Contemprory Green Marketing Paper Essay Example

presumed to be environmentally safe. It includes all activities aimed at meeting human needs while minimizing negative impacts on natural resources.

Despite its importance in business operations, there has been a lack of academic research on environmental or green marketing. Nonetheless, some businesses have incorporated concepts like environmental management systems and waste reduction into their operations.The term "Green Marketing" encompasses environmentally-friendly approaches in the production, marketing consumption, and disposal of products and services. Businesses are recognizing the importance of transitioning towards green practices due to increased awareness of global warming and pollution. Initially considered expensive, embracing green practices will ultimately be cost-effective in the long run. According to Jacqueline Ottoman (1993), Green Marketing has two main objectives: achieving organizational goals and developing products that are convenient, affordable, economically priced, perform well while minimizing environmental impact. Green Marketing involves modifying products, changing production processes, adjusting packaging, and aligning advertising with societal and environmental interests. It is also referred to as Ecological Marketing or Environmental Marketing. The term "Green Marketing" gained popularity after the American Marketing Association held its first workshop on "Ecological Marketing" in 1975 during the rise of the Green Movement in the U.S., driven by concerns about environmental issues and increasing customer awareness. Sustainable development plays a vital role in this context.The World Commission on Environment and Development defined sustainable development in 1987 as meeting present needs without compromising future generations' ability to meet their own needs. Green Marketing, according to the Borderland Report, can assist corporations in achieving success by aligning with sustainable development, profitability, experienced image, and economic progress. Both developed and developing countries are increasingly concerned about the deterioration of the environment

and its social, ethical, health, and safety-related aspects. Jacqueline Ottoman, an expert and consultant in Green Marketing, suggests that successful green organizations should integrate environmental considerations into all marketing elements such as manufacturing, packaging, and providing efficient and high-quality green products that do not harm consumers in the long run. Promoting sustainable development requires utilizing natural and man-made resources in a way that enables future generations to access them for their needs; thus policies need to be implemented for environmentally friendly manufacturing processes now and in the future. Despite increased awareness about Green Marketing over the past decade, customers and manufacturers still have confusion due to a lack of understanding about its broader scope.The global concerns about climate change have led to momentum in the Green Marketing movement, which aims to create a green environment and promote sustainable development. This approach connects and influences producers, consumers, and government mechanisms. Examples of environmentally beneficial products and services include using post-consumer wastepaper for paper production, selling cereals without excessive packaging, shade-grown coffee beans, safe cleaning supplies for humans and the environment, wood from sustainable forests, energy-efficient light bulbs and cars, and renewable sources of energy like windmills and solar power. Green Technology or Environment Conservation protects natural resources such as vegetation, groundwater, flora, fauna,and air by using green products and services. The concept of Green Supply Chain focuses on using environmentally friendly inputs to improve or recycle within the existing environment for a sustainable supply chain.Green Packaging uses renewable materials that are biodegradable and non-toxic for snacking purposes. Centralization helps to reduce waste produced during manufacturing processes. Greenmailing refers to the deceptive practice of promoting environmentally friendly

practices, products, and services through branding, misleading packaging or public relations. CEO-labeling is the process of labeling products and materials to indicate their environmental quality and impact on the environment. These labels are typically given by third-party organizations based on specific environmental criteria.

