ELECTIVE3 – ENVIRONMENTAL MARKETING

SY 2021-2022, FIRST SEMESTER

PART 1: AN OVERVIEW ON ENVIRONMENTAL MARKETING

At the end of this chapter, students should be able to:

 Understand and appreciate the concept of environmental marketing

 Familiarize their selves with the different characteristics of a green products
 Know the different types of green consumers
 Identify some of the known brands and stores promoting sustainable marketing.

LESSON #1: INTRODUCTION TO ENVIRONMENTAL MARKETING

What is Environmental Marketing?

Also known as Green

Marketing, is the strategy of
marketers wherein they are
trying to sell a product or the
products of a particular
company to consumers by
emphasizing how they
protect the environment.

Learning hub also describe

green marketing as selling
products or services by
highlighting their
environmental benefits.
Some call it eco-marketing or
environmental marketing, and consumers recognize such brands by terms like
"organic," "eco-friendly," "recyclable," or "sustainable."

Such a product or service may be environmentally friendly in itself or produced and/or

packaged in an environmentally friendly way.

Thus Environmental marketing incorporates a broad range of activities, including:

1. Product modification,

2. Changes to the production process,

3. Packaging changes, as well as

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4. Modifying advertising.

What are the goals of green marketing?

 Implementing sustainable business practices

 Demonstrating social responsibility

 Reducing expenses (packaging, transportation, energy/water usage, etc.)

 Demonstrating how safe and mindful products or services are.

In the tradition of green marketing, brands launch eco-friendly products or create the
corresponding environment around them by using eco-friendly packaging or refuse from
it, make products recyclable and reusable, use green energy for product production,
design products from recycled materials to reduce waste, choose local selling to reduce
transportation energy, and more.

As a part of green marketing, brands also often participate in recycling programs,

become more scrupulous about waste disposal practices, donate to different green
movements, and don't forget to educate their customers about what they do to protect
the environment and why it matters.

What are green products and who are green costumers?

Who are the Green Consumer?

They are the customer who wants to buy things that have been produced in a way that
protects the natural environment:

The typical green consumer will only buy things that are environmentally friendly.

Types of Green Consumers

1. Behavioral Greens
Consumers who think and act green. They have negative attitudes towards
products that pollute the environment and incorporate green practices on a
regular basis.

2. Think Greens
Consumers who think like green consumers but don't always necessarily act
green.

3. Potential Greens
Consumers who don't behave or think along environmentally conscious lines but
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remain on the fence about key green issues.

What are the Green products?

A green product is a sustainable product designed to minimize its environmental

impacts during its whole life-cycle and even after it’s of no use.

Green products are usually identified by having two basic goals – reducing waste and
maximizing resource efficiency. They are manufactured using toxic-free ingredients and
environmentally-friendly procedures and are certified by recognized organizations
responsible in checking the authenticity of their claim.

Some of the characteristics of a green product are:

 Grown without the use of toxic chemicals and within hygienic conditions

 Can be recycled, reused and is biodegradable in nature

 Comes with eco-friendly packing

 Uses the least resources

 Is eco-efficient

 Has reduced or zero carbon footprint

 Has reduced or zero plastic footprint

Advantages of Green Products

a. Advantages of Going Green to The Brands

Access to New Markets: Developing green products opens the doors to an all-new
market of green consumers who buy only green products and even pay more for the
same.

Competitive Advantage: It’s a proven fact that going green is a big competitive
advantage in the market right now.

Positive Public Image: When a brand does something for the society and the
environment, its brand image automatically enhances.

Brand Loyalty: Green companies automatically gain a set of loyal green customers
who prefer green products over conventional non-environmental friendly products.

b. Advantages of Going Green to The Customers

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Cost-effective products: Green products last longer than conventional products.

Moreover, these products consume less energy and other resources thus reducing the
bills of the users. For example, Solar speakers can last for 10 hours just by charging
with solar energy.

Low maintenance: If operated responsibly and maintained properly, the green products
result in low maintenance costs. Take green buildings, for example. They market
themselves not only for being environmentally friendly but also for less operational
costs.

Improves health: Since eco-friendly products are made from materials that are free
from harmful chemicals and components, they not only improve physical but also
mental health. In green buildings, large windows are installed which allows healthy and
fresh air along with natural lighting in abundance. It improves mental health and reduces
stress.

c.Advantages of Going Green to The Society

Generate More Jobs: According to a study by IRENA (International Renewable Energy

Agency), the renewable energy industry has created new jobs opportunity in 2023, an
increase of 5.3% than 2022. It is predicted that if the demands of green products
continue to grow, the number will rise to 16 million by 2030. Thus, with the development
of green products not only the environmental but also the economic conditions are
improving.

