Green Marketing

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International Journal of Research and Development - A Management Review (IJRDMR)
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Green Marketing
V. Princy Metilda
M Com (CA).,PGDCA, MBA, M Phil.,
Assistant Professor, Department of Commerce,
Nehru Arts & Science College.
Abstract- Green marketing is a phenomenon which has
developed particular important in the modern market.
This concept has enabled for the re-marketing and
packaging of existing products which already adhere to
such guidelines. Additionally, the development of green
marketing has opened the door of opportunity for
companies to co-brand their products into separate line,
lauding the green-friendliness of some while ignoring that
of others. Such marketing techniques will be explained as a
direct result of movement in the minds of the consumer
market. As a result of this businesses have increased their
rate of targeting consumers who are concerned about the
environment. These same consumers through their concern
are interested in integrating environmental issues into their
purchasing decisions through their incorporation into the
process and content of the marketing strategy for whatever
product may be required. This paper discusses how
businesses have increased their rate of targeting green
consumers, those who are concerned about the
environment and allow it to affect their purchasing
decisions. The paper identifies the three particular
segments of green consumers and explores the challenges
and opportunities businesses have with green marketing.
The paper also examines the present trends of green
marketing in India and describes the reason why
companies are adopting it and future of green marketing
and concludes that green marketing is something that will
continuously grow in both practice and demand.
KEY
WORDS:
Green Product,
Environmentally safe, Eco Friendly.
Recyclable,
product modification, changes to the production process,
packaging changes, as well as modifying advertising.
GREEN
PRODUCTS
CHARACTERISTICS
ITS
The products those are manufactured through green
technology and that caused no environmental hazards
are called green products. Promotion of green
technology and green products is necessary for
conservation of natural resources and sustainable
development. We can define green products by
following measures:








Products those are originally grown,
Products those are recyclable, reusable and
biodegra- dabbled,
Products with natural ingredients,
Products containing recycled contents, non-toxic
chemical,
Products contents under approved chemical,
Products that do not harm or pollute the
environment,
Products that will not be tested on animals,
Products that have eco-friendly packaging i.e.
reusable, refillable containers etc.
IMPLEMENTING STRATEGIES


MEANING
Green marketing, also alternatively known as
environmental marketing and sustainable marketing,
refers to an organization's efforts at designing,
promoting, pricing and distributing products that will
not harm the environment. Unfortunately, a majority of
people believe that green marketing refers solely to the
promotion or advertising of products with environmental
characteristics. Terms like Phosphate Free, Recyclable,
Refillable, Ozone Friendly, and Environmentally
Friendly are some of the things consumers most often
associate with green marketing. While these terms are
green marketing claims, in general green marketing is a
much incorporates a broad range of activities, including
AND


Set legal constraints on green marketing.
Governments can lead the private sector to better
green marketing and ensure its credibility by
providing guidelines or regulations for assessing
products.
Existing national and inter- national regulations for
marketing and advertisements mainly ensure
honesty and transparency for protecting the safety
of consumers.
The idea of regulating marketing claims comes
from consumer protection movements to govern
certain production categories, such as organic
products, or to regulate that a product accurately
reflects the real qualities that it claims to possess.
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ISSN (Print): 2319–5479, 2014
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International Journal of Research and Development - A Management Review (IJRDMR)
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ECO-FRIENDLY
STRENGTHS IN GREEN MARKETING
Eco-friendly literally means earth-friendly or not
harmful to the environment .This term most commonly
refers to products that contribute to green living or
practices that help conserve resources like water and
energy. Eco-friendly products also prevent contributions
to air, water and land pollution. We can engage in ecofriendly habits or practices by being more conscious of
how you use resources. The term "eco-friendly" has
been used for so many different products and practices;
its meaning is in danger of being lost. By understanding
the true meaning of eco-friendly, you can implement the
practices that will lead to healthier living for the planet
and its inhabitants, big and small.
•
Business opportunity: A majority of the population
in countries of varying geographical and economic
background want to consume in a more sustainable
way. Businesses can tap into this huge potential
client base by stepping up their environmental
performance and by communicating this change to
their buyers.
•
Environmentally conscious businesses: In addition
to improved profitability, which is a direct benefit
for the business itself, green marketing can also
benefit society by facilitating not only the
communication about but also the use of green
business practices. It can be assumed that
companies engaging in environmental marketing
activities actually have a high possibility to
improve their behaviour, because to claim that
their products are green they have to actually
assess the product in a way that meets certain
requirements to attain certified eco-labels.
•
Environmentally
conscious
consumers:
If
conducted correctly and credibly, green marketing
can
enhance the quantity and quality of
environmentally conscious consumerism. By
pointing out the adverse effects of conventional
business and production practices on the
environment and introducing and informing about
green alternatives, consumers are enabled to make
a conscious choice with their purchases.
•
Business practice transparency: Green marketing is
a double-edged sword for businesses. On one hand,
they can appeal to green consumers, but on the
other they have to live up to the green reputation
they
try to establish. In this sense, green
businesses are held accountable by both the
government and society. To be certified by green
labels, companies have to disclose information
about their management and production practices
that would normally not be accessible to the public.
Hence,
green marketing is a tool that also
enhances business transparency.
•
Acceptance of environmental price internalization:
An inherent part of green marketing is to
communicate why green products are priced
differently than their conventional counterparts.
The
premium price is the reflection of the
environmental costs that the resource extraction
and processing
incur, which is usually not
reflected in the market price. This way, green
marketing helps acclimate consumers to accept
paying higher prices for products that actually
integrate the environmental impacts they inflict
into their prices.
IMPLEMENTING STRATEGIES




