GO GREEN!

A Myth or Reality
ABSTRACT
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. Yet defining green marketing is not a simple task where several meanings intersect and contradict each other; an example of this will be the existence of varying social, environmental and retail definitions attached to this term. Other similar terms used are Environmental Marketing and Ecological Marketing The legal implications of marketing claims call for caution. Misleading or overstated claims can lead to regulatory or civil challenges. In the USA, the Federal Trade Commission provides some guidance on environmental marketing claims. Green marketing is also defined as "All activities designed to generate and facilitate any exchange intended to satisfy human needs or wants such that satisfying of these needs and wants occur with minimal detrimental input on the national environment." Green marketing involves developing and promoting products and services that satisfy customers want and need for Quality, Performance, Affordable Pricing and Convenience without having a detrimental input on the environment. The obvious assumption of green marketing is that potential consumers will view a product or service's "greenness" as a benefit and base their buying decision accordingly. The notso-obvious assumption of green marketing is that consumers will be willing to pay more for green products than they would for a less-green comparable alternative product - an assumption that, in my opinion, has not been proven conclusively. While green marketing is growing greatly as increasing numbers of consumers are willing to back their environmental consciousnesses with their dollars, it can be dangerous. The public tends to be skeptical of green claims to begin with and companies can seriously damage their brands and their sales if a green claim is discovered to be false or contradicted by a company's other products or practices. Presenting a product or service as green when it's not is called green washing. Green marketing can be a very powerful marketing strategy though when it's done right.

This paper deals with the following headings Evolution of green marketing Benefits and pitfalls green marketing The effectiveness of green marketing Myopia about myth or reality Opportunities and Challenges Various Issues Related to Green Marketing Marketing Mix of Green Marketing Green marketing with real life examples Conclusion

Akansha Bhargava(Asst.Prof) Biff & Bright College of Technical Education Ph: 9887905279

GO GREEN! A Myth or Reality

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. Yet defining green marketing is not a simple task where several meanings intersect and contradict each other; an example of this will be the existence of varying social, environmental and retail definitions attached to this term. Other similar terms used are Environmental Marketing and Ecological Marketing.
INTRODUCTION

Many people believe that green marketing refers solely to the promotion or advertising of products with environmental characteristics. Generally terms like Phosphate Free, Recyclable, Refillable, Ozone Friendly, and Environmentally Friendly are some of the things consumers most often associate with green marketing. In general green marketing is a much broader concept, one that can be applied to consumer goods, industrial goods and even services. For example, around the world there are resorts that are beginning to promote themselves as "ecotourism" facilities, i.e., facilities that specialize in experiencing nature or operating in a fashion that minimizes their environmental impact .Thus green marketing incorporates a broad range of activities, including product modification, changes to the production process, packaging changes, as well as modifying advertising. But to define green marketing is not a simple task. The terminology used in this area has varied, it includes: Green Marketing, Environmental Marketing and Ecological Marketing. While green marketing came into prominence in the late 1980s and early 1990s, it was first discussed much earlier. 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". Green marketing is defined as "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 these needs and wants occurs, with minimal detrimental impact on the natural environment."

EVOLUTION OF GREEM MARKETING The green marketing has evolved over a period of time. According to Peattie (2001), the evolution of green marketing has three phases. First phase was termed as "Ecological" green marketing, and during this period all marketing activities were concerned to help environment problems and provide remedies for environmental problems. Second phase was "Environmental" green marketing and the focus shifted on clean technology that involved designing of innovative new products, which take care of pollution and waste issues. Third phase was "Sustainable" green marketing. It came into prominence in the late 1990s and early 2000. 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". The first wave of Green Marketing occurred in the 1980s. Corporate Social Responsibility (CSR) Reports started with the ice cream seller Ben & Jerry's where the financial report was supplemented by a greater view on the company's environmental impact. In 1987 a document prepared by the World Commission on Environment and Development defined sustainable development as meeting the needs of the present without compromising the ability of future generations to meet their own need, and was another step towards widespread thinking on sustainability in everyday activity] According to Jacquelyn Ottman, from an organizational standpoint, environmental considerations should be integrated into all aspects of marketing new product development and communications and all points in between. The holistic nature of green also suggests that besides suppliers and retailers new stakeholders be enlisted, including educators, members of the community, regulators, and NGOs. Environmental issues should be balanced with primary customer needs The past decade has shown that harnessing consumer power to effect positive environmental change is far easier said than done. The so-called "green consumer" movements in the U.S. and other countries have struggled to reach critical mass and to remain in the forefront of shoppers' minds. While public opinion polls taken since the late 1980s have shown consistently that a significant percentage of consumers in the U.S. and elsewhere profess a strong willingness to favor environmentally conscious products and companies, consumers' efforts to do so in real life have remained sketchy at best. One of green marketing's challenges is the lack of standards or public consensus about what constitutes "green," according to Joel Makower, a writer on green marketing. In essence,

