Transcript The Importance of Green Marketing

The
Importance
of Green
Marketing
Green Marketing as part of
Relationship Marketing
U.Scholz
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Green Marketing
Can you name a green brand in five
seconds?
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Green Marketing
 Introduction
 Definition and history of Green Marketing
 Green Marketing and Relationship Marketing
 Example
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Green Marketing - Introduction
What does
GreenMarketing
mean to
your
business ?
SALES /
REVENUE/cost
benefits
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Green Marketing-Definitions
Definition:
There is more than one definition of green marketing:
“the holistic management for identifying, anticipating
and satisfying the requirements of customers and
society, in a profitable and sustainable way”
(Peattie 1995, p. 28)
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Green Marketing-make your own
decision
No
Yes
0%
100%
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Green Marketing-Definitions
 Environmental sustainability
involves developing strategies that sustain the
environment and produce profits for the company.
It protect and preserve the environment
(Armstrong and Kotler, 2007, pp. 509-510).
 A green consumer
someone who voluntarily engages in consumer
practices that are regarded as environmentally
friendly.
Peattie (2001, p. 187-191)
 green or environmentally friendly
activities
energy-efficient operations, better pollution
controls and recycled materials
(Armstrong and Kotler, 2007, p. 509).
 Eco labels
labels which identify overall environmental
preference of a product or service within a specific
product or service range.
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Examples ECO-Label
Examples of eco-labels:
http://www.blauer-engel.de
http://ec.europa.eu/environment/ecolabel/index_en.htm
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http://en.wikipedia.org/wiki/Energy_Star
Summary: Green Marketing
 Corporate Social Responsibility
corporate responsibility, corporate citizenship, responsible business and corporate social
opportunity's a form of corporate self-regulate integrated into a business model.
 Triple Bottom Line Accounting
In practical terms, triple bottom line accounting means expanding the traditional reporting
framework to take into account ecological and social performance
 New Product Innovation
Product/service innovation is the result of bringing to life a new way to solve the customer's
problem
 Company Ethos
focused on our client and market needs
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Green Marketing
Business
Environment
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Green Marketing
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Green Marketing
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Green Marketing
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Green Marketing
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Green Marketing
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What is Greenwashing?
 “Greenwash” is defined in the 10th edition of the Concise
Oxford English Dictionary as the “Disinformation
disseminated by an organization so as to present an
environmentally responsible public image.”
 “Greenwashing,” a term derived from the term
“whitewashing,” was coined by enviromental activists to
describe efforts by corporations to portray themselves as
environmentally responsible in order to mask environmental
wrongdoings.
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What’s wrong with Greenwashing?
 It is misleading!
 It attempts to trick us into
believing that a company
with an awful environmental
track record actually has a
good one.
 If one corporation gets
away with greenwashing,
then other corporations will
follow, thereby creating an
illusion of being
environmentally friendly.
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Who is Greenwashing?
A closer look at who is “greenwashing,”
and how they are successfully
marketing false advertisements.
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Kraft’s Post Selects Cereals
 Kraft’s Post Select
cereals have falsely
promoted its cereals as
having “natural
ingredients” when in
fact the corn used in the
cereal is genetically
engineered!
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General Motors

General Motors has falsely promoted
its cars as environmentally friendly,
with ads that have their SUV’s in
natural habitats as if they were as
natural as the surrounding trees.
Ford, for example, has launched the
new Escape Hybrid. What they fail to
tell the public is they only produce
20,000 of these cars a year, while
continuing to produce almost 80,000
F-series trucks per month!
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Why Greenwash?
 With the rising concerns of global warming, people are
becoming more and more aware of the dangers that will arise if
they don’t take the needs of mother earth into consideration.
People are looking for environmentally friendly products that are
good for the environment and their personal health.
Corporations turn to greenwashing to make themselves look
more environmentally friendly so that they can keep their
customers coming back. If corporations were up front with their
environmental wrongdoings, customers would most likely take
their business elsewhere.
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In Conclusion
Greenwashing has become a very popular way for corporations to
get ahead of their competitors.
It is a way for corporations to make themselves more marketable
by hiding behind a mask and concealing their true colors.
Not only has greenwashing fooled the general public, but it has
made many corporations extremely prosperous. With the amount
of competition out there, it doesn’t look like the end of
greenwashing is anywhere near. Greenwashing has proven itself a
workable solution for the many corporations using the technique,
but at the same time, has stirred up a lot of discussion.
Greenwashing will continue to be utilized by many corporations and
the consumer will continue to buy. In a world where the fight to the
top is a never ending battle, greenwashing will continue to be the
tool of choice.
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Green Marketing
http://www.youtube.com/watch?v=xj1TqhJLaQI
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Green Marketing and Relationship
Marketing
Relationship Marketing
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Green Marketing and Relationship
Marketing
Definition Relationship Marketing:
 “the process of identifying and establishing, maintaining, enhancing,
and when necessary terminating relationships with customers and
other stakeholders, at a profit, so that the objectives of all parties
involved are met, where there is done by a mutual giving and
fulfillment of promises” (Grönroos p. 101, 2004).
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Green Marketing and Relationship
Marketing
Relationship Management and Relationship Marketing
Relationship Management
All external Relationships
All internal Relationships
Relationship Marketing
Vertical and horizontal relationships
Customer Relationship Management (CRM)
Acquisition
Retention
Recovery
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Green Marketing and Relationship
Marketing
Domain and environment of relationship marketing
Target Market Environment
Infrastructure
Social Norms
Culture
Benefits
Product/
Service
uniqueness
Cultural
specificity
Technology
Evaluating foreign markets
Price
International
experience
Preferred style
of distribution
Training
know how
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Green Marketing and Relationship
Marketing
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Green Marketing and Relationship
Marketing
http://www.youtube.com/watch?v=3nBFia
sFQdM
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Green Marketing and Relationship
Marketing
Result:
 Relationship Marketing and green
marketing is the creation of
confidence, trust and value for
customers.
 Customer relationship
commitment, trust, confidence and
loyalty as a result of satisfaction
are as important in customer
relationship marketing as in green
marketing,
 Trust and confidence are as
important concepts in green
marketing as in Customer
Relationship Marketing.
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What is needed to realize Green
Marketing?
In summary….make it simple
1. Build up truth relationship
2. Understood by consumers
3. Engage your own people
4. Give consumers what they want
5. Innovate innovate innovate
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How Do We Do It?
 Company values
 Mission and aims
 Marketing and transparency
 Supply chain management
 Has to be fed top down, bottom up.
 The whole company has to buy in to the ethos
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Thank you very much for your
attention!
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