Sustainable Marketing - Meeting Professionals International

advertisement
Sustainable Marketing Page 1
AWARDED BEST PAPER
RESEARCH TRACK, MPI/WEC 2012
Sustainable Event Marketing in the MICE Industry: A Theoretical
Framework
Susan M. Tinnish, PhD
Sapna Mehta Mangal
Abstract
A new era is dawning for organizations focusing on sustainability. Changes in views about
resource management, shifting consumer demands and a longer-term focus on corporate social
responsibility (CSR) is encouraging organizations to consider sustainability in all aspects of
organizational life. Meetings and events are not immune from this trend. While marketing is
about encouraging consumption, this discipline is not untouched by the focus on sustainability.
Marketing serves as a bridge between an organization and its stakeholders. Marketing needs to
be concerned about the resources it uses to satisfy consumer needs and wants and also be
concerned about the effects of this consumption on human life and biosphere (Sheth &
Parvatiyar, 1995, p. 6). Events are a strategic communication tool available to deliver key
messages to different stakeholders. Events utilize branding, theming and messaging to
communicate their messages. Planners use vehicles like signage, banners, promotional items,
invitations and registration, handouts, exhibits and nametags/lanyards. Inherent in all events,
therefore, are marketing elements which help drive branding, theming and messaging.
This conceptual paper serves as an introduction to the topic of sustainable marketing to help
planners react to the challenges of sustainability. Adapting a model used for marketing in the
forestry industry (Kärnä Hansen and Juslin, 2003), the authors create a framework in which
planners can build an integrated sustainable marketing plan. Moreover to fill a void in the
literature and practitioner-focused resources, this paper focuses on the holistic view of
sustainability with a specific emphasis on marketing and communication practices.
Keywords: corporate social responsibility, sustainable marketing, meetings, events,
environmental marketing
Sustainable Marketing Page 2
Introduction
This conceptual paper seeks to create new pathways between sustainability; marketing and the
meetings, incentives, convention and exhibition (MICE) industry. In this paper, the authors
explore how planners in the MICE industry can create events that are more sustainable. For
simplicity sake, all meetings, incentives, conventions and exhibitions will be referred to as
events. We seek to give planners a model for integrating environmental and social responsibility
into traditional event planning. The use of “sustainability” as another lens (outside of economic
considerations) can create a different product (the event) as well as impact the process (event
planning). Sustainable marketing also has the opportunity to influence participants’ behavior.
With marketing serving to encourage consumption, it is not surprising that marketing can be seen
as less than sustainable. Likewise, many events include large-scale production elements,
entertainment, and “shows” creating a similar impression about the lack of sustainability. And
while neither activity will ever be completely sustainable, we regard changing views about
resource management, shifting consumer demands and a longer-term focus on corporate social
responsibility as a new opportunity for planners to apply the concept of sustainable marketing to
events.
Today, sustainability is often defined based on the definition of sustainable development put
forth by the World Commission on Economic Development (WCED) in its report, Our Common
Future, in 1987. According to the WCED, sustainable development is defined as development
that meets the needs of the present without compromising the ability of future generations to
meet their own needs (WCED, 1987). The commission further asserted that sustainable
development required the simultaneous adoption of environmental, economic, and equity
principles. Currently, the definition is commonly referred to as the Brundtland Commission
definition as the WCED was later named the Brundtland Commission. Thus sustainability is
defined as a balanced focus on economic, social (sociocultural), and environmental issues – the
three pillars. The authors differentiate between environmental sustainability (“greening”) and the
holistic approach to sustainability
Sustainable Marketing Page 3
Current trends indicate a strong interest in sustainable meetings by planners. The "2009 State of
the Sustainable Meeting Industry" report, from Meeting Strategies Worldwide, finds that about
half of all professional planners – 51% of independent planners, 47% of corporate planners, and
44% percent of association and government planners – are going green, and corporate belttightening is contributing to the trend (Meet Green). The 2010 study by the American Society of
Association Executives (ASAE) noted that 69% of members had eco-friendly practices in place
at their meetings and another 11% planned to do so in the next year. This is a twenty percent
increase from the 2007 results (Kornegay, 2011).
While marketing and events may be seen as the antithesis of the concept of sustainability, we
propose to show a pathway for planners to use marketing to achieve a more sustainable product,
process and impact on the participants attending the event.
Literature Review
We examine two threads of literature in our review: marketing definitions and marketing
management, planning and strategy. These two areas provide the conceptual basis upon which
we can build a conceptual model for planners involved in events and marketing.
Marketing: Definitions
The MICE industry’s “greening” and environmental focus towards sustainable marketing cannot
be justified without comprehending the entire realm of marketing theories that surround and
influence the building block of sustainability. The idea of sustainable marketing travels under
various names with numerous nuances depending on the focus on environmental sustainability or
a more holistic (three-pillars) approach to sustainability. Various scholars have developed
concepts: (1) social marketing, (2) societal marketing, (3) green marketing (Peattie, 1992 as
cited in Fuller, 1999, p. 3; Ottman, 1993 as cited in Fuller, 1999, p. 3), (4) ecological marketing
(Fisk, 1974; Hennison and Kinnear, 1976), (5) sustainable marketing, (6) greener marketing
(Charter, 1992), and (7) environmental marketing (Coddinton, 1993 as cited in Fuller, 1999, p.
3). Due to overlaps in definitions and subtle nuances, the literature review presented here will
provide a background of five marketing terms, their origins and how they impact sustainability.
Sustainable Marketing Page 4
These include social marketing, societal marketing, green marketing, ecological marketing, and
sustainable marketing.
Social Marketing
Companies need to pay closer attention to their social marketing and embed this marketing form
to reach their sustainable goals in the twenty-first century. The term social marketing was coined
in the early 1970’s, and its overtones can be seen in the present day. Social marketing is the
driver needed to persuade and improve the quality of life for citizens. As put forth by Kotler and
Roberto (1989) social marketing can be classified as a social change management which offers a
framework with which to change unhealthful or unsocial behavior of others. It is a form of
marketing tactics for the good of citizens.
Societal Marketing
Social marketing was criticized by early marketing pundits and the tendency for companies to
confuse it with societal marketing. The extension to the societal marketing looked at going
beyond just the role of advertising and mass media to convey the social marketing message.
According to Schwartz (1971 ) the societal marketing concept encourages firms to “market
goods and services that will satisfy consumers under circumstances that are fair to consumers
and that enable them to make intelligent purchase decisions, and counsels firms to avoid
marketing practices which have dubious consequences for society.” To date, most programs that
foster sustainable behavior have been information intensive. In these campaigns, media
