Gaining a competitive advantage through green packaging : Does green packaging influence consumers' buying behavior for dry food

Abstract

Companies are realizing the power of a good package to create a constant recognition on the market. In today’s highly competitive business environment, attractive, valuable package may be the last chance for the seller to influence the buyer’s purchasing decision. Furthermore, an increasing number of companies see the green trend as a possibility to influence purchasing decision. By addressing environmental concerns, ‘green’ could be seen as one of the value-creating elements. Therefore the main aim of this thesis was to find out if green packaging is a value-creating element and whether it influences the purchasing decision of the buyer. In order to answer the research question, a survey was conducted. Different types of pasta packages were tested by 201 people in the K-group grocery stores in different locations of Helsinki. The survey consisted of 8 sets of pack-ages with a specific testing purpose. Bio packaging did not lead to a high level of interest among respondents. Overall, the bio label by itself has shown to be a weak element to influence consumers’ buying decision in the dry packaged food industry. At the same time other green packaging elements that could be seen as close from bio like carton (environmental friendly) or traditional design (local production), showed a very strong influence on buyer’s decision. Even if overall bio was proven to be weak, it is still not insignificant in the modern market, especially for women and urban people.