The E=MC² Company is a social business on a mission to change the world for the better. A "social business" is a mission driven enterprise that makes money, while benefiting society. We provide products and services that serve the LOHAS market.


What is LOHAS?

LOHAS is an acronym for Lifestyles of Health and Sustainability. It is a $355 billion market segment in the United States alone (growing about 10%a year) and a $546 billion market worldwide. The term LOHAS was first coined by sociologist Paul Ray and psychologist Sherry Anderson, co-authors of The Cultural Creatives: How 50 Million People are Changing the World (also founders of Gaiam, LOHAS Journal and LOHAS Forum in 1999). Other authors, such as Richard Florida in his book the Rise of the Creative Class calls this group of people the Creative Class, while Ronald Ingelhardt in his book The Silent Revolution calls this group Post Materialists. LOHAS marketers call this group by many other names including: lohasians, conscious consumers, progressive consumers, tree huggers, humanist, responsible consumers, and green consumers, but none want to be labeled as such.

Who are They?

LOHAS consumers tend to make their purchasing decisions in keeping with their values of social and environmental responsibility. LOHAS consumers are those who are passionate about the environment, the planet, social issues, health, about human rights, relationships, fair trade, sustainable practices, peace, spiritual and personal development. The LOHAS numbers show that an enormous consumer market exists for sustainable and healthy products. The marketplace includes goods and services such as:

• Organic and natural food
• Organic and natural personal care products
• Yoga, Tai Chi, massage centers, spas and fitness products
• Hybrid and electric cars
• Green and sustainable building
• Eco-tours, hiking and wilderness trips
• Energy efficient electronics/appliances
• Socially responsible investing
• Natural household products (paper goods and cleaning products)
• Natural and preventive medicine (Naturopathic, Chinese medicine, etc.)
• Fair-trade fashion
• Eco-publications and advertising

The Marketplace

The marketplace includes goods and services (source: lohas.com) such as:

Sustainable Economy (US Market--$76.47 to $150 billion)

• Green and sustainable building and industrial goods
• Renewable energy
• Resource-efficient products
• Socially responsible investing
• Alternative transportation
• Environmental management

Alternative Healthcare (US Market--$30.7 billion)

• Natural and preventive medicine (Naturopathic, Chinese medicine, etc.)
• Health and wellness solutions
• Acupuncture, homeopathy, etc.
• Holistic disease prevention
• Complementary medicine

Healthy Lifestyles (US Market--$30 billion)

• Organic and natural food
• Hybrid and electric cars
• Nutritional products
• Dietary supplements
• Organic and natural personal care products

Personal Development (US Market--$10.63 billion)

• Mind, body and spirit products
• Yoga, fitness, weight loss
• Spiritual products and services

Ecological Lifestyles (US Market--$81.19 billion)

• Energy efficient electronics/appliances
• Ecological home and office products
• Organic products
• Recycled fibre products
• Environmentally friendly appliances
• Eco-tourism and travel
• Natural household products (paper goods and cleaning products)

Demographics

LOHAS consumers cuts across all age and demographic groups, comprising mainly of artists, writers, designers, scientists, doctors, lawyers, engineers, creative professionals, managers, venture capitalists, technicians , solution seekers, and socially conscious consumers.

Indeed, countries around the world are showing interest—Japan, Taiwan, China, Australia, New Zealand, India, Germany, Holland, England, France, Canada, and more—all want to understand and integrate LOHAS principles into their own cultures. LOHAS now represent 23% of the population (about 50 million adults) in the United States, and 29% of the population in Japan (about 37 million). What is astounding is the speed with which the group appeared, moving from less than 4 percent of the U.S. population in the 1960s to more than 23% percent in the 1990s, a new record for such a population trend.