Sustainable development aims to meet current needs without compromising future generations' ability to do the same. The objectives of green marketing involve providing environmentally friendly products that are convenient, comfortable, high-performing, reasonably priced, easy to use, and efficient while also meeting organizational goals. Other objectives include enhancing environmental quality, increasing customer satisfaction, promoting sustainable manufacturing and packaging strategies for green products, maximizing productivity of natural resources, implementing eco-friendly production techniques and CEO-labeling programs for recycling scrap and waste materials to create alternative products while utilizing low-energy byproducts and substitutes with minimal cost consumption.Green products are characterized by their efficiency, cost-effectiveness, health and safety benefits, performance symbolism, status, and convenience. The term "green" can have various meanings (Fig.). There are multiple reasons why organizations should embrace green marketing. Firstly, it presents an opportunity to achieve business and social objectives. Secondly, organizations have a moral obligation to be socially responsible. Governments take actions to promote responsibility and reduce pollution by encouraging the use of alternative energy sources, effective waste management, the use of biodegradable materials, and banning hazardous products. Consumer awareness and pressure from NGOs also drive organizations to adopt green marketing practices. Competition among companies further intensifies this pressure. Moreover, cost factors such as waste disposal incentivize organizations to implement green marketing strategies.

Furthermore,the contemporary approach to green marketing goes beyond offering environmentally friendly products; it involves providing consumers with content that is also environmentally

friendly. This can be achieved through the utilization of recycled materials or repurposed goods in production.Efficient products not only conserve resources like fuel and water but are also manufactured in an environmentally-friendly manner. NIKKEI markets its Air Jordan shoes as environment-friendly by significantly reducing the use of glue adhesives. Similarly, many well-known brands that sell leather goods produce their items using artificial leather and emphasize this fact.

Green Pricing takes a holistic approach, considering the impact on people and the planet along with profit. It prices products to cover expenses on green ingredients while also taking into account the health of individuals and the environment. Walmart introduced its first recyclable cloth shopping bag and started charging for plastic bags as part of its commitment to sustainability. Metro Cash & Carry mega malls in India have also adopted this approach.

Green Place focuses on managing logistics to reduce transportation emissions and decrease the carbon footprint. They achieve this by licensing local production instead of shipping imported fruit drink brands, thus avoiding transportation costs, emissions, and pollution. The practice of licensing local production is common among reputable drink brands.

Green promotion involves various forms of communication such as campaigns, advertising, marketing materials, signage, white-papers websites videos,and presentations.TIC introduced chlorine-free papersand boards that are environmentally friendlyToyota actively promotes their hybrid cars that run on both electricity and gas. They also advertise other businesses like reliance fresh, Fresh @ Maidenhair, and Fresh & Dies. Additionally, they have billboards promoting green concrete blocks by Pocketed Cements.

Many companies are integrating green initiatives throughout their organization to align their corporate brand with social responsibility and environmental stewardship. This not only improves customer relationships but also

has a positive impact on financial performance. A notable example is United Parcel Service (UPS), which reduced delivery routes resulting in significant savings of 3 million gallons of gas and a decrease in carbon emissions by 31,000 metric tons. UPS is focusing on developing its brand image through efficiency and environmental conservation.

One effective way to incorporate ecological elements into marketing materials is by utilizing well-known symbols like the recycling symbol composed of chasing arrows, created by Gary Anderson in 1970 for a design competition. Some other well-known symbols that represent different certifications or qualities include USDA Organic for organic food ingredients, Forest Stewardship Council (FCC) for responsibly produced wood and paper products, and Energy Star for energy-efficient homes, buildings, and electronics.

However, it's important to be careful when using these labels as not all consumers recognize them.Marketers should evaluate the credibility, meaning, recognition, and alignment of their logo with their target audience's message. To involve consumers in green marketing efforts, companies can motivate them to participate in campaigns or encourage other marketers to join online green programs. Many marketers have received positive feedback by engaging customers in marketing activities. Dam's "Recycle Please" program is an example of a nationwide public education campaign that urges DAM members to display the "Recycle Please" logo in catalogues and direct mail pieces. Additionally, respecting customer choices and preferences can reduce unnecessary mailings. DAM implemented its Commitment to Consumer Choice policy in 2007 to inform customers about modifying or opting out of commercial communications opportunities. Companies are now adopting a lifestyle approach by using green materials and products to minimize waste in their marketing campaigns. Popular choices include recycled papers approved