advertising and the distribution of printed materials are used to foster behavior change. In short,
societal marketing is concerned with ensuring that commercial marketers go about their business
properly, without prejudicing either their customers or society as a whole. (Baker, 2003).
Green Marketing
The efforts to meet demands presented by the growing population in the twenty-first century
posed a challenging front for marketers. At the start of the twenty-first century, the consequences
faced by the world as a result of the aggressive pursuit of economic growth are crystal clear. The
world is faced with a significant imbalance, rising levels of greenhouse gasses in the atmosphere,
a hole in the ozone layer caused by CFC releases, widespread destruction of the rain forests, and
Sustainable Marketing Page 5
a growing list of endangered species and ecosystems are just a few of the indicators (Belz and
Peattie, 2009; Baker, 2003). During the 1980’s the environmental mindset increased and a “green
buyer” mentality grew in parts of Europe and North America. As a result green marketing or
environmental marketing products were produced, targeted to green customers that had the
ability and desire to spend more on products that were more ecological friendly (Belz and
Peattie, 2009). Baker (2003) defines green marketing as “the holistic management process
responsible for identifying, anticipating and satisfying the needs of customers and society, in a
profitable and sustainable way.” The two challenges faced by green marketing need to be
underscored. Ecological and social issues have become major macro influences on companies
and the markets within which they operate in the short term. In the longer term, as companies
continue to embark on their sustainability journey, companies need to make fundamental
changes where management paradigm shifts are necessary, this underpins marketing and the
other business functions (Shrivastava, 1994). The stark difference between societal and green
marketing is that the former is aimed at elevating particular society concerns and the latter is
taking a global concern prospective. Green marketing may be simple and easy to comprehend;
however, the challenges arise when it is put into action. Marketers’ interest in eco-performance
may reflect external drivers of legislation, customer demand and public opinion, or internal
drivers relating to top management commitment, corporate strategy or the pursuit of competitive
advantage (Bannerjee, 1999).
Ecological Marketing
The environmental concern of the 1970s led to the green marketing wave which in turn spawned
the ecological marketing concept (Hennison & Kinnear, 1976). The focus of ecological
marketing stems from acknowledging a looming ecological calamity and the willingness for
marketers to assume responsibility to avoid this fate. Ecological marketing is largely concerned
with those industries with the most severe environmental impacts, and with developing new
technologies to alleviate particular environmental problems. In both the ecological and societal
marketing concepts, the emphasis on socio-environmental issues for marketers has mostly been
framed in terms of costs and constraints (Baker, 2003).
Sustainable Marketing Page 6
Sustainable Marketing
Fuller (1999, p. 4) defines sustainable marketing as:
The process of planning, implementing, and controlling the development, pricing,
promotion, and distribution of products in a manner that satisfies the following
three criteria: (1) customer needs are met, (2) organizational goals are attained,
and (3) the process is compatible with ecosystems.
Sustainable marketing is considered a macro marketing notion whereby the notion of sustainable
development is embraced (Belz & Peattie, 2009). It is where ecological, social and economic
issues unite. In summary, sustainable marketing is considered a holistic marketing that is
ecological driven, viable, ethical and relationship based. It is a long-term approach to marketing
that is considered “improved” marketing that draws from these viewpoints and is intended to
endure (Belz & Peattie, 2009). Like Andersone and Gaile-Sarkane (2010, p. 199), we adopt the
perspective that sustainable marketing is a contemporary umbrella marketing term than
encompasses cause-related marketing, social marketing, corporate social responsibility and green
marketing.
Marketing Management, Planning and Strategy
Marketing strategy can be defined as the total sum of the integration of segmentation, targeting,
differentiation, and positioning strategies designed to create, communicate, and deliver an offer
to a target market (El-Ansary, 2006) with an interplay of three forces “the strategic three Cs” the
customer, the competition, and the corporation” (Emery, 2000). El-Ansary presents taxonomy of
marketing strategy concepts and integrative frameworks that differentiate and integrate
marketing formulation from marketing implementation processes. He notes that marketing
strategy as a sub-discipline of marketing is not well documented (El-Ansary, 2006). He notes
that marketing strategies are segmentation, targeting, differentiation, and positioning. Marketing
management is a program designed for marketing strategy implementation. This distinction is
important as we examine how to design and implement a marketing strategy into an event in a
way that incorporates the strategic, structural, and management/operations antecedents to
creating customer value.
Sustainable Marketing Page 7
Various scholars have addressed the view of marketing planning (Pujari & Wright, 1996;
Banerjee, 1999; Wehrmeyer, 1999; Arnold & Quelch, 1998). Ultimately, marketing is vital to an
enterprises’ strategic management. A failure in marketing can block an organization from
achieving its goals. Marketing strategy is considered one vital link to overall efficiency as well
executed marketing plans increase customer loyalty and decrease customer defections (Hill &
Jones, 2010).
The execution of events requires planning; likewise the execution of marketing requires
planning. In the literature, we discovered a theoretical framework which offered an interesting
foundation upon which to analyze and build a framework for sustainable marketing for events.
Kärnä, Hansen and Juslin (2003) conducted an empirical study to measure, describe, and
compare how social responsibility is emphasized in the values of members of the forestry wood
value chain in four European countries. They utilized a framework based on Juslin’s (1992,
1994 as cited in Kärnä, et al., 2003) integrated model of marketing planning which also
incorporates concepts mentioned Ansoff (1965, as cited in Kärnä, et al.,2003) and Shirley, Peters
and El-Ansary (1981, as cited in Kärnä, et al.,2003 ). In their framework, environmental
marketing is integrated into marketing decisions on three hierarchical levels: marketing
strategies, structures and functions. Environmental marketing planning is also based on business
values emphasizing social and environmental responsibility. Their framework is shown in Figure
1.
They note that the implementation of strategies is not possible without structures which account
for environmental issues. Marketing structures and functions should carry out and support the
environmental marketing strategies. Without a strong connection and interrelationship among
strategies, structures and functions, an organization can make unfounded claims about their
performance leading to greenwashing1.
1
Terrachoice describes greenwashing as the act of misleading consumers regarding the environmental practices of
a company or the environmental benefits of a product or service. (The Seven Sins of Greenwashing,
http://sinsofgreenwashing.org)
Sustainable Marketing Page 8
Figure 1
Theoretical framework (Kärnä, et al., Figure 2., 2003)
Intersection of Marketing within Events
With marketing serving to encourage consumption and many events encouraging consumption, it
is not surprising that both can been seen as less than sustainable. And while neither activity will
ever be completely sustainable, most organizations accept the need to be more socially and
environmentally responsible by creating a new opportunity to apply the concept of sustainable
marketing to events.
