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Shades of Green Marketing
     Going Green without Going Overboard   |   October 27, 2009

                                                       Prepared and submitted by:
                                               BURNS MARKETING COMMUNICATIONS




                                                                                    Copyright ® 2009. All rights reserved.
AGENDA   Greening an office
         Green “P”s
          _ Paper
          _ Printing
          _ Promotional items
         Green marketing
         Greenwashing
         Green fatigue?
         Green conclusion
         Green questions
Running a green office is both good for the
GREENING    environment and the bottom line, as conserving
AN OFFICE   resources and cutting waste saves money.

            Little things you can do at your company:
             _ Recycle paper, commingled containers, and ink
               cartridges/old computer equipment
             _ Set automatic duplexing on printers
             _ Install fluorescent/compact fluorescent light bulbs
             _ Turn off lights at night
             _ Program thermostat
             _ Use Energy Star appliances
             _ Bring reusable coffee mugs, plates, and utensils
             _ Opt for virtual meetings (conference calls, WebEx, etc.)
             _ Carpool
             _ Shut down (not just log off) computers at end of day
             _ Use less paper and buy recycled paper
                •   Look for a high percentage of post-consumer content and
                    minimum of processed chlorine bleaching
             _ Switch to green cleaning products
GREEN   Paper
        Printing
 “P”s   Promotional items
GREEN   Choose paper that is:
         _ Recycled, preferably 80- to 100-percent post-
PAPER      consumer waste (PCW)
         _ Chlorine free
            •   Elemental chlorine free (ECF)
            •   Totally chlorine free (TCF)
            •   Processed chlorine free (PCF) for recycled paper
         _ Uncoated
         _ Forest Stewardship Council (FSC) certified
            •   Contributes to conservation, responsible management,
                and community level benefits for people near the forests
                that provide the paper
         _ Made by renewable energy sources
         _ Treeless
            •   For example: hemp, kenaf, sugar cane, cotton, Crane’s
                ‘Denim Blues’ and ‘Old Money,’ TerraSkin (made of
                stones), etc.
GREEN    What’s the problem with printing?
            _ The pulp and paper industry is the third largest
PRINTING      industrial polluter to air, water, and land in the United
              States and Canada, and releases over 100 million kg
              of toxic pollution each year.
            _ Petroleum-based inks damage the environment and
              our health with volatile organic compounds (VOCs).
            _ The printing process itself is hazardous with the toxic
              pollutants such as solvents, shellacs, driers, and other
              solutions employed in producing film, printing plates,
              and cleaning presses.
GREEN           How can you print green?
                   _ Use vegetable-based inks or soy inks instead of
PRINTING
    (continued)
                     petroleum-based inks
                      •   These alternatives are low in VOCs, made from a
                          renewable resource, competitively priced, and make paper
                          easier to recycle.
                   _ Look for a printer that uses renewable energy sources
                     (e.g., wind and solar power)
                   _ Try waterless printing, which eliminates the
                     dampening systems used in conventional printing
                   _ Go digital, which avoids the film and chemicals in
                     traditional printing
                   _ Avoid bindings, adhesives, or foil stamps that render
                     printed items unrecyclable
                   _ Reduce ink usage by going with one- or two-color
                     designs
                   _ Save paper by using standard press size sheets
GREEN    Promotional products companies are capitalizing on
              the green movement.
PROMO ITEMS   Examples of available items:
               _ Bamboo or organic cotton apparel
               _ Biodegradable plastic products (e.g., bags, pens, etc.)
               _ Recycled material shopping bags, portfolios, etc.
               _ Recycled paper calendars, notepads, etc.
               _ Recycled plastic cups, water bottles, Frisbees, etc.
               _ No-battery and water-battery gadgets (e.g.,
                 flashlights, clocks, calculators, disposable cameras,
                 etc.)
               _ Eco-friendly golf balls
               _ Plants and seeds in biodegradable packaging
GREEN    Marketing of products, services, or companies that
            are presumed to be environmentally friendly,
MARKETING   sustainable, or socially responsible.