by the FCC and PEFC as well as vegetable and soy-based inks. Smaller formats and trim sizes are also used to decrease paper usage. For instance, Decoder exclusively uses PEFC and FCC-certified paper despite the slightly higher cost for aromatherapy and skincare treatments.
In addition, the company only works with printers that have FCC certification. They also discontinued business with a printer that was not environmentally friendly, but resumed after it became newly certified after six months. Another trend is the shift towards digital marketing. According to Forrester Research's projections in 2009, digital marketing was expected to reach $25.6 billion by 2014, accounting for 21 percent of all marketing spend. This includes various channels like mobile marketing, social media, email marketing, display advertising, and search marketing.
To promote environmental awareness further, many companies now require their employees to remind email recipients about considering the environment before printing. These trends have led to an increased significance of green marketing strategies in today's market. According to Polygons (1991), innovation, flexibility, and adaptation to change offer profit potential.
As a response to the growing demand for eco-friendly products, new rules and regulations have emerged in green marketing.Ottoman consulting suggests seven strategies for organizations to succeed in this area. These strategies include gaining a comprehensive understanding of various environmental, economic, political, and social factors that impact consumers, products, and services presently and in the long run. It also involves creating new products and services that balance consumer preferences for high quality, convenience, affordability, and minimal environmental impact throughout their lifecycle.

Another strategy is to educate consumers about the issues affecting your business and highlight the benefits of your environmentally friendly offerings. Establishing credibility

for marketing efforts is also important. Organizations should communicate their commitment to sustainability and promote their core values.

Furthermore, maintaining perseverance and continuously striving for zero environmental impact in products and processes while learning from mistakes made is crucial.

Many organizations have adopted green marketing practices to better cater to consumer needs. For example, McDonald's replaced its clam shell packaging with waxed paper due to growing consumer concerns about polystyrene production and ozone depletion. Similarly, Xerox introduced a new recycled photocopier paper targeting environmentally conscious firms.

However, it is important to note that not all companies who promote environmental initiatives actually improve their behavior.Body Shop actively promotes its commitment to the environment, as it was specifically established to provide eco-friendly alternatives to conventional cosmetic products. Meanwhile, Coca Cola invests in recycling activities and modifies packaging to minimize their environmental impact, although they do not extensively advertise these efforts. Walt Disney World has implemented a comprehensive waste management infrastructure but does not prominently feature these facilities in their general tourist promotions. In India, Updater Thermal Power station of NNTP in Delhi is searching for ways to utilize coal-ash, a major source of pollution. Similarly, OIC's Brain refinery is taking measures to reduce air and water pollutants. These actions demonstrate organizations' sense of responsibility towards the global community (Davis 1992). Consequently, companies can achieve both their profit goals and make positive contributions to the environment by implementing environmental policies worldwide. The Window company from Taiwan focuses on researching and developing innovative high-tech products that promote resource utilization efficiency and contribute to the advancement of the information society. They also adhere to ISO 14001 clauses for establishing and reviewing environmental objectives

and targets throughout all aspects of their activities, products, and services.Similarly, Johnson & Johnson's objective is to identify waste sources within their plants, create a five-year plan to decrease waste, estimate cost savings resulting from waste reduction, benchmark best practices from other companies, and establish measurable goals. McDonald's addresses concerns about polystyrene production and ozone depletion by substituting clamshell packaging with waxed paper. Xerox has responded to the demand for more environmentally friendly products by introducing a high-quality recycled photocopier paper. Overall, these companies share a vision of being socially responsible while pursuing their business objectives.

Jerry has connected stakeholder prosperity with continuous evaluation and improvement of performance aligned with the company's four missions. A significant global green practice example is Tests investing $Mann into environmental technologies aimed at reducing energy consumption by 50% compared to 2000 levels by 2010. Additionally, there are plans to construct 80 new stores in Britain that prioritize sustainability using recycled materials and generate electricity through burning food waste. Furthermore, the company provides incentives to customers in order to reduce their usage of plastic bags with a goal of decreasing consumption by 25% within two years.In May, Renewable Energy Corp., a Norwegian solar energy company, accomplished the biggest-ever renewable energy PIP. As part of multiple green ventures led by former Goldman and Nature Conservancy head Henry Paulson, who previously served as the US Treasury secretary, Goldman Cash invested $30 MN in Canadian alternative-fuels company Logon.