In the traditional framework of event marketing2, the discipline focuses on promoting
consumption through market segmentation, targeting , differentiation and positioning using the
four Ps of product, pricing, promotion and place. In the context of events, marketing may include
some or most of these elements – in the case of public sporting events, public trade shows (e.g.,
the garden show), association events, franchise events, etc. as these organizations use marketing
to entice participants to “consume” the product by attending. However, in other cases, like
corporate events, segmentation, targeting and differentiation are less important as the audience
2
We use the term event marketing to distinguish it from traditional, pure marketing.
Sustainable Marketing Page 9
is a captive; the participants do not have a choice about attending. Due to their position in the
company, the participants have been segmented and targeted to attend.
Despite the differences between product marketing and marketing an event, marketing remains a
critical component of an event. Even at events where marketing is not about purchasing the
“right to attend,” marketing is certainly about “consuming” the main messages of the event.
Thus, planners are focused on correctly marketing using placement or distribution through
typical event messaging channels including signage, name badges, graphics, PowerPoint
presentations, handouts, materials, save-the-date promotions, invitations, promotional products,
banners, newsletters, daily trade show papers, etc.
Rationale for a Focus on Sustainable Marketing within Events
In the United States, the natural environment did not have a significant impact on marketing
practices until the 1970s, due to limited regulation and ambivalence or lack of focus with respect
to environmentalism or Corporate Social Responsibility (CSR) (Menon & Menon, 1997, p. 52).
Sustainability has become a critical part of most organizations today (Epstein, Buhovac and
Yuthas, 2010). According to Ludema, Laszlo and Lynch (2012), sustainable value creation is
becoming a key driver of competitive advantage for organizations. They suggest that
organizational leaders are shifting their perspective on sustainability from seeing it as an
obligation to seeing it as an opportunity.
Sustainability is and can be embedded in a variety of functions in any organization from supply
chain to product development. In addition, we would argue that events have an important role to
play. Sustainability and “green” events are increasingly relevant. The topic is popular in trade
publications (e.g., Meetingsnet.com. Green Meetings page, n.d.; CVENT’s Green Meetings
Made Easy page, n.d.) and the MICE industry now has various standards such as ISO 20121 and
APEX/ASTM to guide planners in the execution of more sustainable events.
We would argue that communications is particularly critical. Events are about communication
and how that “message” is delivered is a marketing decision. Events use a variety of tools (signs,
brochures, name badges, presentations with logos, etc.) to carry forth their messages which are
Sustainable Marketing Page 10
directly related to marketing. Events are ubiquitous affecting organizations of all shapes and
sizes. “Historically, face-to-face meetings have played an important role in the social, and
especially the political life, of Western and non-Western societies” (Schwartzman, 1989 as cited
in Arvey, n.d.). We consider events as the organizational “grease” that allows business to be
transacted.
While planners can start in a variety of areas for increasing the sustainable aspects of their
events, we would argue that marketing is an ideal starting place. We advance this perspective for
six reasons:
1. First, marketing allows a holistic perspective on sustainability, not a more narrow focus
on “green” or eco-friendly activities.
2. Events occur in situ3. The in situ nature of events requires cooperation between planners,
suppliers and other event stakeholders - before, during and after the event. Desirable
goals, such as lowering greenhouse gas emissions, reducing waste, and increasing energy
and water efficiency can only be met if high levels of participation from key stakeholders
occur. Thus education must occur throughout the event planning process if higher levels
of sustainability are sought. This same level of communication and persuasion is required
in sustainable tourism (Weaver, 2008, p. 185).
3. Events possess unique capabilities to create awareness, educate and model behavior.
Sustainable marketing offers the opportunity to help drive change. When overlaid with
sustainable marketing, events hold special communication capabilities. Marketing in
events is centered on a process of managing relationships with people. Marketing at an
event has similar possibilities as that of social marketing. Social marketing refers to the
application of marketing principles, concepts and tools to problems of social change.
Social marketing programs are designed to influence individual’s behavior to improve
their well-being or that of society. An example of a social marketing message would be
“Don’t Text and Drive.” Mothers Against Drunk Driving is an organization dedicated to
social marketing.
4. Planners have more discretion and control over making changes to the marketing and
communication elements of their events than other aspects of planning. For example,
3
In situ is a Latin phrase meaning in the place; events are both produced and consumed in place.
Sustainable Marketing Page 11
while a planner can determine a destination for an event and select a more sustainable
destination over another choice, the reality is that once the destination or hotel is chosen,
the planner must work within the given infrastructure of the hotel or venue or city to
make the event more sustainable. For example, if a city does not support composting,
then the effort and cost to compost for one event (e.g., hiring a private hauler to take
away the compost) may be perceived as greater than the benefits. Marketing is more
independent.
5. The marketing function serves as a management function, a business process and a
philosophy. The marketing discipline can serve as the lens to make decisions, guide the
planning process and serve as an overarching ideal for events.
6. Marketing is influenced by the social, technical and cultural ecosystem. Likewise,
marketing has the capacity to influence the social, technical and cultural ecosystem.
Organizations have started incorporated environmental and sustainability elements into their
marketing (Menon & Menon, 1997). When building the business case for sustainable marketing
for events, planners can find justification in five areas.
1. Differentiate the brand. This is true for planners and suppliers. Suppliers have an
opportunity to serve as “partners” for progressive companies, (Charter, Peattie, Othman,
& Polonsky, 2002).
2. Protect reputations and build strong brands. Corporate reputation results from
perceptions of stakeholder behavior and from brand associations by stakeholders (Menon
& Menon, 1997, p. 63; Font, n.d.)
3. Drive innovation and creativity. When forced with new constraints, the human spirit
often creates better and more innovative solutions.
4. Save costs. Having a sustainable perspective does not automatically mean additional
costs. For example, choosing not to print all the event materials will result in initial cost
savings.
5. Bring a positive element to the human resource strategy. The people element of the
organization at an event can reap tremendous benefits from participating in a sustainable
organization, effort or event.
Sustainable Marketing Page 12
Businesses have additional justification to build the business case for sustainability which is
outside of the scope of this paper. However, the existence of these additional reasons gives added
credence to the organization valuing sustainability. These reasons include investor
influence/social investing (Labadie, 1991 as cited in Menon & Menon, 1997), avoiding
potentially restrictive legislation through self-regulation, etc.
Sustainable Marketing in Action
Building on the framework of Kärnä, Hansen and Juslin (2003), we would propose that planners
can focus a sustainable marketing plan based on three hierarchical levels:

Strategies

Structures

Functions
The idea of strategies and tactics aligns with Menon and Menon’s (1997) review of an
“enviropreneurial marketing strategy” in which they outline the dimension (strategy, core values
and organizational and implementation infrastructure). Kärnä et al. (2003) define structures as
the environmental management systems, organization and contact channels. Menon & Menon
(1997, p. 56) describe organizational and implementation infrastructure as including coordination
mechanism, investment (financial and non-financial), commitment (resource allocations
committed short or long-term) and supplier and customer value chains.
The core of sustainable marketing is strategic decisions in which the three pillars of sustainability
are emphasized and captured as a source of competitive advantage. Implementation of the
strategies is not possible without structure. In the context of an event, structures represent the
organization of the event and the planning process and decision support systems. Marketing
structures and the marketing functions (communication, branding, advertising, messaging) are
planned and executed so they support the marketing strategies. Thus structures and functions are
tools to implement strategies.
Sustainable Marketing Page 13
These three hierarchical levels are influenced by organizational values as proposed by Kärnä, et
al. (2003). In addition we would note that in the context of an event, the three levels are also
influenced by the alignment of the event to the business values.
Our theoretical framework is shown in Figure 2.
Figure 2
Theoretical Framework for Sustainable Event Marketing
We have built on Kärnä et al.’s (2003) framework with the addition of the following mediating
influences: (1) champions, (2) awareness of stakeholders, and (3) knowledge of stakeholders. We
will now review each element in our framework.
Sustainable Marketing Page 14
Sustainable Marketing Planning
In the design world, environmental management has been a driving force behind eco-(re)design
of existing products and eco-innovation which results in the creation of new products (Charter
and Clark, 2007). Arthur D. Little (2004 as cited in Charter and Clark, 2007) recognized that the
broader concept of sustainability could also result in innovation with “the creation of new market
space, products and services or processes driven by social, environmental or sustainability
issues.” We will use the term sustainable innovation and eco-innovation synonymously as has
been done by others (Charter and Clark, 2007). Marketing has a potential pivotal role to play in
sustainable event marketing as they sit at the intersection of the organization, its stakeholders and
messaging/branding. Any effort to truly embed sustainability into an organization requires a
change of organizational processes as companies like InterFace, Philips and SC Johnson
discovered as they worked to (re)design eco-products (Charter and Clark, p. 7, 29, 35). This
experience provides a broad context for using the Kärnä et al. model (2003) as a starting point
for marketing and events.
We posit that the model results in three different outcomes:
1. Change event planning process and products used (change process)
2. Change events and messaging (change product)
3. Change behavior of participants, exhibitors and attendees (change others)
Earlier we noted the nuances between pure marketing and event marketing. At events, marketing
may include these some or most of the marketing elements (market segmentation, targeting ,
differentiation and positioning using the four Ps of product, pricing, promotion and placement)
depending upon whether the event is a public event or private event. Despite the differences
between product marketing and marketing an event, marketing remains a critical component of
an event. Marketing may not be about purchasing the “right to attend” but it is certainly about
consuming the main messages of the event. Thus, planners are focused on correctly marketing
using placement or distribution through typical event messaging channels including signage,
Sustainable Marketing Page 15
name badges, graphics, PowerPoint presentations, handouts, materials, save-the-date promotions,
invitations, promotional products, banners, newsletters, daily trade show papers, etc. Events will
carry primary messaging – the main purpose for the event. However, events can incorporate a
second level where information is shared about sustainability. Events have characteristics similar
to small businesses that allow them to be an appropriate channel for messaging. Carrigan,
Moraes, & Leek (2011) examine the role that small and medium-sized enterprises (SMEs) can
have on sustainability. They examined small firms in the town of Modbury in the United
Kingdom and found that the owner-manager of the SME was critical as SME owners “are often
inseparable from the business in terms of values, policies and practices; the personal motives and
ethics of owner-managers and the responsible behavior demonstrated by SMEs are interrelated
(Carrigan, Moraes, & Leek, 2011, p. 518). In an event environment the champion may take the
form of the owner-manager of the event (the business owner) and the owner-manager of the
event planning process (the planner).
Mediating Factors
The presence of champions in this setting caused us to consider the role of champions within
events. Whether the champion is the planner or a member of management, the champion can
translate vision into action. Champions are most effective when they possess literacy around
sustainability, awareness of the issue and pro-sustainability attitudes (Tilley, 1999 as cited in
Carrigan, Moraes, & Leek, 2011, p. 519). Tilley’s work caused us to add two additional factors
to Kärnä et al.’s framework: Awareness, knowledge (managerial and technical). Other scholars
also reinforce the need for values (Menon & Menon, 1997; Tilley, 1999 as cited in Carrigan,
Moraes, & Leek, 2011, p. 519)
Discussion
This framework allows planners to think more strategically about the role of marketing,
sustainability, messaging and events. Our proposed framework demonstrates that sustainable
marketing contributes strategically to an organization in three important ways through (1)
embedding sustainability in the product, (2) embedding sustainability in the planning process,
Sustainable Marketing Page 16
and (3) embedding sustainability in the product to drive behavioral change. Using our
framework, planners can consider the following strategies, structures and functions to create their
own sustainable marketing plan.
Organizational Values
Planners have the opportunity to act more strategically by aligning their organizations with the
trend toward sustainability or align their events with existing organizational values focused on
sustainability. In doing so, planners can protect their organization’s reputations and help build
stronger brands and differentiate their company. Many people are attracted to organizations that
share similar values. Employee involvement in any sustainable process improvements emerges
as an important element in a firm’s environmental responsiveness. Environmental performance
improvements (such as waste minimization) result directly from employee involvement. Two
researchers demonstrated that good environmental practices also had a positive result on
employee satisfaction and loyalty. Kassinis and Soteriou report on the work of Enz and Sigua
who study the operations of four hotels (each hotel was named as environmental best practice
champions in a Cornell University study of best practices in the U.S. lodging industry). The
work of Enz and Sigua indicated that the practices had a positive impact on employee morale
(and thus satisfaction) and enhanced the staff’s pride in the hotel. Similar results are reported by
Goodman in the case of Scandic hotels (Kassinis & Soteriou, 2003).
Furthermore, Kassinis and Soteriou (2003) studied the impact of environmental practices on
customer satisfaction, loyalty and market performance. They surveyed 1,238 hotels from the
1999 Official Hotel Guide. The target population included hotels in the countries of Austria,
France, Germany, Greece, Italy, Portugal, Spain, the United Kingdom, Cyprus, Malta and
Monaco.
Kassinis and Soteriou tested the following hypothesis:
1. Higher levels of use of environmental management practices lead to higher levels of
customer satisfaction.
2. Higher levels of customer satisfaction lead to higher levels of customer loyalty.
Sustainable Marketing Page 17
3. Higher levels of customer loyalty lead to higher levels of market performance.
4. Higher levels of use of environmental management practices lead to higher levels of
market performance.
Their results suggested a positive relationship between environmental practices and customer
satisfaction, between customer satisfaction and loyalty and between loyalty and performance.
They found hypothesis 1, 2, and 3 to be true. These findings are supported by other literature,
which suggests that performance gains associated with the adoption of environmental practices
are related to cost reductions, resource savings, opportunities for innovation, customer
retention and loyalty and improved employee morale. In addition, the results are backed by the
service management and marketing literatures, which show that improvements in satisfaction
lead to higher revenues and reduced future transaction costs through improved customer loyalty.
While Kassinis and Soteriou expected a positive direct link between environmental management
practices and market performance, as outlined in hypothesis 4, the data do not lend support to
this hypothesis. They suggest three reasons. First, the characteristics of services versus goods
may explain the lack of a direct relationship between environmental management practices and
market performance. Secondly, in future research they advocate the use of finer measures of
environmental management practices that cover the entire value chain of service activities
(2003):

