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Green marketing does not connect with consumers

 
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RabbitMountain

posts: 423

May 12, 2008 1:26 AM ET    Quote  Report Abuse
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Over this weekend I have been doing some marketing research for a project I`m working on, and I have run into a repeating pattern that I think all green businesses need to be aware of: green marketing campaigns are ineffective because consumers see them as being inauthentic.

This is probably something that most people already know intuitively... `EcoMagination` from one of the world`s biggest arms dealers? `Beyond Petroleum` from one of the leading companies agitating to drill ANWR? ...it`s as if they think we are nothing more than meat with eyes, as Lewis Black says.

Turns out, "Only 19% of people identify both Wal-mart and GE a ssocially responsible companies. Only 6.5% of people identify Bank of America as a socially responsible brand, while these companies have lead the way with green and CSR (corporate social responsibility) marketing communications in 2007." Meanwhile, the top things consumers look for in sustainable products are social, and related only indirectly to global warming, ozone holes and the like: "...connecting with friends, family and community (90%), fair trade (73%), employee treatment (85%)."

An interesting case study in all this is Electrolux, which evidently never set out to brand itself as a "green" company. Instead it played up its products` efficiency as a means of reducing energy bills and getting work done faster. But efficiency is also green to the core, and now Electrolux is one of those brands that is permanently lodged in peoples` minds as being "green." But wait, there`s more... as an added bonus, Electrolux does not have to worry about greenwashing the way Wal-Mart and GE do, because its green credentials were inadvertently built into its original marketing strategy.

For me the big takeaway in my readings this weekend is that a company doesn`t necessarily have to choose between branding itself as green, or not; the key to being embraced by green consumers is having an authentic vision of the company`s connectedness to the rest of the world, and conducting itself in accord with that vision. I think Kyocera qualifies: "Respect the divine and love people." And Google: "Don`t be evil."

Most of my green marketing reading came from these sites:
—p

Side note: Kazuo Inamori, founder of Kyocera, has a blog-like sub-site that is worth reading, though it is still pretty empty.
HRB1

posts: 15

May 13, 2008 12:33 PM ET    Quote  Report Abuse
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Rabbit Mountain,
 
 Solid post! Totally relate to everything you expressed. I`ll resist the urge to go on a "bash major corporation tirade" and just say that it all comes down to not only instilling awareness, but  making sound conscious choices, even when it seems inconducive to do so.
 
HRB
 
 
HRB15/13/2008 12:50 PM
drm7

posts: 11

Aug 01, 2008 3:46 PM ET    Quote  Report Abuse
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I have actually been wondering if marketing yourself as "green" really works.  It seems that your conclusion is that "actions speak louder than words".  Is this right?  A company`s actions will send the right marketing message more than its advertising will.

Is the green consumer market big enough that word about a green product or service will spread regardless of how the product or service is marketed?



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Thanks!

drm7
Guests

posts: 382

Aug 31, 2008 9:44 PM ET    Quote  Report Abuse
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Your post is eerily accurate and no doubt a foreshadowing of things to come. 
 
$4 per gallon gas just raised our collective conscience.  But as soon as the price per gallon crept below $4, the SUV`s came back out of the garages.   OK, no doubt the overall economy has gotten us to rethink our spending and lending habits, but are we ready to embrace green?  Are we ready to spend more for green?  I say we`re not.  In fact, this turn in the economy will likely hurt the green tide severely, because green costs more, plain and simple. 
 
The signs are evident.... health food stores are doing poorly, while Wal-Mart and Costco and BJ"s flourish.  Ya think people are flocking to these stores to by green products.  I think not.  They`re going for the price.  They`re now frugal and educated shoppers with an eye toward their financial future, not the ecological future.
 
I build shopping centers, and while several retailers were considering the benefits (mostly public relations) of going green, especially those from California, when the price point and lease rates reflected the additional cost, they backed off quickly.  How could they justify the near term costs and expenditures for long term savings in an economy where their brethren are closing their doors in record numbers.  Their shareholders wouldn`t stand for it.  And the consumers didn`t blink an eye.  If it means cheaper prices, they`re all for it.  One retail designer, out of sheer frustration for his environmental suggestions getting summarily and harshly rejected, indicated that he could build on top of a toxic waste dump so long as the price of toilet paper came down.  Hmmm.  He`s right.  Show me someone who disagrees and I`ll show you a person that has a secure job with a secure income and a secure household.  Statistically, that`s less than 10% of this country.  Not the market you`d be shooting for, is it?  
 
It`s time each of us helped in some small fashion to remind people, day after day, that green IS our future, not just something IN the future.
 
DMIGUY9/1/2008 10:22 AM
CPAandMBA

posts: 12

Sep 16, 2008 1:30 PM ET    Quote  Report Abuse
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Green marketing will only attract a certain segment of the population.  Most consumer are still more concerned about the baiscs such as price, convenience, quality, etc.
 
Green is much more than marketing however.  "Green" companies consistently outpeform their counterparts.  They are better managed, have more engaged employees, reduce waste and cost, save resources, connect better with their stateholders and are generally more efficient.
 
Greening a business goes way beyond marketing.  While your product/service may be greener than the competition, that doesn`t mean it must be marketed that way.
 
Brian C. Setzler, CPA
MBA in Sustainable Business 


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Check out my blog at www.GreenCPA.blogspot.com
Sep 30, 2008 1:59 PM ET    Quote  Report Abuse
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I feel the pain of these entries above.  I found a great in line "fit" between our services and giving companies a Green IT Strategy to follow.   Even though the message was thoroughly researched and well thought out,  The result thus far was a baby birthed as an in company initiative, to the sound of one hand clapping. 
 
The Take away?  , American businesses are happy to advance to a more greener existence as new technologies become available and cost effective in their purchase and implementation.  With every refresh cycle, they will get greener, and more efficient. 
 
I can`t blame them,  our push now is to hammer home the point that more efficient use of these resources makes great economic sense. 
 
Robert Stillman
Sales and Marketing Director , Chi Networks
www.chinetworks.com      our Green Initiative www.theitlandscape.com
312.756.1500 xt0616
 
GaiaList

posts: 6

Dec 06, 2008 7:10 PM ET    Quote  Report Abuse
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I have to ditto CPAandMBA

The majority of people respond to environmental solutions that save them money.  Fortunately today the issue of money saving and saving the environment are more frequently going hand in hand. 

People have crazy complaints about `going green`.  For example, people say that windmills are `ugly` or that composting toilets are `gross`.  Obviously these people would rather have a coal fire plant in their backyard and human waste in their rivers.  In my opinion green people are always smarter people and smarter business owners.


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