It has long been known that cheaply produced consumer goods and the often cited “throwaway mentality” of consumers have a negative impact on the en­vir­on­ment and working con­di­tions in many of the producing countries. However, most people have only become fully aware of the extent of these problems in recent years, whether through awareness campaigns by NGOs or private content in social media channels. The images of working children in textile factories, piles of rubbish on dreamy beaches, and plastic in the stomach of dead animals have gradually started leading to a rethink.

Today, it is becoming in­creas­ingly important for consumers to be able to consume with a clear con­science. This is where green marketing comes in. It is an in­stru­ment for companies to com­mu­nic­ate sus­tain­able pro­duc­tion strategies and en­vir­on­ment­ally conscious activ­it­ies, and in this way, to win new customers or to retain existing customers in the long term.

What is green marketing? Defin­i­tion and back­ground

Green marketing, eco-marketing, eco­lo­gic­ally-oriented marketing, sus­tain­able marketing – all these es­sen­tially syn­onym­ous terms revolve around the suc­cess­ful marketing placement of sus­tain­ably-produced products. The term “green marketing” is the English equi­val­ent of “eco-marketing” and the like, but is now also in­creas­ingly used in­ter­na­tion­ally.

In the economic context, green marketing refers to all ad­vert­ising and in­form­a­tion efforts that promote or emphasise the en­vir­on­ment­al com­pat­ib­il­ity of products or the sus­tain­ab­il­ity of the pro­duc­tion chain. It is not just a matter of con­vin­cing customers of the sus­tain­ab­il­ity of their own products or services, with targeted ad­vert­ising measures. The term also includes all measures that affect the im­prove­ment of a company’s en­vir­on­ment­al balance sheet or its pro­duc­tion processes.

Defin­i­tion

Green marketing is the part of sus­tain­able corporate man­age­ment that reduces the harmful impacts of all market-related aspects of the pro­duc­tion and use of products for the en­vir­on­ment and people, and in the best case even com­pletely avoids them. The aim is to design the pro­duc­tion, marketing, and use of a product in such a way that customers are en­cour­aged to con­scien­tiously and sus­tain­ably consume it.

Re­spons­ible marketing

In a world that is in­creas­ingly suffering from the en­vir­on­ment­al sins of the past and present, every small step forward is important. First and foremost, NGOs, edu­ca­tion­al in­sti­tu­tions, and the media have the en­vir­on­ment­ally conscious, sus­tain­able con­sump­tion task of educating people about en­vir­on­ment­al problems. They inform us on causes and long-term con­sequences, and propose solutions to improve the current situation. However, companies can also assume re­spons­ib­il­ity and act within the framework of corporate social re­spons­ib­il­ity. This means that they not only act in a sales-oriented manner, but also take social, eco­lo­gic­al, and ethical aspects into account in their decisions.

In this overall concept, green marketing is the subarea that con­cen­trates on an en­vir­on­ment­ally friendly, sus­tain­able ori­ent­a­tion of marketing measures. To put it simply, it is about in­teg­rat­ing eco­lo­gic­al aspects into all areas of marketing. The basis for this is the classic marketing mix with its four pillars, which are also called the 4Ps of marketing due to their des­ig­na­tions:

  1. Product
  2. Price
  3. Place
  4. Promotion

Each in­di­vidu­al area can be made greener through eco­lo­gic­ally-oriented measures. The pos­sib­il­it­ies range from packaging made of recycled materials and more en­vir­on­ment­ally friendly dis­tri­bu­tion channels to leasing or deposit models instead of classic sales.

Im­ple­ment­a­tion and ad­vant­ages of green marketing

There are different ways to establish green marketing in a company. They are based on how strongly the company wants to position itself and what (financial and personnel) effort can/should be made:

  • Passive: Only the ap­plic­able laws and reg­u­la­tions are im­ple­men­ted.
  • Selective: The selection of eco­lo­gic­al measures is based on the com­pet­i­tion and goes just minimally beyond their activ­it­ies.
  • Internal: Green marketing focuses on internal company processes like de­vel­op­ment and pro­duc­tion.
  • In­nov­at­ive: A com­pre­hens­ive eco-strategy will be developed, not just based on already known and proven methods, but also taking in­nov­at­ive paths in the field of en­vir­on­ment­al pro­tec­tion and sus­tain­ab­il­ity. The aim is to set new standards and set an example.