             _ Ingredients/materials
             _ Packaging/design
             _ Production/manufacturing process
             _ Alternative energy
             _ Organic
             _ Local
             _ Fair trade
             _ Philanthropic
             _ Corporate social responsibility
GREEN           The five simple rules of green marketing:
                   (Jacquelyn Ottman, MarketingProfs, November 20, 2007)


MARKETING
     (continued)
                     _ Know your customer
                          •   First, make sure that the consumer is aware of and
                              concerned about the issues that your product addresses.
                     _ Empower customers
                          •   Make your customers feel that by using your product, they
                              can make a difference (either alone or together with all
                              the other users). Empowerment is the main reason
                              consumers buy green products.
                     _ Be transparent
                          •   Consumers must believe the legitimacy of your product
                              and the specific claims you’re making. There’s a lot of
                              skepticism out there now because of “greenwashing.”
                     _ Reassure the buyer
                          •   Consumers must believe your product does what it is
                              supposed to do – they won’t forgo product quality to save
                              the environment.
                     _ Consider your pricing
                          •   Make sure consumers can afford a premium price and feel
                              it’s worth it.
GREEN           Generation Y’s favorite green brands (Outlaw Consulting survey):
                    _ Companies that are going beyond the niche segment
MARKETING
     (continued)
                      of hard-core Greenies to win-over Gen Y (ages 21-29)
                      influencers.
                    _ These brands are not necessarily the leaders in the
                      issues of sustainability, but they are trendsetters in
                      image categories.
                    _ Qualities of these standout companies include:
                        •   Trailblazers that went green long before competitors.
                        •   Brands with clean, minimalist design.
                        •   Products in categories that are key to basic needs (e.g.,
                            food, clothing, health/beauty).
CASE   Sprint “Reclaim”s some green cred.
           _ The green-themed smart phone is loaded with green
STUDIES      content, eco-conscious accessories, and sustainable
             packaging.
              •   Content from Planet Green – provides basic green info
              •   Preloaded eco-sonic ringtones including chirps and
                  ribbits
              •   More environmentally-conscious instruction book
              •   Postage-paid recycling bag included for your old phone
           _ 80-percent is recyclable material, 40-percent of the
             casing is made from corn-based bio-plastic – bulk of
             other phones are also made of recyclable material.
           _ Sprint is committed to recycling 90-percent of the
             phone they make by 2017.
           _ Green or greenwash?
              •   “They have taken real steps towards cleaning up an
                  industry that contributes an incredible amount of material
                  into the global e-waste stream.” – Timothy B. Hurst
CASE   Burt’s Bees attacks the ingredient, not the brand.
           _ Consumers can easily get confused by what
STUDIES      constitutes “natural” products, and are unwittingly
             buying products with ingredients they want to avoid.
           _ To address this confusion, Burt’s Bees advertising
             depicts the difference between the benefits of natural
             ingredients in their products versus the surprising,
             icky ingredients in non-natural products.
           _ In this ad, petroleum, which is found in many lip
             balms, is defined as “a nonrenewable hydrocarbon
             made from crude oil… sometimes used to stop
             corrosion in car batteries.”
           _ Beeswax, on the other hand, is a “naturally
             replenishing moisturizer made by bees.”
CASE   Tide Coldwater – a benefit shift.
           _ While many green products focus on the environmental
STUDIES      benefits, Tide Coldwater promotes consumer savings.
CASE   Levi Strauss practices Goodwill.
           _ The beginning and ending of jeans’ lifecycle are the
STUDIES      most carbon/energy intensive parts of the chain.
           _ Levis Strauss is working to increase its use of organic
             cotton, but what are they doing for the end of the
             lifecycle?
           _ A partnership with Goodwill encourages Levi owners to
             donate their jeans rather than toss ‘em.
           _ The Levi Strauss/Goodwill partnership helps to:
              •   Prevent jeans from landing in the landfill.
              •   Provide clothing to people in need.
              •   Supply job training for at-risk populations.
CASE   Agency raises clean water awareness.
           _ A Belgian agency’s pro-bono creative grabbed people’s
STUDIES      attention on the issue of clean water.
              •   Every 15 seconds a child dies from a disease caused by
                  lack of clean drinking water.
           _ A boy would run into live broadcasts and grab a glass
             of water, drink it, then run off again.
