Green as the new status symbol: Examining green signaling effects among Gen Z and Millennial consumers

Abstract

PurposeGreen signaling refers to the notion that environmentally friendly purchases signal consumers' prosociality and willingness to pay more, thus enhancing their social status. This study investigated the green signaling effect among Gen Z and Millennial consumers on social media by adopting costly signaling theory.Design/methodology/approachA series of experimental studies were conducted to test the hypotheses. Thus, a 2 (organic vs. nonorganic) × 2 (luxury vs. non-luxury) between-subjects design was used in Study 1 (150 participants) and a 2 (organic vs. nonorganic) × 2 (high vs. low brand authenticity) between-subjects design was employed in Study 2 (148 participants).FindingsThe results of Studies 1 and 2 confirmed the mediating role of perceived status in the relationship between apparel greenness and purchase intention. However, brand label and authenticity did not have a moderating influence. The overall findings confirmed the green signaling effect of organic apparel in the social media marketing context.Originality/valueThis study contributes to the existing literature by suggesting a cultural capital perspective for promoting green products among Gen Z and Millennial consumers. It also encourages marketers to implement green messaging on social media, highlighting the amount of resources and efforts invested in sustainable production.Research limitations/implicationsThis study adopted existing brands to test the hypotheses, using images of female influencers.