Set legal constraints on green marketing.
Governments can lead the private sector to better
green marketing and ensure its credibility by
providing guidelines or regulations for assessing
products.
Existing national and inter- national regulations for
marketing and advertisements mainly ensure
honesty and transparency for protecting the safety
of consumers.
The idea of regulating marketing claims comes
from consumer protection movements to govern
certain production categories, such as organic
products, or to regulate that a product accurately
reflects the real qualities that it claims to possess.
CHALLENGES FOR GREEN MARKETING
Price PRemium
Gap Between
Sustainable Intension
& Behaviour
Deluding Information
Vague Credibility
PRESENT TRENDS IN GREEN MARKETING IN
INDIA
Firms have realized that consumers prefer products that
do not harm the natural environment as also the human
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International Journal of Research and Development - A Management Review (IJRDMR)
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health. In this situation the firm can take two
approaches:
• Become responsible without prompting this fact.
Governmental Bodies are forcing Firms to Become
More Responsible. In most cases the government forces
the firm to adopt policy which protects the interests of
the consumers. It does so in following ways:
• Reduce production of harmful goods or by products
• Modify consumer and industry's use and /or
consumption of harmful goods.
According to Technocratic Charts, the average number
of daily references to “green marketing” in the
blogosphere doubled from about 150 per day in 2006 to
more than 300 per day during the second half of 2007.
EXAMPLE 1: India's 1st Green Stadium the
Thyagaraja Stadium stands tall in the quiet residential
colony behind the Capital's famous INA Market. It was
jointly dedicated by Union Sports Minister MS Gill and
Chief Minister Sheila Dikshit on Friday. Dikshit said
that the stadium is going to be the first green stadium in
India, which has taken a series of steps to ensure energy
conservation and this stadium has been constructed as
per the green building concept with eco-friendly
materials.
EXAMPLE 2: Eco-friendly Rickshaws before CWG
Chief minister Sheila Dikshit launched on Tuesday a
battery- operated rickshaw, “E-rick”, sponsored by a
cellular services provider, to promote eco-friendly
transportation in the city ahead of the Commonwealth
Games.
EXAMPLE 3: Wipro Green It. Wipro can do for you
in your quest for a sustainable tomorrow - reduce costs,
reduce your carbon footprints and become more efficient
- all while saving the environment. Wipro’s Green
Machines (In India Only) Wipro InfoTech was India's
first company to launch environment friendly computer
peripherals. For the Indian market, Wipro has launched
a new range of desktops and laptops called Wipro Green
ware. These products are ROMs (Restriction of
Hazardous Substances) compliant thus reducing e-waste
in the environment.
Notably, interest in green marketing spiked considerably
in late summer just as reports of persistent drought in the
Southeast (and Southwest) appeared in the national
media, and again during the fall when brushfires
scorched much of California.
Additionally, late fall brought news from the UN’s
conference at Bali and legislative action on an energy
bill in Washington. Moreover, according to Google
Trends, search volume for “green marketing” also
continued to trend upward during 2007.
SOME CASES
Interestingly, green marketing continues to be an issue
of 5 global interests. In fact, Google Trends reports that,
on a relative basis, more searches for “green marketing”
originated from India than from any other country.
Rank Country
I
II
III
IV
V
VI
VII
INDIA
UK
USA
THAILAND
AUSTRALIA
CANADA
CHINA
EXAMPLE 4 : Agartala to be India's first Green City
Tripura Sunday announced plans to make all public and
private vehicles in Agartala run on compressed natural
gas (CNG) by 2013, thus making the capital “India's
first green city”.
EXAMPLE 5: Tripura Natural Gas Co Ltd (TNGCL), a
joint venture of the Gas Authority of India Ltd (GAIL)