there is no definition of "how good is good enough" when it comes to a product or company making green marketing claims. This lack of consensusby consumers, marketers, activists, regulators, and influential peoplehas slowed the growth of green products, says Makeover, because companies are often reluctant to promote their green attributes, and consumers are often skeptical about claims. Despite these challenges, green marketing has continued to gain adherents, particularly in light of growing global concern about climate change. This concern has led more companies to advertise their commitment to reduce their climate impacts, and the effect this is having on their products and services.

Rules of Green Marketing

As with any other major business endeavor, easier said than done. Many a responsible company has run into trouble with these very same sustainability-minded NGOs and consumer groups thanks to a poorly planned and crafted marketing message. Protect your company from these common pitfalls and start taking advantage of new opportunities by heeding these Rules of Green Marketing: 1. Know your customer. If you want to sell a greener product to consumers, you first need to make sure that the consumer is aware of and concerned about the issues that the product attempts to address. (Whirlpool learned the hard way that consumers would pay a premium for a CFC-free refrigerator because consumers didnt know what CFCs were!). 2. Empower consumers. Make sure that consumers feel, by themselves or in concert with all the other users of your product, that they can make a difference. This is called empowerment and its the main reason why consumers buy greener products. 3. Be transparent. Consumers must believe in the legitimacy of your product and the specific claims you are making. Caution: Theres a lot of skepticism out there that is fueled by the raft of spurious claims made in the go-go era of green marketing that occurred during the late 80searly90s one brand of household cleaner claimed to have been environmentally friendly since 1884! 4. Reassure the buyer. Consumers need to believe that your product performs the job its supposed to do they won't forego product quality in the name of the environment. (Besides, products that dont work will likely wind up in the trash bin, and thats not very kind to the environment.) 5. Consider your pricing. If you're charging a premium for your product and many environmentally preferable products cost more due to economies of scale and use of higher-quality ingredients make sure that consumers can afford the premium and feel its worth it. Many consumers, of course, cannot afford premiums for any type of product these days, much less greener ones, so keep this in mind as you develop your target audience and product specifications.

Benefits and Pitfalls of Green Marketing

Green marketing offer a number of significant benefits:

Marketers get access to new markets and gain an advantage over competitors that are not advocating greenness. Marketers can charge a premium on products that are seen as more eco-responsible. Organizations that adopt green marketing are perceived to be more socially responsible. Green marketing builds brand equity and wins brand loyalty among customers.

However, green marketing poses huge dangers for marketers if they get it wrong:

Most customers choose to satisfy their personal needs before caring for the environment. Overemphasizing greenness rather than customer needs can prove devastating for a product. Many customers keep away from products labeled green because they see such labeling as a marketing gimmick, and they may lose trust in an organization that suddenly claims to be green.

Challenges Ahead
Green products require renewable and recyclable material, which is cost, requires a technology which requires huge investment in R & Water treatment technology, which is

too costl Majority of the people are not aware of green products and their uses Majority of the consumers are not willing to pay a premium for green products Green marketers need to find out the value their customers place on green benefits. It is important that they position the product on the basis of the functional need it caters to and then talk about the additional benefits of greenness. Marketers need to find out whether, by adopting green marketing, their organizations will be perceived as more socially responsible. They need to know whether their customers understand the benefits of green products and value them enough. If they do not, then the marketers may also need to invest in customer education in order to make their marketing efforts successful. A common mantra in green marketing is that if you want the masses to buy your product, focus your messaging on more traditional attributes such as price, quality or service. A products greenness is likely secondary for many mainstream consumers. For green marketers then, the holy grail may be to offer a product that is competitive on dimensions both traditional and eco-friendly. This would result in the greatest number of products sold and greatest impact on the environment. But, things are not always that simple. Consider the scenario when an innovative green product spurs new demand across an entire product category, rather than just replaces the existing generation of products in market. Is the individual product still green if the aggregate impact of the category is greater than what it replaced? Take, for example, household lighting. Most of us are aware that switching from incandescent to fluorescent light bulbs can result in a dramatic reduction in energy use. But, overall adoption has been relatively modest in comparison to the potential market, likely due to the premium price commanded for the bulbs. Today, an even newer generation of lighting technology is on the commercial horizon. Solid state lighting, described as a souped up version of the light emitting diodes that are commonly used today to illuminate electronic displays on alarm clocks and audio equipment, promises to provide lighting at a fraction of the energy used by todays bulbs. Mass adoption of such technology could have significant implications for the environment given that 6.5% of the worlds energy is used for illumination. In many ways, we should celebrate such technology fixes given their benefits to the environment. For marketers, solid state lighting clearly has the potential to be one of those holy grail products. Yet, green products such as solid state lighting also present a paradox in that their adoption in mass might actually be detrimental to the environment. How could this be the case? Well, according to J Y Tsao and colleagues at the Sandia National Laboratory, cheaper lighting that sips energy will likely increase overall demand and uses for light, and with it, overall energy consumption. Today, Tsao et. al., contends that consumers underconsume indoor light with current fixtures providing 1/10th of the illumination as ambient outdoor light on cloudy days and