Prevents overuse of resources: Green products reduce the threat of overuse of

resources and fossil fuels and encourages the generation of energy using natural
resources.

Protects the environment: Green products are made from organic and biodegradable
materials and are designed to use least non-renewable resources and toxic chemicals
to produce energy. This reduces the generation of greenhouse gases like CFCs,
Ozone, methane etc. and hence prevents pollution and deterioration of climatic

Green Products Challenges

Costly Products: Green products require innovation and a lot of investment. This
increases the cost of developing the products, which results in making them a bit costly
than the available alternatives in the market. The cost factor usually discourages the
consumers in buying them.

Ignorance: The common masses are still ignorant about the importance and benefits of
going green.
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Investment: Green products requires the development of new technologies. This

requires a large investment in research and development (R&D). Not every company or
startup can afford to spend this amount.

Examples of Green Products

Tesla Electric Cars

In an era when the transport industry failed to reduce its carbon footprint significantly,
Tesla came out as the poster child of electric cars revolution. Unlike conventional cars,
electric cars (EVs) produced by Tesla had highly efficient electric motors which run on
clean energy.

The company has a loyal customer base and a market share of 2% in the US
automotive market. Even though it’s a green product the demand is much higher than
the supply.

Bambikes

Biking is already a good way to decrease one’s ecological footprint, but Bambikes takes
it a step further because their bikes are made from bamboo. Quite surprisingly, their
bikes actually have a clean, sleek look — not messy, not tacky. It’s the perfect way to
make a statement about going green. If you don’t think that you want to invest in a bike,
you can still enjoy Bambikes by joining their Intramuros tours.

Fluffy Pwets

Perhaps you have a friend or relative who’s about to give birth soon? It would be nice to
gift them with hybrid cloth diapers made from organic cotton materials. Disposable
diapers fill up our landfills so this reusable option is a much better choice. They come in
modern, fashionable designs. You can make a special order if you have a specific print
in mind.

The Humble Market

Since its inception in 2010, The humble market has become a game changer in the
Philippines’ eco-friendly market. The physical store allows you to buy different beauty
and wellness products using your own reusable containers.

It aims to reduce overall packaging waste that most people go through every month with
regular use. They’re even meticulous about shipping their products—no disposable
waste will be coming from the package that you receive.
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COMPANIES WHO ARE PROMOTING GREEN MARKETING:

 STARBUCKS
Starbucks has implemented several green marketing strategies, including
offering discounts for customers who bring reusable cups, sourcing ethically
produced coffee, and aiming to become resource-positive by 2030. The company
also promotes its commitment to reducing waste and conserving water.

 COCA-COLA

Coca Cola Aspire to create packaging that contains at least 50% recycled
material by 2030 and continue pursuing the goal to make all consumer packaging
100% recyclable by 2025.

Producing Coca-Cola was an extremely energy intensive affair. That is why

Coca-Cola started looking for opportunities on reducing their energy consumption
by using energy efficiency projects in their plantations.

 IKEA

IKEA focuses on sustainability through its use of renewable materials, energy-

efficient products, and initiatives to reduce waste. The company has committed
to becoming climate positive by 2030 and promotes its sustainability efforts
through various marketing campaigns.

 UNILEVER

Unilever has a Sustainable Living Plan that aims to reduce the environmental
impact of its products. Brands like Dove, Ben & Jerry's, and Seventh Generation
promote sustainability through eco-friendly packaging, ethical sourcing, and
reduced carbon footprints.

 THE BODY SHOP

The Body Shop emphasizes ethical sourcing, cruelty-free products, and

recyclable packaging. Their marketing campaigns often highlight their
commitment to social and environmental causes, such as community trade
programs and environmental activism.

ENVIRONMENTAL ORGANIZATIONS
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ISO (International Organization for Standardization)

This is a worldwide federation

of national standards bodies.
ISO is a nongovernmental
organization that comprises
standards bodies from more
than 160 countries, with one
standards body representing
each member country. The
American National Standards Institute (ANSI) for example, represents the United
States.

For Philippines we have Bureau of Philippine Standards of the Department of Trade

and Industry (DTI-BPS) serves as the National Standards Body of the Philippines and is
mandated to develop, promulgate, implement, and promote standardization activities in
the country.