           _ Only producers, not the on-air talent, were informed of
             the stunt to keep the reactions as real as possible.
           _ The message was that it’s not so normal to have a
             glass of water – it’s not in reach for millions of people.
           _ The live interruptions were gathered and broadcast as
             a commercial that explained who was behind the
             events and why.
           _ The effort raised 3.3 million euros (1 million from the
             Belgian government).
CASE   Denver Water uses only what it needs.
           _ Denver Water’s campaign (by Sukle) to help conserve
STUDIES      during the summer months in Colorado.
GREEN   Greenwashing describes the act of making an
          unsubstantiated or misleading claim about the
WASHING   environmental soundness or benefits of a product,
          service, technology, or company practice.
          Greenwashing is essentially an environmental twist
          on whitewashing – a coordinated attempt to hide
          unpleasant facts, especially in a political context.
          Greenwashing watch sites:
           _ Greenwashing Index (EnviroMedia)
           _ Stop Greenwash (Greenpeace)
          A 2008 survey shows that a rising number of
          Americans (currently 68-percent) think companies
          exaggerate their environmental initiatives.
GREEN          The six sins of greenwashing (TerraChoice):
                  _ Sin of the hidden trade-off
WASHING
   (continued)
                      •   Suggestion that a product is green based on an
                          unreasonably narrow set of attributes without attention to
                          other important environmental issues.
                  _ Sin of no proof
                      •   An environmental claim that cannot be substantiated by
                          easily accessible information or third-party certification.
                  _ Sin of vagueness
                      •   Any claim that is so poorly defined or broad that its real
                          meaning is likely to be misunderstood by the consumer.
                  _ Sin of irrelevance
                      •   A claim that may be truthful, but is unimportant and
                          unhelpful for consumers seeking environmentally
                          preferable products.
                  _ Sin of lesser of two evils
                      •   Green claims that may be true within the product
                          category, but risk distracting the consumer from the
                          greater environmental impacts of the category as a whole.
                  _ Sin of fibbing
                      •   Environmental claims that are simply false.
CASE   General Motors promises Gas-Friendly to Gas-Free.
           _ GM’s campaign highlights ways Chevrolet is
STUDIES      “greening” its fleet:
              •   Increasing fuel efficiency
              •   Producing E85 ethanol vehicles
              •   Developing hybrids, plug-in hybrids, and fuel cells
           _ Web site, commercials, and print ads feature green-
             friendly images that suggest GM’s support for the
             environment.
           _ GREENWASH
              •   As this campaign was launched, GM was lobbying
                  Congress to stop the increase of fuel economy standards
                  and is still a leading producer of gas-guzzling vehicles.
CASE   Bottled water gets in eco-shape?
           _ Fiji water tells consumers that “every drop is green”
STUDIES      and fijigreen.com promotes the company’s promise
             and progress toward going carbon negative, saving
             the rainforest, reducing packaging, and recycling.
           _ Nestle brand bottled waters have a new “eco-shape”
             bottle featuring 30-percent less packaging.
              •   “The lightest half-liter bottle ever produced.”
           _ GREENWASH
              •   Bottled water is still extremely environmentally unfriendly
                  when you factor in the energy used and pollution emitted
                  with transportation (especially from Fiji), distribution, and
                  plastic packaging.
CASE   Sigg hits plastic status.
           _ Sigg metal water bottles have been popular with those
STUDIES      looking to avoid plastic water bottle waste and the
             dreaded BPA compound.
           _ GREENWASH
                 •   The company’s reputation tanked after consumers
                     discovered the aluminum water bottles were found to
                     have BPA.
                 •   The company was careful to avoid saying BPA was in
                     its products – it now admits that the compound was
                     present until production changes occurred 13
                     months ago.
                 •   “I bought the Sigg bottles thinking they didn't have it
                     in there, but they did in fact have it. I feel cheated
                     and lied to.” – San Francisco resident Mai Mai Wythes
CASE   Shell oil emits flowers and admits foul.
           _ Shell’s ad showing oil refineries spewing flowers
STUDIES      instead of smoke claims that it uses its own “waste
             CO2 to grow flowers and waste sulfur to make
             concrete.”
