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Sustainable Business Premier Group
Green marketing


                          Green marketing,
                       some “dos” and “don’ts”

                            Charles Burt
                         The Olive Consultancy

                            21st April 2009
Key issues

                    •   What is green marketing?
Green marketing


                    •   Why do it?
                    •   What matters to your customers?
                    •   What works
                    •   Emerging drivers
                    •   What doesn’t work
                    •   Where to get more help
Green marketing   Why do green marketing?




                    •   It   addresses a need
                    •   It   tells a story
                    •   It   adds value
                    •   It   creates competitive advantage
Green marketing   It addresses a need…




                  “SABMiller to cut water use by a quarter”
                  SABMiller, one of the world's leading brewers, today
                  announces a major new commitment to reduce water
                  consumption across its global operations.
                  The group has set itself the demanding target of reducing
                  water use per litre of beer by 25% by 2015. This initiative
                  will save around 20 billion litres of water every year by
                  2015 - enough to fill eight thousand Olympic-sized
                  swimming pools.
                  By 2015 SABMiller aims to reduce its water consumption
                  to an average of 3.5 litres used to make a litre of beer. In
                  2008 this figure was 4.6 litres; the industry average is 5
                  litres.
Green marketing   It tells a story….
Green marketing   You can put numbers on it!




                  Source: Carbon Trust, Brand value at risk from Climate Change (2004)
Green marketing   Some examples:
What matters to your customers?

                    • Assurance
Green marketing

                       • Risk management
                       • Compliance
                    • Skills
                       • Do you know how?
                       • Shared values
                    • Data
                       • Relevant
                       • Honest
                       • Verifiable – e.g. EMS
                    • Cost control
                    • Supply chain pressures
                    • Competitive advantage
Some emerging drivers

                   • Legislation
Green marketing


                   • “Sustainable procurement”
                       • See “Procuring the Future”
                       • The “Flexible Framework”
                   •   Pre-qualification questionnaires (PQQs)
                   •   Carbon footprinting
                   •   Waste minimisation
                   •   “Whole life” costing
                   •   EMS (e.g. ISO14001:2004)
                   •   Marketing opportunities
                       • Differentiation
                       • Segmentation
                       • Fragmentation
What works?

                    • Does it add value?
Green marketing


                        • Assurance
                        • Message
                    •   Is it relevant?
                    •   Is it measurable?
                    •   Is it material?
                    •   Does it differentiate?
                    •   Is it “worth it”?
                    •   Can you prove it?
What doesn’t work?

                    • Recognisable?
Green marketing

                                      Own brand Eco-labels???
                    • Honest?
                    • Verifiable?
                    • Relevant?
                    or “greenwash”?

                                       “Philips Launches Green Logo”
What you need to do:
                    • Assess customer demands
                       • Public or Private sector?
Green marketing


                       • Retail?
                       • Wholesale?
                    • Relate to legislation and policy
                       • E.g. Waste:
                          • Electrical - WEEE & RoHS, Packaging, Batteries, Vehicles
                          • Landfill taxes etc.
                       • Energy:
                          • EU Energy Efficiency, UK Energy White Paper
                       • Carbon:
                          • EUETS, CRC, CSH, EPCs, DECs

                    • Look for opportunities!
The choices:
                    Greenwash – We recycle paper and care for the
                      planet OK!? – now where are my cheap flight
Green marketing


                      tickets & the keys to my new Porsche Cayenne?

                    Burden – More ****** red tape! Its not in the
                      contract. Its not my problem. What’s the point?
                      I believe Channel 4’s “The Great Climate
                      Swindle programme.”

                    Opportunity – Innovation, differentiation,
                      improved risk management, new solutions,
                      competitive advantage, improved access to
                      market, enhanced brand value etc.
                      Bring it on! Where do we start?
The 7 sins of greenwashing!

                    1. Trade off – distraction from the real
Green marketing

                       issues e.g. “0% parabens” (but still
                       contains carcinogens)
                    2. No proof – not verifiable
                    3. Vagueness – e.g. “All natural” (could
                       still be toxic, mutagenic etc!)
                    4. Irrelevance – e.g. “CFC free” (CFCs are
                       now illegal!)
                    5. Distracting – e.g. “fuel efficient SUV”
                    6. False claims – e.g. “certified by…”
                    7. False labels – fictitious “green” badging
                    Source: TerraChoice www.sinsofgreenwashing.org
Where to get more help?
                    •   Business Link – Sales & Marketing
                        http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1073861169&site=210
Green marketing

                    •   The Olive Consultancy Ltd
                        www.consultolive.com
                    •   Greenhouse Graphics
                        www.greenhousegraphics.co.uk
                    •   Chartered Institute of Marketing
                        www.cim.co.uk
                    •   Green claims guidance (DEFRA)
                        http://www.defra.gov.uk/environment/consumerprod/pdf/genericguide.pdf
                    •   Green claims code (DEFRA)
                        http://www.defra.gov.uk/environment/consumerprod/gcc/pdf/gcc.pdf
                    •   Committee of Advertising Practice (CAP) Put “environmental claims” in the search
                        www.cap.org.uk
                    •   Greener shopping guidance (Direct.gov)
                        http://www.direct.gov.uk/en/Environmentandgreenerliving/Greenershopping/index.htm
                    •   Choosing “green” companies
                        http://www.direct.gov.uk/en/Environmentandgreenerliving/Greenershopping/DG_069882
                    •   Business Protection Misleading Marketing Regulations 2008
                        http://www.opsi.gov.uk/si/si2008/pdf/uksi_20081276_en.pdf
                    •   The Sustainable Business Partnership
                        www.the-sbp.co.uk
                    •   Envirowise – Free business information & support on environmental issues
                        www.envirowise.gov.uk
                    •   The Carbon Trust – Free business information on Carbon Footprint and energy
                        efficiency
                        www.carbontrust.co.uk
Green marketing

                  Thank you for listening

                     Any questions?


