Welcome!

News Feed Item

UL Releases Second Annual Global Study: "The Product Mindset" 2012

BANGALORE, November 29, 2012 /PRNewswire/ --

UL Releases Second Annual Global Study: "The Product Mindset" 2012

Findings Reveal a Sharp Decline in Overall Optimism, Ever More Transparent Supply Chains, and a Focus on Quality

UL (Underwriters Laboratories), a world leader in advancing safety, announced today the 2012 findings of its annual global study, The Product Mindset, which examines manufacturer and consumer perceptions about how products are made, sold, bought and consumed. This year's findings, culled from interviews with manufacturers and consumers in the U.S., China, Germany and India, show a steep decline in optimism and increased expectations around quality, safety and the environment. These expectations are driving more complex supply chain dynamics, where traceability and sourcing are the tools manufacturers are leveraging to help deliver reliable, cost effective products that consumers are demanding.

"The volatility in today's world is causing companies and people to look at the products they make and consume with more scrutiny than ever before. We are seeing manufacturers showcase aspects of their supply chain as consumers demand more transparency. Where a product's made, how it's made and what's in it are paramount," said Keith Williams, UL CEO.

The study reveals that product safety remains fundamental, and the environmental orientation of a manufacturer's operations and their product features are growing in importance. Specifically, the study highlights the growing concerns for the origins of manufactured products including where their components and raw materials are sourced.

"It is clear from this year's report that supply chain issues are top-of-mind for global manufacturers, but also in the line of sight of consumers in both developed and emerging economies. The report strongly suggests that these trends will accelerate in the coming years as manufacturers strive to meet consumer demand for increased quality and safety in the things they purchase and use," stated Clyde Kofman, UL Chief Strategy Officer.

Key insights from the study include:

  • Manufacturers are strategically managing increasingly complex supply chains to improve operations and quality, and to reduce costs. As a result, global sourcing is likely to expand to new countries in the coming years.
  • Consumers are becoming increasingly sophisticated about global supply chain issues including  where products and their components are made and whether global manufacturers and their suppliers are providing ethical working environments for employees. Furthermore, manufacturers are noting increased pressure for transparency related to product, component and raw material sourcing.  
  • Manufacturers believe that product safety is increasing in importance to consumers, and delivering it is critical to their business success.
  • Most consumers do not believe manufacturers use the best possible raw materials, ingredients or components in their products.
  • Manufacturers in both developed and emerging nations have a significantly more favourable opinion about the quality of materials sourced from developed markets than those from emerging markets.

Highlighted Findings from UL's 2012 Product Mindset  global report

Manufacturers feel the pressure from an increasingly complex, global supply chain 

  • Sourcing is becoming more global, with 46% of manufacturers increasing their sourcing from other countries over the next five years. Seventy-nine percent of those manufacturers note they will add additional countries to their roster versus replacing existing current sources.
  • Forty-three percent of manufacturers are not highly satisfied with their ability to expand into new markets.
  • Seventy-six percent of manufacturers believe global sourcing is a means to improve product quality; a 19 percent increase from what manufacturers noted last year, reflecting manufacturers' need to enhance competitiveness in a volatile and financially challenged global marketplace.
  • Only 30 percent of consumers strongly believe manufacturers use the best possible ingredients, raw materials or components in their products.
  • Fifty-seven percent of consumers are aware of which country the products they purchase are manufactured in; yet, 62 percent of consumers believe it is more important to know where a product's parts are from than where a product was assembled.
  • Over the next five years, 44 percent of consumers state that knowing where a product is from will become more important.
  • On average 48 percent of consumers feel manufacturers have not taken adequate steps to ensure both they and their suppliers are committed to workplace safety and the ethical and fair treatment of workers.
  • Less than one quarter (24 percent) of Chinese consumers and less than half of Indian consumers (40 percent) say manufacturers have not taken adequate steps to ensure that both they and their suppliers are committed to the ethical/fair treatment of workers and workplace safety compared with 65 percent of U.S. consumers and 64 percent of German consumers.

Quality remains a critical driver

  • Manufacturers rank quality as the number one most important driver of their success today and number one most important future driver.
  • Manufacturers think consumers care most about quality, with 38 percent stating it is the most important issue for consumers.
  • Ninety-one percent of manufacturers believe performance testing is becoming more important.
  • Consumers cite quality as the number one reason to explain why they select the products they buy.
  • Quality also ranks as the first or second most important type of product information for consumers across the food, building materials, high-tech and smart appliance categories.