A distinction between front- and back-office measures

Measures of resource savings programs (such as energy management measures in hotels)

An assessment of housekeeping and maintenance practices that reduce impacts, waste
and costs

Consideration of environmentally responsible practices in the design and construction of
facilities (i.e., the construction of “green” rooms with a longer average life)

An evaluation of the use of environmental information systems that allow customized
reporting, sharing of information among managers and also provide a benchmarking
system
Third, Kassinis and Soteriou cited the need to consider issues related to suppliers. They point to
the importance of supplier–service provider collaboration to achieve environmental innovations
Sustainable Marketing Page 18
that reduce the production of waste and the introduction of environmental considerations in the
selection of goods provided.
Thus, a focus on sustainable marketing can help retain the best staff appealing to their altruistic
side and echoing values that are important to them.
As stakeholders, employees and suppliers are important in value alignment; yet another critical
stakeholder group is senior management. Planners need to recognize that investigating the
attitudes and behaviors of senior marketing managers toward sustainable marketing can enhance
the understanding of the challenges relating to implementing sustainability within firms, as
well as the drivers associated with integrating sustainability into activities.
Strategies
In Kärnä et al.’s (2003) framework this element consists of strategies for products, customers and
competitive advantage. In our Sustainable Marketing Planning model, strategies follow a parallel
structure.
Product: The strategy of the product is set by event design which answers the question “How
sustainable do we want to be?” as this strategy will determine how a planner can position the
event and what is the appropriate messaging. Will we pursue a confined strategy or a more
holistic strategy where the organization considers all three pillars of sustainability when mapping
strategy of event? These two questions define the product.
Customer: Customer decisions revolve around two questions: (1) what do our customers want
and (2) if we change our event, will our participants be less satisfied with a more sustainable
product. Anecdotally, one of the authors remembers a conversation with a planner years ago
where she commented, “My senior management will never give up their bottled water.” While
over the course of five years when this conversation took place, the prevalence and acceptability
of bottled water has changed, all planners must still focus on creating a product that delivers the
right type of value for their customers. All event attendees are not the same and basic marketing
Sustainable Marketing Page 19
strategies of understanding their demographic and psychographic profiles and understanding
their preferences/needs/requirements remain the same.
Competitive Advantage: Events compete against other events. In addition, events compete for
“mindshare” from the participants. Thus the strategy around competitive advantage is formulated
by asking two questions: (1) will we attract new customers (participants) if we create a more
sustainable event and (2) what are like-events and very different events doing which might
impact our events?
Ultimately, any planning system is about prioritizing. In assessing what changes are appropriate
for a sustainable marketing planning process, it can be useful to assess where is the “low hanging
fruit.” The following questions will help planners assess the organizational readiness for the
change:
What is the potential impact of the change?
What barriers exist to engaging in this change?
What resources exist to overcome the identified barriers?
Structures
In Kärnä et al.’s framework this element consists of management, operations and planning and
information systems.
Management: Functionally, a planner must understand who is on the team. This gives rise to
four critical questions: (1) Who are the players?, (2) Who is the event owner? , (3) How can this
organization develop a learning orientation that constantly rethinks aspects of sustainability? and
(4) How will management encourage staff and employees to adopt a philosophy of
sustainability?
Operations: With a team in place, a planner must consider how they will produce an event with
sustainable marketing elements. Thus, they will face four questions: (1) How do I need to
reorganize my organization?, (2) What new resources are required?, (3) What re-allocation of
Sustainable Marketing Page 20
resources can occur? and (4) How will I assess (e.g., Life Cycle analysis) the environmental
impact of the manufacturing, content, package, label advertising, distribution, use and disposal of
products used?
Planning and Information Systems: Planners operate using a known system consisting of
checklists, standards, forms and templates. Introducing a new element into the planning process
requires that the entire process needs to be re-thought. Planners will ask themselves these
questions: (1) How do I need to reorganize my planning processes?, (2) How will the
organization make business decisions based on three pillars of sustainability?, (3) How will the
organization define relationships with suppliers, participants and other key stakeholders?, and
(4) Will we need new relationships to supplement existing relationships?
Once a planner has built a new planning process for themselves incorporating sustainable
marketing, they will want to tell their story which will require appropriate metrics and data.
Thus, creating the need to understand (1) What data do I need?, (2) Who has the data?, (3) How
will I use the data?, (4) How will I convey the information in a compelling and interesting way
that supports the event and the organization?
Functions
In Kärnä et al.’s (2003) framework this element consists of advertising, communication,
marketing information and pricing. The new function in sustainable marketing is education.
Education begins with the planner self-educating and extends to staff and event owners.
However, education does not stop at the organization’s formal boundaries as more stakeholders
need education including: (1) suppliers, (2) attendees/participants and (3) other stakeholders
(i.e., exhibitors, sponsors). Planners can heed lessons learned in tourism management.
McKercher (as cited in Weaver, 2008, p. 181) reveals a “fundamental truth’ about tourists when
he states that tourists are concerned with being entertained. Likewise, planners must work to
create interpretation, a distinctive form of education that goes beyond the simple disclosure of
facts to instead reveal meanings and relationships. Interpretation should be enjoyable,
entertaining, personally relevant, well organized and thematic (Weaver, 2008, p. 185). Just as a
Sustainable Marketing Page 21
tourist can walk away or tune out messages while on vacation, an event participant can also tune
out during an event. This accentuates the importance of marketing.
Education can take the following forms:

Craft marketing messages that connect sustainable attributes with desired value

Frame environmental product attributes as solutions for specific participant needs

Create engaging and educational internet sites

Secure endorsements or eco-certifications from trustworthy third parties and educate
consumers about the meaning behind those endorsements and eco-certifications

Encourage participant evangelism via social media
Education may result in the following behavioral changes:

Alter preferences

Reduce consumption

Change habits (eliminate bad habits, promote good habits)

Seek assistance or donations

Improve the environment

Create awareness in others
As a result of following a sustainable marketing planning process as specified, planners will
realize changes in the product, their process and participant behavior. Each of these outcomes is
sketched out below to identify potential outcomes.
Change the Product
As a result of changes in the planning process, the resultant product will change. This suggests
the following functions which would directly impact the product:
1. Seek out environmental friendly products
2. Seek out standards or certifications
3. Evaluate eco-labels and other claims of environmental friendliness
4. Promote sustainable practices in advertising, promotion and communication
5. Use online methods of communication

Electronic ticketing and reservations systems

Online registration
Sustainable Marketing Page 22
6. Use electronic rooming lists, room layouts and banquet event orders
7. Create online program/agenda
8. Create online exhibitor kits
9. Downloadable speaker presentations and handouts
10. Supply electronic event evaluations
11. Signage

Limit the number of signs necessary at the event

Design signs for reuse (don’t include the date or location)

Make signage from recycled or recyclable or biodegradable materials

Use electronic signage whenever possible
12. Minimize printing or make responsible choices

Avoid use of printed materials

Use post-consumer recycled content paper (minimum 30%) that is unbleached or
bleached without chlorine

