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The Green Marketing Revolution Is It Worth?

Abstract
World-wide people are becoming more conscious and concerned about the environment and are
changing their behaviour accordingly. With this changing mind set companies have also introduced
an innovative concept of green marketing that incorporates a broad range of activities, including
product modification, changes to the production process, sustainable packaging, as well as
modifying advertising which focus on offering a product which is environmental friendly. It is
noteworthy to mention that green marketing has become important now a days since everyone in
the society had understood the relevance of making an environment clean and pollution free(thanks
to media in spreading awareness on this issue) and they want to contribute directly or indirectly to
make the environment more clean and green. As a result, there is a rising change in the market for
sustainable and socially responsible products and services. When all else is equal quality, price,
performance and availability environmental benefit will most likely tip the balance in favour of a
product.
This paper attempts to introduce the terms and concepts of green marketing followed by finding out
the reasons of going green and will also focus on some of the problems and complications with
going green.

Key Words: Environmental benefit, socially responsible products, Green marketing

Introduction
Green marketing is concept and terminology which is being used to preserve or protect our
environment. Green marketing offers products and even services which are more environmentally
preferable to other. It is true that now days the concept has attained a significant place in the society
because it touches every human life. In this informative age where information travel in lightning
speed people are now becoming aware with natural environment and surrounding business have
also found an opportunity which they can explore. Some companies have already shown their
concern in this regard. They have modified their behavior to address the new demand. For example
McDonalds they have sensed that public is shifting towards green living which has sent a clear
signal that if they want their business to flourish then they have to more sensitive over
environmental issues. Instead of ravaging the natural habitats of animals the retail giant works in
close collaboration with PETA on systematically reforming its business practices to be more human
and friendly to the environment in which they operates. It is not that every company have shown
their inclination towards green issue just because of attaining market share but some businesses are
even find that practicing green issues will make them more socially responsible and accountable.
For example GE since 2006, the company has sold over 12 billion dollar of its ecomagination
products including solar panels. Dupont is another company that has drawn the ire of green
advocates for many years. They have drastically lowered emission of airborne carcinogen. Dupont
has even appointed green peace head as an adviser to the board and company is successful enough
to reduce the level of harmful gasses during 90 by 63%. Many economies around the globe have
appreciated these efforts because they are trying hard enough to convert their economy into green
economy.

2. Agenda for Discussion


The terminology green marketing seems to be so easy to define but when it comes to defining or
explaining it becomes comprehensive. We become narrow and conservative when it comes in
developing the understanding for the terminology. One of the major drawbacks is that green
marketing area is often under expressed although many researchers tried to give their intellectual
efforts in explaining the concept but still it lacks genuine efforts. Most of the literatures available
are just the improvisation which lacks radical innovation in the field of green marketing. This paper
attempts to introduce the terms and concepts of green marketing followed by finding out the reasons
of going green and will also focus on some of the problems and complications with going green.

3. Lets understand about Green Marketing


Most of the people define green marketing as an effort to market green products to the market or
developing a product which is more environmentally responsible as compared to others. Some
marketers even believe that promoting or advertising of green product is also green marketing but in
true sense it is not always correct. This limits the scope and dimensions of green marketing. But in
true sense the concept is quite wide which cover whole lot of other multi displinary approach. It is a
much broader concept, one that can be applied to consumer goods, industrial goods and even
services. For example, continental airlines has spent over 16 billion dollars in the last decade to
replace its entire fleet of airplanes with more fuel efficient ones, in addition to installing fuel saving
winglets that cut emission 5% on its 737 model aircraft. Another example is of Target a retail outlet
which has announced a plan to launch an eco clothing line at Barneys, New York. Done in
collaboration with eco fashion designer Rogan Gregory, the clothing line is said to have been
created using dynamic fabrics. Thus, green marketing includes a broad range of activities, including
product improvisation modification packaging, labeling, changes to the production process, as well
as modifying advertising. Yet defining green marketing is not a simple job. Marketers, researchers,

