Wednesday, March 4, 2009

Green Marketing: Be Authentic and Never Underestimate Your Consumer

On February 19, the American Marketing Association’s conference “Sustainable Marketing: Fad or Future?” concluded with the statement that blue is the next green. Although green marketing is growing, it will become a fad if marketers attempt to fool consumers into believing that products and services are green, when they’re not. Over time, consumers will stop listening.

There is a future for companies that take sustainable development and/or green issues seriously. With environmental concerns taking precedence in today’s businesses, political and personal agendas, the skies look pretty bright for green marketing. In fact, businesses investing in green efforts are seeing rapid growth, as mainstream consumers demand green products across all industries. For example, SC Johnson developed a more environmentally-sound version of Windex.

Even the financial sector has developed green products and services (e.g. green mortgages and green financing). In the UK, green financial products are ubiquitous. Green products have captivated consumers’ fleeting attention, but there is always the question of authenticity. Due to “greenwashing” in the past, consumers are becoming more skeptical. A plethora of businesses have jumped on the bandwagon and consumers quickly sneer at those who do it for publicity. However, the advantage lies in developing legitimate green/ethical products, not in merely branding them as green.

The IMC process starts by understanding consumers. Today, consumers are more informed and aware than ever before. Since there are now plenty of segments within the green market, marketers also need to know how green or ethical their consumers are, in order to target them appropriately. Are consumers making behavioral and lifestyle changes to reduce their carbon footprint? Or, are they just beginning to learn about green issues? How do they feel about paying more for green products? What are their attitudes regarding sustainable development? How do they perceive the quality of green versus conventional products?

Marketers need to be cautious in the way they promote products and services, because consumers often know more than what marketers assume - never underestimate their love for the environment.

--Guest Contributor: Lynette Villalobos, IMC Graduate Student

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