Depending on which ori­ent­a­tion you choose, green marketing can be reflected in the classic 4P marketing mix as follows:

  • Product policy: The product should consist of natural or at least en­vir­on­ment­ally friendly materials. In the best case, it not only helps to protect nature, but also helps to mitigate existing en­vir­on­ment­al damage.
  • Price policy: The ad­di­tion­al costs arising from the ori­ent­a­tion towards eco­lo­gic­al aspects may be reflected to a certain extent in the price. If the price increase is com­mu­nic­ated trans­par­ently and plausibly, many consumers are prepared to pay a higher price for sus­tain­ably produced goods. If the op­por­tun­ity arises, leasing or sharing options are also possible that sim­ul­tan­eously have resource-saving and social com­pon­ents.
  • Dis­tri­bu­tion policy: The transport routes required within the framework of a pro­duc­tion cycle as well as the dis­tri­bu­tion channels are decisive for the eco­lo­gic­al footprint of a product. They should therefore be organized as en­vir­on­ment­ally friendly and resource-saving as possible. This can be achieved, for example, by using regional raw materials.
  • Com­mu­nic­a­tion: On the one hand, this is about making ad­vert­ising as en­vir­on­ment­ally friendly as possible, e.g. by avoiding using flyers, which often end up in the garbage after a brief glance. On the other hand, a com­mu­nic­a­tion strategy must be developed for the company’s own en­vir­on­ment­al activ­it­ies. This involves informing (future) customers and retaining them for the long time.

Ul­ti­mately, every company must decide for itself how seriously it im­ple­ments green marketing strategies and how dom­in­antly it com­mu­nic­ates them to the outside world. It is important that the procedure is credible, to avoid any ac­cus­a­tion of so-called “gre­en­wash­ing.” This very negative term is used to describe PR measures that present a company or in­di­vidu­al products as par­tic­u­larly en­vir­on­ment­ally friendly and sus­tain­able, without this cor­res­pond­ing to reality. Consumers are therefore de­lib­er­ately deceived in order to achieve com­pet­it­ive ad­vant­ages in the short term. This kind of approach, however, per­man­ently damages the image of a company.

Ex­plain­ing green marketing with an example

The following examples il­lus­trate the skilful im­ple­ment­a­tion of green marketing in a medium-sized company, as well as in a large in­ter­na­tion­al company.

1) Patagonia

Patagonia is an outdoor clothing company based in Cali­for­nia, with a strong com­mit­ment to the en­vir­on­ment and is a great example of green marketing. Founded by ac­com­plished rock climbers, the brand scores high in terms of au­then­ti­city when it comes to its en­vir­on­ment­al com­mit­ments. Even though, ad­mit­tedly, many of the garments they produce are made of plastic, Patagonia are quick to ac­know­ledge this issue, and are working on ways to combat mi­cro­plastic pollution that occurs when their plastic-based garments are washed in a washing machine.

The company is deeply involved with en­vir­on­ment­al pro­tec­tion and land pre­ser­va­tion, and is willing to delve into politics to achieve its en­vir­on­ment­al goals. Patagonia donates 1% of annual earnings to en­vir­on­ment­al groups and is involved in the Go Green movement. Its green marketing strategy is visible in its company mission, and is hugely suc­cess­ful, thanks to its authentic image and com­mit­ment to education and sus­tain­ab­il­ity.

2) Ikea

While Ikea is syn­onym­ous with low cost, mass produced homewares, the company has made strides in recent years when it comes to sus­tain­ab­il­ity in both its products, and work processes. Ikea sources half of its wood from sus­tain­able growers, and all cotton from Better Cotton standard-meeting suppliers. Ninety percent of Ikea stores are kitted out with hundreds of thousands of solar panels, and plans have been announced to be com­pletely powered by re­new­ables by 2020.

Ikea has also im­ple­men­ted a strategy called People & Planet Positive, which en­cour­ages consumers to consider the en­vir­on­ment when pur­chas­ing. This strategy also includes im­ple­ment­ing eco-friendly practices in the pro­duc­tion process, making product ranges more sus­tain­able.

Ikea has been re­cog­nised by the Impact Company for its work on human rights, as well as the en­vir­on­ment.

Please note the legal dis­claim­er relating to this article.

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