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Green Marketing Strategies: Theoretical Approach

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DOI: 10.31150/ajebm.Vol2.Iss2.69

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AMERICAN JOURNAL Vol. 2, No.AND
OF ECONOMICS 2,BUSINESS
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ISSN: 2576-5973
Vol. 2, No.2, June 2019

Green Marketing Strategies: Theoretical Approach

1
Akram Mohamad Alhamad, 2Mohd Zukime Bin.Mat Junoh, 3Tunku Salha binti Tunku Ahmad, 4Bilal
Eneizan
123
School of Business and Entrepreneurship, University Malaysia Perlis, Malaysia

4
Head of Marketing Department, Jadara University, Jordan

Correspondent author: karom20@yahoo.com DOI 10.31150/ajebm.Vol2.Iss2.72

Abstract: Green marketing movement, much as green consumption, reflects businesses’

responsibility toward society to ensure that they conduct their activities in a way that minimizes
the negative effects on the environment. Therefore, for the last thirty years green market is the
highly discussed topic in the research area. The paper explored issues are linked with the
theoretical approach of green marketing strategies with on consumers’ behavioural intention to
purchase green product. In addition, to elaborate the importance of green marketing strategies are
indicating improvement. The application and mechanics green marketing strategies discussed
related to the implementation of the current practices of environmental green product
improvement that adopted in firms.
Keywords: Green Marketing Strategies, Green Products.

Introduction
In the current environment and market; the trends are changed and now focused of the world is
towards the use of green marketing that enable them to produce or manufactured those goods that
are effective for consumers and for the environment safety (Schiffman and Wisenblit, 2014). There
are two concerns for the international community about the environment are global warming and
climate change that has urges the manufacturers to focus upon using the eco-friendly products that
contribute their responsibility towards sustainable environment (Abdulsahib et al, 2019 ; Eneizan,
2019; Alnoor et al, 2018; Eneizan et al, 2018; Eneizan, 2017; Eneizan et al, 2016a, 2016b, 2016c).
For the last thirty years, green market is the highly discussed topic in the research area. (Peattie,

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1995; Polonsky and Mintu-Wimsatt, 1995; Schlegelmilch et al., 1996; Fuller, 1999; Kalafatis et al.,
1999; Eneizan & Obaid, 2016; Eneizan & Abd Wahab, 2016a). Those consumers or customers that
are aware about the environmental safety are keen to urge the business community to focus upon
the green products and green consumers as well (Papadopoulos et al, 2010). Therefore; there is a
change in the marketing strategies that was traditional now it is becoming the green marketing
strategies and also supported by the professionals as well; the era of focusing upon the environment
started from the late 1980s and initial phase of 1990s (Diamantopoulos et al, 1994; Chan and Lau,
2000). Since the 1990s; the evolution started by the researcher to focus upon the green market and
suggested it is a future and effective green market that will grow adequately as the time passed by
(Menon and Menon, 1997); it will be having the high growth rate (Schlegelmilch et al, 1996). In
the continuity there are different consumers that have shown great confidence in the green products
in the late 2000s. In the world; green marketing activities are being done in different countries in
order to motivate the consumers to focus upon the environmental perspective prior to make any
purchasing decision (Eneizan et al, 2015a, 015b, 2015c, 2015d). This type of marketing is using
different tools such as; eco-labelling, green branding, environmental safety marketing are helpful
in developing the awareness and perception about the green products instead of non green products.
Therefore examining the consumer’s perceptions of the marketing strategies is essential for the
success of this market (Sukri et al., 2016). There are different studies were conducted in the past to
analyze the behaviour, intention, attitudes, purchasing decision of the consumer regarding the green
products, aim of the research is to analyze the impact of these green strategies on the attitude and
intention to make purchasing decision in the favour of green products in perspective of Malaysia
that are not even concluded adequately (Tan et al, 2017).
The research study is initiated to examine the influence of green marketing strategies (Labelling,
packaging and branding, advertising, price premium, and eco-image) on consumers’ behavioural
intention to purchase green product. This paper is divided into three different sections. The first
section depicts the understanding of concept of green marketing strategies while other area reviews
the history of green marketing strategies. The third section will be an illustration of the categories
of green marketing strategies. The final section summarizes the findings and provides a conclusion.