and the Tripura and Assam governments, has undertaken
a project to supply CNG to all private and government
vehicles.CNG will also be available to those now using
electricity, petrol and diesel to run various machineries.
THE FUTURE OF GREEN MARKETING
There are many lessons to be learned to be learned to
avoid green marketing myopia, the short version of all
this is that effective green marketing requires applying
good marketing principles to make green products
desirable for consumers. Business scholars have viewed
it as a “fringe” topic, given that environmentalism's
acceptance of limits and conservation does not mesh
well with marketing's traditional axioms of “give
customer what they want” and “sell as much as you
can”. Evidence indicates that successful green products
have avoided green marketing myopia by following
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International Journal of Research and Development - A Management Review (IJRDMR)
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Three important principles:
CONSUMER VALUE POSITIONING
• Design environmental products to perform as well as better than the
alternatives.
• Promote and deliver the consumer desired value of environmental
products and target relevant consumer market segments.
• Broaden mainstream appeal by bundling consumer desired value into
environmental products.
CALIBRATION OF CONSUMER KNOWLEDGE
• Educate consumers with marketing messages that connect
environmental attributes with desired consumer value.
• Frame environmental product attributes as “solutions” for
consumer needs.
• Create engaging and educational internet sites about environmental
products desired consumer value.
CREDIBILITY OF PRODUCT CLAIM
• Employ environmental product and consumer benefit claims that are
specific and meaningful.
• Procure product endorsements or eco-certifications from trustworthy
third parties and educate consumers about the meaning behind those
endorsements.
• Encourage consumer evangelism via consumers social and internet
communication network with compelling, interesting and entertaining
information about environmental products.
CONCLUSION
Now this is the right time to select “Green Marketing”
globally. It will come with drastic change in the world of
business if all nations will make strict roles because
green marketing is essential to save world from
pollution. From the business point of view because a
clever marketer is one who not only convinces the
consumer, but also involves the consumer in marketing
his product. Green marketing should not be considered
as just one more approach to marketing, but has to be
pursued with much greater vigour, as it has an
environmental and social dimension to it. With the threat
of global warming looming large, it is extremely
important that green marketing becomes the norm rather
than an exception or just a fad. Recycling of paper,
metals, plastics, etc., in a safe and environmentally
harmless manner should become much more
systematized and universal. It has to become the general
norm to use energy-efficient lamps and other electrical
goods.
Marketers also have the responsibility to make the
consumers understand the need for and benefits of green
products as compared to non-green ones. In green
marketing, consumers are willing to pay more to
maintain a cleaner and greener environment. Finally,
consumers, industrial buyers and suppliers need to
pressurize effects on minimize the negative effects on
the environment-friendly. Green marketing assumes
even more importance and relevance in developing
countries like India.
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International Journal of Research and Development - A Management Review (IJRDMR)
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REFERENCES
[4]
www.greenpeace.org/international
[1]
J.A Othman, "Avoiding Green Marketing
Myopia", Environment, Vol-48, June-2006
[5]
www.google.com
[6]
[2]
www.greenmarketing.net/stratergic.html
http://www.iocl.com/AboutUs/environment%
28GFA% 29.aspx
[3]
www.epa.qld.gov.au/sustainable_ industries
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