1/60th of ambient outdoor light on sunny ones. Tsao rationalizes that there is plenty of room to consume more including in new ways that have yet to be thought of. As evidence, Tsao et. al., models historical lighting use and adoption rates for new technologies from gas lanterns to fluorescent bulbs and extrapolates forward demand based on the amount of light produced (measured in lumens) and cost per lumen. Historic trends clearly indicate that consumer demand greatly increased when cost dropped and other attributes such as faster turn on/off and greater cleanliness expanded lighting uses. Extrapolating into the future, Tsao et. al., predicts that with solid state lighting, demand has the potential to increase10x by 2030 and with it, perhaps a 2x increase in energy use. How paradoxical. It is important to note that the green product paradox is not isolated to LED lighting. Increased demand for electric cars, for example, could result in a similar dilemma if the added electricity load needed to power the vehicles is generated using higher polluting coal. As such, the green product paradox presents quite the challenge for a marketer. For individual companies, such products can be both profitable and (at least appear) socially responsible. It is only by looking at the forest from the trees and perhaps a little into the future does it become apparent that, in aggregate, such products may, paradoxically, have a negative impact. A sustainable brand might try itself to mitigate any impact that its products may have. But, this will only have broad impact if it ultimately compels competitors to follow suit. Given this, marketers should recognize that a solution to the paradox may not lie within an individual companys grasp. Alternatively, it may take an industry consortium to make the necessary product changes or evolve consumer expectations. Or, it may take collaboration across industries to have lasting impact. In both examples cited above, a shift to lowerpolluting sources for energy generation would mitigate an increase in demand for both products. Overall, the green product paradox presents a difficult challenge for green marketers. Doing good for the planet may not always be as a simple as motivating purchase of greener goods. In some cases, it just might be too much of a good thing.

The Popularity and effectiveness of Green Marketing

Basic Features

The popularity of such marketing approach and its effectiveness is hotly debated. Supporters claim that environmental appeals are actually growing in numberthe Energy Star label, for example, now appears on 11,000 different companies' models in 38 product categories, from washing machines and light bulbs to skyscrapers and homes. However, despite the growth in the number of green products, green marketing is on the decline as the primary sales pitch for products. On the other hand there is a high percentage of consumers (42%)feel that environmental products dont work as well as conventional ones. This is an unfortunate legacy from the 1970s when shower heads sputtered and natural detergents left clothes dingy. Given the choice, all but the greenest of customers will reach for synthetic detergents over the premium-priced, proverbial "Happy Planet" any day, including Earth Day. New reports however show a growing trend towards green products. Statistics According to market researcher about 12% of the U.S. population can be identified as True Greens, consumers who seek out and regularly buy so-called green products. Another 68% can be classified as Light Greens, consumers who buy green sometimes. "What chief marketing officers are always looking for is touch points with consumers, and this is just a big, big, big touch point that's not being served," Research Director also pokes that "All the corporate executives that we talk to are extremely convinced that being able to make some sort of strong case about the environment is going to work down to their bottom line."