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Concept of Green Marketing

The illustration of eco or environmental promotion is being done to substitute the products that are
highly damageable to the environment with those that are environmental friendly (Stanton and
Futrell, 1987). It is evident that green marketing involve different feature in the organizational
operation that are required to be changed such as: change in the product, change in the
manufacturing method, supply chain should be modified and highly important that these products
or services should be meet the desires or needs of the customers. These all activities of green
marketing are aimed to facilitate the satisfaction of the customers and contribute towards sustainable
environment. Green or Ecological or Environmental Marketing (Tiwari et al., 2011) emerged as a
trend in the 1990’s following a long line of environmental responsibility research, starting from the
1970’s and focusing consumer behaviour that are not indented towards consumption, on ecology,
on air pollution and on after the purchase of the consumer behaviour like reproducing and using the
waste for manufacturing (Ramayah et al., 2012). There are plenty definitions and approaches as to
what green marketing is. For Tiwari et al. (2011) it is suggested that green marketing is the highly
holistic approach that includes manufacturing, conducting marketing, reuse of waste products that
will be effective for the environment and for the society as well because the impact of global
warming, use of waste products, and reduction in the pollution and others features. Green marketing
is the comprehensive approach that are required to explore, intimidate and make the customers
comfortable to ensure profitability in the sustainable manners. Green marketing is being suggested
as the best business opportunity for the entrepreneurs to develop highly innovative and new products
that meet the customers’ desires and be a part of the competition in the market (Laroche et al, 2001).
There are three stages that are discussed in the green marketing; the products are focused to be
produced on the grounds of environmental issues; the shift in the technology that should be focused
upon green and environmental safe technology to be used; the feature of sustainability has to be
ensured.
Green marketing movement, much as green consumption, reflects businesses’ responsibility toward
society to ensure that they conduct their activities in a way that minimizes the negative effects on
the environment (Tiwari et al., 2011). The emergence of this green dimension offered new business
opportunities for organizations and marketers to develop pro-active environmental strategies and
launch environmentally friendly or green products. Effective marketing strategies can help position
this category of products in the competitive arena and gain a competitive edge by differentiating

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themselves from similar but non-green alternatives.Other than gaining a competitive advantage
firms adopt green marketing strategies for many reasons (Tiwari et al., 2011): it is suggested that
organization is focusing upon the sustainability that will transform their organizational culture.? to
respond to governmental pressures, to address competition, and to take advantage of cost savings
in the production process.
There are certain goals of the green marketing that are: it is to be ensured that products that are
being produced should be having no wastage; it is required to be consistent in the environmental
policy to produce different products; give value to the customers for that they are paying and reduces
the cost of the productions; generate profitability through developing operations that focused
through the environmental safety. Green marketing is not a simple concept but it is a complete and
comprehensive approach towards the advertisement that indulges the product innovation, change in
the production measures and even in packaging of the products that also for the consumers that are
in the retail sector or in the industrial as well (Tiwari et al, 2011).
According to Tiwari et al. (2011) there are two underlying assumptions of green marketing:
first, that the green characteristics of a product will be perceived by potential consumers as a benefit
and affect their purchasing decision accordingly, and second individuals will be happy to bear the
cost of green products compared to conservatives. These two assumptions imply that the
“greenness” of a product is an additional trait or function that should render a higher price than
conservatives a logical outcome. Now, how consumers perceive these assumptions in conjunction
with other influential factors is a very interesting subject. It is therefore extremely important for
businesses to understand how a consumer decides about the purchasing of products that should be
green or not. The focus of our analysis is not if the product in question is environmentally friendly
per se. It is the consumer’s perception of a product being environmentally friendly and how this
affects his/her attitude and purchase behaviour that interests us.