Use vegetable-based inks

Print double-sided
13. Repurpose conference supplies

School programs

Leverage venue of CVB about donation programs
14. Donate wood products from exhibit halls
15. Reuse name badges
16. Recycle name badges
Change the Process
By adopting a sustainable marketing mindset, planners will change their planning process. As a
driver, sustainable marketing can affect supply chain management, vendor selections and
sourcing practices. Ultimately, sustainable marketing can drive innovation and creativity and
potentially save costs.
The path toward sustainability in any aspect of an event is never ending. The process will
encompass the idea of continuous improvement. Failing to seek improvement and innovation is
Sustainable Marketing Page 23
definitely an unsustainable business practice. Author Daniel Goleman (2009) uses the term
“perpetual upgrades” when talking about industrial process. The idea has merit for event
planning and sustainable marketing: “The logic of the perpetual upgrade tells us that we will
have to constantly reinvent and rethink almost all industrial processes if we are ever to make
them truly sustainable. Competition and marketplace transparency will create inexorable
pressure to continuously raise the bar on ecological impacts” (Goleman, 2009).
Change Behavior
The 3R’s are a common mantra around environmental sustainability: Reduce, reuse and recycle.
When thinking about events, marketing has another redirect. While theoretically most people see
the need to consume less or consume differently, the reality of human behavior and of events is
that we will continue to consume. Therefore, it is necessary that sustainable marketing redirect or
reorient people to consume more preferable products/services/practices.
Consumer sensitivity to issues related to sustainability does not always translate into purchase
behavior. It is the responsibility of sustainable marketing to use their communication and
promotional tools to convert this latent desire actions, behavior and activities.
Finally, by creating a sustainable event, event planners can change behavior. Participants can
receive behavior cues from the messaging in the event and the execution of the event. Carrigan,
Moraes, & Leek (2011, p. 516) ascribe that consumption is deeply intertwined with social
relations and norms, thus making individual behavior change towards sustainability a matter of
facilitation change in individual behavior, as well as in social norms and relations...” Events, by
their nature, have social norms and relations, which can be changed – especially when new
norms are explicitly stated (marketed), promoted through social cues and modeled through
behavior.
Carrigan et al. (2011, p. 521) discuss how inconsistencies around attitudes and behaviors can be
resolved if one considers that behavior is constrained by lack of alternatives and product
confusion. Although people might want to make the right individual choice, they are challenged
by the insecurities of not knowing what the “right choices are (Connolly and Prothero, 2008 as
Sustainable Marketing Page 24
cited in Carrigan et al. (2011, p. 521). Events offer the opportunity for people to do the right
thing as they are offered an alternative (e.g., composting whereas composting is not offered to
them in their work or residential environment) and they are clearly directed by marketing on
what is the right choice, thus eliminating confusion.
Marketing is also critical to provide messaging around incentives to change participant behavior.
Consider the example of recycling name badges. This is an easy, cost-saving measure to reuse an
everyday event communication tool. If this process of how to recycle the name badge is not
marketed correctly, people will revert to their habits and, likely, leave with their name badges
still on their lapels or around their necks. They have every intention of recycling but it is not
“everyday” event behavior which occurs with little cognitive deliberation. Recycling name
badges for many participants is not a routinized behavior yet. To unfreeze behavior using
Lewin’s model of behavioral change may require what Jackson (2005, p 521 as cited in Carrigan,
et al. 2011) cites as “behavior lock-ins” through the “creation of appropriate institutional
structures and incentives.” Translated into an event setting – creating obvious stations/boxes
with appropriate signage reminding people to recycle their name badges situated in the right
place (placement to reiterate the 4P’s of marketing) and possibly offering an incentive like
“Recycle your name badge and you could win a [discount} to our next association event” or
“Recycle your name badge and you could win a [fill in the blank]” Ultimately, we would expect
that as participants repeat these behaviors at multiple events, their cognitive processing will
diminish (they no longer need to think about recycling their name badge) and the behavior will
become automatic prompted by norms and contextual cues (I am leaving the event).
Change is never easy – especially behavioral change. Griskevicius, Cantú and van Vugt (2012)
explore the evolutionary bases for behavior. They pose the question “Why do humans continue
to degrade the environment and experience social problems?” (Griskevicius, et al., 2012, p. 117).
They answer that question by posing five ancestral tendencies: (1) propensity for self-interest, (2)
desire for relative status, (3) unconsciously copying the behavior of others, (4) valuing the
present over the future and (5) disregarding impalpable concerns (Griskevicius, et al., 2012). Of
these five tendencies, events create the opportunity to use these hard-wired modes of thinking to
change to sustainable thought – unconsciously copying the behavior of others and disregarding
Sustainable Marketing Page 25
impalpable concerns. Humans have evolved to instinctively copy and mimic the behavior of
others. This behavior is an adaptive strategy that allows humans to minimize the cost of
individual trial and error. Griskevicius, et al. (21012, p. 121) cite the example of how energy use
in the home is affected by the behavior of neighbors although the home residents state that the
behavior of their neighbors has the least effect on their own conservation habits. Events are
superb opportunities to allow humans to observe, learn and mimic sustainable behaviors like
recycling, using refillable water bottles or composting. Messaging both pre-event and during the
event can support learning these behaviors. Again, Griskevicius, et al. (2012, p. 122) caution to
use positive messaging; they advocate avoiding message such as “83% of people are not
recycling” but instead creating powerful messaging about the desirable behaviors that people are
exhibiting.
The tendency to disregard impalpable concerns captures the idea that a general lack of concern is
often due to skepticism, apathy, a lack of knowledge and also, importantly, an inability to grasp
large-scale but slow-moving environmental problems. They note “our brains have simply not
evolved to ring the alarm when confronted with novel dangers rarely faced in our past, such as
position” (Griskevicius, et al., 2012, p. 124). In today’s world we also lack the tangible
connection between behavior and the environment. For example, people do not see how food is
grown, how it is processed, packaged and transported to us. Sustainable events often post
information about the food-miles traveled for specific items offered for eating and drinking. This
type of marketing messaging begins to make the visceral more real as people begin to see the
connection between their eating habits and the costs behind each non-local item.
Other ideas present in the literature about behavior change suggest that an event can harness
many intrinsic elements (social setting, leadership, role modeling) to affect behavior change
through catalytic individuals/ opinion leadership (Rogers, 2003, p. 27), power base of the
converts (Menon & Menon, 1997), early adaptors (Rogers, 2003) or a “trusted bridge (Carrigan,
et al., 2011). The scope of this paper is not to delve into the dynamics within the context of the
event “conversation” itself. Thus, the existence of these elements as well as those discussed
above sufficiently documents the opportunity for behavioral change.
Sustainable Marketing Page 26
Limitations
From a theoretical perspective, our framework allows planners to think more strategically about
the role of events as a channel for creating sustainable messages and as a channel for creating
