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Green Marketing

Submitted To: Dr Snehal Mishra


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Submitted By: Chauhan Nikunj

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What is Green Marketing

 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.
 Green marketing also referred as Environmental marketing,
sustainable marketing and Ecological marketing.

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Evolution of green marketing
 The American Marketing Association (AMA) held the first
workshop on ecological marketing in 1975.
 Green marketing came into existence in the year 1980.
 According to Peattie (2001), the evolution of green marketing has
three phases.
 First phase was termed as "Ecological" green marketing.
 Second phase was "Environmental" green marketing.
 Third phase was "Sustainable" green marketing.

Source:-Mishra Pavan & Sharma Payal (2010) 3


Characteristics of Green Products
Products those are originally grown,
Products those are recyclable, reusable and biodegradable,
Products with natural ingredients,
Products containing recycled contents, non-toxic chemical,
Products contents under approved chemical,
Products that do not harm or pollute the environment,
Products that will not be tested on animals,
Products that have eco-friendly packaging i.e. reusable,
refillable containers etc.

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GREEN MARKETING-NEED
 Resources are limited and human wants are unlimited.
 For Utilizing the resources efficiently .
 To Focus on reducing carbon emissions and its impact on climate
change.
 To Develop new or alternative ways of satisfying these unlimited
wants.
 In India, around 25% of the consumers prefer environmental-
friendly products, and around 28% may be considered health
conscious. Therefore, green marketers have diverse and fairly
sizeable segments to cater to.

Source: Shrikant (2012 ) 5


Why firms are preferring Green Marketing

 Opportunities or competitive advantage.


 Corporate social responsibilities (CSR).
 Government pressure.
 Competitive pressure.
 Cost or profit issues.

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Benefits of Green Marketing:
 Benefits Available for firms and Industries
 Helps to access new markets.
 Competitive advantage over other competitors.
 Protects the company in the long run.
 Improves the quality of the environment.
 Environmentally responsible company will hold a unique
status in the society.
 Most of the employees also feel proud and responsible to be
working for an environmentally responsible company.

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 Benefits for The Consumers
 Health benefits.
 Less threat to the eco-system by the consumers.
 The Earth will be protected from hazardous goods

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Golden rules of GREEN MARKETING
 Know your Customer
 Educating your customers
 Being Genuine & Transparent
 Reassure the Buyer
 Consider Your Pricing

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Difference:
BASIS TRADITIONAL GREEN MARKETING
MARKETING
GOALS Customer satisfaction Customer satisfaction,
Ecosystem compatibility
TIME SPAN Short term orientation Long term orientation

ECOLOGICAL A public sector Joint public private sectors are


RESPONSIBILITY responsibility mutually accountable

QUALITY FOCUS Total quality management Total quality environmental


management
ACCOUNTING No/underpaid ecological Full accounting of ecological costs
FOR costs
ECOLOGICAL
COSTS

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4S of Green Marketing

 Satisfaction

 Safety

 Social acceptability

 Sustainability

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Green Marketing Strategies
Be greener at all stages:

Manufacturing Transportation Product Use Recycling Facilities


 Marketing audit (including internal and external situational
analysis).
 Develop a marketing plan outlining strategies with regard to 4P’S.
 Implement marketing strategies
 Plan results evaluation.
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 Green marketing continues to be an issue of global interest. In
fact, Google Trends reports that, on a relative basis, more
searches for “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

(Source – Namex International Journal of Management Research )


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Case studies of Companies
 Best Green IT Project: State Bank of India: Green IT@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 “Green
Channel Counter”. SBI is providing many services like;
paper less banking, no deposit slip, no withdrawal form, no
checks, no money transactions form all these transaction are
done through SBI shopping & ATM cards.

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 State Bank of India turns to wind energy to reduce emissions:
 The State Bank of India became the first Indian bank to harness wind
energy through a 15-megawatt wind farm developed by Suzlon energy.
 After Deployment Electricity savings, translating to Rs. 24 Cr+ savings
in energy bills.

Wipro Info Tech:


 Wipro Infotech was India's first company to launch environment
friendly computer peripherals. For the Indian market, Wipro has
launched a new range of desktops and laptops called Wipro
Greenware.

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Going Green Tata's New Mantra-
Tata Motors is setting up an eco-friendly showroom using natural
building material for its flooring and energy efficient lights.
The Indian Hotels Company, which runs the Taj chain, is in the process
of creating Eco rooms which will have energy efficient mini bars, organic
bed linen made from recycled paper.

Oil and Natural Gas Company (ONGC)-


 India’s largest oil producer, ONGC, is all set to lead the list of top 10
green Indian companies with energy-efficient, green crematoriums that
will soon replace the traditional wooden pyre across the country.
ONGC‟s Mokshada Green Cremation initiative will save 60 to 70% of
wood and a fourth of the burning time per cremation.

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 Lead Free Paints From Kansai Nerolac
It has worked on removing hazardous heavy metals from
their paints. Lead in paints especially poses danger to human
health where it can cause damage to Central Nervous System,
kidney and reproductive system. Children are more prone to
lead poisoning leading to lower intelligence levels and
memory loss.

