphism

What a fantastic term. If you read this blog you are going to see it used a lot more during 2008.

This is time of year, for me at least, when I can make a start to read that huge pile of articles/reports/snippets that I have accumulated during the year - feel impelled to keep - but have not had the time to read.

I have made a start and read: “Lessons of the Last Bubble”. This is published (free) on the Strategy+Business site and is by Tim Laseter, David Kirsch, and Brent Goldfarb. It should be mandatory reading for everybody who has a sure fire winning business idea.

The article debunks many of the myths that have grown-up about the dot.com bubble. Perhaps the worst excess of that period was the dose of economic idiocy that gripped great sways of the technology/finance industry. I would say the herd mentality – the authors call it mimetic isomorphism. Why does the social networking application keep coming into my mind?

The other topic addressed in the article is the way that when a theory (scientific or business) becomes accepted as the norm, we spend more time looking for evidence to justify its position rather than trying to reject or refine its substance. The article quotes Karl Popper, the leading scientific philosopher of the 20th century who argued for challenging conventional wisdom: “By criticizing our theories, we can let our theories die in our stead.” Popper also noted that “no matter how many instances of white swans we may have observed, this does not justify the conclusion that all swans are white.” Why do the words environmentalism and globalisation keep coming into my mind?

What the hell has this got to do with the 50-plus? Lots. Our obsession with distilling the complex issue of 50-plus marketing into a set of simple ‘guidelines’ is one example. I will point out a few more ways during 2008. Dick Stroud

The green (ish) 50-plus

Whenever I tell people that older people are more environmentally ‘aware’ (whatever that means) than the young they are surprised. Logically you would think the older you get the less concerned you are about the state of the environment since you are not going to be around to suffer the consequences.

I guess it is the thought of what legacy you are handing over to your children/grandchildren. Having decided that you will be spending most of their inheritance you had better do something about the state of the planet.

Any credible research that has been done in the UK shows older means more environmentally concerned. It is interesting to see that this same picture occurs in the US.

Focalyst (the joint venture between AARP and Kantar) has just issued one of its rare press releases about: "It's good to Be Green: Socially Conscious Shopping Behaviours among Boomers".

According to the survey results, 40-million boomers use their purchasing power to buy environmentally safe brands. Now what the press release doesn’t say is the extent of this green-aware purchasing. My bet is that you have a small (probably very small) core of ultra-greens, who spend their life searching for minimum carbon footprint goods in degradable packaging. For the majority (big majority) it is a light tinge of green that drives a tiny proportion of their purchasing.

Where the UK and the US differ is over the correlation between income and greenism. In the UK, richer means greener - as far as the 50-plus are concerned.In the US it is the opposite. Weird. Dick Stroud

To be green or not to be green

I recently attended a presentation that had a slot about “the environment” and what the assembled audience should be doing in their own businesses.

To be fair to the guy (well it is nearly the weekend) he did make the point that eco-scare was blunting the sensitivities of consumers and will have a detrimental effect on the green lobby but then went on to make a good case for investing in a canoe as talked about the “20 ft rise is sea levels” and the resulting carnage.

A new ICM report has been published to publicise the 100th Ideal Home Show. Titled “Eco Attitudes” the report describes the Brits’ problems with greenery. A part of the report I found interesting.

The older generation, 65 plus, see themselves as the most eco friendly with 15% rating themselves as “Very Environmentally friendly” compared to just 7% of 18-24yrs, 25-34 yrs and 35-44 yrs. Almost half (43%) 18-24 yr olds leave tvs on standby compared to a quarter (26%)of 55-64 yr olds. However, youngsters 18-24yrs, rated themselves as feeling the most guilty when confronted with eco news (13%) compared to just 5% of 45-54yrs, 55-64yrs and 65plus. For 35-44 yr olds lack of money is the most common reason for not being more eco friendly (47%) compared to just 25% of 18-24 yrs.

In the UK, Marketers are responding to a wall of noise coming out of Government and the media with the BBC taking it upon itself to become the country’s beacon of Greenery. Joe public are not daft and can spot a band wagon when they see one trundling along followed by politicians clapping their hands at the new opportunities to increase taxation.

So what do marketers do – apply a good layer of eco-cosmetics. This means making as much noise as possible about your green credentials, maximize the competitive advantage and do it with the minimum of inconvenience to the company as possible.

Consumers (especially of the older variety) can see the need for changing behaviours. What they are beginning to react against is the hectoring and blatant opportunism of Government and the corporate sector. This bad, bad marketing.Dick Stroud

Beware eco-overkill

My chums at Millennium have researched the attitudes of the over-50s towards “green issues”.

Here is an extract of the results.

The over 50s, whilst concerned about the state of the environment, are suspicious of the government’s plans to implement green taxes.

