SEMINAR REPORT

ON

GREEN MARKETING

SUBMITTED TO: SUBMITTED BY:

RAMANDEEP KAUR

15421037

MBA 1st (A)

S.M.S
PUNJABI UNIVERSITY PATIALA
INDEX
INTRODUCTION

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. Thus "Green Marketing" refers
to holistic marketing concept wherein the production, marketing consumption an
disposal of products and services happen in a manner that is less detrimental to the
environment with growing awareness about the implications of global warming, non-
biodegradable solid waste, harmful impact of pollutants etc., both marketers and
consumers are becoming increasingly sensitive to the need for switch in to green
products and services. While the shift to "green" may appear to be expensive in the
short term, it will definitely prove to be indispensable and advantageous, cost-wise
too, in the long run.

WHAT IS GREEN MARKETING?

Would it be fair to say that most people buy with some degree of morality in mind,
taking social or environmental issues into consideration as they select from a variety
of options on offer? Whether driven by a desire to save energy with more efficient
products or looking for coffee that’s grown more sustainably, consumers can be
swayed by green marketing schemes that set one product apart from the other based
on environmental benefits.
Consider this: in a study by Accenture that polled people from Europe, Asia, and
North America, nearly nine out of 10 consumers were willing to pay more for green
products (those that reduced greenhouse gas emissions in particular). While the
percentage of people willing to pay a premium for eco-friendly products will go up
and down as times change (see the Green Gauge Report put out annually by GfK
Custom Research for yearly green buying stats) – environmental disasters increase
awareness and interest in green products, for instance, while prosperous economic
times often dull interest – in general, the market for green products and services is
growing every year as people become more aware of the impact of their consumer
choices.

That said, environmental marketing is a tricky business, especially given the relative
skepticism most people have toward green branding claims. Green washing abounds
in the world of eco-friendly products and services, and with so many companies
failing to live up to their green business promises, consumers are understandably wary
of dubious branding.

DEFINITION OF GREEN MARKETING

Green marketing definitions can be a little confusing, since green marketing can refer
to anything from greening product development to the actual advertising campaign
itself. Going by alternative names such as sustainable marketing, environmental
marketing, green advertising, eco marketing, organic marketing, all of which point to
similar concepts though perhaps in a more specific fashion, green marketing is
essentially a way to brand your marketing message in order to capture more of the
market by appealing to people’s desire to choose products and services that are better
for the environment.

There are many environmental issues impacted by the production of goods and
rendering of services, and therefore there are also many ways a company can market
their eco-friendly offerings. Green marketing can appeal to a wide variety of these
issues: an item can save water, reduce greenhouse gas emissions, cut toxic pollution,
clean indoor air, and/or be easily recyclable. When put side by side with the
competition, the more environmental marketing claims your product or service can
make, the more likely it is the consumer will select it, provided the price point isn’t
too much higher than the alternative.

WHAT MAKES MARKETING GREEN?

But you can’t really market your business or your product as green without managing
how your company functions with respect to the environment. Green marketing can
take many forms. For instance, you may market eco-friendly aspects such as:
Operational sustainability: Service companies and manufacturers can improve
operational sustainability by reducing everyday energy and water consumption,
minimizing pollution, using greener materials and processes, and properly managing
waste.

Green products: Companies producing products can do many things to improve the
green factor of their offerings, including choosing sustainable materials, designing
products to save energy and water, and making products that are less toxic and more
natural than competitors’ goods. Greener products will also be packaged in an eco-
friendly manner and will be made to be easily recycled or composted.
Sustainable marketing: Customer will also want to ensure that the actual marketing
systems you use are green, which is really distinct from your operational
sustainability which focuses on manufacturing and production. For instance, when
printing marketing materials, use 100% post-consumer recycled paper made without
chlorine (called “processed chlorine free”) and printed using plant-based dyes (like
soy inks). You could also investigate tools like green web hosting, carbon offsets for
any marketing emissions you may cause, recycling any unused materials from
billboards and signage, ecological packaging, and so on.