awareness and, potentially, behavioral change. However, this framework is entirely theoretical
and has not been empirically tested. Moreover, we have operated under the assumption that it is
appropriate to take a model used in the forestry industry for marketing and reposition the same
framework in the MICE industry.
Many of the advantages of sustainable marketing derive from considering the messaging of the
event. Many planners do not control the content of the event. Some of the benefits of sustainable
marketing are derived from the event message. We posit that, although planners see events as
strategic, until they have a link between content and messaging, the model may be of limited
application to planners.
Conclusion
The proposed framework allows planners to think more strategically about the role of marketing,
sustainability, messaging and events. Our proposed framework demonstrates that sustainable
marketing contributes strategically to an organization in three important ways through (1)
alignment with sustainability-oriented values, (2) embedding sustainability in the planning
process and (3) embedding sustainability in the product to drive behavioral change.
Planners have the opportunity to act more strategically by aligning their organizations with the
trend toward sustainability or align their events with organizational values. In doing so, planners
can protect their organization’s reputations and help build stronger brands and differentiate their
company. Many people are attracted to organizations that share similar values. Thus, a focus on
sustainable marketing can help retain the best staff appealing to their altruistic side and echoing
values that are important to them.
By adopting a sustainable marketing mindset, planners will change their planning process. As a
driver, sustainable marketing can affect supply chain management, vendor selections and
Sustainable Marketing Page 27
sourcing practices. Ultimately, sustainable marketing can drive innovation and creativity and
potentially save costs.
Finally, by creating a sustainable event, planners can change behavior. Participants can receive
behavior cues from the messaging in the event and the execution of the event. A focus on leaving
the community better than before the event was held there (legacy projects) can motivate people
and offer them a chance to give back.
Having a clearer understanding of organizational phenomena like sustainable event marketing and
implementation through events is one way we hope to give back to the industry. Hopefully, our efforts
will influence planners and, in one small way, pave a clearer path toward sustainable events through the
marketing discipline.
Sustainable Marketing Page 28
Bibliography
Andersone, I. and Gaile-Sarkane, E. (2010). Socially Responsible Marketing for Sustainable
Development. Human Resources: The Main Factor of Regional Development, 3, 197-205.
Andersone, I. and Gaile-Sarkane, E. (2010). On Social Behaviour as a Base of Consumption.
Economics & Management, p. 359-365.
Arnold, D. and Quelch, J. (1998). Sloan Management Review
Arvey, R. (n.d.). “Why Face-to-Face Business Meetings Matter” A White Paper. Retrieved May
12, 2012 from http://www.iacconline.org/content/files/WhyFace-toFaceBusinessMeetingsMatter.pdf.
Baker, M. (ed.) (2003). The Marketing Book. Fifth edition. Burlington MA: ButterworthHeinemann.
Bannerjee, S. B. (1999). Corporate Environmentalism and the Greening of Marketing:
Implications for Theory and Practice, in Charter, M. J. and Polonsky, M. J. (Eds), Greener
Marketing, 2nd ed., Greenleaf, Sheffield
Belz, F. and Peattie, K. (2009). Sustainability Marketing: A Global Perspective. West Sussex,
UK: Wiley.
Carrigan, M., Moraes, C., and Leek, S. (2011). Fostering Responsible Communities: A
Community Social Marketing Approach to Sustainable Living. Journal of Business Ethics,
100(3), 515-534. DOI: 10.1007/s10551-010-0694-8.
Charter, M. and Clark, T. (2007). Sustainable Innovation Key conclusions from Sustainable
Innovation Conferences 2003–2006 organized by The Centre for Sustainable Design. Retrieved
April 24, 2012 from bic-innovation.com
My 2007
Charter, M., Peattie, K., Othman, J. and Polonsky, M. J. (2002). Marketing and Sustainability,
Cardiff: Centre for Business Relationships, Accountability, Sustainability and Society (BRASS).
CVENT. Green Meetings Made Easy page. Retrieved May 30, 2012 from
http://www.cvent.com/en/resources/green-meetings-made-easy.shtml
El-Ansary, A. (2006). Marketing strategy: taxonomy and frameworks. European Business
Review, 18(4), 266-293.
Emery, A. (2000). Strategic Marketing. In Marketing Planning and Strategy (6 ed.) Subhash
Jain, South-Western College Publishing.
Epstein, M., Buhovac, A. and Yuthas, K. (2010). Implementing Sustainability: the role of
leadership and organizational culture. Strategic Finance, 91(10).41-47.
Sustainable Marketing Page 29
Fisk, G (1974). Marketing and the Ecological Crisis. London: Harper and Row.
Font, X. (n.d.). Retrieved April 24, 2012 from http://www.xavierfont.info/business-case/.
Fuller, D. (1999). Sustainable Marketing: Managerial - Ecological Issues. Thousand Oaks, CA:
Sage Publications.
Goleman, D. (2009). Sustainability and the Logic of the Perpetual Upgrade. HBR Blog Network.
May 13, 2009. Retrieved May 30, 2011 from
http://blogs.hbr.org/leadinggreen/2009/05/sustainability-and-the-logic-o.html
Griskevicius, V., Cantú, S. and van Vugt, M. (2012). The Evolutionary Bases for Sustainable
Behavior: Implications for Marketing, Policy, and Social Entrepreneurship. Journal of Public
Policy & Marketing, (31) 1, 115-128, DOI: 10.1509/jppm.11.040.
Hennison, K. and Kinnear, T. (1976). Ecological Marketing, Prentice-Hall, Englewood Cliffs,
NJ.
Hill, C and Jones, G. (2010). Strategic Management. Mason, OH: South-western Cengage
Learning.
Kärnä , J., Hansen, E. and Juslin, H. (2003) Social responsibility in environmental marketing
planning. European Journal of Marketing, 37(5/6), pp. 848-871.
Kassinis, G. and Soteriou, A. (2003). Greening the Service Profit Chain: The Impact of
Environmental Management Practices. Production & Operations Management, 12(3), 386-402.
Peattie, K. and Charter, M. (2003), In The Marketing Book, Baker, M. (ed.) Fifth edition
Burlington MA: Butterworth-Heinemann.
Kornegay, J. (2011). Seven Trends for Sustainable Meetings. ConventionSouth, April, p. 13.
Kotler, P. and Roberto, E. L. (1989) Social Marketing: Strategies for Changing Public
Behaviour. New York: Free Press.
Kotler, P., Armstrong, G., Saunders, J. and Wong, V. (1996) Principles of Marketing, European
marketing concept, University of Washington
Ludema, J., Laszlo, C., & Lynch, K. (2012). Embedding sustainability: How the field of
organization development and change can help companies harness the next big competitive
advantage. Forthcoming in A. Shani, R., Woodman & W. Pasmore (Eds.), Research in
Organizational Change and Development, Vol. 20. Emerald Group Publishing Limited.
McKenzie-Mohr, D. (2000). Promoting Sustainable Behavior: An Introduction to CommunityBased Social Marketing. Journal of Social Issues, 56(3), 543–554.
Sustainable Marketing Page 30
MeetGreen. Retrieved January 2012 from www.meetgreen.com
Meetingsnet.com. Retrieved May 30, 2012 from
http://meetingsnet.com/checklistshowto/green_meetings/
Menon, A. and Menon, A. (1997). Enviropreneurial Marketing Strategy: The Emergence of
Corporate Environmentalism as Market Strategy. Journal of Marketing,61(1), 51-67.
Pujari, D. and Wright, G. (1996). Developing environmentally conscious product strategies: a
qualitative study of selected companies in Germany and Britain. Marketing Intelligence &
Planning, 14 (1), 19-28.
Rogers, E. (2003). Diffusion of innovations (4th ed.), New York: The Free Press.
Schwartz, G. (1971). Marketing: the societal marketing concept. University
of Washington Business Review, 31, 31-8.
Sheth, J. and Parvartiyar, A. (1995). Ecological Imperatives and the Role of Marketing. In
Polonsky, M. and Mintu-Wilmsatt, A. (Eds.) Environmental Marketing : Strategies, Practice,
Theory and Research. New York: Haworth Press.
Shrivastava, P. (1994). Castrated Environment: Greening Organizational Studies. Organization
Studies, 15(5), 705–726.
van Dam, Y. and Apeldoorn, P. (1996). Sustainable Marketing. Journal of Macromarketing,
40(1), 45 -56.
WCED. (1987). Our common future. Oxford: Oxford University Press.
Weaver, D. (2008). Sustainable Tourism. Oxford: UK: Butterworth- Heinemann.
Wehrmeyer. W. (1999). Reviewing Corporate Environmental Strategy: Patterns, Positions and
Predicaments for an Uncertain Future. University of Surrey, UK
Download