Member organizations collaborate in the development and promotion of international

standards for technology, scientific testing processes, working conditions, societal
issues and more. ISO and its members then sell documents detailing these standards.

WHAT IS ISO CERTIFICATION?

ISO certification certifies that a management system, manufacturing process, service, or
documentation procedure has all the requirements for standardization and quality
assurance. ISO (International Organization for Standardization) is an independent, non-
governmental, international organization that develops standards to ensure the quality,
safety, and efficiency of products, services, and systems.
THE ISO 14001
ISO 14001 is an internationally agreed standard that sets out the requirements for an
environmental management system. It helps organizations improve their environmental
performance through more efficient use of resources and reduction of waste, gaining a
competitive advantage and the trust of stakeholders.
Philippine Center for Environmental Protection and Sustainable Development,
Inc. (PCEPSDI)
It is a non-stock non-profit and non-government organization duly registered with the
Securities and Exchange Commission.
PCEPSDI is the Administrator of the National Ecolabelling Program – Green Choice
Philippines (NELP-GCP) that is based on ISO 14024 – Guiding Principles and
Procedures. NELP-GCP is a voluntary, multiple criteria-based, and third party program
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that aims to encourage clean manufacturing practices and consumption of

environmentally preferable products and services.
Philippine Green Pages (PGP)
Is the first and only eco-resource publication for finding the best green business,
products and services offered in the market. It would be the most comprehensive listing
of producers, distributors and suppliers, which are selected for their green attributes and
in practicing sustainable business practices.
The objective of the Philippine Green Pages is to provide a product-identified directory
of environment-friendly products and services which can serve as a consumer guide to
institutional purchasers and individuals.
Organic Certification Center of the Philippines
It is a non-stock and non-profit organization. It is a standard setting and certification
body. The primary purpose of this corporation is to serve as a certification and
inspection body for food and food products, and agricultural inputs (e.g. fertilizer,
pesticide, feeds, etc) to cater the agriculture industry and the consumers of certified
products.
They offer services such as organic inspection and certification program, Standard
Formulation, Research, Participation in policy and advocacy, Promotion of Organic
Agriculture.
Commonly applied crops for certification includes rice, wild collection of herbal crops,
fresh fruits, malunggay, lemongrass, coconut, vegetable, banana, garlic, virgin coconut
oil, cooking oil, banana chips, vinegar, muscovado, coconut sugar, poultry product,
meats, and organic goat
Commonly applied agricultural inputs includes organic fertilizer and organic
vermicompost.

BERDE (Building for Ecologically Responsive Design Excellence)

Is a tool to assess, measure, monitor, and certify the performance of green building
projects, above and beyond existing national and local building and environmental laws,
regulations and mandatory standards. BERDE is recognized by the national
government, through the DOE, as the Philippines’ National Voluntary Green Building
Rating System.

Energy Star (EPA)

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Applicable on: Various electronic gadgets, buildings etc.

Energy star is a certification that aims at reducing energy consumption and emission of
greenhouse gases thereby reducing the over usage of non-renewable resources and
protecting the environment. It identifies and labels the products, buildings and electronic
appliances with high energy efficiency.
Green Seal
Applicable on: Cleaning products, hotels, household products, paints and many more.
The green seal focuses on reducing the harmful effect of raw materials extraction,
production, use and reuse of disposed of wastes. Before issuing the certificate, the
organization goes through a certain evaluation process that includes reviewing of data,
labelling, marketing advertising material and onsite examination.
USDA Organic
Applicable on: Food and agricultural products
USDA aims at the production of 100% organic crops and avoids fraud. They prohibit the
use of synthetic chemicals ad genetically modified seeds. To guarantee pure products,
they strictly maintain a separation between non-organic and organic products and
undergo onsite inspection at regular intervals.
Electronic Product Environmental Assessment Tool (EPEAT)
Applicable on: electronic products
EPEAT certification helps the consumers to evaluate the environmental effect of an
electronic device. Depending upon the environmental performance, the products are
rated as gold, silver or bronze.
Halal
Applicable on: Food Products, Cleaning Products, Laundry Products.

Halal is an Arabic word that means permissible. A Halal certified product means that
the product is permissible or acceptable in accordance with Islamic law. In order for
products to receive this certification, they must be from an acceptable source such as a
cow or chicken and slaughtered according to these laws.

Offering Halal certified products allows Muslim consumers to be confident that the
products they use are in alignment with their culture and beliefs. Similarly, products can
also be Kosher certified, which gives Jewish consumers the same piece of mind.