academician, strategist and common people have different views for green marketing. Some define
it as environmental marketing or ecological marketing but commonly it is keep the environment
clean and green. This has to be understood by every one of us. While green marketing came into
prominence in the late 1980s and early 1990s, it was first discussed much earlier.
Green Marketing is need of an hour
Green marketing is helpful in developing business opportunities and future growth possibilities.
While modification of business may involve start-up costs, but in future it is a cost savoir. For
example according to CNN Money 10 Green giants Honda has gone above and beyond in its
environmental duties. Going so far as to call Honda the most fuel efficient auto company in
USCNN tell the story how the company has worked hard on hydrogen fuel cell powered FCX.
Honda is taking steps to develop an entire infrastructure for hydrogen and looking forward to day
when hopefully more cars will be powered by that instead of gasoline. Companies that develop
latest and enhanced products and services must keep in mind that an environmental impact not only
gives them an access to new markets, but it also helps substantially increasing profits by creating
uniqueness over non environmentally responsible alternatives.
The Fundamental pillars of (Marketing Mix) Green Marketing
Like conventional marketers, the concept of green marketers depends on the successful
implementation of four Ps in innovative ways.
1. Green Product-Green products can defined as an offering ecological products and services
which must not pollute an environment during their making or use and should also liquidate or
repair the existing environmental damages. It is very important for marketers to explore the
environmental needs of the people and create a product to satisfy their needs. They must also ensure
that the green product or services must have more concern as compared to other which can be used
as competitive advantage.
Products made from recycled goods, such as recycled paper, since price of the virgin paper
pulp is high so recycled paper are being used.
Products that can be recycled or reused glass, steel, copper, aluminum cans, and other metals
are easily recognizable and quite easy to recycle.
Products with environmentally responsible packaging. McDonalds, for example, changed
their packaging from polystyrene clamshells to paper.
Products with green labels, as long as they offer substantiation.
Organic products many consumers are prepared to pay a premium for organic products,
which offer promise of quality. For example Amway products.
Whatever the product or service, it is vital to ensure that products meet or exceed the quality
expectations of customers and is thoroughly tested.
2. Green PricePricing is a critical element of the marketing mix. The pricing of green product is slightly higher as
compared to other non environmental options. But the target groups like people who are actively
dedicated to personal and planetary health are the heaviest purchaser of green product and the early
adopters who influence others heavily. While pricing for green alternatives it is important to
improve the performance, function design; visual appeal & taste so that the proper justification of
higher prices can be done. Environmental benefits are usually an added bonus but will often be the
deciding factor between products of equal value and quality.

3. Green Distribution
Another important factor which decides the success or failure of green marketing is formulation of
distribution channel. How successfully the products and services are available to the society is an
important question.
It has been found that companies which are involved in green marketing opts for traditional channel
of distribution where they have to compete from non environmental options so it is very important
to make sure that the green products are made available on time so that the products are offered as
required by the customers. The location differentiates a company from its competitors. The green
products should be located centrally to make easier availability. It is equally important that retailer
and other members of distribution channel should educate people about the use of green products.
The distribution channel becomes the deciding factor. The market must make sure that products are
placed in wider area so that the products are available for large market segment rather than focusing
to a small green niche market. Marketers must also clearly promote the point of distribution, from
where the products and services can be made available.
Now a days online marketing, or e-marketing, has become a relevant place for distribution which is
considered to be much more environmentally friendly than offline marketing like direct mail or
printed advertising. The good news for small businesses is that it is also much cheaper to use online
marketing. Placing an online banner ad is a low-cost alternative to a print ad and produces no
printed waste or negative impact on the environment.
4. Green Promotion
Green promotion should be more logical and sensible because business with green practices should
have image differentiation since they have to stand out from the competition, it sounds rational that
they make a use of logos and insignias which helps in developing an image that represent green.
This also includes website, advertising materials, signage, packaging and vehicle graphics. Green
marketing companies can use marketing brochures, flyers, business cards printed on recycled paper
which is inexpensive as regular paper. For example Vistprint offers recycled paper followed by free
shipping with 25% off in first order which makes an affordable deal for small businesses. E marketing is rapidly replacing more traditional marketing methods, because it is much more
environmentally friendly than offline marketing like direct mails or printed advertising. It has been
found that placing an online banner is much more cost effective than printed ads. Above all the
growing market of social media has created a platform for green promotion.
The key to successful green marketing is trustworthiness. It is important for an organization not to
make any false statement which is unrealistic regarding environmental claims. It is noteworthy that
every organization should also promote their green credentials and achievements so that every
realistic effort becomes noticeable.
Why Are Firms Using Green Marketing?
When looking through the literature, there are several suggested reasons for firms increased use of
Green Marketing. Four possible reasons cited are:

The market is becoming more attractive which ensures sustained long-term growth along
with profitability.

Although developing infrastructure for green marketing is costly affair but in long run it
sound economical.

It helps companies market their products and services keeping the environment aspects in
mind. It helps in accessing the new markets and enjoying competitive advantage.

