Analyzing Consumer Behavior: The Impact of LOHAS and Green Trends

This report explores the impact of LOHAS (Lifestyles of Health and Sustainability) and green trends on consumer buying behavior, particularly in Middle Eastern countries. It discusses how increasing awareness and changing perceptions regarding holistic health, environmental concerns, and sustainable living are driving the demand for green products and services. The report highlights how companies are adapting their marketing strategies to cater to these trends, including modifying product lines, pricing, and promotional activities. It also addresses the limitations and challenges associated with green products, such as higher manufacturing costs. Furthermore, the report provides insights into the growing popularity of eco-friendly products and green buildings in Arab countries, emphasizing the economic and social benefits driving this shift in consumer behavior. The trend is fueled by increased access to social media and global fashion-oriented mindsets, leading to a greater interest in healthy lifestyles and environmental consciousness.

Running head: CONSUMER BEHAVIOR
Consumer Behavior
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Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Conclusion.......................................................................................................................................7
References........................................................................................................................................8
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Introduction
The consumer buying behavior is dependent on various factors. One of the most vital factor
which influences consumer buying behavior is trends observed in market at a given time interval.
One of the most popular trends which are being observed in current market is preference of
customers regarding LOHAS and green products and therefore buying behavior of customers is
affected due to trend of green and LOHAS products. The main reason behind popularity of
LOHAS and green products is increasing awareness among customers and changes in their
perception. The current report focuses on the fact how LOHAS and green trend has affected
consumer buying behavior in the Middle East countries.
Discussion
LOHAS Trends Affecting consumer behavior
LOHAS is short form for Lifestyles of Health and Sustainability. The LOHAS customers are
characterized as people who prefer holistic health, environment, personal growth, global social
justice, conservation and sustainable living. LOHAS customers are mainly responsible for setting
trends which will become vital cultural shifts in future. As stated by Syed and Mishra (2016)
various eminent global brands have taken notice of the situation and they are competing against
each other regarding growing green and accordingly setting up new Corporate Social
Responsibility departments to take advantage of growing trends among customers. The
organizations that follow LOHAS are perceived to be bridge builders in nature because they
remain responsible for setting stage and accordingly creating forums to share and exchange
information regarding LOHAS. As stated by Kim et al. (2013) data and information regarding
LOHAS customers are gaining increasing support and attention from multiple global
organizations as LOHAS have become new segment in market which every organization aims to
serve and utilize. As opined by Mehmet and Gül (2014) LOHAS customers at primary level get
familiar of items such as organic products, green dry cleaning and substitute health therapies and
then attempt and accordingly accept those products becoming loyal customers and later
influencing their near and dear ones to try those products. The LOHAS customers lead way in
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various areas such as personal development, ecological and healthy lifestyle options, sustainable
economics and alternative health care system.
The LOHAS customers remain largely influenced regarding their worry for wellbeing of family
and towards promotion of sustainability in planet. According to Manickam and Sriram (2013) it
is widely observed that emphasis on health, environment and sustainability of LOHAS customers
have affected their buying behaviors particularly in context of eating and consumption habits.
Also LOHAS has influenced interest of customers regarding health dining in restaurants and also
on green indices. There is causal relationship observed in perceived values of LOHAS by
customers, who hold necessary knowledge and experience regarding utilization, faith, fulfilment
and buy back intentions. The proportions of apprehended environmental affability and health
have optimistically impacted faith and fulfilment of LOHAS customers. It is also observed that
trust and satisfaction of customers regarding LOHAS products have positive impact on intentions
of repurchase and is associated in positive manner with satisfaction. As stated by McCarthy, Liu
and Chen (2015) in context of consumer behavior regarding LOHAS it can be also stated that
consumption tendency of LOHAS products play moderated role partially regarding relationship
between satisfactions and repurchase intention of customers for products which are environment
friendly and sustainable in nature. The analysis and study of earlier literatures regarding effect of
LOHAS in context of consumer behavior are mainly demonstrated in health-related purchase
area of customers.