           _ So many complaints were filed that Royal Dutch Shell
             was ordered by the Dutch Advertising Code Authority to
             withdraw the ad.
              •   However, the ad continued to run in other European
                  countries, including Britain.
           _ GREENWASH
              •   The ad implies all of Shell’s waste CO2 is recycled, while
                  in reality, only tiny percentages of Shell’s waste products
                  are recycled for flowers and concrete, etc.
              •   Shell boasts that a refinery in the Netherlands pipes CO2
                  to heat greenhouses, saving 350,000 tonnes of carbon
                  dioxide a year. But this is only 0.325-percent of Shell’s
                  direct emissions, estimated by Shell to be 100 million
                  tonnes in 2005.
GREEN    Consumers are in a green fog.
            _ Eco-friendly messages are so pervasive that it can be
FATIGUE?      confusing and frustrating to understand which are
              meaningful, which are just hype, and how to make wise
              decisions on purchases and personal actions.
           Skepticism is strong.
            _ 64-percent of consumers view sustainability campaigns
              as little more than a “marketing tool” – opportunism on
              the part of big business. (Source)
           The green market is not yet mature – and consumers
           still lack an understanding of “going green.”
            _ About one in three consumers say they don’t know how
              to tell if green product claims are true. (Source)
            _ Half of consumers say a company’s environmental
              record is important in their purchasing decisions. (Source)
               •   But only 21-percent said this had actually driven them to
                   choose one product over another.
               •   And a mere 7-percent could name the product they
                   purchased.
GREEN           But despite confusion, skepticism, and the recession,
                  green products are growing.
FATIGUE?
    (continued)
                   _ In 2009 (as of April), companies have launched 458
                     products that claim to be “sustainable,”
                     “environmentally friendly,” or “eco-friendly.” (Source)
                      •   If this trend continues, 1,570 new green products will be
                          launched this year – triple the amount launched in 2008,
                          which was double the amount in 2007.
                   _ Four out of five people say they’re still buying green
                     products and services. (Source)
                      •   Primary influencers in deciding what to buy:
                           .   Product’s reputation: 21-percent
                           .   Word of mouth: 19-percent
                           .   Brand loyalty: 15-percent
                           .   Advertising: only 9-percent

                   _ Green shoppers come with desirable characteristics
                     including brand loyalty, lower price sensitivity, and more
                     frequent shopping. (Source)
GREEN   Even though many consumers are experiencing eco-
             anxiety and shutting down to green marketing, they
CONCLUSION   are still intrigued and influenced by sustainability
             considerations.
             And, some companies are truly making progress
             reaching consumers with the right strategy and
             messages.
             Tips for engaging consumers:
              _ Be honest and transparent with your efforts and true
                company values.
              _ Create remarkable, lovable products that are both hip
                and green.
              _ Invite customers to participate in the brand and be your
                ambassadors.
              _ Partner with established non-profits, etc.
              _ Move beyond the green fad into sustainability –
                continuous improvement.
                 •   Address not only the environment, but your affect on the
                     greater society and your local community.
QUESTIONS?

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Shades of green marketing

  • 1.
  • 2. Shades of Green Marketing Going Green without Going Overboard | October 27, 2009 Prepared and submitted by: BURNS MARKETING COMMUNICATIONS Copyright ® 2009. All rights reserved.
  • 3. AGENDA Greening an office Green “P”s _ Paper _ Printing _ Promotional items Green marketing Greenwashing Green fatigue? Green conclusion Green questions
  • 4. Running a green office is both good for the GREENING environment and the bottom line, as conserving AN OFFICE resources and cutting waste saves money. Little things you can do at your company: _ Recycle paper, commingled containers, and ink cartridges/old computer equipment _ Set automatic duplexing on printers _ Install fluorescent/compact fluorescent light bulbs _ Turn off lights at night _ Program thermostat _ Use Energy Star appliances _ Bring reusable coffee mugs, plates, and utensils _ Opt for virtual meetings (conference calls, WebEx, etc.) _ Carpool _ Shut down (not just log off) computers at end of day _ Use less paper and buy recycled paper • Look for a high percentage of post-consumer content and minimum of processed chlorine bleaching _ Switch to green cleaning products
  • 5. GREEN Paper Printing “P”s Promotional items
  • 6. GREEN Choose paper that is: _ Recycled, preferably 80- to 100-percent post- PAPER consumer waste (PCW) _ Chlorine free • Elemental chlorine free (ECF) • Totally chlorine free (TCF) • Processed chlorine free (PCF) for recycled paper _ Uncoated _ Forest Stewardship Council (FSC) certified • Contributes to conservation, responsible management, and community level benefits for people near the forests that provide the paper _ Made by renewable energy sources _ Treeless • For example: hemp, kenaf, sugar cane, cotton, Crane’s ‘Denim Blues’ and ‘Old Money,’ TerraSkin (made of stones), etc.