Consumers are becoming more sophisticated

  • Consumers are able to demonstrate a nuanced understanding of product safety issues, picking online security as their number one high-tech safety concern, while selecting toxic emissions/indoor air pollution as the number one concern for home building materials.
  • Consumers prioritise product safety for products that are in or surrounding their bodies due to the immediate impact to their health or exposure over extended periods of time. Consumers rank product safety as most important to fresh (29 percent) and processed foods (27 percent) and home building materials (23 percent) versus high tech (10 percent) and smart appliances (9 percent). Product safety is also the information consumers most want when considering purchasing food or home building materials, but safety information is not among the top three types of information consumers want for consumer electronics or smart appliances.
  • Sixty-eight percent of manufacturers feel it is very important to clearly show consumers what ingredients/components are included in their products.

To obtain the full study with all key findings, visit:  www.ul.com/productmindset.

Methodology

Global quantitative research was conducted by an independent research firm during spring 2012. For the study, 1,201 consumers and 1,202 manufacturers in China, Germany, India and the United States were interviewed across an array of topics related to safety, performance, innovation and sustainability. Manufacturers were selected from the high technology/consumer electronics, food, smart appliances and building materials sectors and were interviewed by phone.  Consumers were interviewed through an online survey. 

About UL:

UL is a premier global independent safety science company with more than 118 years of history. Employing more than 10,000 professionals with customers in over 100 countries, UL has five distinct business units -- Product Safety, Environment, Life & Health, Knowledge Services, and Verification Services - to meet the expanding needs of our customers and to deliver on our public safety mission.  For more information on UL's family of companies and network of 95 laboratory, testing, and certification facilities, go to www.UL.com.

Primary Media Contact: Carla Slawson, [email protected], 1-847-6641812

Secondary Media Contact: Lavanya Chandra Bose, [email protected], 91-80-4138 4400


More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today that Hitrons Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Hitrons Solutions Inc. is distributor in the North American market for unique products and services of small and medium-size businesses, including cloud services and solutions, SEO marketing platforms, and mobile applications.
In an era of historic innovation fueled by unprecedented access to data and technology, the low cost and risk of entering new markets has leveled the playing field for business. Today, any ambitious innovator can easily introduce a new application or product that can reinvent business models and transform the client experience. In their Day 2 Keynote at 19th Cloud Expo, Mercer Rowe, IBM Vice President of Strategic Alliances, and Raejeanne Skillern, Intel Vice President of Data Center Group and G...
Financial Technology has become a topic of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 20th Cloud Expo at the Javits Center in New York, June 6-8, 2017, will find fresh new content in a new track called FinTech.
@GonzalezCarmen has been ranked the Number One Influencer and @ThingsExpo has been named the Number One Brand in the “M2M 2016: Top 100 Influencers and Brands” by Onalytica. Onalytica analyzed tweets over the last 6 months mentioning the keywords M2M OR “Machine to Machine.” They then identified the top 100 most influential brands and individuals leading the discussion on Twitter.
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet and...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @CloudExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
Information technology (IT) advances are transforming the way we innovate in business, thereby disrupting the old guard and their predictable status-quo. It’s creating global market turbulence. Industries are converging, and new opportunities and threats are emerging, like never before. So, how are savvy chief information officers (CIOs) leading this transition? Back in 2015, the IBM Institute for Business Value conducted a market study that included the findings from over 1,800 CIO interviews ...
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
"We host and fully manage cloud data services, whether we store, the data, move the data, or run analytics on the data," stated Kamal Shannak, Senior Development Manager, Cloud Data Services, IBM, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists discussed how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations might...
Zerto exhibited at SYS-CON's 18th International Cloud Expo®, which took place at the Javits Center in New York City, NY, in June 2016. Zerto is committed to keeping enterprise and cloud IT running 24/7 by providing innovative, simple, reliable and scalable business continuity software solutions. Through the Zerto Cloud Continuity Platform™, organizations can seamlessly move and protect virtualized workloads between public, private and hybrid clouds. The company’s flagship product, Zerto Virtual...
Some people worry that OpenStack is more flash then substance; however, for many customers this could not be farther from the truth. No other technology equalizes the playing field between vendors while giving your internal teams better access than ever to infrastructure when they need it. In his session at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will talk through some real-world OpenStack deployments and look into the ways this can benefit customers of all sizes....