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Amity School of Business

GREEN MARKETING

‘Think Green, Think clean,


Think Eco friendly’

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Amity School of Business

According to the American Marketing Association


“Green marketing is the marketing of products that are
presumed to be environmentally safe.”

“Green or environmental marketing consists of all


activities designed to generate and facilitate any
exchanges intended to satisfy human needs or wants,
such that the satisfaction of those needs and wants
occurs, with minimal detrimental impact on the natural
environment.” (Polonsky 1994)

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Amity School of Business

Green marketing refers to the process of selling


products and/or services based on their
environmental benefits. Such a product or
service may be environmentally friendly in itself
or produced and/or packaged in an
environmentally friendly way.
They are typically durable, non-toxic, recyclable,
and are often made from recycled materials.
Green products have minimal packaging, and
should carry low environmental impact.

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COVENTIONAL MARKETING
VS
GREEN MARKETING
• Conventional marketing involves selling products that satisfy
consumer needs at affordable prices.
• Green marketing must also satisfy customer needs at
affordable prices, but green marketing has the additional
challenge of defining what is green and developing, selling
products that a consumer would like.
• Green products balance environmental compatibility with
performance, affordability, and convenience. 4
Amity School of Business

• ‘Reduce, Reuse and Recycle.’


• Also known as Environmental or Ecological Marketing.
• Incorporates a broad range of activities, including
product modification, changes to the production process,
packaging changes, as well as modifying advertising
• The term Green Marketing came into prominence in the
late 1980s and early 1990s. The American Marketing
Association (AMA) held the first workshop on
"Ecological Marketing" in 1975. The proceedings of this
workshop resulted in one of the first books on green
marketing entitled "Ecological Marketing".
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Amity School of Business

Reasons why firms are adopting


Green Marketing

1.Social responsibility: Organizations believe that to keep


the environment clean is there moral as well as social
responsibility.
2.Laws: Laws imposed by various authorities.
3.Competition: Competitor’s environmental activities
pressure firms to go for green marketing.
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4.Cost Reduction: Reduction in cost due to recycling and


material usage forces firms to look for green marketing.

5. Organizations perceive environmental marketing to be


an opportunity that can be used to achieve its objectives.

6. Governmental bodies are forcing firms to become more


responsible.

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External Green P’s Internal Green P’s
Paying Products
Customers Promotion
Providers Price
Politicians Place
Pressure Groups Providing
Problems Information
Predictions Processes
Partners Policies
People

Green
Marketing

The S’s of Green success


Satisfaction- of stakeholder needs
Safety- of products and processes
Social acceptability- of the company
Sustainability- of its activities 8
Amity School of Business

• First Green Marketing survey conducted in India in March,


2000 by BT and TERI.
• Was done to identify the 10 Greenest companies in India.
• Some companies using Green Marketing are:

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Amity School of Business

• Henkel detergents-publicizing their


products as “phosphate free detergents”.
• Xerox -"high quality" recycled
photocopier paper.
• Blue Star ,largest single source for air-
conditioning equipment in India. Blue
Star has completely phased out use of
CFC in their Centrifugal Chillers Blue
Star is predominantly using HCFC's
(Hydro Chlorofluorocarbons), which
have to be much less ODP (Ozone
Depletion Potential).
• Amkette,floppy disk manufacturer which
uses recycled cardboard box for
packaging. They are putting logo with
“Recycled Saves Environment” phrase.

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Amity School of Business

• McDonald's also uses recycling.


McDonald's replaced its clam shell
packaging with waxed paper
because of increased consumer
concern relating to polystyrene
production and Ozone depletion.
• Walt Disney World (WDW) ,an
extensive waste management
program and infrastructure in
place, yet these facilities are not
highlighted in their general tourist
promotional activities.
• Coca-Cola, have invested large
sums of money in various
recycling activities 11
Amity School of Business

• Samsung Refrigerator being sold in


India has a prominent label ‘CFC Free’
• Honda came out with the Hybrid
version of their car ‘CIVIC’ which was
previously being imported in India at a
price of Rs. 23lac, which has reduced to
Rs. 14lac in the month of December
last year.
• Toys “R” Us successfully launched their
new range of ‘Green’ toys. The first toy
lines include the Natural Wooden Toys,
Natural Cotton plush animals and
Organic Cotton Dolls.
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• NDTV & Toyota, 24-hour nonstop


programming -THE GREENATHON- urging
Indian citizens to take a pledge towards a
greener tomorrow. on-the-ground activities
such as round-the-clock clean up drives in
Mumbai city and Yamuna Ghats in Delhi.
• Nokia ,40 new green mobile phone models.
also plans to use biodegradable phone covers
and recyclable battery designs, which contain
small amount of toxic material such as
cadmium and lithium. ‘Green Bins’ across all
Nokia dealers in India, where customers can
dispose of their old mobile phones for
recycling. Also training progms they have
organized

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