Understanding and Reaching the LOHAS Consumer

by Jeff Hilton, Integrated Marketing Group, 2003

If the acronym LOHAS does not mean anything to you, it should. Because whether you are aware of it or not, this unique and rapidly expanding group of consumers is already having an impact on your business and most likely the sales of your products and services.

LOHAS stands for Lifestyles of Health & Sustainability, and is the acronym for a psychographically defined group of U.S. consumers also called Cultural Creatives. They were first identified by a social researcher named Paul Ray, who isolated this group as he explored the changing cultural values of America during the 1990’s. Since that time, other research groups have validated their unique attitudes, behaviors and buying power. This group is relevant to you because they number some 50 million Americans, representing 25% of the population and a $230 billion market for goods and services.

Demographically, they are hard to characterize, but they do tend to be female, mid-40’s , above-average household income and well educated. They are very attuned to global issues of peace, fair trade, and a sustainable environment and economy. They dislike materialism and hedonism. They distrust the media. They are attracted to alternative healthcare and natural solutions. They enjoy foreign travel and cultures. They distrust big business and seek to build the power of individuals through spiritual growth and personal development.

In marketing terms, this translates to an important tenet. Cultural Creatives buy with their hearts as well as their heads. It is not enough to convince them……they must also believe in what you are saying and selling. They speak with their checkbooks. They support companies which are making a sincere difference in the world. Not every company will be able to connect with these demanding consumers; but those who do will often have a loyal customer for life.

And they do buy. These are the primary consumers of natural and organic products, eco-travel, holistic and alternative health care, values-based investment services, personal development books and workshops, and anything to do with art or culture.

Cultural creatives have unique media habits. They watch less TV than other Americans. They listen to more radio. They read magazines specific to their values and interests, and don’t spend much time surfing the Internet.

Cultural creatives love food. They like to eat out. They enjoy gourmet and ethnic cooking with friends. They like healthy cuisine, but not if it represents self-denial.

Cultural creatives are technology moderates. They use the Internet as a resource to get information they need, but don’t spend leisure time surfing or chatting. They do use e-mail to communicate with others that share their values.

Cultural creatives are experiential. They drive the “experience” industry. They prefer to purchase experiences rather than things. Those experiences might include weekend workshops, yoga retreats, eco-tourism and spiritual gatherings.

Cultural creatives are not “new age” and they resent that label.

So the question arises, how does a manufacturer sell to this type of consumer? Let me offer seven guidelines to connecting with and influencing this market segment.

Build Relationships. Cultural creatives don’t like to be treated like a walking wallet. They want to see the retailers and manufacturers of the goods and services they use as allies in their cause. They will be loyal, long-term brand advocates if treated correctly.

Avoid Manipulative Marketing. The classic selling techniques don’t work with this consumer. They can detect them a mile away and do their best to avoid them. In the same manner, traditional advertising violates their preferred cognitive style, which is whole process stories rather than pre-manufactured snippets of information.

Appeal to Their Values. Cultural creatives see the world differently than their counterparts. You need to let them know that you are on their side; that you are helping their vision to come true. Any company that talks the values but doesn’t make good on them will be detected and destroyed (well, maybe not). But the point is to be involved in a good cause, and to be remembered as the company that somehow made a difference.

Make Authenticity Your Middle Name. The cultural creatives prefer high integrity to smoke and mirrors. Companies must demonstrate that they are trustworthy and genuine. You must give these customers person-to-person contact whenever possible. Remember that these are the people leading the rebellion against any product that is plastic, fake, faddish or poorly made.

Respect Quality. Cultural creatives are information junkies. They rarely make impulse purchases. They do their homework, and their lifestyle and values are key considerations when making big-ticket purchases. Successful manufacturers will offer products and services that offer real social, cultural, spiritual and psychological depth.

Tell a Story. Cultural creatives want to know how you developed your product, the processes and systems it took to make it, and why their lives will be better for buying it. You can even tell them what happens when they’re done with it. These consumers don’t respond to slick marketing. They will respond to real life experiences told well.

Make the Business Transparent. Cultural creatives want to know who you are and what makes your company tick. They want to see the true personality of your organization. Don’t be afraid to open up. Make your sourcing and manufacturing practices accessible to them. Let your employees tell what it’s like to work for your company. Establish credibility by letting the consumer look in.

Case History
We recently developed an integrated marketing campaign for Maggie’s Organic Clothing. Maggie’s Organics boasts a number of initiatives directed at protecting the environment and promoting a socially responsible workplace. Shown here is a consumer print ad which bears the headline “Change your underwear. Change the world,” and talks about the company’s unique philosophy.

The LOHAS market is vital and growing and is worth understanding and considering if you haven’t already done so. Hopefully, these ideas will help get you on the road to improved and more persuasive communication with this unique market segment. It may require some re-inventing of your habitual marketing approaches, but that may also translate into both increased sales and market share.