It May Not Be So Easy To Be “Green”

Fears of global warming, increased pollution tainting the earth’s resources and a growing number of environmental issues are capturing the attention of the world.

Mintel, a market research company reported that approximately 12% of the U.S. population can be identified as “True Greens,” or consumers who search for and consistently purchase green products. An additional 68% of the population could be considered “Light Greens,” consumers who buy green product some of the time. Mintel’s study results reveal environmentally-conscious consumers. There may be opportunities for marketers to create touch points with their potential customers and ultimately increase their bottom line by utilizing green marketing, if planned correctly.

Green marketing is a hot trend that is expected to grow as awareness of and concern for environmental issues escalate. Unfortunately there are a number of issues marketers must be aware of prior to embarking on a full-throttle green marketing campaign. Just as with all endeavors, a bit of research will help marketers decide if, how, or even when a green marketing strategy is right for their company.

According to the American Marketing Association, green marketing, also known as ecological marketing or environmental marketing, is the marketing of products that are presumed to be environmentally safe, or that improve, or at least minimize negative effects on the physical environment. This type of marketing could impact the way in which a product is packaged, processed, modified or advertised. Determining an exact definition of green marketing is not a simple task; currently there are varying social, environmental and retail definitions attached to this term.

Companies must avoid “greenwashing,” a marketing technique in which a company claims environmental responsibility, yet has little actually accomplished. Organizations that claim to be green without truly implementing their commitment to the environment will be mistrusted.

This lack of agreement amongst marketers, regulators, environmental activists and others regarding regulations and interpretations of the current Federal Trade Commission (FTC) rulings on the marketing green products is of great concern. In fact, the FTC recently issued warnings to companies taking liberty with environmental-friendly claims in advertising without making a positive environmental impact.

To add to the uncertainty, green consumers are becoming more confused about what actually qualifies a company or product to be considered environmentally friendly. Public skepticism about companies claiming to be environmentally friendly, and especially skepticism within the niche target market consisting of consumers most interested in environmental issues, must be addressed.

A perfect storm is brewing for marketers to create a marketing fiasco for their companies if they do not do their homework. The merging of increased public expectations for companies to be green, and a lack of agreement regarding green marketing standards by consumers, corporations and marketing professionals make it imperative for more businesses to learn about and understand green marketing. The first step may be in expressing an interest and providing links for consumers to learn more. An honest and well-planned effort with input from consumers may provide an even stronger environmental marketing program that benefits the earth and the bottom line.