Myopia of Myth and Reality One challenge green marketers -- old and new -- are likely to face as green products and messages become more common are confusion in the marketplace. "Consumers do not really understand a lot about these issues, and there's a lot of confusion out there," says Marketers sometimes take advantage of this confusion, and purposely make false or exaggerated "green" claims. Critics refer to this practice as "green washing". A common mantra in green marketing is that if you want the masses to buy your product, focus your messaging on more traditional attributes such as price, quality or service. A products greenness is likely secondary for many mainstream consumers. For green marketers then, the Holy Grail may be to offer a product that is competitive on dimensions both traditional and eco-friendly. This would result in the greatest number of products sold and greatest impact on the environment. But, things are not always that simple. Consider the scenario when an innovative green product spurs new demand across an entire product category, rather than just replaces the existing generation of products in market. Is the individual product still green if the aggregate impact of the category is greater than what it replaced? But in any way, we should celebrate such technology fixes given their benefits to the environment. For marketers, solid state any green product is clearly has the potential to be

one of those holy grail products.As such, the green product paradox presents quite the challenge for a marketer. For individual companies, such products can be both profitable and (at least appear) socially responsible. It is only by looking at the forest from the trees and perhaps a little into the future does it become apparent that, in aggregate, such products may, paradoxically, have a negative impact. A sustainable brand might try itself to mitigate any impact that its products may have. But, this will only have broad impact if it ultimately compels competitors to follow suit. Given this, marketers should recognize that a solution to the paradox may not lie within an individual companys grasp. Alternatively, it may take an industry consortium to make the necessary product changes or evolve consumer expectations. Or, it may take collaboration across industries to have lasting impact.. Overall, the green product paradox presents a difficult challenge for green marketers. Doing good for the planet may not always be as a simple as motivating purchase of greener goods. In some cases, it just might be too much of a good thing Advantages - with the proliferation of environmental stories in the press and broadcast media, individuals (whether as a consumer or acting for a company), are more aware of their personal responsibility to try to make a difference. Appealing to this need can increase response rates to marketing executions and build brand loyalty. Disadvantages - the press are waiting in the wings to pounce on any company that makes unsubstantiated or inflated claims about their greenness. This can result in a consumer backlash. Effective green marketing targeted at the right audience will make a difference. The corporates realise its importance. Go to Marks and Spencer and read about their 'A Plan'. Smaller businesses are slow to catch on and don't really understand the implications of getting it wrong. However, some businesses base their whole model on being green, e.g. ecowebhosting.co.uk. Green marketing is very low on the agenda of most businesses and therefore its still an under-leveraged USP. On a more serious note, if green marketing doesn't have an impact on business process, i.e. becoming green, then chances are the business lacks integrity and is just chasing the 'green pound'.

This definition incorporates much of the traditional components of the marketing definition, that is "All activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants" Therefore it ensures that the interests of the organization and all its consumers are protected, as voluntary exchange will not take place unless both the buyer and seller mutually benefit. The above definition also includes the protection of the natural environment, by attempting to minimize the detrimental impact this exchange has on the environment. This second point is important, for human consumption by its very

nature is destructive to the natural environment. So green marketing should look at minimizing environmental harm, not necessarily eliminating it. IMPORTANCE OF GREEN MARKETING Man has limited resources on the earth, with which she/he must attempt to provide for the worlds' unlimited wants. There is extensive debate as to whether the earth is a resource at man's disposal.. In market societies where there is "freedom of choice", it has generally been accepted that individuals and organizations have the right to attempt to have their wants satisfied. As firms face limited natural resources, they must develop new or alternative ways of satisfying these unlimited wants. Ultimately green marketing looks at how marketing activities utilize these limited resources, while satisfying consumers wants, both of individuals and industry, as well as achieving the selling organization's objectives. When looking through the literature there are several suggested reasons for firms increased use of Green Marketing. Five possible reasons are as follows: 1.Organizations perceive environmental marketing to be an opportunity that can be used to achieve its objectives. 2. Organizations believe they have a moral obligation to be more socially responsible. Governmental bodies are forcing firms to become more responsible. 3. Competitors' environmental activities pressure firms to change their environmental marketing activities. 4. Cost factors associated with waste disposal, or reductions in material usage forces firms to modify their behavior. OPPORTUNITIES All types of consumers, both individual and industrial are becoming more concerned and aware about the natural environment. In a 1992 study of 16 countries, more than 50% of consumers in each country, other than Singapore, indicated they were concerned about the environment. A 1994 study in Australia found that 84.6% of the sample believed all individuals had a responsibility to care for the environment. A further 80% of this sample indicated that they had modified their behavior, including their purchasing behavior, due to environmental reasons. As demands change, many firms see these changes as an opportunity to be exploited. It can be assumed that firms marketing goods with environmental characteristics will have a competitive advantage over firms marketing nonenvironmentally responsible alternatives. There are numerous examples of firms who have strived to become more environmentally responsible, in an attempt to better satisfy their consumer need. McDonald's replaced its clam shell packaging with waxed paper because of increased consumer concern relating to polystyrene production and Ozone depletion. Xerox introduced a "high quality" recycled photocopier paper in an attempt to satisfy the demands of firms for less environmentally harmful products. This is not to imply that all firms who have undertaken environmental marketing activities actually improve their behavior. In some cases firms have misled consumers in an attempt