History of Green Marketing

Green marketing began to surface in the 1960’s when an increase in concern for environment was
noted (Feldman, 1971). Environmental workshop was being arranged in 1975; which is being
arranged in Texas (US) and the importance of marketing of environment- friendly products was
appreciated for the first time. Since then, eco marketing includes different stages. There are three
stages of green marketing. The first stage is associated with the environmental marketing, which
was concerned with environmental problems and their remedies. The focus of marketers in this

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phase was on local concerns and the particular hazardous issue that are associated with the
environment is: polluted air, reduction in oil capability, impacts of pesticides, etc. Ecological
marketing at that time was only a small portion of the society was based upon little individuals and
firms were willing to change their behaviour.
The second phase emerged during the latter half of the 1980s and was called as eco friendly
promotion. The focus had shifted to embracing clean technology which was expected to be free
from problems of contamination and squander generation. The idea of clean technology emerged
due to the occurrence of environmental damaging incidents such as Bhopal gas tragedy (1984), it is
being explored by the researchers that ozone is being tear off (1985), Chernobyl (1986) and Exxon-
Valdez oil spill (1989) around the globe within a few years. The impacts of these incidents on
natural environment and human health had brought different perspective and important ideas such
as sustainability, environmental quality, eco-performance, green consumers, etc. (Eneizan &
Wahab, 2016b).
The third stage was the sustainable eco promotion that has been introduced back in late 90s and
initial part of 2000s. The approach of marketers was now more radical and the focus, during this
phase, shifted to embracing the sustainable business practices. It should be noted that towards the
end of this phase, a serious concern about green marketing appeared due to some incidents of false
green marketing claims (Kumar et al, 2011). But that concern was not well-attended by the then
marketers and consequently, the marketers witnessed the problem of backlash in green marketing
(Crane, 2000). The reasons of that backlash as pointed out by Crane (2000) were consumer distrust
and confusion for green claims of marketers. About reported backlash in green marketing, in-depth
analysis of green marketing claims in the 1990s was performed by Terra Choice Environmental
Marketing Inc (2007) on consumers of North America. A survey was completed on 1,018 consumer
products bearing 1,753 environmental claims. This study had identified six categories of false
environmental claims and collectively, termed them as “Six Sins of Green washing’. These are
offence of veil exchange (comprised of those slogans about the goods or services that are pertain
green or safe environment feature and having different characteristics to fulfil the requirement of
eco safety. Example: energy saving products includes the toxic materials that cannot dumped
properly or eliminated) offence of having no evidence (that suggest the information is having no
evidence and cannot be validate by the other parties adequately); offence of ambiguity (suggest
ambiguously defined and hence, expected to be taken wrong about the products by the individuals.

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Example: 100 percent natural product but some of the natural substances can also be hazardous);
offence of insignificance (suggest that information is based upon truth but do not have any
importance related to the environment. Example: CFC-free products); offence of lesser of two evils
(suggest it is based upon truth but did not indulge the consumer to get the real picture of
environmental damage. Example: toxic free tobacco) and offence of falsehood (suggest lame
explanation). Terra choice concluded that of the 1,018 products reviewed, all the products were
involved in the six offences of eco washing.
Similarly, previous studies highlighted five strategies of marketing which are failed and that have
hampered eco marketing success. These five marketing strategies were eco production, eco
purchasing and promoting as well, enviropreneurial promotion and comply with the marketing. In
green spinning, business firms (who receive criticisms for environmental damage) do not change
the production technology, policies or processes but rely only on public relation department to
defend against allegations on them. In green selling strategy also, no change in the product is
incorporated but only a slight adjustment is introduced in promotional strategies in order to
highlight eco- friendly attributes of the product. Green harvesting involves reducing packaging and
energy usage for the benefit of the organization only. But green products remained at a premium
price and hence, their widespread acceptance is hindered. In enviro-preneurial marketing strategy,
business firms design and promote green products without determining what consumers actually
need and want. In compliance marketing strategy, business firms do not take any voluntary green
initiatives and simply conform to the mandatory environmental protection norms. Ottman et al.
(2006) have also explored the reasons for the failure of green marketers and introduced a concept
of green marketing myopia. As already discussed elsewhere, the green marketing must focus on
improved environmental quality as well as consumer satisfaction. Misjudging either of them or
exaggerate discussion on the highly enhanced eco performance results in the problem of green
marketing myopia. Ottman et al. (2006) have indicated that a significant number of green products
fail because marketers overemphasize the greenness of the product but ignore the broader
customer’s desires.
In sum, the desire of business firms to make quick profits led them to use false green
marketing claims. This resulted in deep mistrust among the consumers and thereby, loss in long-
term loyalty of consumers. Hence, the efforts from researchers were required to envisage the policy
measures to win back the confidence of consumers and reverse the problem of backlash in green