  • 7. GREEN What’s the problem with printing? _ The pulp and paper industry is the third largest PRINTING industrial polluter to air, water, and land in the United States and Canada, and releases over 100 million kg of toxic pollution each year. _ Petroleum-based inks damage the environment and our health with volatile organic compounds (VOCs). _ The printing process itself is hazardous with the toxic pollutants such as solvents, shellacs, driers, and other solutions employed in producing film, printing plates, and cleaning presses.
  • 8. GREEN How can you print green? _ Use vegetable-based inks or soy inks instead of PRINTING (continued) petroleum-based inks • These alternatives are low in VOCs, made from a renewable resource, competitively priced, and make paper easier to recycle. _ Look for a printer that uses renewable energy sources (e.g., wind and solar power) _ Try waterless printing, which eliminates the dampening systems used in conventional printing _ Go digital, which avoids the film and chemicals in traditional printing _ Avoid bindings, adhesives, or foil stamps that render printed items unrecyclable _ Reduce ink usage by going with one- or two-color designs _ Save paper by using standard press size sheets
  • 9. GREEN Promotional products companies are capitalizing on the green movement. PROMO ITEMS Examples of available items: _ Bamboo or organic cotton apparel _ Biodegradable plastic products (e.g., bags, pens, etc.) _ Recycled material shopping bags, portfolios, etc. _ Recycled paper calendars, notepads, etc. _ Recycled plastic cups, water bottles, Frisbees, etc. _ No-battery and water-battery gadgets (e.g., flashlights, clocks, calculators, disposable cameras, etc.) _ Eco-friendly golf balls _ Plants and seeds in biodegradable packaging
  • 10. GREEN Marketing of products, services, or companies that are presumed to be environmentally friendly, MARKETING sustainable, or socially responsible. _ Ingredients/materials _ Packaging/design _ Production/manufacturing process _ Alternative energy _ Organic _ Local _ Fair trade _ Philanthropic _ Corporate social responsibility
  • 11. GREEN The five simple rules of green marketing: (Jacquelyn Ottman, MarketingProfs, November 20, 2007) MARKETING (continued) _ Know your customer • First, make sure that the consumer is aware of and concerned about the issues that your product addresses. _ Empower customers • Make your customers feel that by using your product, they can make a difference (either alone or together with all the other users). Empowerment is the main reason consumers buy green products. _ Be transparent • Consumers must believe the legitimacy of your product and the specific claims you’re making. There’s a lot of skepticism out there now because of “greenwashing.” _ Reassure the buyer • Consumers must believe your product does what it is supposed to do – they won’t forgo product quality to save the environment. _ Consider your pricing • Make sure consumers can afford a premium price and feel it’s worth it.
  • 12. GREEN Generation Y’s favorite green brands (Outlaw Consulting survey): _ Companies that are going beyond the niche segment MARKETING (continued) of hard-core Greenies to win-over Gen Y (ages 21-29) influencers. _ These brands are not necessarily the leaders in the issues of sustainability, but they are trendsetters in image categories. _ Qualities of these standout companies include: • Trailblazers that went green long before competitors. • Brands with clean, minimalist design. • Products in categories that are key to basic needs (e.g., food, clothing, health/beauty).
