Do Star Ratings Matter?

Abstract

Increasing environmental concerns have resulted in consumers indulging in conserving energy by curtailing energy usage rather than switching to energy efficient practices. Energy efficient appliances (EEAs) offer the dual advantages of appliance usage with reduced energy consumption. Research suggests that use of such appliances, in residences is limited. This study was thus undertaken to understand individual resident's awareness towards EEAs and factors influencing their purchase. A qualitative approach consisting of 31 personal interviews were conducted with individuals from socio-economic categories A1, A2 and B1. While awareness of EEAs was present among respondents; benefits of using such appliances were neither widely known nor easily quantifiable. Purchase decisions were ruled by appliance price but did not deter adoption, the availability of appliances in desired aesthetics and family involvement in purchase decision. Higher penetration of such appliances can be ensured if consumers can estimate exact savings in monthly electricity bills due to EEAs at the time of purchase.