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Ethical and Environmental Marketing Claims: a Nordic Guideline,
2005
Introduction
The Nordic Consumer Ombudsmen have adopted a joint guideline on the use of ethical and environmental
claims in marketing.
It is a positive development that many companies have become consciously concerned with societal issues and
problems, and choose to display this approach in relation to production, distribution and sales activities. These
concerns are shared by like-minded consumers, and may have a crucial impact on their choice of products.
Accurate and factual information helps consumers make informed choices, thus making this marketing aspect
very important.
Incorrect or misleading marketing claims not only delude the consumers; it is also harmful, disloyal and unfair
to competitors.
In 1994, the Nordic Consumer Ombudsmen adopted the joint guideline, “Environmentally Oriented Claims in
Marketing”.
However, over the past years, concerns about environmental problems and values in society have come to
include ethical issues as well. Child labour, working conditions, our relations with third world countries and
charity now set the agenda too.
The Nordic Consumer Ombudsmen now find that it is time for a revision of the earlier guideline in that ethical
claims need to be included in the overview as well.
1. Background
A greater awareness of environmental issues, working conditions and social responsibility has led an increasing
number of consumers to take these aspects into consideration when shopping.
Companies often wish to express and display their concern and awareness of the importance of these issues in
their marketing activities. The right attitude and approach play a crucial part as do the wish to ensure the
consumers that the goods are environmentally sound and/or produced under socially acceptable conditions.
Ethical and environmental marketing claims are subject to assessment under marketing law when, in order to
boost sales, they refer to general norms and positive properties or statements in connection with marketing.
There are no clear-cut definitions of what the notion ethical consumption (or ethical marketing claims)
constitutes. The notion being relative, subjective and changeable, this guideline cannot provide a clear and
unequivocal definition of what ethical marketing claims are – nor is it its purpose.
Labels and/or symbols comprise a special kind of ethical or environmental marketing feature whose purpose is
to emphasise the ethical/environmental benefits of a product.
2. Ethical/environmental marketing claims and the law
The aim of this guideline is to make sure that ethical/environmental claims, labels and symbols are applied in
accordance with the requirements outlined in Nordic marketing law.
Further, it outlines the procedures and positions against which specific marketing activities are assessed under
the existing legislation in the field of marketing.
The Nordic marketing law tradition constitutes the main benchmark reference, and in particular the general
provisions listed below:
• Marketing claims must not conflict with the principles of good marketing practises
• Marketing claims must not be incorrect, misleading or unreasonably perfunctory
• Marketing claims must not conflict with the rules on comparative advertising
In June 2001, the International Commercial Chamber (ICC) issued a codex, “International Code of
Environmental Advertising”. The codex, an update of the 1991 edition, includes ISO’s international standard for
self-declared environmental claims (ISO 14021:1999). The codex is a tool that enables business and trade to
implement and develop self-regulation and to convey truthful and clear environmental and ethical marketing
messages.
In December 2000, the EU commission issued the unofficial guideline, “Guidelines for Making and Assessing
Environmental Claims”, report no. 67/94/22/1/00281. The requirements/specifications set out in this guideline
are consistent with ISO 14021:1999, the international standard for self-declared environmental claims.
The codex and the ISO guideline will be taken into consideration when evaluating the legality and validity of
environmental claims pursuant to Nordic marketing law.
The ICC codex and the guideline issued by the EU commission are available from the Nordic Consumer
Ombudsmen’s websites.
Sweden: Konsumentverket/KO, www.konsumentverket.se
Norway: Forbrukerombudet/FO, www.forbrukerombudet.no
Finland: Konsumentombudsmannen, www.kuluttajavirasto.fi
Denmark: Forbrugerombudsmanden, www.forbrug.dk
This guideline is not an exhaustive account of how to employ environmental and ethical claims.
2.1. Special legislation
There may be requirements dictated by special legislation that apply to marketing methods, the properties of
the products, label schemes etc. This may be particularly relevant in connection with environmental or
agricultural legislation, legislation on chemical substances, legislation on ecological products, foodstuff
legislation etc. If such requirements exist, they must be complied with.
This guideline applies to assessments under Nordic marketing law only.
3. Field of application
In this guideline, ethical and environmental marketing claims mean:
“The use of claims, symbols or labels for marketing purposes which convey the impression that the company
shows ethical, social and environmental consideration, or that the product/service possesses
specific qualities.”
The use of such claims must be consistent with the rules laid down in Nordic marketing law.
The guideline establishes a number of general requirements to be observed by companies wishing to make use
of ethical or environmental marketing claims which are consistent with the law.
4. The message must be accurate and balanced
It must be clearly stated what the claim refers to: does it apply to the company as such, the entire product,
some of the product, the packaging or does it refer to environmental or working conditions, child labour or
something else.
A product should not be marketed as recyclable if only some of the components or raw materials making up the
product are recyclable.
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Claims must be accurate and balanced. Claims about the ethical qualities of a product or its positive impact on
the state of the environment should not be exaggerated.