Green Trends affecting consumer buying behavior
A large number of companies are responding to demands of customers regarding greener trends
in multiple ways. According to Chenand Chang (2013) it is observed that large number of
companies have started integrating sustainability criteria throughout their various product lines to
respond to trends of green practices by introducing green products and by improving standards
on product lines to become more environmentally efficient in nature and accordingly attract
customers by communicating about their initiatives and efforts regarding sustainability. As
opined by Donikini (2013) besides demand of customers regarding green products and services,
there are also several other reasons regarding adoption of green practices such as organizations
perceive environmental marketing as suitable opportunity which can be used to achieve
objectives of organization. Even companies perceive that they possess moral obligation to be
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more socially responsible in nature and have constant pressure from government as well as from
environmental activities of competitor firms which forces companies to transform their
environmental marketing practices and aspects related with discarding of waste to modify their
existing behavior and adopt environment friendly greener and sustainable activities.
As stated by Isa, Lim and Chin (2017) trend regarding shifting to greener and sustainable
activities on behalf of customers can be easily observed from various buying activities which
includes demand for products with lower environmental impact, purchase of recycled products,
purchasing locally produced items from local stores, purchasing fairly traded goods, purchasing
products that involve less packaging and avoiding products with aerosol. In order to cope up with
green trends, various organizations are modifying elements of their marketing mix strategy to
attract customers towards greener products and services. The components of modified marketing
mix strategy of greener companies are as follows:
Product- The environmental goals in product planning remain to minimize resource utilisation
and pollution and to facilitate safeguard of rare resources.
Price- As stated by Katrodia, Naude and Soni (2018) price is one of the most vital and significant
component in context of green marketing mix. Majority of customers will only be willing to pay
extra charges if there remains self-assumption regarding added product value which may be in
form of enhanced performance, function, design, taste or visual appeal. The green marketing
practices of companies takes into account all above mentioned factors under consideration while
charging premium prices from customers for their products and also making price affordable.
Place- The selection regarding where and when to make a product available in market creates
important impacts on consumers of the company as very few consumers move out of their way
regarding purchase of green products.
Promotion- As stated by Adnan, Ahmad and Khan (2017) there are three types of green
advertising which companies use in context of green marketing practices namely advertisement
which addresses relationship between product or service and environment, advertisements which
helps in promoting greener lifestyle by highlighting either a product or service and
advertisements which presents corporate image of environmental responsibilities fulfilled by
company.
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Limitations of Green Products
As stated by Uddin and Khan (2016) apart from advantage which is associated with green
marketing from perspectives of companies, there is little disadvantage associated when compared
to other products as costs of manufacturing green products are generally higher than that of
normal products. As opined by Urh (2015) if business organizations want to maintain balance in
their businesses by initiating conservation of environment and also by making products, it is very
important for them to understand their market, green consumption behavior activities and
relationship between lifestyles of customers and green consumer behaviors so that they can
better target segment with more effective marketing. As result of growing awareness regarding
environmental and ecological issues, there are various consumers who are willing to pay more
prices to help in protecting environment.
Influence of LOHAS and green trends on consumer behavior in Arab Countries
In context of Arab countries it can be stated that “going green” is becoming more popular with
each passing day as customers belonging to Arab countries prefer to buy eco products, i.e.
products which are eco-friendly in nature. As stated by Yong et al. (2017) with increasing
concerns among individuals of Arab countries regarding protection and conservation of
environment and dwindling nature of natural resources of the country, consumers of Arab
countries have started to consider their buying behavior which in turn has helped in bringing
remarkable changes in consumer behavior and customers have started paying more attention to
greener products. The green products which have gained much importance in Arab countries are
recycled paper and low pollution items such as electronic vehicles and green buildings. These
products help in satisfying needs of customers and are considered green and environmental
friendly products because they help in minimizing wastage of resources and energy and also
minimize wastes of toxic materials.
It is observed that UAE and Qatar are spearheading green trend and sustainability trend which is
evident from the fact that that both the above mentioned countries have biggest size of green
building in Middle east and north Africa region. There are close to 1200 green buildings in
Middle East and North Africa region which have a Leadership in Energy and Environmental
Design accreditation. Of the 1200 buildings 802 buildings are situated in UAE, 173 in Qatar, 145
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in Saudi Arabia and the rest are located in North African countries. The rise of green buildings in
the Middle Eastern region clearly signifies that LOHAS and green trend have clearly affected
consumer behavior in the consumers belonging to the Middle East.
For instance the buying behavior of the consumers of the Middle East countries has been
affected by LOHAS and green trends as the benefits associated with are not only environmental
but also economic and social in nature. The consumer behavior regarding the choice of green
buildings have increased due to lower operating costs in the form of minimized energy usage,
better water preservation and administration, temperature control and low waste generation.
