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Green

Marketing

The Why
and the How
fresh ideas.
Dr. Joachim Scholz ; Queen’s School of Business
jscholz@business.queensu.ca joachim-scholz.com joachimscholz n
@
The environmental crisis
poses one of the biggest
threats to humankind.
Marketing is part
of the problem.
MARKETING’S IMPACT
ON THE ENVIRONMENT

✤ Stimulating (over-) consumption


contributes to environmental
degradation
✤ Marketing replaces more
environmental goods to increase
profit margins
✤ Unnecessary packaging
contributes to environmental
degradation
✤ Long supply chains increase
carbon-dioxide footprint of
products
Marketing can be
part of the solution.
MARKETING PHILOSOPHIES

✤ Sustainable marketing concept: Sustainable marketing


is the process of creating, communicating, and
delivering value to customers and companies in such
a way that both natural and human capital are
preserved or enhanced throughout
✤ Environmental sustainability: Ongoing preservation

Bottom Line
of essential ecosystems and their functions

Triple
✤ Social sustainability: Ongoing ability of communities
to provide for the well-fare of their members
✤ Economic sustainability: Ongoing ability of an
economic system to provide for all human needs
Sustainable Marketing

Societal Marketing

Marketing
MARKETING PHILOSOPHIES

✤ Sustainable marketing concept


expands marketing concept by
making the need for sustainability
more explicit
✤ Sustainable marketing is still based on
creating a competitive advantage
through superior performance in the
meeting of consumers’ needs
✤ Social, political and environmental
changes make sustainability a way to
achieve a competitive advantage
SUSTAINABILITY AS A
COMPETITIVE ADVANTAGE
✤ Integrating sustainability into marketing
strategies
✤ allows a company to realize cost savings
✤ reduces a company’s exposure to
regulatory and resource based risks
✤ spurs innovation to stay ahead of
competition
✤ can reduce conflicts with retailers and
business partners
✤ can improve a company’s reputation and
positioning
✤ improves a company’s chances to recruit
talented employees
✤ ➛ Sustainable marketing improves a
company’s chances for long-term survival
WHY “DOING GOOD” BECOMES
MORE IMPORTANT
✤ Changing value systems
✤ young people are “global, socially
conscious consumers”
✤ Look for value instead of price
✤ Consumer empowerment
✤ Social web makes allows
consumers to expose
unethical practices
✤ Mobile technologies allow
consumers to shop
according to their values at
point-of-purchase
GREENWASHING
✤ Making unsubstantiated or partial
sustainability claims
✤ Dawn: helping to save wildlife?
✤ Dawn donates soap to clean
animals after oil spill and gives
money to rescue groups
✤ But contains an antibacterial agent,
called triclosan, that is toxic to
aquatic life
Goodguide
✤ Greenwashing widespread, but on the retreat
✤ 2009: 2% of “green products” without click here
or scan

youtu.be/rlT6kqHFjvU
greenwashing
✤ 2010: 4.5% of “green products” without
greenwashing
SUSTAINABLE
MARKETING
✤ Integrate a sense of mission into the core
of the business
✤ Window-dressing is not rewarded by
consumers
✤ Integrating social and environmental
causes into products leads to long-term
loyalty
✤ Financial gains by companies
that integrated sustainability into Green Walmart
their core businesses (e.g., Hain
Celestial up 40% in 2013 due click here
to rising consumer demand) or scan tiny.cc/greenwalmart

✤ Greening from the top, not only


from the bottom
What is the problem with many green
alternatives to conventional products?
Green marketing must
satisfy consumers’ needs.
we are...
when it comes down to it, we’re here to make products that work, for you and for the planet, ones that are as easy on the
eyes as they are on the nose. it’s a tall order but we wouldn’t want to do anything else.

At method, we’re happy about Cleaning can be a chore. We’re in business to change Most companies treat product Some companies might think
what we do. Sometimes we’re Stinging eyes, burning lungs business. At method, we see design like it ain’t no thang. At that ammonia or bleach is the
even a little giddy. But when it and headaches aren’t just our work as an amazing method, we believe product fragrance of clean. At method,
comes to the effectiveness of unfortunate side effects of a opportunity to redesign how design is a thang. It’s very we’re for flowers. Also fruit.
our products, we’re dead well-kept home. They’re cleaning products are made and much a thang. So when we Maybe an herb here or there.
serious. They work. How could warning signs. That’s your used, and how businesses can were figuring out how to We’ve noticed that some home
we be happy if they didn’t? Our body telling you, “Don’t use integrate sustainability. Our package our products, we products lead to rapid breath-
cleaners use powerful formulas this. This is bad for you.” Our challenge is to make sure that enlisted world-renowned holding and window-opening.
made with naturally derived greenskeeping team rigorously every product we send out into designer Joshua Handy to But no one holds their breath
surfactants that work by assesses every ingredient we the world is a little agent of sculpt some of the finest pieces while slicing a grapefruit. So
dissolving and removing dirt. use, so we can be completely environmental change, using of recyclable plastic art this we’ll stick with that.
Our team of green chefs (aka sure of its safety. That’s why sustainable materials and side of MoMA. Form, meet
formulation chemists + method’s entire product line is manufactured responsibly. Little function. Function, form. You
product designers), ensure that both people- and pet-friendly, green soldiers in the battle of two play nice.
our products are not only specially formulated to put the doing-well-by-doing-good, if
highly innovative, but also hurt on dirt without harming a you will. This is why we make
highly effective. hair on you or your loved ones’ our bottles from 100% recycled
heads. plastic, why we reduce and
offset the carbon emitted by our
business, why we never test on
animals, why we design
innovative products using
natural, renewable ingredients,
and why we’re transparent
about the ingredients we use,
how we make our products, and
what our track record is as a
green business.
Green+

SUSTAINABLE+ MARKETING click here

youtu.be/mzUE59RI8K8
or scan

✤ Don’t sacrifice immediate


satisfaction for long-term benefits
✤ Salutary products: long-term
beneficial, but not successful
because of low immediate appeal
✤ Don’t focus on the “absence of
negatives”, but on “green+design”,
“green+technology” or “better
designed products”
✤ Create desirable products that
combine immediate satisfaction
with long-term benefits
Collaborate
✤ Product: packaged with ocean Greening
recycled plastic click here

youtu.be/08qmB-ysqAQ
or scan
✤ Communication: Focus on
community building and changing
people’s minds (collecting plastic
event, blog, youtube, donation to
collaborating environmental
organizations)
CONCLUSION

✤ Non-sustainable marketing hurts a company’s


relationships with consumers and its long-term survival
✤ Changing value systems and the empowerment of
consumers will continue to increase the importance of
sustainable marketing
✤ Combine short-term satisfaction with long-term
benefits to be successful in marketing environmentally
responsible products
✤ Marketing can be a part of the solution: You can
contribute to sustainable marketing as an empowered
consumer and an enlightened marketer / entrepreneur
chat me ↑

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thank you.
Dr. Joachim Scholz ; Queen’s School of Business
jscholz@business.queensu.ca joachim-scholz.com joachimscholz n
@

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