  • 13. CASE Sprint “Reclaim”s some green cred. _ The green-themed smart phone is loaded with green STUDIES content, eco-conscious accessories, and sustainable packaging. • Content from Planet Green – provides basic green info • Preloaded eco-sonic ringtones including chirps and ribbits • More environmentally-conscious instruction book • Postage-paid recycling bag included for your old phone _ 80-percent is recyclable material, 40-percent of the casing is made from corn-based bio-plastic – bulk of other phones are also made of recyclable material. _ Sprint is committed to recycling 90-percent of the phone they make by 2017. _ Green or greenwash? • “They have taken real steps towards cleaning up an industry that contributes an incredible amount of material into the global e-waste stream.” – Timothy B. Hurst
  • 14. CASE Burt’s Bees attacks the ingredient, not the brand. _ Consumers can easily get confused by what STUDIES constitutes “natural” products, and are unwittingly buying products with ingredients they want to avoid. _ To address this confusion, Burt’s Bees advertising depicts the difference between the benefits of natural ingredients in their products versus the surprising, icky ingredients in non-natural products. _ In this ad, petroleum, which is found in many lip balms, is defined as “a nonrenewable hydrocarbon made from crude oil… sometimes used to stop corrosion in car batteries.” _ Beeswax, on the other hand, is a “naturally replenishing moisturizer made by bees.”
  • 15. CASE Tide Coldwater – a benefit shift. _ While many green products focus on the environmental STUDIES benefits, Tide Coldwater promotes consumer savings.
  • 16. CASE Levi Strauss practices Goodwill. _ The beginning and ending of jeans’ lifecycle are the STUDIES most carbon/energy intensive parts of the chain. _ Levis Strauss is working to increase its use of organic cotton, but what are they doing for the end of the lifecycle? _ A partnership with Goodwill encourages Levi owners to donate their jeans rather than toss ‘em. _ The Levi Strauss/Goodwill partnership helps to: • Prevent jeans from landing in the landfill. • Provide clothing to people in need. • Supply job training for at-risk populations.
  • 17. CASE Agency raises clean water awareness. _ A Belgian agency’s pro-bono creative grabbed people’s STUDIES attention on the issue of clean water. • Every 15 seconds a child dies from a disease caused by lack of clean drinking water. _ A boy would run into live broadcasts and grab a glass of water, drink it, then run off again. _ Only producers, not the on-air talent, were informed of the stunt to keep the reactions as real as possible. _ The message was that it’s not so normal to have a glass of water – it’s not in reach for millions of people. _ The live interruptions were gathered and broadcast as a commercial that explained who was behind the events and why. _ The effort raised 3.3 million euros (1 million from the Belgian government).
  • 18. CASE Denver Water uses only what it needs. _ Denver Water’s campaign (by Sukle) to help conserve STUDIES during the summer months in Colorado.
  • 19. GREEN Greenwashing describes the act of making an unsubstantiated or misleading claim about the WASHING environmental soundness or benefits of a product, service, technology, or company practice. Greenwashing is essentially an environmental twist on whitewashing – a coordinated attempt to hide unpleasant facts, especially in a political context. Greenwashing watch sites: _ Greenwashing Index (EnviroMedia) _ Stop Greenwash (Greenpeace) A 2008 survey shows that a rising number of Americans (currently 68-percent) think companies exaggerate their environmental initiatives.
  • 20. GREEN The six sins of greenwashing (TerraChoice): _ Sin of the hidden trade-off WASHING (continued) • Suggestion that a product is green based on an unreasonably narrow set of attributes without attention to other important environmental issues. _ Sin of no proof • An environmental claim that cannot be substantiated by easily accessible information or third-party certification. _ Sin of vagueness • Any claim that is so poorly defined or broad that its real meaning is likely to be misunderstood by the consumer. _ Sin of irrelevance • A claim that may be truthful, but is unimportant and unhelpful for consumers seeking environmentally preferable products. _ Sin of lesser of two evils • Green claims that may be true within the product category, but risk distracting the consumer from the greater environmental impacts of the category as a whole. _ Sin of fibbing • Environmental claims that are simply false.
  • 21. CASE General Motors promises Gas-Friendly to Gas-Free. _ GM’s campaign highlights ways Chevrolet is STUDIES “greening” its fleet: • Increasing fuel efficiency • Producing E85 ethanol vehicles • Developing hybrids, plug-in hybrids, and fuel cells _ Web site, commercials, and print ads feature green- friendly images that suggest GM’s support for the environment. _ GREENWASH • As this campaign was launched, GM was lobbying Congress to stop the increase of fuel economy standards and is still a leading producer of gas-guzzling vehicles.