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.
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Coca-Cola’s Environmental Initiative-
The Coca Cola Company is one of the largest worldwide
beverage retailers, manufacturers, and marketers of various non-
alcoholic beverages. They maintain a large focus on the
environmental impact of their products and use different
methodologies and initiatives in order to reduce waste and sustain
the environment.
LG:
LG India has been a pioneer is making electronic gadgets that
are eco-friendly.It has launched a LED E60 and E90 series
monitor for the Indian market. Its USP is that it consumes 40%
less energy than conventional LED monitors. Also, they hardly
used halogen or mercury, trying to keep down the use of
hazardous materials in their products.
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Digital tickets by Indian Railways:
IRCTC has allowed its customers to carry PNR no. of their E-
Tickets on their laptop and mobiles. Customers do not need to carry
the printed version of their ticket anymore.
McDonald’s Green Revolution
McDonald's replaced its clam shell packaging with waxed paper
because of increased consumer concern relating to polystyrene
production and Ozone depletion. McDonald‘s restaurant's napkins,
bags are made of recycled paper
Patanjali
Patanjali is promoted by a person who is face of natural and healthy
practices. Swami Baba Ramdev who started Patanjali proudly claims
of producing eco friendly and safe products.
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Challenges of Green Marketing
 New Concept
 Indian literate and urban consumer is getting more aware about the
merits of Green products.
 new concept for the masses.
 Cost Factor
 involves marketing of green products/services, green technology,
green power/energy for which a lot of money has to be spent on R&D
programs for their development and subsequent promotional programs
which ultimately may lead to increased costs.
 Convincing customers
 The customers may not believe in the firm’s strategy of Green
marketing, the firm therefore should ensure that they undertake all
possible measures to convince the customer about their green product
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 Sustainability
 Initially the profits are very low since renewable and recyclable
products and green technologies are more expensive. Green
marketing will be successful only in long run.
 Non Cooperation
 The firms practicing Green marketing have to strive hard in
convincing the stakeholders and many a times it may fail to
convince them about the long term benefits of Green marketing as
compared to short term expenses.

 Lack of Standardization
 It is found that only 5% of the marketing messages from “Green”
campaigns are entirely true and there is a lack of standardization to
authenticate these claims.

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Ecomark
 To increase consumer awareness, the Government of India
launched the eco-labelling scheme known as `Ecomark' in 1991 for
easy identification of environment-friendly products.
 The criteria follows a cradle-to-grave approach, i.e. from raw
material extraction, to manufacturing, and to disposal. The Ecomark
label is awarded to consumer goods that meet the specified
environmental criteria and the quality requirements of Indian
Standards.
(Sources:www.ecolabelindex.com)

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Agricultural Scenario in India for green marketing
 India’s rank in terms of World’s Organic Agricultural land was 9th
and in terms of total number of producers was 1st as per 2018 data
(Source: FIBL & IFOAM Year Book 2018).
 As on 31st March 2018, total area under organic certification process
(registered under National Programme for Organic Production) is
3.56 million Hectare (2017-18).
 India produced around 1.70 million MT (2017-18) of certified organic
products .
 The total volume of export during 2017-18 was 4.58 lakh MT. The
organic food export realization was around INR 3453.48 crore
(515.44 million USD). Organic products are exported to USA,
European Union, Canada, Switzerland, Australia, Israel, South Korea,
New Zealand, Japan etc.
(Source:http://apeda.gov.in) 24
Biogas
MNRE to set up 65,180 biogas plants in 2017-18 under the National Biogas and
Manure Management Programme (NBMMP)
About 49.6 lakh household size biogas plants already installed under the programme
Subsidy for setting up of Biogas Plants under National Biogas and Manure Management
Programme for 1 Cubic meters Rs.15000 to 5500 and for 2-6 cubic meters Rs.17000 to
9000 varies with states and categories

(Sources: http://pib.nic.in)

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References
 Pavan Mishra and Payal Sharma, Green Marketing In India:
Emerging Opportunities And Challenges, Journal of Engineering,
Science and Management Education, Vol. 3, 2010, pages 9-14
 Priya P. ,Impact of Agriculture on Green Marketing, International
Journal Of Business Management ,Vol. 2(1),2015
 Jaya Tiwari, Green marketing in India: An Overview, International
organization of scientific Research Journal of Business and
Management PP 33-40
 Shrikanth, R., Narayana, R., and Surya, D. (2012).
Contemporary Green Marketing– brief reference to Indian
scenario.International journal of social science &
Interdisciplinary. Vol.1. pp 3-4.
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 https://shop.fibl.org/CHen/mwdownloads/download/link/id/1093/?
ref=1
 http://apeda.gov.in/apedawebsite/organic/Organic_Products.html
 http://www.ecolabelindex.com/ecolabel/ecomark-india
 http://pib.nic.in/newsite/PrintRelease.aspx?relid=177871
 https://mnre.gov.in/biogas

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