According to a recent report from the climate group, 43 multinational companies including Brayer and Dupont saved a total of $11.6 billion last year through various sustainable practices such as enhancing energy efficiency, reducing waste, and utilizing

solar power.

Gee's CONTAMINATION campaign aimed at decreasing carbon emissions resulted in revenue growth from $6 billion in 2004 to $10.1 billion in 2005 by selling low-emission products like power plants and fluorescent light bulbs.

Swiss Re and Munich Re, the world's two largest insurance companies now consider the impact of climate change when assessing risks.

Around 800 companies in Japan publish annual reports outlining their plans to reduce carbon emissions and promote greener practices.

Two major companies, General Electric and British Petroleum have joined forces to develop hydrogen power plants that capture and store carbon underground with the objective of mitigating global warming.

Goldman Sachs has invested billions of dollars in renewable energy sources including biofuels.Market trends indicate that companies implementing environmentally-friendly operations may have more consistent stock prices, as demonstrated by the SEG Index. Some venture capitalists who previously supported the dot com boom now perceive alternative energy as a promising investment opportunity. For instance, Vinod Khosla, a renowned Silicon Valley investor in companies like Google and Amazon, is allocating a significant portion of his funds towards next-generation ethanol. Last year witnessed record levels of venture capital funding for renewable energy firms with a 36% increase. The WilderHill Clean Energy Index, which monitors 40 alternative energy firms, has experienced remarkable growth at a rate of 485% since its launch in 2004.

Solon Energy, the world's largest wind turbine energy firm, had overwhelming demand when it debuted at $340 million last year - it was oversubscribed by 28 times. China's Sunsets Power and Germany's Q-cells both secured substantial funding in December. Sunsets Power raised a total of $X million while Q-cells raised an impressive $400 million, making it Europe's largest

venture capital backed Private Investment Placement (PIP) in the past year.

In numerous Asian countries, there is popularity in using herbs and plant extracts in cosmetics and toiletries. Recently, there has been a growing trend to promote these products under green marketing initiatives. This shift has resulted in an influx of global and local companies entering the Thai market.The State Bank of India is setting an example in implementing CEO and power-friendly equipment in their new branches, resulting in cost savings on power usage and carbon credits. They have introduced "Green Channel Counter" services that enable paperless banking using SIB shopping and ATM cards. The bank is also exploring wind energy to further reduce emissions.

The Data Group is actively working towards reducing their carbon footprint across various aspects of their business. Specifically, Data Steel aims to decrease carbon dioxide emissions at Jackhammers Lana from current levels to 1.7 tons per ton of liquid steel by 2012. Data Motors plans to create an environmentally friendly showroom with natural building materials and energy-efficient lighting systems.

The Indian Hotels Company, operator of the Tag chain, is introducing eco-friendly CEO rooms equipped with energy-efficient mini bars and bedding made from recycled paper. Moreover, Tag Green Cove in Coverall has implemented a biogas-based power plant that utilizes hotel waste for cooking purposes.

Green Suburban Transport India intends to reduce carbon emissions by 20-25%. However, Mamba's new electric suburban trains have already surpassed this goal by decreasing carbon emissions by 40% and consuming 30% less electricity compared to traditional trains. These trains also feature a regenerative braking system that allows for energy reuse among other trains on the same track.By utilizing Wiper's Green It.Wiper

solution, you have the opportunity to make advancements towards a sustainable future. This can be achieved through cost reductions, minimizing carbon footprints, enhancing efficiency, and safeguarding the environment.