Considering the strategic location of the Middle East countries where there is a scarcity of water,
increased costs of conventional natural resources such as oil and natural gas and high
temperature, the LOHAS and green trends such as Green building helps in addressing all the
above mentioned issues and enhancing environmental and socio-economic benefits which has
helped in changing consumer buying behavior pattern.
According to market forecasts, population of world is estimated to reach 8.3 billion by 2030 and
therefore demand for food and energy is expected to rise by 50% and demand for fresh water is
expected to rise by 30% and therefore sustainable business is considered as smart business in any
parts of the world and in context of Arab countries it can be stated that sustainable business or
adoption of green business practices is very vital as Arab countries are facing risks of shortage of
adequate natural resources in near future and therefore many firms in these nations have opted
for “go green” initiatives to prevent misuse of natural resources of the region and also to fulfill
demand of green products.
There are various instances of LOHAS and green trend affecting buyer behavior such as
individuals opting for more green residential options such as green building. For instance in
Dubai, five million square foot sustainability city features 500 villas with roof-top solar panels
and car fee areas which inspires 2000 residents to walk or to drive electric vehicles. Due to the
immense demand of the villa, second phase is recently under construction, which will consist of
eco-friendly school and hotel powered totally by solar energy, with city designed to run on
renewable or clean energy after being completed.
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It is observed that LOHAS and green trend is affecting buying behavior of customers in Arab
counties. Due to presence of various LOHAS and green trends, preference and perception of
individuals in Arab countries is getting affected which ultimately affects their buying behavior. It
is mainly observed that customers of various Arab countries have become more interested in
healthy and fit lifestyles not only for themselves but also for environment to which they belong.
As stated by Yadav, Khandelwal, and Tripathi (2017) change in behavior pattern of customers in
Arab countries is mainly due to shift which has been mainly driven by access to social media and
also due to global fashion oriented mind-sets. As economic conditions of Arab countries, are
better than many countries of the world, therefore buying behavior of individuals is partially
influenced due to knowledge and benefits of green and LOHAS products and majority of
customers to satisfy their inner self and play their part in development of society get inclined to
Green products to add value and impact to the rest of society. The individuals belonging to Arab
countries are also influenced by LOHAS and green products to safeguard the natural resources of
their country which ensures their economic growth and survival. It is observed that Arab
countries are mainly dependent on their revenues for oil to flourish their economy and therefore
to ensure growth and development of their future generations, individuals belonging to Arab
countries have opted for LOHAS and green products which encourages proper utilization of
resources and therefore this consciousness has affected buyer behavior of individuals belonging
to Arab countries impacting their consumption for products.
It is also evident that sustainability and green trends are affecting consumer behavior in the
Middle East as sustainability is now a high level priority in regions such as Qatar, Lebanon, and
UAE as they have come up with unique green building rating system in order to integrate socio-
economic, environmental and cultural elements in modern architects. For instance The Global
Sustainability Assessment System of Qatar is billed as the most extensive green building system,
while Pearl Rating System of Abu Dhabi has carved out niche of its own in global green building
sector.
As stated by Belwal and Belwal (2014) in context of Arab countries it can be stated that more
and more individuals are paying increased attention to what they eat and it is mostly observed
that consumers of these countries prefer organic food and locally grown food items. A new fast
growing trend which is being observed in Arab countries is fitness living and lifestyle which
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comprises of strict and healthy diets which has an effect on consumer behavior of individuals
residing in Arabic countries and as a result the people start to purchase healthy products and
mostly high protein and low calorie products. According to Khare (2015) the individuals, who
are influenced by trends of fitter lifestyles, mostly seek for organic products and not for
genetically modified products because it is always considered as more useful than normal
products.
Conclusion
From the above report it is clear and evident that LOHAS and green trends certainly affect
buying behavior of customers due to increased awareness among them for environmental and
sustainability issues. It is also evident that LOHAS and green trend affects buying behavior of
customers due to change in perception and preference regarding products and services they use
in their day to day life and this trend has even influenced consumers in Arab countries similar to
other individuals of world and hence consumption of people in Arab nations is also affected by
LOHAS and green trend due to high level of awareness regarding environmental and
sustainability issues.
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