84% believed that the government is capitalising on current concerns to implement further ‘green taxes’.

Fiona Hought, Managing Director, Millennium, said: “Our research clearly shows the diversity of opinion among the over 50s with regards the environment, but also the overriding sense of cynicism with which they approach those attempting to jump on the ‘eco-friendly’ bandwagon.

“People are concerned about the state of the environment and many are prepared to engage in activities which benefit the environment, such as the 95% who recycle regularly”.

So all of you companies falling over themselves to thrust your green credentials into the face of consumers, beware. You might be associated with the same intentions as our beloved Government of “cashing in”. Maybe, just maybe you are? Dick Stroud

What makes an “Age Friendly” city?

A short question with a very long answer, all 82 pages of it. The World Health Organisation has just published a report that defines the factors that result in age friendliness and then evaluates the main cities of the world.

This is an interesting insight into the services and products that will increasingly be required as cities attempt to respond to the changing age demographics.

You can download the report from here. Dick Stroud

The environmentally aware or nationalistic 50-plus?

The over 50s seem to be more environmentally savvy than their younger counterparts, with a greater understanding of seasonality and propensity to “buy British”. These conclusions come from a research study conducted by BMRB.

It looks like 55% of 25-34s are aware of the concept of food miles compared with 72% of over 50s. 49% of 25-34s regularly or always buy food grown in Britain, compared with 66% among the over 50s.

I think this research is possibly drawing false conclusions, although I cannot sure without seeing the research questionnaire. I think the propensity of the 50-plus to “Buy British” has far more to do with supporting British (often English) farmers than concern about food miles and the ozone layer.

It would be interesting to hear from anybody who was involved in this research to know if these motivations were excluded from the results – I bet my boots they were not. Dick Stroud

Green goeth the oldies

Why a toilet paper brand (Velvet) wanted to research the attitudes of Brits towards green issues is beyond me. I guess they had a few quid left in the marketing budget and couldn’t think of anything better to do with it.

It looks like the older you are the more likely you are to have joined the green religion.

Interestingly, if you look at what consumers are actually doing about global warming it is mainly the low inconvenience things like recycling and composting food waste. Not too many people changing their car or holiday arrangements.

What makes the results of this survey so depressing is that 58% of the respondents thought the UK’s recent period of inclement weather resulted from climate change. It just goes to show you how ignorant most consumers are about the science of global warming. Looks like the oldies are as bad as the young. Dick Stroud

Greening The Greys – dreadful report title

I encountered this research a few weeks ago and published a blog item. The slant then was that the over-50s are sceptical of climate change.

The final report is now published and the ‘conclusions’ are finding their way into the mainstream press. In many ways this is report is a microcosm of the whole climate change debate.

A report, with a lot of fancy graphs, is created with the main conclusions based upon a ‘model’ – in this case the Stockholm Environment Institute’s Resources and Energy Analysis Programme.

The headline conclusions are then picked up and reported, in an uncritical way, by the general media. The reason for the lack of objective reporting is that most mainstream journalists are scientifically-challenged (understatement) and also anything to do with climate change is beyond criticism.

A few things concern me about this report.

1. The research didn’t take account of the geographic spread of older people (i.e. far more are based in a rural and suburban than urban areas). This changes their need for car transport. To provide an accurate comparison the researchers should have compared the carbon consumption of rural 30 year olds with the rural 50-plus. Also cities have a higher ambient temperature which reduces the need carbon used in household heating.

2. Older people are more likely to have larger properties, with all of the implications this has on heating and lighting etc.

3. No consideration was given for the way that older people consume carbon on behalf of their children and grandchildren (i.e. kids not leaving home until much later and the amount of time that grandparents spend looking after grandchildren).

4. The report used a measurement of carbon efficiency (kg/£/capita) which is misleading since older people (75+) spend a disproportional amount of their total incomes on heating/lighting. The true comparison is the total amount spent on heating - not as a proportion of total income.

5. The research didn’t appear to take account of the carbon that employers consume on behalf of their employees. Since there are a lot less 50+ in employment than 30 year olds that is an important factor.

6. The attitude to climate change section didn’t compare the results with those of younger people. So how much more sceptical are the oldies than their kids?

The report does contain some interesting stuff and asks some worthwhile questions but it appears a bit thin on academic rigour.

The report’s recommendations are simplistic. These are the generic motherhood statements that could have been written before the research started.

Government should:

• invest in increasing the energy efficiency of the UK housing stock

• invest in high quality public transport systems

• reverse the current trend which is for motoring costs to go down in real terms while public transport costs go up

• introduce German style packaging and packaging waste tax to encourage manufacturers to reduce the amount of packaging they use.

7/10 for presentation. 3/10 for academic rigour and original thinking. Dick Stroud