  • 22. CASE Bottled water gets in eco-shape? _ Fiji water tells consumers that “every drop is green” STUDIES and fijigreen.com promotes the company’s promise and progress toward going carbon negative, saving the rainforest, reducing packaging, and recycling. _ Nestle brand bottled waters have a new “eco-shape” bottle featuring 30-percent less packaging. • “The lightest half-liter bottle ever produced.” _ GREENWASH • Bottled water is still extremely environmentally unfriendly when you factor in the energy used and pollution emitted with transportation (especially from Fiji), distribution, and plastic packaging.
  • 23. CASE Sigg hits plastic status. _ Sigg metal water bottles have been popular with those STUDIES looking to avoid plastic water bottle waste and the dreaded BPA compound. _ GREENWASH • The company’s reputation tanked after consumers discovered the aluminum water bottles were found to have BPA. • The company was careful to avoid saying BPA was in its products – it now admits that the compound was present until production changes occurred 13 months ago. • “I bought the Sigg bottles thinking they didn't have it in there, but they did in fact have it. I feel cheated and lied to.” – San Francisco resident Mai Mai Wythes
  • 24. CASE Shell oil emits flowers and admits foul. _ Shell’s ad showing oil refineries spewing flowers STUDIES instead of smoke claims that it uses its own “waste CO2 to grow flowers and waste sulfur to make concrete.” _ So many complaints were filed that Royal Dutch Shell was ordered by the Dutch Advertising Code Authority to withdraw the ad. • However, the ad continued to run in other European countries, including Britain. _ GREENWASH • The ad implies all of Shell’s waste CO2 is recycled, while in reality, only tiny percentages of Shell’s waste products are recycled for flowers and concrete, etc. • Shell boasts that a refinery in the Netherlands pipes CO2 to heat greenhouses, saving 350,000 tonnes of carbon dioxide a year. But this is only 0.325-percent of Shell’s direct emissions, estimated by Shell to be 100 million tonnes in 2005.
  • 25. GREEN Consumers are in a green fog. _ Eco-friendly messages are so pervasive that it can be FATIGUE? confusing and frustrating to understand which are meaningful, which are just hype, and how to make wise decisions on purchases and personal actions. Skepticism is strong. _ 64-percent of consumers view sustainability campaigns as little more than a “marketing tool” – opportunism on the part of big business. (Source) The green market is not yet mature – and consumers still lack an understanding of “going green.” _ About one in three consumers say they don’t know how to tell if green product claims are true. (Source) _ Half of consumers say a company’s environmental record is important in their purchasing decisions. (Source) • But only 21-percent said this had actually driven them to choose one product over another. • And a mere 7-percent could name the product they purchased.
  • 26. GREEN But despite confusion, skepticism, and the recession, green products are growing. FATIGUE? (continued) _ In 2009 (as of April), companies have launched 458 products that claim to be “sustainable,” “environmentally friendly,” or “eco-friendly.” (Source) • If this trend continues, 1,570 new green products will be launched this year – triple the amount launched in 2008, which was double the amount in 2007. _ Four out of five people say they’re still buying green products and services. (Source) • Primary influencers in deciding what to buy: . Product’s reputation: 21-percent . Word of mouth: 19-percent . Brand loyalty: 15-percent . Advertising: only 9-percent _ Green shoppers come with desirable characteristics including brand loyalty, lower price sensitivity, and more frequent shopping. (Source)
  • 27. GREEN Even though many consumers are experiencing eco- anxiety and shutting down to green marketing, they CONCLUSION are still intrigued and influenced by sustainability considerations. And, some companies are truly making progress reaching consumers with the right strategy and messages. Tips for engaging consumers: _ Be honest and transparent with your efforts and true company values. _ Create remarkable, lovable products that are both hip and green. _ Invite customers to participate in the brand and be your ambassadors. _ Partner with established non-profits, etc. _ Move beyond the green fad into sustainability – continuous improvement. • Address not only the environment, but your affect on the greater society and your local community.