What is LOHAS?

What is LOHAS
LOHAS is an acronym that stands for Lifestyles of Health and Sustainability, a market segment focused on health, fitness, the environment, personal development, sustainable living, and social responsibility.

LOHAS companies practice "responsible capitalism" by providing goods and services using environmentally friendly and economically sustainable business practices. LOHAS business owners and industry leaders from around the world meet each year at the LOHAS Conference to discuss industry trends, share ideas and learn how to run a successful LOHAS business.

Are You a LOHAS Consumer?
LOHAS consumers, sometimes referred to as Lohasians or Cultural Creatives, are interested in products covering a range of market sectors and sub-sectors, including: Green building supplies, socially responsible investing and "green stocks", alternative healthcare, organic clothing and food, personal development media, yoga and other fitness products, eco-tourism and more. A good example of a "LOHAS company" is Gaiam, Inc. In-fact, the CEO of Gaiam actually coined the term LOHAS and started the non-profit LOHAS Journal.

A totally LOHASIAN day might look like this: wake up, practice meditation or yoga, pick up a cup of fair trade coffee on the way to work and listen to NPR or podcast while driving a Prius or riding public transportation. While at work they check out their latest blog discussions and political or scientific headlines while also throwing themselves into their work, which is usually inline with their personal values. After work they go to a market like Whole Foods to buy organic food for dinner and contribute some time to community service or charity. When they are socializing with family and friends they teach them the latest news they have learned regarding environmentalism and health issues. They are always trying out new products and techniques for their own and worldly benefits and are seeking out conversations beyond the conventional wisdom of today. Of course, not all LOHAS consumers can be stereotyped as such, but at least some of these daily activities will sound familiar to all Lohasians. Do any of these sound familiar to you? If so, you may be a LOHAS consumer.

A research group called the Natural Marketing Institute has conducted annual national surveys for the last five years that have provided structure and tangible evidence that the LOHAS consumer is a large demographic, and very distinct from other consumers. In their 2006 survey, LOHAS consumers are approximately 17% of the U.S. population. That is about 36 million people and a lot of fair trade coffee drinkers!

According to the Natural Marketing Institute's classification breakdowns, the US population is broken up into 5 segments in terms of their affinity toward LOHAS ideals:

LOHAS 17% - Dedicated to personal and planetary health. Not only do they make environmentally friendly purchases, they also take action - they buy green products, support advocacy programs, and are active stewards of the environment.

Naturalites 21% - Focused on natural and organic consumer packaged goods. They are not politically committed to the environmental movement, nor are they driven to green and eco-friendly durable goods.

Drifters 19% - Have good intentions, but when it comes to behavior, other factors influence their decision more than the environment. Somewhat price sensitive (and trendy), they are full of reasons why they do not make environmentally friendly choices.

Conventionals 20% - A very practical segment that does not have "green attitudes", but they do have some "municipal" environmental behaviors such as recycling and energy conservation.

Unconcerned 21% - The environment and society are not priorities to this segment. They are not concerned, and show no environmentally-responsible behavior.

Even though the LOHAS consumer segment may be one of the smallest in size, it is the most powerful and leading sector. Within the LOHAS sector 9% are considered LOHAS leaders and are the early adopters of green and healthy lifestyles. LOHAS leaders are always looking for new and innovative products and techniques to improve their worldly and holistic viewpoint. The remaining 8% are considered LOHAS followers and their behavior is more moderate compared to Leaders but still considered to have cutting edge value driven spending habits. In Japan and Taiwan, LOHAS consumerism is growing so quickly that it may soon eclipse the other segments noted above.

The most recent segment identified are Naturalites who are more into personal health related motives than environmental issues when making purchase decisions. Previously this group was identified as being within the LOHAS sector but thanks to some more specific questionnaires Naturalites have now been identified as their own group. So if you are more into concerns about low cholesterol and pesticide free food than environmental packaging or genetically modified foods, you may fall into the Naturalite category.

More than anything, what separates LOHAS types from non-LOHAS types is an abiding interest in integrating their values across major areas of their lives. LOHAS consumers don't just care about what they put into their bodies, they also care about what they put their bodies into.

So where do you fit? Are you a LOHAS consumer? A Naturalite? A Drifter? And what makes you believe that you are as such? Comments are welcome.