to gain market share. In other cases firms have jumped on the green bandwagon without considering the accuracy of their behavior, their claims, or the effectiveness of their products. This lack of consideration of the true "greenness" of activities may result in firms making false or misleading green marketing claims. SOCIAL RESPONSIBILITY & GREEN MARKETING Many firms are beginning to realize that they are members of the wider community and therefore must behave in an environmentally responsible fashion. This translates into firms that believe they must achieve environmental objectives as well as profit related objectives. This results in environmental issues being integrated into the firm's corporate culture. Firms in this situation can take two perspectives; (1) they can use the fact that they are environmentally responsible as a marketing tool; or (2) they can become responsible without promoting this fact. There are examples of firms adopting both strategies. Organizations like the Body Shop heavily promote the fact that they are environmentally responsible. While this behavior is a competitive advantage, the firm was established specifically to offer consumers environmentally responsible alternatives to conventional cosmetic products. This philosophy is directly tied to the overall corporate culture, rather than simply being a competitive tool. An example of a firm that does not promote its environmental initiatives is Coca-Cola. They have invested large sums of money in various recycling activities, as well as having modified their packaging to minimize its environmental impact. While being concerned about the environment, Coke has not used this concern as a marketing tool. Thus many consumers may not realize that Coke is a very environmentally committed organization. Another firm who is very environmentally responsible but does not promote this fact, at least outside the organization, is Walt Disney World (WDW). WDW has an extensive waste management program and infrastructure in place, yet these facilities are not highlighted in their general tourist promotional activities. GOVERNMENTALPRESSURE As with all marketing related activities, governments want to "protect" consumers and society; this protection has significant green marketing implications. Governmental regulations relating to environmental marketing are designed to protect consumers in several ways, 1) reduce production of harmful goods or by-products; 2) modify consumer and industry's use and/or consumption of harmful goods; or 3) ensure that all types of consumers have the ability to evaluate the environmental composition of goods. Governments establish regulations designed to control the amount of hazardous wastes produced by firms. Many by-products of production are controlled through the issuing of various environmental licenses, thus modifying organizational behavior. In some cases governments try to "induce" final consumers to become more responsible. For example, some governments have introduced voluntary curb-side recycling programs, making it easier for consumers to act responsibly. In other cases governments tax individuals who act in an irresponsible fashion. For example in Australia there is a higher gas tax associated with leaded petrol.

COMPETITIVE PRESSURE Another major force in the environmental marketing area has been firms' desire to maintain their competitive position. In many cases firms observe competitors promoting their environmental behaviors and attempt to emulate this behavior. In some instances this competitive pressure has caused an entire industry to modify and thus reduce its detrimental environmental behavior. For example, it could be argued that Xerox's "Revive 100% Recycled paper" was introduced a few years ago in an attempt to address the introduction of recycled photocopier paper by other manufacturers. In another example when one tuna manufacture stopped using driftnets the others followed suit. COST OR PROFIT ISSUES Firms may also use green marketing in an attempt to address cost or profit related issues. Disposing of environmentally harmful by-products, such as polychlorinated biphenyl (PCB) contaminated oil are becoming increasingly costly and in some cases difficult. Therefore firms that can reduce harmful wastes may incur substantial cost savings. When attempting to minimize waste, firms are often forced to re-examine their production processes. In these cases they often develop more effective production processes that not only reduce waste, but reduce the need for some raw materials. This serves as a double cost savings, since both waste and raw material are reduced. In other cases firms attempt to find end-of-pipe solutions, instead of minimizing waste. In these situations firms try to find markets or uses for their waste materials, where one firm's waste becomes another firm's input of production. One Australian example of this is a firm who produces acidic waste water as a by-product of production and sells it to a firm involved in neutralizing base materials. The last way in which cost or profit issues may affect firms' environmental marketing activities is that new industries may be developed. This can occur in two ways: 1) a firm develops a technology for reducing waste and sells it to other firms; or 2) a waste recycling or removal industry develops. For example, firms that clean the oil in large industrial condensers increase the life of those condensers, removing the need for replacing the oil, as well as the need to dispose of the waste oil. This reduces operating costs for those owning the condensers and generates revenue for those firms cleaning the oil. SOME PROBLEMS WITH GREEN MARKETING There are a number of potential problems that must overcome. One of the main problems is that firms using green marketing must ensure that their activities are not misleading to consumers or industry, and do not breach any of the regulations or laws dealing with environmental marketing. Green marketing claims must clearly state environmental benefits. A problem of the firms face is that thos who modify their products due to increased consumer concern must contend with the fact that consumers' perceptions are sometimes not correct. For example the McDonald's case where it has replaced its clam shells with plastic coated paper. There is ongoing scientific debate which is more environmentally friendly. Some scientific evidence suggests that when taking a cradle to grave approach, polystyrene is less environmentally harmful if this is the case McDonald's bowed to consumer pressure, yet has chosen the more environmentally harmful option.

