Food for thought on the green tipping point
By Greg Stine
Have you heard a low-level buzz in your neighborhood or office
surrounding “green building”? If you’re like
most people on the West Coast you may have heard the term, but
most likely it’s not affecting your life or your
behavior.
Well, it’s time to start paying attention because
residential green building is about to go mainstream. Even
though healthy and sustainable building practices (such as
using sustainable, more durable and less toxic materials and
incorporating energy-saving devices) have been around for
decades, their popularity has started to really take
off.
This past year, The Wall
Street Journal named green building one of the top 10
trends in architecture and Better Homes & Gardens
described it as “the fastest-ever growing trend in the
home building industry.” Sunset magazine even showcased a
green home for its 2005 Idea Home.
In addition, the National Association of Home Builders adopted
voluntary green building guidelines last year, and major
production home companies, such as Texas-based Centex Homes,
are now building green developments on the West Coast. Johns
Manville sells formaldehyde-free insulation and every major
paint company is now selling paint with no or low levels of
volatile organic compounds. There are also several new
publications devoted exclusively to green building that have
emerged this year.
People who are building green right now tend to be passionate
about it. But green home building is going mainstream for
another important reason — it’s starting to
become profitable.
A clear parallel to green building is the growth of the
organic food industry, which was in a similar place 20 years.
As the owner of a marketing and branding firm, I have clients
in both the organic food and green building sectors. Being
immersed in both industries, it’s clear to me that green
building will enjoy the same success that organic food does
today and the path (and obstacles to overcome) will be very
similar.
Twenty years ago, organic foods were embraced by a relatively
small group of people. Yet by 2003, organic food sales reached
$10.38 billion, up from $3.57 billion in 1997, according to the
Organic Trade Association, which also estimates that organic
sales increase between 17% and 21% each year. Interesting fact:
The nation’s largest retailer of organic produce is now
Wal-Mart.
At first, the industry had trouble within its own circles
defining what made food “organic.” Eventually,
outside certification groups, such as Oregon Tilth, began
certifying food as organic. The adoption of “Certified
Organic” labeling by the U.S. Food and Drug
Administration followed in 2003.
Like the early organic food industry, the graduation from
niche to mainstream for the residential green industry will
come with the development and agreement on standards.
Many groups with green home building interests are working
hard (to some it looks like fighting) for an accepted
definition of green. Developing the Leadership in Energy and
Environmental Design (LEED) standards for commercial buildings
was a big step forward for the industry. Yet adopting a
standard for residential homes and buildings has proven to be
more difficult. Because local and regional climate and
geography have a lot to do with what defines green residential
building, it is likely that standards will come from regional
and local groups. Standards are currently under development,
including a pilot LEED residential program, but it’s
taking time because there are many different rating systems and
it’s still confusing.
Without a clear, simple standard, green home building is too
complicated for the typical consumer. Early adopters may think
that green technology is interesting, but mainstream Americans
just want to feel good about the house they live in. The same
people who place their recycling at the curb, drive a hybrid
car and eat organic food will want (and buy) a green home.
So pay close attention. Once the battle over green standards
is settled, clear guidelines will emerge and the consumer
message will become simpler. And like Wal-Mart embracing
organic food, large successful companies (hint: Home Depot)
will begin making money selling green building to mainstream
America.
