The Efficacy of Eco-Marketing
In the last decade, many companies have ventured into marketing that involves advocating that products are environmentally friendly. Why?
Environmental Marketing, Eco-Marketing or Green Marketing, all are terms for promoting products and services on the basis of their real or perceived environmental benefits, assuming potential consumers perceive ‘greenness’ as a benefit and are willing to pay more for it.
Green Marketing strategies generally aim to implement sustainable business practices, demonstrate social responsibility, reduce packaging and transportation expenses and demonstrate the safety and mindfulness of a product/service.
In the present times, it has become one of the most used methods of marketing because of the degrading condition of the environment and climate change. With green marketing campaigns, companies show that they are concerned about the environment and are doing their bit to save it.
This gives rise to a much pondered upon question: Is it really effective or only good in theory?
According to a study done by the University of East Anglia in UK, companies should reduce excessively promoting the eco-friendliness, because not doing so can put consumers off. Even though there is a drastic change in the lifestyles of people, they may not opt to buy “green” products all the time and environmental marketing may not work for every consumer segment.
ITC is the epitome of green marketing success in India, and its campaigns can be a good example of how should companies deploy their eco-marketing strategies. You can find some examples below and read more on their website.
- Moment Eco-Marketing: Moment Marketing is the ability to engage relevant trends/or days in marketing. The 2020 World Environment Day was celebrated by ITC by reminding its customers how it has strived to replenish and enrich the environment and encouraged them to do the sam
ITC - World Environment Day 2020
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2. Green Products and Services: ITC has launched “green products” and services like PaperKraft, Nimyle.
3. Green Initiatives: ITC has increased its credibility among its customers and has helped it gain a competitive advantage by launching green initiatives like E-choupal (video given below), Wow-Well Being Out of Waste etc.
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Aspirations bring change. Aspirations drive growth. Aspirations build a Nation.At ITC, we believe, the path-breaking…
Hence, even though Green Marketing can accrue a lot of benefits to the companies practising, it has the following disadvantages which can potentially be a challenge to all companies aiming to venture into the same:
- High Initial Costs: Green marketing requires large investments in research and development, product development and the introduction of new technologies. It is also very expensive to get Green Certifications.
- Less Awareness: Green Marketing is still at its nascent stage and people have to be made aware of it to successfully leverage its benefits.
- Greenwashing: Companies can, knowingly or unknowingly, make false claims about the sustainability of their products, which can mislead the consumers.
- Higher Price: If consumers don’t perceive ‘greenness’ as a benefit then they may not opt for the same as usually green products have a higher price.
- Poor Marketing Plan and Implementation: If necessary research is not being done, a poor marketing plan can backfire.
Green Marketing is the future for many companies and it helps to protect the environment. It is about grabbing a different marketing perspective by looking at the global impact we have on environmental degradation. It speaks of the brand’s ability to meet customer needs while minimizing environmental impact. However, it is still at its nascent stage and it has to be effectively and carefully put to use because it has positive impacts not only on the environment but on consumers, the general public and economies as well.
Good Luck with your Eco-Marketing Initiatives!