When firms attempt to become socially responsible, they may face the risk that the environmentally responsible action of today will be found to be harmful in the future. Take for example the aerosol industry which has switched from CFCs (chlorofluorocarbons) to HFCs (hydro fluorocarbons) only to be told HFCs are also a greenhouse gas. Some firms now use DME (di-methyl ether) as an aerosol propellant, which may also harm the ozone layer. Given the limited scientific knowledge at any point, it may be impossible for a firm to have made the correct environmental decision. This may explain why some firms, like Coca-Cola and Walt Disney World, are becoming socially responsible without publicizing the point. They may be protecting themselves from potential future negative backlash; if it is determined they made the wrong decision in the past. While governmental regulation is designed to give consumers the opportunity to make better decisions or to motivate them to be more environmentally responsible, there is difficulty in establishing policies that will address all environmental issues. For example, guidelines developed to control environmental marketing address only a very narrow set of issues, i.e., the truthfulness of environmental marketing claims. If governments want to modify consumer behavior they need to establish a different set of regulations. Thus governmental attempts to protect the environment may result in a proliferation of regulations and guidelines, with no one central controlling body. Reacting to competitive pressures can cause all "followers" to make the same mistake as the "leader." Mobil Corporation who has followed the competition and introduced "biodegradable" plastic garbage bags, as because technically these bags were biodegradable, the conditions under which they were disposed did not allow biodegradation to occur. Mobil was sued by several US states for using misleading advertising claims. Thus blindly following the competition can have costly ramifications. The push to reduce costs or increase profits may not force firms to address the important issue of environmental degradation. End-of-pipe solutions may not actually reduce the waste but rather shift it around. While this may be beneficial, it does not necessarily address the larger environmental problem, though it may minimize its short term affects. Ultimately most waste produced will enter the waste stream, therefore to be environmentally responsible organizations should attempt to minimize their waste, rather than find "appropriate" uses for it.

Real Life Examples of Green Marketing

Philips Light's "Marathon" Philips Lighting's first shot at marketing a standalone compact fluorescent light (CFL) bulb was Earth Light, at $15 each versus 75 cents for incandescent bulbs. The product had difficulty climbing out of its deep green niche. The company re-launched the product as "Marathon," underscoring its new "super long life" positioning and promise of saving $26 in energy costs over its five-year lifetime. Finally, with the U.S. EPA's Energy Star label to add credibility as well as new sensitivity to rising utility costs and electricity shortages, sales climbed 12 percent in an otherwise flat market.

Car sharing services Car-sharing services address the longer-term solutions to consumer needs for better fuel savings and fewer traffic tie-ups and parking nightmares, to complement the environmental benefit of more open space and reduction of greenhouse gases. They may be thought of as a "time-sharing" system for cars. Consumers who drive less than 7,500 miles a year and do not need a car for work can save thousands of dollars annually by joining one of the many services springing up, including ZipCar , I-GO Car , Flex Car , and Hour Car Electronics sector The consumer electronics sector provides room for using green marketing to attract new customers. One example of this is HPs promise to cut its global energy use 20 percent by the year 2010. To accomplish this reduction below 2005 levels, The Hewlett-Packard Company announced plans to deliver energy-efficient products and services and institute energy-efficient operating practices in its facilities worldwide. Introduction of CNG in Delhi New Delhi capital of India, was being polluted at a very fast pace until Supreme Court of India forced a change to alternative fuels. In 2002, a directive was issued to completely adopt CNG in all public transport systems to curb pollution. TOYOTA PRIUS

