Green products: a\ ro cares !

By Marc Richmond

mainstream-it's how far will it go. The numbers for selling green are compelling. According to National Association of Home Builders, more than 46,000 homes were built and certified using local green building program guidelines from 1990 to 2003, while last year the figures exploded, with more than 14,000 new green homes certified. And this does not include the multitude more homes that were constructed using green materials and methods but not certified by an organized green building program.

Homebuyers are more informed than ever about asking for green products and are willing to pay a little more for green products that are sometimes more expensive. They are asking their builders for more energy-efficiency, better indoor air quality, improved durability, and the use of sustainable materials in their homes.

Western builders especially are responding to their buyer's needs. Through local builders associations and green building organizations like Bay Area Build It Green in San Francisco, Ca.; Portland, Or.'s Earth Advantage, or Austin Energy's Green Building Program, home builders are actively encouraged to use green products and methods, including certified wood, energy-efficient doors and windows, healthier and more durable flooring, and no-VOC paints and adhesives.

Residential builders are also increasingly specifying green materials for their jobs, whether it's through a local program or self-certification. In fact, one of the big drivers in the

U.S. Green Building Council's LEED commercial building rating system are certified wood products-25Vo of those projects that earn LEED certification include certified wood. The NAHB is also issuing its own set of voluntary guidelines next year. And, with residential LEED guidelines expected to come on board in 2005 as well, green specs from homebuilders wil I certainly skyrocket.

Savvy retailers and suppliers, meanwhile, are meeting the current demand by carrying certified products. "Our customers have a better knowledge and more demand for green products than in the past-and we've been able to create a market from that interest," said Judi Ettlinger, marketing director of Truitt and White, a probuilder yard in Berkeley, Ca.

Still, there are skeptics, perhaps retailers that carried a green product and watched it linger on shelves for months; stocked a product that didn't perform as promised, or believed they paid more for it.

Here are three myths about problems with selling green:

1. G.""n costs a lot more.

The biggest misconception many retailers have is that green products cost considerably more than traditional products. Though it's hard to compare apples to apples, generally the pricing tends to be the same or a little bit more than non-green products, but it depends on which product you are investigating and what you are valuing. If a product has better performance characteristics and/or customer value. it has a reason to cost more.

Costs also depend on the market. And if you're talking about high-end panel products, there might be an upcharge, which could include the product's quality, or distribution and warehousing costsnot the cost of the green product itself.

Regardless of costs, some builders are willing to pay more. Chuck Miller, an award-winning builder for energy efficiency in Boise, Id., agrees that certain green products, such as an insulation product he uses, might be more expensive in the front-end, but says it is well worth it in the long run. "It tends to be a better product all around-and there's less of a human factor involved in the installation." he said. "It's something I can offer the home buyer that sets me apart from my competition."

2. G.""r, doesn't sell.

If it's gathering dust on a shelf, that's not necessarily because it's a green product. Retailers need to teach their sales staff about the products. "Educating our entire staff has been our first priority and an ongoing process," continued Ettlinger. "It's essential that we regularly inform our staff from the buyers, to the clerks who load the lumber to the sales people." Ettlinger suggests educating all staff company-wide about the costs and benefits of green products. The difference in a sale or new customer could be how your staff represents the product. Are they representing it with a skeptical or a positive attitude? introduce a new green product into our inventory if it performs as well as or better than its traditional counterpart." t J. Lesser

qualit-r.

Historically, green products have had the reputation of sacrificing quality in order to get the environmental edge. Although this is no longer the case, it is entrenched in a lot of buyers' minds. Admittedly, there lvas and will continue to be anecdotal stories about isolated bad experiences with the sales of certain green products, but that is equally the case with non-green products.

The reality is that your customers are often more sophisticated buyers of green than you are of selling green. Many distributors have recognized this by offering their retail customers more sales support, like in-store displays for products that focus on defining green products and their benefits, training materials, and helping the retailer educate the end-user.

Generally, green products were developed to meet and exceed the quality, durability and maintenance requirements builders specify in traditional products. "While we have a strong commilment to bringing in green building materials," Ettlinger added, "we only introduce a new green product into our inventory if it performs as well or better than its traditional counterpart. It's a compelling argument that what we're selling is the same or better than traditional items while meeting the increasing demand of our customers' green criteria."

- Marc Richmond, a former green builder, is Director of Green Programs Jbr What's Wrtrking, a nationalb'-recognisd green building consulting firm. He cttn be contacted at marc@w hatsvtorkiny.com.