Green Marketing

Allhough envinonmental issues have long affected marketing practices, especially in Europe, ihelr relevance has increased in the last decade or so, Mth the weM-pufoHciietl Earth Oay icflvitiies in the United Stales in April the "green marketing" movement mas Dorn. An explosion oi "environmentally friendly" prrxtucls and marketing programs apfieared as limn after lirm fried to capitalize on consumers' perceived increased sensitivity to environ/nental issues.

From a trancing perspective, However, "green marketing" programs have not been entirely successful, for example, in 1994, Philips Electronics tJV branderf ils eco-triendly. energy-saving liutj-rescenl bu bs as "Earthlight." Doe to a lack of sales success, me product was repacked in 2000 as convenient, seven-year life -i,"arathon" bulbs, and sates ifaw steadily at 7 percent annually, faced with stumping sates, Ben & Jerry's dropped its "Rainforest Cruntff flavw of Ice cnoann, introduced on Earlh Day in 19DQ to tout conservation gnd (HJtS trom rainloresl trees, Despite a concerted marketing effort. Green Mountain Energy has found n difficult to sell electricity from eco-lriendiy power päants.

Many other maiketets tried and tailed Willi gtsen sates pitches over die last tJecade. What obstacles tf d ihis movement encounter?

■ Overexposure and lack of credibility. So marry companies made environmental claims mat ihe public became skeptical of their validity, Government investigations into some "g-wr claims (e.g., the readability of trash bags) and media reports o! the spotty environmental track records befiinü others onty ¡incteased cociEiumers' dOiibts. This backlash resulted in m;ny consumers thinking envronmental ctaimswere just marketing gimmicks.

■ Consumer behavior. Hi-search slurries have shown thai consumers as a whole may not be willing to piay g premium for environmental benefils, although ctiU'ii marital segmenis ,,,.i I be. Most consumers appear unwilling to give op the benefits of other aHer-nslives to choose green products. For example. some CtfiSunieis dislike ttie performance, appearance, or texture of reveled paper ant) househokl products. And some consumers are unwitting to give up iftc convenience of disposab'e jirodticts such as diapers.

■ Poor implementation. In jumping on the green marketing bandwagon, many firms did a poor job implementing Iheir marketing program, Products were poorty deigned in terms of environmental v.'orlhiness, overpriced, antf inappropriately promoted SoJtie ads failed to make the connection between what tfie company was doing tor the environment and how it affecied individual consumers,

To get ground these Otislactes gnd make cure environment" in -Natives are implemented, some companies recommend relying on the eltorts of a "Green Champion"—an environmentalist vrfio works internally to make companies greener Jean Palmateer, an environmental engineer, is a "green champion" tor Deftiy Orthopaedics, a division oi Johnson & Johnson. She recommends getting broad goals accomplished by personalising the issue. For instance, when Paime-teer wanted to keep me medical device makers' wastewater tanks e'ean, she told workers lhat belter maintained tanks wotild not just help the earth, but save tinem from 3:00 a.f.!. phone calls v.'hen the tanksfailed to disctiatge. Wovj the tanks ae cleaner scd waters are sleeping belter at nlghl,

There have been Some notable greet: marketing successes through the years. Chevron's highly v.s ble LPe:jp e Do" ad campaign allempted to transform consumers' negative perceptions of oiJ companies and their effect on the environment by describing specific Chevron programs designed to save v;iidife, preserve seashores, and soon.

McDonald's has introduced a miir&er of viethpUfeed environmental initiatives through the years, such as unbleached paper cany-out bags and replacing polystyrene foam sandr.ich cHaiPShellS with paper wraps gnd I ghtwetgh; recycled braes. McDonald's received the EPA WasteWise Partner oi the Year award lor waste reduction efforts that: (1) conserved 3,200 ions ol paper and cardboard by replacing Sandwich COfita ners with singre-layer Uexible sandwich wraps: \2> eliminated l ,100 tons of cardboard materials lhat would have been used for shipping by switching Id light drinV cups; and [3) resulted in spending S355 million oft recycled conteni products,

Sfti'fii.- Jacqutjn Oilman, faen k&teitoQ Cppatuflit/ far MntMttit 2nd ej. iCiacayo- NifCciHimco^y ftiWlsiiing Company, 1595}; Gwtfrt/ Pailer. 'Green' Safe Pitch lai"t Maviito Many WZXSirett journal Man* 6. 2002, p M; Lyim j Cook, "Our Eiedrons Arc Greener." Pubes,

June n. 2003. n. 101: Ksvm Lane Ka;:-:r. Stwtegic emfifWlffltagsmanf. 2nd ea ^Jppir Saddle Rj'jcr. tu-. Prrsoiice Has. SOQ3|: Waggle Ja*soq,'Xgrai-frienffly Ctttyam Changes Come Ircnn Cue "Green Champion? at a lime," astot 0lobe, kfeyS 2tJ0J. p. Gl.

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CHANGING SO I E of governments Government vary in their concern and efforts to promote a (lean environment. For example, the German government is vigorous in its pursuit of environ mental quality, partly because uf the strong green movement In Germany and partly because of (he ecological devastation In the former liast Germany, Many poor nations are doing Utile about pollution, largely became they lack the funds or ihe political will, it is hi tlie richer notions' interest to help the poorer nations control their pollution, but even the ifcher nations today lack the necessary funds.

Technological Environment

Quo of the most drama lie ftinj^e-y shaping people's lives is technology. Technology lias released such wonders as penicillin, open-heart surgery, and the With control pill, it has released such horrors as the hydrogen bomb, nerve gas. and (he suh machine gun. it has also released such mixed hies si tigs as the automobile and video games.

Every new technology is ;i force for "creative destruction." 'liansistors hurt the vacuum-tube industry, xerography hurl the carbon paper business, autos hurt the railroads, and television huri the newspapers. Instead of moving Into the new technologies) many nld industries fought or ignored litem, and tluiir bnsinesses declined. Yet it is the essence Of market capitalism to be dynamic and tolerate the creative destrnetiveness of technology its the price of progress.

l.nokuul Deli, 1 IP Apple, and Microsoft: Accordingm some seers, "smart" mobile phones will eventually eclipse the PC.

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