I know youve been hearing a lot these days about Toyotas Prius. For lots of good reasons, its likely the most successful green product in the U.S. First, it provides consumers with all they seek in a sedan and more attractive styling, fuel efficiency, the ability to drive for an unlimited amount of miles only stopping for fill-ups (versus, for instance, having to stop for a 12-hour recharge if the engine were only electric), and because of the hybrid engine, a quiet ride considering that the car doesnt idle at stoplights. The cars dashboard comes with an unusual feature: a screen that lets the driver know which of the two engines is in use and how much fuel efficiency is being had at any given moment; anecdotes report that Prius owners try to beat their previous record each time they drive! When the car was introduced, ads focused on superior performance evidenced in a quiet ride, and supplemental ads touted its environmental confides. With energy prices on the rise, the Prius is now being marketed for its superior fuel efficiency, and a PR machine fuels efforts to link the car to environmentally conscious celebrities and causes. Some owners, it is reported even buy the car for what is being called Conspicuous Conservation letting all know that they are environmentally astute. TIDE Tide Coldwater is a line extension of Tide that is helping it build brand equity and staying fresh in the marketplace. A Life Cycle Assessment commissioned by Procter and Gamble found that 80%-85% of the energy used to wash clothes comes from heating the water. P&G calculated that U.S. consumers could therefore save $63 per year by washing in cold water rather than warm. So, with the proviso that they could persuade consumers that cold water washing was efficacious, they positioned the product as a way to save on energy bills. First, marketing efforts reassured consumers of the products efficacy. On a special website, consumers could calculate the amount of energy they could save yearly personally and in conjunction with all the others who took the Tide ColdwateChallenge. Advertising showed how long major U.S. landmarks such as the Empire State Building could be lit with the energy that could be saved if all of The environmental movement is about doing things differently. Method is a brand that is trying to express this differentness in nearly every way possible, starting with how the product looks and smells. The bottle for the dish soap looks like an upside down teardrop. It was specifically designed by a well known fashion designer Karim Rashid so consumers would feel comfortable leaving it right at kitchen sink, helping the user project a sort of status to visitors. The product label sports a very understated lower case min a circle, with method also in lowercase just beneath. No splashy lettering. No flashy starbursts like those that were designed to capture consumers attention at mainstream store shelves. What attracts consumers to this product is the distinctiveness of the package shape and the unique coloring of the product inside. This product may look expensive, but it actually sells at competitive prices at Target, Office Depot and Safeway! such as the Empire State Building could be lit with the energy that could be saved if all of the consumers in those cities switched to cold-water washing. Finally, the website provided various energy saving tips and resources, starting with information about switching to Energy Star certified energy-saving compact fluorescent lighting, tips from the Alliance to Save Energy, a respected environmental group, and encouragements to Consider buying a Different Kind of Car namely, the Prius.

This type of marketing no doubt reassured consumers of the products performance. They were empowered by the ability to calculate their own savings and to aggregate that savings with those of others. By using the internet versus traditional advertising-led messages, they were engaged in the message. By leveraging word of mouth via the Tide Coldwater Challenge and associating with notable third parties, any barriers of skepticism were overcome. And Tide Brand found a fresh new message in step with consumers needs to control rising energy prices

MARKETING MIX OF GREEN MARKETING

1. A. GREEN PRODUCT:

The products have to be developed depending on the needs of the customers who prefer environment friendly products. Products can be made from recycled materials or from used goods. Efficient products not only save water, energy and money, but also reduce harmful effects on the environment. Green chemistry forms the growing focus of product development. The marketer's role in product management includes providing product designers with market-driven trends and customer requests for green product attributes such as energy saving, organic, green chemicals, local sourcing, etc., For example, Nike is the first among the shoe companies to market itself as green. It is marketing its Air Jordan shoes as environment-friendly, as it has significantly reduced the usage of harmful glue adhesives. It has designed this variety of shoes to emphasize that it has reduced wastage and used environment-friendly materials. B. GREEN PRICE Green pricing takes into consideration the people, planet and profit in a way that takes care of the health of employees and communities and ensures efficient productivity. Value can be added to it by changing its appearance, functionality and through customization, etc. Wal Mart unveiled its first recyclable cloth shopping bag. IKEA started charging consumers when they opted for plastic bags and encouraged people to shop using its "Big Blue Bag". C. GREEN PLACE Green place is about managing logistics to cut down on transportation emissions, thereby in effect aiming at reducing the carbon footprint. For example, instead of marketing an imported mango juice in India it can be licensed for local production. This avoids shipping of the product from far away, thus reducing shipping cost and more importantly, the consequent carbon emission by the ships and other modes of transport. D. GREEN PROMOTION