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marketing. In this regard, Crane (2000) had proposed four strategies, namely, passive greening (to
tackle the environmental issues due to pressures from stakeholders such as customers, regulators,
corporate, pressure groups or media), muted greening (improvements in the products to make it
greener), niche greening (target environmentally conscious consumers and position product as eco-
friendly alternative to conventional offerings.) and collaborative greening (experiment with joint
efforts to mitigate environmental problems). Similarly, Ottman et al. (2006) had suggested that
marketers should also focus on effective communication as well as delivery of consumer desired
value in the marketplace for the success of green offerings in the market. These policy imperatives
helped the marketers to recover the lost ground. The recent studies have indicated that despite the
noticed errors in claims of green marketers, consumers’ environmental concerns have not fallen
significantly. The consumers on the internet and especially on the Google and yahoo have been
searched about 31 million till 2008 (Haytko and Matulich, 2008). The result of the study suggested
that about 36% of the consumers are aim to buy the products that are eco friendly on a consistent
occasion. The results of the survey suggested that in 2009; financial crisis consumer about 80%
purchased green products on the price premium.

Categories of Green Marketing Strategies

The selectee literature is having full information about the eco marketing and future eco products
that are friendly for the environment. Three common perception such as: eco packing, green labels
products, eco brands planning is the most discussed issue in the past researches. On the other hand,
Devi Juwaheer et al. (2012) studied the green market strategies and he can categorised the tools and
strategies of green marketing into five categories, eco-labelling, green packaging and branding,
environmental advertisement, premium green price, and embedding and eco-image.
Perception of Eco-Label Product: Pickett et al, (1995) suggested that consumer is not well
informed to undertake the environmental friendly product label adequately. The labelled are being
mentioned in different names such as: Biodegradable, Sustainable, environmental friendly,
recyclable. It is not the case the individual that identify the label have the complete information
about the label. Environmental friendly products’ labels are the presentation of the environment
safety. The factors that suggested the product is environmental friendly are to be claimed as the eco-
label. Eco-label products are the symbol that encourages the consumer to make the purchasing
decision to buy the eco label products and know about it (Rex and Baumann, 2007); the
environmental friendly products are being identified through eco-label products in the market

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(D’Souza et al, 2006). There is a need to fill the gap between the consumer and the seller about the
eco-label products that can urge them to use the eco-label products that will provide satisfaction
and meet their desires adequately along with this it will be effective to contribute towards the
environmental safety measures. The research study that eco-label is having direct relation and
influence on the information of green marketing and consumers behaviour towards purchasing (Nik
Abdul Rashid’s, 2009). There are different studies are being done in order to develop the association
between the environmental labelling and behaviour of the consumers to purchase the eco-friendly
products (D’Souza, 2005; Nik Abdul Rashid, 2009). It is evident there is a small information that
impact upon the label information that consumers have to make the purchasing decision about the
environmental friendly product (D’Souza, 2005). It is suggested by the researcher that eco labels
are the tool that can increase the awareness about the environmental friendly products and help in
making the decision or purchase. In the market; there is a little potion of the eco-label products for
the customers to make purchases and safe the environment (Nik Abdul Rashid, 2009). It is rather
important prior to the decision making of the individual to urge eco products which they should be
aware about it. There is a need for the consumers to use different platform of communication to
educate the consumers and make every effort that they should focus upon the eco-label products
while making any purchasing decision.
Perception of Green Packaging and Eco-Brand: Brand is being discussed as the symbol, sing,
slogan, colour, design and other features that develop a perception in the mind of the consumers
that segregate the product from the others in the market (Alkhawaldeh and Eneizan, 2018;
Alkhawaldeh et al, 2017). The brand is being associated that is not damage the environment is
suggested as the eco-brand. There is a gap in the research where researcher did not attempted
towards the green branding did not examine adequately (First and Khetriwal, 2008). It is required
that consumer’s should be provided the adequate information and awareness about the green label
products that increases the friendly environment perspective among them (Eagly and Kulesa, 1997).
Brands are the main source that can bring the change in the behaviour in the green consumption
(Pickett-Baker and Ozaki, 2008). It is argued that efficient marketing can bring different in the mind
of individual towards the green products but the concern of the consumers are that they have to pay
a certain cost which is higher than the other products and consume in a different pattern (Ottman,
1998). Green marketing is associated with the welfare of the environment and attached with the
emotional benefits of the consumers (Hartmann et al, 2005). It is argued that brand characteristics

