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Transcript
GREEN MARKETING
GREEN MARKETING
According to the American Marketing Association
green marketing is the marketing of products that
are presumed to be environmentally safe. Thus green
marketing incorporates a broad range of activities,
including product modification, changes to the
production process, packaging changes, as well as
modifying advertising. Yet defining green marketing is
not a simple task where several meanings intersect
and contradict each other; an example of this will be
the existence of varying social, environmental and
retail definitions attached to this term.
GREEN MARKETING
Ecological (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 broader concept,
one that can be applied to consumer goods, industrial
goods and even services. Thus, green marketing
incorporates a broad range of activities, including
product modification, changes of the production
process, packaging changes, as well as modifying
advertising.
GREEN MARKETING
Green marketing came into prominence in the late
1980s and early 1990s, it was first discussed much
earlier. The American Marketing Association held the
first workshop on “Ecological Marketing” in 1975.The
proceedings of this workshop resulted in one of the
first books on green marketing entitled “Ecological
Marketing”. Environmental Marketing consists of all
activities designed to generate and facilitate any
exchanges intended to satisfy human needs or wants,
such that the satisfaction of these needs and wants
occurs, with minimal harmful impact on the natural
environment.
THE GREEN MARKETING MIX
Product: A producer should offer ecological
products which not only must not contaminate
the environment but should protect it and even
liquidate existing environmental damages.
 Price: Prices for such products may be a little
higher than conventional alternatives. But target
groups may willing to pay extra for green
products.

THE GREEN MARKETING MIX
Place: A distribution logistics is of crucial importance;
main focus is on ecological packaging. Marketing local
and seasonal products e.g. vegetables from regional
farms is more easy to be market “green” than products
imported.
 Promotion: A communication with the market should
put stress on environmental aspects, for example that
the company possesses an ISO 14000 certified. This
may be publicized to improve a firm’s image.
Furthermore, the fact that a company spends
expenditures on environmental protection should be
advertised. Third, sponsoring the natural environment
is also very important. And last but not least,
ecological products will probably require special sales
promotions.

4 C’S IN GREEN MARKETING
Customer solutions: These solutions go beyond
selling physical products and present solutions to
customer's problems. They imply knowing customers
and their needs well and offering products and services
that satisfy customer needs and that take into account
social as well as environmental aspects.
 Customer Cost: Customer Cost does not only include
the financial price a buyer has to pay for a product or a
service, it also considers the psychological, social and
environmental costs of obtaining, using and disposing
of a product.

4 C’S IN GREEN MARKETING
Communication: “Green” communication goes
beyond promotion, which is a form of persuasion
and a one-way communication from seller to
buyer. Communication is a process of interactive
dialogue within which it is essential to build
trust and credibility.
 Convenience: Means that customers want to
use products and services that meet their needs
and that are easy and convenient to access and
use.

WHAT MAKES MARKETING GREEN?


Operational sustainability: Service companies and
manufacturers can improve operational sustainability
by reducing everyday energy and water consumption,
minimizing pollution, using greener materials and
processes, and properly managing waste.
Green products: Companies producing products can
do many things to improve the green factor of their
offerings, including choosing sustainable materials,
designing products to save energy and water, and
making products that are less toxic and more natural
than competitors goods. Greener products will also be
packaged in an eco-friendly manner and will be made
to be easily recycled or composted.


Sustainable marketing: You’ll also want to ensure
that the actual marketing systems you use are green,
which is really distinct from your operational
sustainability which focuses on manufacturing and
production. For instance, when printing marketing
materials, use 100% post-consumer recycled paper
made without chlorine (called “processed chlorine
free”) and printed using plant-based dyes (like soy
inks). You could also investigate tools like green web
hosting, carbon offsets for any marketing emissions
you may cause, recycling any unused materials from
billboards and signage, ecological packaging, and so
on.
Environmental causes: Any organization can
choose to promote environmental causes. Nonprofits
and NGOs will engage in green marketing to get the
word out about their activities, but for-profits can also
suppose environmental causes by making donations
and advertising for these environmental do-gooders
as part of a green marketing campaign.
EVOLUTION OF GREEN MARKETING
The green marketing has evolved over a period of
time. The evolution of green marketing has three
phases. First phase was termed as "Ecological"
green marketing, and during this period all
marketing activities were concerned to help
environment problems and provide remedies for
environmental problems. Second phase was
"Environmental" green marketing and the focus
shifted on clean technology that involved
designing of innovative new products, which take
care of pollution and waste issues. Third phase
was "Sustainable" green marketing. It came into
prominence in the late 1990s and early 2000.
BENEFITS OF GREEN MARKETING
Companies that develop new and
improved products and services with
environment inputs in mind give
themselves access to new markets,
increase their profit sustainability, and
enjoy a competitive advantage over the
companies which are not concerned for the
environment.
REASONS FOR ADOPTION OF GREEN
MARKETING
1.
2.
3.
4.
5.
6.
Opportunities or competitive advantage
Corporate social responsibilities (CSR)
Government pressure
Competitive pressure
Cost or profit issues
Green Marketing Mix
4 CS OF MARKETING
Customer Value (Not Product Value)
A product is something you make which people come
and buy. However, today, you can no longer succeed
by making what you want and must instead find out
what customer's want. Focusing on Customer Value
allows you to reset your perceptions around what it is
you are creating and bringing to the market, be it a
product, service or some other value. Everything
begins and ends with your customer and you exist to
serve their needs. Value is what your customer is
concerned about, not you, your fabulous product or
anything else you do. Value is how you define
marketing mix “products” and what you should seek
to engage your customer with. It is the value you
provide that defines you in the marketplace.
Cost (Not Price!)
Instead of thinking of price as something you
charge, think of cost as something customers pay.
This simple adjustment once again opens up a
whole new way of thinking about sales and
marketing. When you define marketing mix cost
you tune into the customer dilemma of deciding
how to spend limited money to satisfy unlimited
wants. Are you providing enough capital to
compete effectively? Your motivation in going to
market should not be to maximize your gain but
to maximize customer value. Therefore, you
should ask how you can provide more for the
same cost to the customer instead of asking to
make
more
profit
from
a
product.
Convenience (Not Place!)
The day is not far off when the majority of shopping
will not take place in shops or through the traditional
distribution channels of business. Your customers
today are governed by purchase when, where and how
it is convenient to them. Thinking about convenience
not only allows you to open up to newer ways of
connecting with customers and distributing products,
but helps you shift into the mindset of providing an
optimum overall experience for customers. To define
marketing mix in terms of convenience reminds you
that customers today are very busy and have many
choices. It is no longer your right as a business owner
but a privilege when customers choose you. Make it as
easy as possible for them to do so.
Communication (Not Promotion!)
The final new market mix definition replaces the traditional
notion of “Promotion” with Communication. This final
concept of how you define marketing mix from the
customer's perspective ties into creating Interactive
Marketing Communication.
“Promotion” hearkens back to the day's of mass marketing
which does not work anymore. Just like you cannot simply
build a “good product” and expect people to buy it, so
customers no longer believe everything you say at face
value. Instead of virtuous pronouncement about how good
your product or service is, customers today seek to be
engaged and have meaningful interactions with you. You
must therefore strive for two-way communication and
building
relationships