Marketing a catalyst converter in a manner that conveys the impression that the exhaust has the same fresh
quality as country air is out of proportion and may conflict with Nordic marketing law.
The marketing material must substantiate the claims/statements used as it will enable the consumer to make
an informed choice and evaluate the ethical and environmental benefits of a product or service.
Claims must be unequivocal and easy to understand. Vague claims which may have various meanings must be
specified. Specifications should be clear, accurate, and easy to read, and appear in close proximity to the
claim/statement.
General ethical or environmental claims such as “environmentally friendly”, “ecological”, “organic” or “green”
are vague and inaccurate, and should be reserved for products whose life cycle has been thoroughly examined
and substantiated.
No methods measuring the notion of sustainability have been established. Claims which invoke sustainability
are therefore considered vague and should be avoided.
The ECC regulations 2092/91 and 1804/99 lay down specific provisions to apply to the use of the word
“organic” when marketing agricultural products.
5. The overall impression
As a basis, marketing is assessed against the overall impression it conveys to consumers. The overall
impression should therefore convey accuracy. In other words, the overall impression must be based on facts.
Ethical and environmental marketing claims only too easily indicate that the company, the product or the
service does not or cannot conflict with other ethical and/or environmental values.
Ethical and environmental marketing claims should only be applied to a company, its products and/or its
services to the extent that this will not be considered misleading compared to other established and accepted
ethical norms regarding working conditions, environmental responsibility etc.
6. Claims should be verifiable
As a basis, all marketing claims must be phrased in a way that eliminates misleading tendencies. All claims are
subject to substantiation.
An environmental or ethical claim usually promotes qualitative benefits/standards which other similar
companies, products or services fail to meet.
The principles of comparative advertising should be observed.
If claims are made about conditions or requirements already fixed by law, then these claims should not stand
alone when used in connection with marketing activities.
Marketing a CFC-free deodorant as such would be misleading as this is a requirement to be met by all similar
products.
Companies using specific claims or statements must be able to substantiate the accuracy of the claims. A thirdparty verification or evaluation by a competent and independent authority is normally required.
If the required documentation is procured by the producer or company itself, the material must be evaluated by
an independent expert (prior to its use for marketing purposes), or the company should in other ways be able
to verify that appropriate methods have been applied to the evaluation of the material and that the evaluation
is professionally sound.
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The substantiation requirements lay on the company to procure the documentation behind the claims before
they are used in marketing campaigns.
7. Substantial documentation and information is required
Documentation for the ethical claims used should be publicly available, and may for instance appear on the
company’s website or information material. If, due to lack of space or the like, it is not possible to publish the
documentation in full in the advertising material or on the packaging, it should be stated where further
information can be obtained.
8. Symbols and ethical/environmental claims
Environmental and ethical label schemes and symbols may serve as an important source of information about a
product or a company.
Self-declared environmental label schemes and the like should, as a basis, be avoided in that a pronounced use
of these kinds of labels may confuse consumers as to definition and meaning of labels in general.
If a company nevertheless chooses to declare its own symbol/label scheme, the company should ensure that
the enterprise, the product or the service thus declared do have qualitative benefits that other similar products,
services or companies do not.
To prevent confusion, avoid similarity with existing official or other label schemes.
Background information on the label scheme, including its definition and meaning, should appear on advertising
material, packaging and other marketing material, and a reference to where more in-depth information about
the label can be found may also be stated. More detailed information may appear on a website or the like.
It must be possible to test and verify the evidence used to support the environmental/ethical label scheme.
Whether these requirements are met is subject to substantiation, cf. 6 above.
Use of the label/symbol for marketing purposes must be consistent with Nordic marketing law -also when the
company otherwise meets the criteria established for environmental/ethical claims.
Official label schemes mean labels whose use is authorised or monitored by - possibly on behalf of - public
authorities and regulated by means of an established set of criteria.
Label schemes such as the EU Flower, the official environmental eco label of the EU, and the Nordic Swan eco
label, commissioned by the Nordic Council of Ministers, are official label schemes. For more information, see
www.blomman.nu and www.svanen.nu, respectively.
9. Charity and marketing claims
Charity initiatives or support, of which the company makes mention in its marketing activities, should be
accompanied by clear and accurate information about how the company aids or cooperates with the charitable
organisation. The share reserved for charitable purposes should be quoted as explicitly as possible; the exact
amount of money is preferable.
Norwegian practise in this area deviates from the other Nordic countries.
To make mention of one’s donations for charitable purposes in advertising claims should be done with great
caution as this kind of reference, dependent on the circumstances and choice of media, is likely to have a major
impact.
It should be stated where further information about the charity work and donations can be found; a phone
number or URL may suffice.
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On ceasing to support or sponsor the charitable organisation, information about the sponsorship/donations or
aid in general should be removed from all marketing materials, including packaging.
Logo, trademarks etc. registered with a charitable organisation should only be used if explicit consent has been
obtained for this end.
When not recorded as a neutral fact, claims/statements about sponsorships should be employed in accordance
with the principles of this guideline
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