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are required to be communicated in order to provide the sustainable environment along with the
product that are not effective for the business purpose (Pickett et al, 1995). Green product
positioning is the highly effective feature to make is successful and their marketing strategies as
well (Coddington, 1993). If it is considered as an example; that an environmental friendly car is
being introduced it will be having competitive edge if the carbon emission is lower than the other
rivals. It is suggested from the study that consumer has positive response towards the green product
that are eco-label (Rahbar and Wahid, 2011). The study of USA and Germany suggested that
consumers have positive response towards the green label products like body shop and green
energy.
Consumers use their cognitive ability to rationalize the green label products and its features
(Wustenhagen and Bilharz, 2006) it is suggested that in USA and Germany consumers are having
highly positive response towards the green products that are shown from the Body shop and Green
Energy stores (Wustenhagen and Bilharz, 2006). There is certain functional positioning strategies
drawback such as; it can be evidently copied, the rationale consumers are having difficulty to adopt
the different brand rather than the green label products (Aaker, 1996). It is also suggested tat
consumers have negative perception about the green products and they do not consider their
performance is adequate as compare to other brands of the market (Fuller, 1999). There is a need to
encourage the consumers to change their purchasing behaviour towards the green products and get
the maximum benefit from it (Hartmann et al, 2005).
Perception of Environmental Advertisements: the most of the researcher argued that natural,
environmental, sustainability or eco friendly messages are aim to develop the awareness and
develop the need for the stakeholders to know about the green products that is called as the green
advertisement. It is being differentiated into three types that are: relation between the product and
environment whether it is direct or indirect; lifestyle of the individual should support the
environment that should a part of the products or not; this also suggest the social corporate
responsibility towards the environment safety. As far as the cleaning products are concern they are
highlight for the green products but other products are not being differentiated by the consumers
(Pickett-Baker and Ozaki, 2008). The green labels are not visible or not making any appeal to the
consumers adequately. Green marketers are not making enough communication with the consumers
about the green products. There is being suggested that environmental safety products should be
advertised more prominently that consumer should be able to distinguish adequately. The terms that