Most of the employees also feel proud and responsible to be working for an environmentally
responsible company.

(A) OpportunitiesIt appears that all types of consumers, both individual and industrial are becoming more concerned
and aware about the natural environment.
Marketers have realized that environmentally responsible products and services will definitely
attract more and more people in future. Although level of acceptance is low but still people are
getting aware with the terminology and every one of us is trying to contribute in it. These
environmentally products have more competitive advantage over firms marketing nonenvironmentally options. For example
o McDonald's restaurants napkins, bags are made up of recycled paper.
o Philips has launched super long life bulbs which saves 20 % of energy.
o ITC has been 'Carbon Positive' three years in a row (sequestering/storing twice the amount
of CO2 than the Company emits).
It is true that companies are adopting the concept of going green but in reality it has been found that
some companies have used the stated terminology as an attempt to gain market share. This is termed
as Green washing or "green sheen," which is a form of spin in which green PR or green marketing
is deceptively used to promote the perception that an organization's products, aims or policies are
environmentally friendly.For example Wal-Mart according to Institute for Local Self-Reliance
(ILSR) has accused Wal-Mart of green washing. In recent years, the retail giant has won praise
from everyone for its green efforts. But the ILSR says, Wal-Marts sustainability campaign has
done more to improve the companys image than the environment.
(B) Social ResponsibilityMany big and small firms have understood that they are socially responsible to keep their
environment clean and green therefore they behave in an environmentally responsible fashion. This
translates into firms that believe in achieving organizational goals by becoming environmentally
conscious. This results in environmental issues being integrated into the firm's DNA.
Organizations like DELL have a stated mission to create products with environmental guidelines,
policies and goals by reducing energy consumption, preventing pollution and recycling all
products which heavily promotes the fact that they are environmentally responsible. This
philosophy directly explains that environmental issues are present in overall corporate DNA, rather
than simply being a competitive tool.
(C) Legislative Pressure-To safeguard the interest of the general public the Indian government had
designed a legal framework which restricts the production of environmentally hazardous goods and
even discourages people from using it.
Presently the Indian government is even focusing to develop green economy which will be
successful when an organization and citizen of India acknowledges environmental issues. These
efforts have discouraged the production and use of harmful goods and products for example, the ban
of plastic bags, prohibition of smoking in public areas, making compulsory use of CNG and even
restricting the movement of 15 year old vehicles on the roads of Delhi etc.
(D) Competitive PressureMany companies take up green marketing to maintain their competitive edge. The green marketing
initiatives have developed an opportunity which has attracted many competitors and every
entrepreneur wants to acquire competitive advantage in it. Presently the competition among the
players is so intensive and the market has become so conservative that there is a lesser chance of
getting the market share but with evolution of green marketing the companies are now focusing

their strategies towards the environmental issues which had created an opportunity for an
organization.
Some Problems with Going Green
Many firms are now deviating to environmental marketing but still there are number of obstacle
which restricts the green market. One big challenge is that firms using green marketing must ensure
that their activities are not misleading to the consumers or industry, and it should be in compliance
with regulations or laws dealing with environmental marketing.
One of the major problems in going green is that green products and services are slightly priced
higher as compared to the regular alternatives so it becomes difficult for the green products to
survive. For example organic foods are three times costlier than inorganic foods. Another issue is
that green marketing is always misunderstood as marketing of green product but it is also concerned
with production process, packaging distribution. It is altogether a holistic approach. It is very
crucial to explain the growing dimension of green marketing not only to the prospects but also to
the organization who are striving for green alternatives.
It is difficult for the companies to adopt holistic approach of going green because the issue is still
very premature for holistic acceptance. The companies are always in a fear that they will be
criticized for not adopting the concept on a broader sense. For example pepsico had introduced
green bottle which is 100% made from recyclable plastic bottle which is petroleum free on the other
hand pepsico is always accused of using high chemical content in their soft drink and often accused
for their marketing techniques such as promoting the brand at high school and middle level.

4. Conclusion
In a nutshell:
Green product development is not only related with creating a products that are
environmentally friendly, but it is considered as process of bringing systemic change in
society that includes consumers, producers and the general commercial structure within
which they negotiate. It is important to understand the holistic approach of green marketing
not only by the consumers but even by the producers.

5. Bibliography
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5. Henion, Karl E., and Thomas C. Kinnear. 1976a. Ecological Marketing. Columbus, Ohio:
American Marketing Association.
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American Marketing Association.
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