Values

It is truly a transformational lifestyle concept. The holistic world view of the LOHAS consumer is a belief in the interconnectedness of global economies, cultures, environments, and political systems, as well as the interconnectedness of mind, body, and spirit within individuals in order to achieve full human potential. As opposed to a typical demographical group defined by age, income, or other definitive means, the LOHAS consumer cuts across those boundaries and is representative of more "higher-being" ideals. Their social consciousness, rather than their generation or socioeconomic status defines these LOHAS consumers. LOHAS consumer cuts across demographic age boundaries and is representative of more "higher-being" ideals. Theirs is a lifestyle that includes:

• Brand loyalty (perceived benefits to themselves and to society)
• Express themselves, and influence over others
• Price insensitivity
• Creative people need to express themselves, to show their identity
• Hear different kinds of music and try different kinds of food
• Want to meet and socialize with people unlike themselves
•Trade views and spar over issues
• Combine "hip/cool" with "green"
• Quality that is as good as or better than that of typical non-green products
• Consume less and are less materialistic
• Make informed decisions, the ones who read the labels well beyond the ingredient list
• Decision to choose one product over another is based on the overall company ideals
• Environment is at the core of the LOHAS consumers' belief system
• Fair trade, sustainability, shade grown, or ethical practices, coincide with LOHAS consumers' interests, attitudes, and beliefs.

Throughout the United States the major natural foods supermarkets, such as Whole Foods Market and Wild Oats Markets (recently acquired by Whole Foods Market -and many mainstream food supermarkets-are taking a macro view of health, stepping beyond their traditional services to meet consumer demands for a more encompassing approach to health. These stores are incorporating health-food restaurants, health clinics with an emphasis on alternative therapies, natural home centers featuring natural goods such as non paraffin candles and organic fiber products, massage centers and day spas, in-house nutritionists, and even eco-vacation planning.

LOHAS Sector Classification According to the Green Stock Exchange (GREENSX)

The LOHAS numbers show that an enormous consumer market exists for sustainable and healthy products. The Green Stock Exchange (GREENSX) has divided the LOHAS sector into the following sub-sectors below. Please click on each link to view each sub-sector:

1. Green Media (eco-publications and advertising )
   
   
2. Green Technology (hybrid and electric cars; energy efficient electronics/appliances, air purifiers, soy inks for printing presses, soy plastic, waste treatment, recycling)
   
   
3. Cultural Industry (Art & Entertainment)
   
   
4. Fair Trade Fashion and Eco-Fashion (fair-trade fashion, organic and natural fabrics)
   
   
5. Natural Foods & Beverages (organic and natural food/beverages)
   
   
6. Natural Health (vitamin and herbal supplements, natural personal care product manufacturers, yoga products/services, massage centers, spas, fitness products, natural diabetic friendly products, natural and preventive medicine, naturopathic, and Chinese medicines; personal development ...etc.)
   
   
7. Green Energy (wind power, fuel cell, solar power, biofuel)
   
   
8. Socially Responsible Investing (SRI)
   
   
9. Sustainable Products (green and sustainable building; natural household products, sustainable paper goods, cleaning products, gardening)
   
   
10. Carbon Trading
    
    
11. Everything Else Green (eco-tours, hiking and wilderness trips; environmental consulting ...etc.)

Quick Facts

• The two fastest growing countries in terms of LOHAS are Japan and Taiwan.
• LOHAS consumers go by many names including: Lohasians, conscious consumers, cultural creatives, the creative class , progressive consumers, and green consumers
• The grocery industry, has employed terms "whole-health marketing" and "health foods"
• The LOHAS industry has an annual event called The LOHAS Forum
• Other LOHAS industries includes, are environmentally responsible stocks / funds
• 61% of Americans have visited a natural foods store in the past year (source:HealthFocus);
• 12 % of Americans shop at natural foods store at least every two weeks (source:HealthFocus);
• 69% of Americans used complementary or alternative medicine (source:Stanford University);
• When price and quality are equal, 76% would switch brands or retailers if a company were associated with a good cause (source: Paul Ray);
• 80% of LOHAS consumers are willing to pay up to 20% more for LOHAS-related products (source:Joesph Marra, director of marketing at Natural Marketing Institute)
• An additional 30 million adults, or 38 percent of the Nomadics are LOHAS leaning in their beliefs and purchasing habits (source:Joesph Marra, director of marketing at Natural Marketing Institute)
• In Japan, four in ten know LOHAS by name here, compared to four in 100 in the United States
• Cultural creatives values include: brand loyalty, influence over others (opinion leaders) , price insensitivity