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are being used in the advertisement such as: ozone safe, recyclable, eco friendly are the important
feature of green marketing through which message is being delivered appropriately to the
consumers (D’Souza, 2005). It is a fact that suggests green advertisement intensity is very low in
the market (Kilbourne, 1995). It is evident if the message that are being delivered to the consumer
regarding the green marketing is reliable than the response of the consumers will be effective and
positive for the green marketers (Habib et al, 2010). It is rather important that green marketers
should promote those products that are having high value and promote the eco friendly features are
having high percentage of attracting the consumer eye and enable them to market decision (Chan,
2004). It is being argued that by promoting the knowledge about the environmental issues did not
promote the positive behaviour towards the environment but develop the emotional attachment
through the advertisement in the mind of the customers and attract them through the advertisement
(Hawkins et al, 1998). Green brand advertisement should be having the consent of the brand
attachment with the environment and shown the positive feeling about the products in the mind of
the customers to make the purchasing decision adequately. It is being suggested that many
organizations are not able to attract the large number of customers towards the green product but
they are able to develop the awareness and provided the information about the eco friendly products
in the market (Rose, 2002). Organizations that are marketing their products should provide the
adequate information about the product in the organization and present the feature of the products
in their marketing message that can impact upon the decision of the consumer (Mendleson, 1994).
In addition, firms may provide training for their employees about green issues; hence, this will help
the employees to understand the green issues and provides the rights green advertisements. Past
studies indicated that the training effect positively on the performance of employees (Obaid &
Eneizan, 2016a, 2016b ;Sharif et al, 2018; Alsakarneh et al, 2018a, 2018b)
Perception of Green Premium Price: Green Premium is the gap between the classic and eco-
friendly products that are having high profitability for the retailers, it is suggested that about 77%
of the consumers are ready to pay the premium to the retailers (European Commission, 2013). The
market share of the green products constitutes about 4% of the market in the food sector
(Chkanikova et al, 2013). The majority of the consumers are not considering the green product and
they perceives as inadequate (Luchs et al, 2010); environmental features (Gershoff and Frels, 2015);
price should be effective that can reflect the sustainability (Meise et al, 2014). Many of the
consumers do not undertake the environmental perspectives that are associated with the products

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are based on truth. Price premium suggested that price of the environmental friendly is having high
price than the other products. Price is considered as the marketing tool that is based upon the
financial features and suggests the quality of the products. It is a general perception that consumers
thinks those products are having high prices are having high quality which is associated with the
quality with the price value (Chekima et al, 2016). It is also suggested that premium products are
having good quality because they are having high prices. Once the price premium are mixed with
the consumer’s purchase intention and attitude it associated with the consumer’s desire to pay
against their desired products and get satisfaction (Zhang and Kim, 2013).
If a consumer decides to repurchase even with expensive of increased price, then the consumer has
a high perception of price premium (Marwala & Hurwitz 2017). Consumers are found to be buying
premium products despite its expensive price. This is because of its unique characteristics, which
reflect the consumers’ heritage image. Price premium intention has proven to be appropriate for
understanding varied consumer behaviours in premium products domains. In addition, Price
premium intentions have also been examined in other premium domains such as ecotourism and
premium fruits. Individual those are having perception and understanding about the eco friendly
products that are happy to pay the high price that safe the environment.
Perception of Embedding Eco-Image: Devi Juwaheer et al. (2012) proposed eco-image as one of
the marketing strategies. The characteristics of the green purchasing style suggest that consumer
considers products which are considered to be the safe for the environment. The more awareness
has been exerted through advertisement and marketing to develop the concern towards the
environmental friendly products and their consumptions adequately.
Weller (2013) studied found that eco-image of green fashions has gaining acceptance of the
customers due to the strategies of multi-national company’s green strategies. Results of the study
of Devi Juwaheer et al. (2012) in the green product purchasing the trust of the consumer is evident
if they are having it confidently then it is likely possible the consumption pattern will suggest the
behaviour of the consumers towards the green product purchasing and develop the eco friendly
image. Green marketers are including the green image and eco friendly perspective in their
messages through advertisement of these products. There is a clear distinction between the
traditional products and green products that can be available for the consumers as the substitute in
the form of green products.

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Conclusions
Green products is an essential strategy worldwide to save the climate and sustain the
consuming of the natural resources via techniques including recycling ability, energy saving, eco
and natural production. Results of the marketing strategy tools are important to point of sales such
as minimarkets, supermarkets, and hypermarkets to emphasis of the critical success marketing tools.
The results are also important at the manufacturer level as the study will provide the perception of
consumers in tools such as labelling, packaging, and branding. So, they can enhance their future
practices. The findings will be also important for government and legalization bodies in developing
strategic objectives to enhance the green products consumption. This paper was designed to explain
and understand the differences in terms of categories of green marketing strategies as they relate to
what is obtainable in the purchase green products. The paper started with an understanding of the
concepts available in green marketing strategies as well as understanding what a firm is all about.
Such an understanding laid the foundation for further research on the topic of discussion and the
revelation is that green marketing strategies adopting categories that are designed to eliminate the
possibility of predicting the future.

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