We already know consumers tend to purchase products that make them feel like they are making a difference in the world. But will a new “women-owned” label on goods have the same increased sales effect as “organically certified” or “locally sourced” labels have enjoyed? We should know more this fall when Walmart starts using the new label on a range of products.
The logo, which is the work of two nonprofit groups and Walmart stores, aims to bring consumer recognition of products provided by women-owned businesses on store shelves,Bloomberg Businessweek reports.
The retail giant will begin using the small, circular symbol – representative of women holding hands – on everything from lingerie to salsa this September.
So how does Walmart determine what products are produced by women-owned companies? It doesn’t, that task is handed off to the Women’s Enterprise National Council and WEConnect International. Businesses that get the same of approval from either organization can use the new logo.
“People are looking for reasons to feel good about the company they’re buying from,” Pamela Prince-Eason, CEO of Women’s Business Enterprise National Council tells Bloomberg Businessweek.
Sexy & Smart, a lingerie brand, and Maggie’s Salsa are two companies that already plan to use the logo, but they won’t be the last, Prince-Eason says.
“I think there’s a very strong business case for having the logo on a product,” she says, citing research from Walmart that found 90% of female shoppers will purchase goods marketed by women-owned businesses.
For its part, Walmart has been trying to amp up its women-owned products for some time. In 2011, the company pledged to buy $20 billion of products from U.S. female-owned businesses over the next five years. That initiative also includes training women to work in factories and retail around the globe.
Coming Soon to Walmart: A New Way to Find Products from Women Entrepreneurs [Bloomberg Businessweek]