                        Charles Burt

                   The Olive Consultancy

                   www.consultolive.com
                     02380 111440

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Green Marketing

  • 1. Sustainable Business Premier Group Green marketing Green marketing, some “dos” and “don’ts” Charles Burt The Olive Consultancy 21st April 2009
  • 2. Key issues • What is green marketing? Green marketing • Why do it? • What matters to your customers? • What works • Emerging drivers • What doesn’t work • Where to get more help
  • 3. Green marketing Why do green marketing? • It addresses a need • It tells a story • It adds value • It creates competitive advantage
  • 4. Green marketing It addresses a need… “SABMiller to cut water use by a quarter” SABMiller, one of the world's leading brewers, today announces a major new commitment to reduce water consumption across its global operations. The group has set itself the demanding target of reducing water use per litre of beer by 25% by 2015. This initiative will save around 20 billion litres of water every year by 2015 - enough to fill eight thousand Olympic-sized swimming pools. By 2015 SABMiller aims to reduce its water consumption to an average of 3.5 litres used to make a litre of beer. In 2008 this figure was 4.6 litres; the industry average is 5 litres.
  • 5. Green marketing It tells a story….
  • 6. Green marketing You can put numbers on it! Source: Carbon Trust, Brand value at risk from Climate Change (2004)
  • 7. Green marketing Some examples:
  • 8. What matters to your customers? • Assurance Green marketing • Risk management • Compliance • Skills • Do you know how? • Shared values • Data • Relevant • Honest • Verifiable – e.g. EMS • Cost control • Supply chain pressures • Competitive advantage
  • 9. Some emerging drivers • Legislation Green marketing • “Sustainable procurement” • See “Procuring the Future” • The “Flexible Framework” • Pre-qualification questionnaires (PQQs) • Carbon footprinting • Waste minimisation • “Whole life” costing • EMS (e.g. ISO14001:2004) • Marketing opportunities • Differentiation • Segmentation • Fragmentation
  • 10. What works? • Does it add value? Green marketing • Assurance • Message • Is it relevant? • Is it measurable? • Is it material? • Does it differentiate? • Is it “worth it”? • Can you prove it?
  • 11. What doesn’t work? • Recognisable? Green marketing Own brand Eco-labels??? • Honest? • Verifiable? • Relevant? or “greenwash”? “Philips Launches Green Logo”
  • 12. What you need to do: • Assess customer demands • Public or Private sector? Green marketing • Retail? • Wholesale? • Relate to legislation and policy • E.g. Waste: • Electrical - WEEE & RoHS, Packaging, Batteries, Vehicles • Landfill taxes etc. • Energy: • EU Energy Efficiency, UK Energy White Paper • Carbon: • EUETS, CRC, CSH, EPCs, DECs • Look for opportunities!
  • 13. The choices: Greenwash – We recycle paper and care for the planet OK!? – now where are my cheap flight Green marketing tickets & the keys to my new Porsche Cayenne? Burden – More ****** red tape! Its not in the contract. Its not my problem. What’s the point? I believe Channel 4’s “The Great Climate Swindle programme.” Opportunity – Innovation, differentiation, improved risk management, new solutions, competitive advantage, improved access to market, enhanced brand value etc. Bring it on! Where do we start?
  • 14. The 7 sins of greenwashing! 1. Trade off – distraction from the real Green marketing issues e.g. “0% parabens” (but still contains carcinogens) 2. No proof – not verifiable 3. Vagueness – e.g. “All natural” (could still be toxic, mutagenic etc!) 4. Irrelevance – e.g. “CFC free” (CFCs are now illegal!) 5. Distracting – e.g. “fuel efficient SUV” 6. False claims – e.g. “certified by…” 7. False labels – fictitious “green” badging Source: TerraChoice www.sinsofgreenwashing.org
  • 15. Where to get more help? • Business Link – Sales & Marketing http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1073861169&site=210 Green marketing • The Olive Consultancy Ltd www.consultolive.com • Greenhouse Graphics www.greenhousegraphics.co.uk • Chartered Institute of Marketing www.cim.co.uk • Green claims guidance (DEFRA) http://www.defra.gov.uk/environment/consumerprod/pdf/genericguide.pdf • Green claims code (DEFRA) http://www.defra.gov.uk/environment/consumerprod/gcc/pdf/gcc.pdf • Committee of Advertising Practice (CAP) Put “environmental claims” in the search www.cap.org.uk • Greener shopping guidance (Direct.gov) http://www.direct.gov.uk/en/Environmentandgreenerliving/Greenershopping/index.htm • Choosing “green” companies http://www.direct.gov.uk/en/Environmentandgreenerliving/Greenershopping/DG_069882 • Business Protection Misleading Marketing Regulations 2008 http://www.opsi.gov.uk/si/si2008/pdf/uksi_20081276_en.pdf • The Sustainable Business Partnership www.the-sbp.co.uk • Envirowise – Free business information & support on environmental issues www.envirowise.gov.uk • The Carbon Trust – Free business information on Carbon Footprint and energy efficiency www.carbontrust.co.uk
  • 16. Green marketing Thank you for listening Any questions? Charles Burt The Olive Consultancy www.consultolive.com 02380 111440