Green promotion involves configuring the tools of promotion, such as advertising, marketing materials, signage, white papers, web sites, videos and presentations by keeping people, planet and profits in mind. British petroleum (BP) displays gas station which its sunflower motif and boasts of putting money into solar power. Indian Tobacco Company has introduced environmental-friendly papers and boards, which are free of elemental chlorine. Toyota is trying to push gas/electric hybrid technology into much of its product line. It is also making the single largest R&D investment in the every-elusive hydrogen car and promoting itself as the first eco-friendly car company. International business machines Corporation (IBM) has revealed a portfolio of green retail store technologies and services to help retailers improve energy efficiency in their IT operations. The center piece of this portfolio is the IBM SurePOS 700, a point-of-sale system that, according to IBM, reduces power consumption by 36% or more. We even see the names of retail outlets like "Reliance Fresh", Fresh@Namdhari Fresh and Desi, which while selling fresh vegetables and fruits, transmit an innate communication of green marketing. Green marketer can attract customers on the basis of performance, money savings, health and convenience, or just plain environmental friendliness, so as to target a wide range of green consumers. Consumer awareness can be created by spreading the message among consumers about the benefits of environmental-friendly products. Positing of profiles related to green marketing on social networks creates awareness within and across online peer groups. Marketing can also directly target the consumers through advertisements for product such as energy saving compact fluorescent lamps, the battery powered Reva car, etc.

CONCLUSION
Green marketing covers more than a firm's marketing claims. While firms must bear much of the responsibility for environmental degradation, ultimately it is consumers who demand goods, and thus create environmental problems. One example of this is where McDonald's is often blamed for polluting the environment because much of their packaging finishes up as roadside waste. It must be remembered that it is the uncaring consumer who chooses to disposes of their waste in an inappropriate fashion. While firms can have a great impact on the natural environment, the responsibility should not be theirs alone. It appears that consumers are not overly committed to improving their environment and may be looking to lay too much responsibility on industry and government. Ultimately green marketing requires that consumers want a cleaner environment and are willing to "pay" for it, possibly through higher priced goods, modified individual lifestyles, or even governmental intervention. Until this occurs it will be difficult for firms alone to lead the green marketing revolution. It must not be forgotten that the industrial buyer also has the ability to pressure suppliers to modify their activities. Thus an environmental committed organization may not only produce goods that have reduced their detrimental impact on the environment, they

may also be able to pressure their suppliers to behave in a more environmentally "responsible" fashion. Final consumers and industrial buyers also have the ability to pressure organizations to integrate the environment into their corporate culture and thus ensure all organizations minimize the detrimental environmental impact of their activities. So being green is the actual reality and together we all have to take steps for giving pace to green marketing. And so reen marketing should not neglect the economic aspect of marketing. Marketers need to understand the implications of green marketing. If you think customers are not concerned about environmental issues or will not pay a premium for products that are more eco-responsible, think again. You must find an opportunity to enhance you product's performance and strengthen your customer's loyalty and command a higher price. Green marketing is still in its infancy and a lot of research is to be done on green marketing to fully explore its potential.

REFERENCES

Crane, A. (2000), "Facing the backlash: green marketing and strategic re-orientation in the 1990s", Journal of Strategic Marketing, Vol.8, No.3, , pp. 277-96. Elkington, J. (1994), "Towards the sustainable corporation: win win business strategies for sustainable development", California Management Review, Vol. 36 No.2 pp. 90-100. Mintel (1991). London, The green consumer report. Ottman, J.A. (1993), Green Marketing: Challenges and opportunities, NTC Business Books, Chicago, IL. Porter, M.E., Van der Linde (1995), "Green and competitive: ending the stalemate", Harvard Business Review, Vol.73, No.5, pp.120-33. Shelton, R.D. (1994), "Hitting the green wall: why corporate programs get stalled", Corporate Environmental Strategy, Vol.2, No.2, pp.5-11. Smithe, T. (1998), "The Green Marketing Myth: Tending out Goats at the Edge of Apocalypse, Wong, V., Turner, W., Stoneman, P.(1996), "Marketing strategies and market prospects for environmentally-friendly consumer products", British Journal of Management, Vol.7, No.3, pp.263-81.

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Akansha bhargava (lecturer) Biff & Bright College of Technical Education Ph:9887905279 [email protected]