Green marketing of apparel: consumers' price sensitivity to environmental marketing claims

Green or environmental marketing claims have increased in recent years because of potentially higher profits for companies. The aim of this study was to identify the environmental marketing claims for which consumers are willing to pay higher prices. The specific claims investigated in this study were: using organic fibers or recycled textile fibers; sustainable manufacturing; companies donating to green organizations; and using fair trade and labor practices. A quantitative survey of college students in the Midwestern US revealed that a company's environmental marketing claims – particularly with regard to manufacturing with organic fibers and donating to green organizations – resulted in decreased consumer price sensitivity. The theory of reasoned action served as the framework for the study. Implications, limitations, and suggestions for further research are presented.