Green Marketing
Green Marketing
Green Marketing
RAJAT REKHI
(24-MBA-07)
OVERVIEW
• INTRODUCTION.
• DEFINITION.
• THE FOUR P’s OF GREEN MARKETING.
• BENEFITS.
• LIMITATIONS.
INTRODUCTION
• PEOPLE ARE WORRIED.
Depletion of ozone layer
• ENVIRONMENTALISM IS A CORE SOCIETAL VALUE.
Kyoto Protocol and save Ganges project.
• CITIZENS ARE RESPONDING.
Reuse of coke bottles and news papers.
• GREEN PRODUCT SALES SOAR
“Tree Free” pencils and paper.
• CHILDREN ARE GREEN.
Education and Awareness
• TRADING PARTNERS ARE GREEN
Recycling a top priority for Xerox, IBM, Hewlett-Packard
DEFINITION
• Green marketing involves developing and promoting
products and services that satisfy your customers’
wants and needs for quality, performance, affordable
pricing and convenience without having a detrimental
impact on the environment.
• 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 FOUR P’s OF GREEN
MARKETING
• PRODUCT • PRICE
Identify customers’ Most customers will only
environmental needs and be prepared to pay a
develop products to premium if there is a
address these needs. perception of additional
Develop environmentally product value.
responsible products to Environmental benefits
have less impact than are usually an added
competitors. bonus but will often be
McDonalds, for example, the deciding factor
changed their packaging between products of
from polystyrene equal value and quality.
clamshells to paper. Nilkamal, introduced
cheap plastic molded
furniture.
THE FOUR P’s OF GREEN
MARKETING
• PLACE • PROMOTION
Very few customers will go out Includes paid advertising,
of their way to buy green public relations, sales
products merely for the sake of promotions, direct marketing
it. and on-site promotions.
Green products, in most cases, Green marketers will be
positioned broadly in the market able to reinforce
place so they are not just environmental credibility by
appealing to a small green using sustainable marketing
niche market. and communications tools
and practices.
In-store promotions and visually
appealing displays or using For example, many
recycled materials to companies in the financial
emphasise the environmental industry like ICICI Bank are
and other benefits providing electronic
statements by email.
Scotch Brite Never Rust wool
Soap Pads by 3M ;made from
100% recycled PET plastic.
BENEFITS
• MORE PROFITS.
Use of solar Energy and Recycled raw material.
For ex; Crane’s "Old Money" and "Denim Blues" Recycled Papers.
• COMPETITIVE ADVANTAGE
Rayovac, introduced Renewal brand reusable alkaline batteries.
Philips Lighting, inventors of compact fluorescent lighting technology.
• INCREASED MARKET SHARE
Compaq PC, emblazoned with the Energy Star energy-saving designation.
Crown paper; carry-out bags and speckled (recycled) napkins at
McDonald's.
• BETTER PRODUCTS.
Energy Efficient AC’s by Voltas and Samsung.
• PERSONAL REWARDS, TOO
Better Environment And Less Pollution.
LIMITATIONS
• OVEREXPOSURE AND LACK OF CREDIBILITY.
Printing “100% Recycle";" essentially non-toxic" and
"biodegradable” but not implementing.
For ex.; Safe Brands, Sierra Anti-Freeze/Coolant
• CONSUMER BEHAVIOR.
Consumer not willing to pay more and dislike of the green
products features.
For ex.; GM's EV-1 electric car couldn't stand a chance in
mainstream markets because of cost and recharging.
• POOR IMPLEMENTATION.
Poorly prepared marketing program.
Lack of education and awareness about the product.
For ex.; Less preference for Eco-Friendly Batteries of Amaron
THANK YOU!!!!!!!!!!