Green marketing

Flow of presentation

• Definition

• Challenges in green marketing

• Evolution of green marketing

• Consumer environmental segments

• Green marketing mix

• Top companies that paint India green

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.

The products those are manufactured through green

technology and that caused no environmental hazards

are called green products

INICIATIVES TAKEN IN INDIA FOR

GREEN MARKETING

REVA ELECTRIC CAR: MAHINDRA & MAHINDRA LIMITED

Indian Green building council, formed by

Confederation of Indian Industry (CII) in the year

2001, is continuously striving towards wider adoption

of eco-friendly / green building concepts in the Indian

Industry.

CHALLENGES IN GREEN MARKETING

1 • Need for Standardization

2 • New Concept

3 • Patience and Perseverance

4

• Avoiding Green Myopia

Need for Standardization

It is found that only 5% of the marketing messages from Gree campaigns are entirely true and there is a lack of standardization to authenticate these claims. There is no standardization currently in place to certify a product as organic. Unless some regulatory bodies are involved in providing the certifications there will not be any verifiable means. A standard quality control board needs to be in place for such labelling and licensing.

International Journal of Innovations in Engineering and Technology (IJIET)

New concept

Indian literate and urban consumer is getting more aware about the merits of green products. But it is still a new concept for the masses. The consumer needs to be educated and made aware of the environmental threats. The new green movements needs to reach the masses and that will take a lot of time and effort. By I dia’s ayurvedic heritage, Indian consumers do appreciate the importance of using natural and herbal beauty products. Indian consumer is exposed to healthy living lifestyles such as yoga and natural food consumption. In those aspects the consumer is already aware and will be inclined to accept the green products.

Patience and Perseverance

The investors and corporate need to view the

environment as a major long-term investment

opportunity, the marketers need to look at the

long-term benefits from this new green

movement. It will require a lot of patience and

no immediate results. Since it is a new

concept and idea, it will have its own

acceptance period.

Avoiding Green Myopia

The first rule of green marketing is focusing on customer

benefits i.e. the primary reason why consumers buy certain

products in the first place. Do this right, and motivate

consumers to switch brands or even pay a premium for the

greener alternative. It is not going to help if a product is

developed which is absolutely green in various aspects but

does not pass the customer satisfaction criteria. This will lead

to green myopia. Also if the green products are priced very

high then again it will lose its market acceptability.

Contd...

• Green marketing encourages green

products/services, green technology, green

power/energy; a lot of money has to be spent

on R&D programmes. Thus practicing green

marketing initially will be a costly affair.

Contd...

• The customers may not believe in the firms strategy of Green marketing, the firm therefore should ensure that they convince the customer about their green product, this can be done by implementing Eco-labelling schemes. Eco-labelling schemes offer its approval to e viro e tally less har less products have

been very popular in Japan and Europe. In fact the first eco-label programme was initiated by Germany in 1978.

Contd...

• Initially the profits will be very low since

renewable and recyclable products and green

technologies are more expensive. Green

marketing will be successful only in long run.

• Many customers may not be willing to pay a

higher price for green products which may

affect the sales of the company.

Google Trends reports that “green marketing” originated from India than from any other country

RANK COUNTRY

1 INDIA

2 UK

3 US

4 THAILAND

5 AUSTRALIA

6 CANADA

7 CHINA

E

V

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T

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Evolution of Green Marketing

ECOLOGICAL

ENVIRONMENTAL

SUSTAINABLE

First phase

"Ecological" green marketing and during this

period all marketing activities were concerned

to address environment problems and provide

remedies for environmental problems.

Second phase

"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

"Sustainable" green marketing.

It came into prominence in the late 1990s and

early 2000.

Consumer Environmental Segments

• True blue greens (30%)

• Greenback Greens (10%)

• Sprouts (26%)

• Grousers (15%)

• Apathetic (18%)

True blue greens (30%)

True Blues are the environmental leaders and

activists. They are characterized by a strong

knowledge of environmental issues. They are

more likely than the average consumer to

engage in environmentally conscious

behaviour, such as recycling

Greenback Greens (10%)

Greenbacks do not have the time or inclination

to behave entirely green. However, they are

more likely to purchase green.

Sprouts (26%)

Sprouts are environmental fence sitters. They

feel some environmental issues are worth

supporting, but not others. They will purchase

an environmentally conscious product, but

only if it meets their needs.

Grousers (15%)

Grousers believe that their individual

behaviour cannot improve environmental

conditions. They are generally uninvolved and

disinterested in environmental issues.

Apathetic (18%)

Apathetic are not concerned enough about the

environment to do anything about it. They

also believe that environmental indifference is

mainstream.

4 gree p’s of marketing

Green product

Green promotion

Green place

Green price

Top Companies that Paint India Green

1. Suzlon Energy

The world's fourth largest wind-turbine maker is among the greenest and best Indian companies in India. Tulsi Tanti, the visionary behind suzlon, convinced the world that wind is the energy of the future and built his factory in Pondicherry to run entirely on wind power. Suzlori's corporate building is the most energy

efficient building ever built in India .

2. ITC Limited

ITC strengthened their commitment to green technologies by introducing 'ozone treated elemental chlorine free' bleaching technology for the first time in India. The result is an entire new range of top green products and solutions: the environmentally friendly multi-purpose paper that is less polluting than its traditional counterpart.

3. Tata Metallic's Limited(TML)

Every day is Environment Day at TML, one of

the top green firms in India. A practical

example that made everyone sit up and take

notice is the company's policy to discourage

working on Saturdays at the corporate office.

Lights are also switched off during the day

with the entire office depending on sunlight

4. (TNPL)Limited

Adjudged the best performer In the 2009-2010

Green Business Survey, TNPL was awarded the

Green Business Leadership Award in the Pulp and

Paper Sector. The initiatives undertaken by this

top green firm in India includes two Clean

Development Mechanism projects and a wind

farm project that helped generate Carbon

Emission Reductions earning Rs. 17.40 Crore.

5.GREEN IT PROJECT: STATE BANK OF INDIA (SBI)

By using eco and power friendly Equipment in its 10,000 new atms, the

Banking giant has not only saved power Costs and earned carbon credits,

but also Set the right example for others to follow. Sbi is also entered into

green service Known as gree channel cou ter . Sbi Is providing many

services like; paper less Banking, no deposit slip, no withdrawal Form, no

cheques, no money transactions Form all these transaction are done

through Sbi shopping & atm cards. State bank of India turns to wind

energy to reduce Emissions. The wind project is the first Step in the state

bank of India's green Banking program dedicated to the Reduction of its

carbon footprint and Promotion of energy efficient processes, among the

bank's clients.

The 2011, top 10 Green Brands in India are:

1. AMUL

2. Dabur India ltd.

3. Infosys

4. Taj Hotels

5. Britannia Industries ltd.

6. Suzlon India

7. Hindustan Unilever Ltd.

8. Wipro technologies ltd.

Contd...

9. Maruti Udyog ltd.

10. Godrej Consumer Products

INTERNATIONAL JOURNAL OF SOCIAL SCIENCES & INTERDISCIPLINARY RESEARCH

Conclusion

From the above, conclude that Green

marketing is not going to be an easy concept.

The firm has to plan and then carry out

research to find out how feasible it is going to

be. Green marketing has to evolve since it is

still at its infancy stage. Government and

Social organizations may compel all the

organization to practice Green Marketing for

sustainable development.

REFERENCES

• www.ajms.co.in

• www.borjournals.com

• www.ssijmar.in

• www.ijsrm.in

• Indianresearchjournals.com

• www.google.com

• www.skirec.com

Thank you