Environmental causes: Any organization can choose to promote environmental

causes. Nonprofits and NGOs will engage in green marketing to get the word out
about their activities, but for-profits can also suppose environmental causes by
making donations and advertising for these environmental do-gooders as part of a
green marketing campaign.
 WHY 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 perceives 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.

MARKETING MIX OF GREEN MARKETING

When companies come up with new innovations like eco friendly products, they can
access new markets, enhance their market shares, and increase profits. Just as we have
4Ps product prices, place and promotion in marketing, we have 4ps in green
marketing too, but they are a bit different. They are buttressed by three additional Ps,
namely people, planet and profits.

A. 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. 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. 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. 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 Riva
car, etc.

THE 5 SIMPLE RULES OF GREEN MARKETING

When it comes to shining a spotlight on specific sustainability issues, NGOs and
consumer groups will target the most respected and trusted brands in the world. It’s
the reason why Home Depot was targeted for sustainable harvested wood, Nike for
child labour practices, McDonalds for Styrofoam clamshells and now obesity, and
why Coke is similarly a target for sugar and packaging. What does this all mean for
your business? Simply stated, if you don’t manage your business with respect to
environmental and social sustainability, your business will not be sustained! But the
converse is true, too: A strong commitment to environmental sustainability in product
design and manufacture can yield significant opportunities to grow your business, to
innovate, and to build brand equity.

As with any other major business endeavour, 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 news opportunities by heeding my 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
your product attempts to address. (Whirlpool learned the hard way that consumers
 wouldn’t pay a premium for a CFC-free refrigerator because consumers didn’t 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 it’s 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: There’s a lot of scepticism out there that is
fuelled by the raft of spurious claims made in the “go-go” era of green marketing that
occurred during the late 80s–early90s — 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
it’s supposed to do — they won't forego product quality in the name of the
environment. (Besides, products that don’t work will likely wind up in the trash bin,
and that’s 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 it’s 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.

WHY IS GREEN MARKETING CHOSEN BY MOST

MARKETERS?
Most of the companies are venturing into green marketing because of the following
reasons:

a. Opportunity
In India, around 25% of the consumers prefer environmental-friendly products, and
around 28% may be considered healthy conscious. Therefore, green marketers have
 diverse and fairly sizeable segments to cater to. The Surf Excel detergent which saves
water (advertised with the message—"do bucket paani roz bachana") and the energy-
saving LG consumers durables are examples of green marketing. We also have green
buildings which are efficient in their use of energy, water and construction materials,
and which reduce the impact on human health and the environment through better
design, construction, operation, maintenance and waste disposal. In India, the green
building movement, spearheaded by the Confederation of Indian industry (CII) -
Godrej Green business Center, has gained tremendous impetus over the last few years.
From 20,000 sq ft in 2003, India's green building footprint is now over 25 million sq
ft.

b. Social Responsibility
Many companies have started realizing that they must behave in an environment-
friendly fashion. They believe both in achieving environmental objectives as well as
profit related objectives. The HSBC became the world's first bank to go carbon-
neutral last year. Other examples include Coca-Cola, which has invested in various
recycling activities. Walt Disney World in Florida, US, has an extensive waste
management program and infrastructure in place.

c. Governmental Pressure
Various regulations rare framed by the government to protect consumers and the
society at large. The Indian government too has developed a framework of
legislations to reduce the production of harmful goods and by products. These reduce
the industry's production and consumers' consumption of harmful goods, including
those detrimental to the environment; for example, the ban of plastic bags in Mumbai,
prohibition of smoking in public areas, etc.
d. Competitive Pressure
Many companies take up green marketing to maintain their competitive edge. The
green marketing initiatives by niche companies such as Body Shop and Green &
Black have prompted many mainline competitors to follow suit.

e. Cost Reduction
Reduction of harmful waste may lead to substantial cost savings. Sometimes, many
firms develop symbiotic relationship whereby the waste generated by one company is
used by another as a cost-effective raw material. For example, the fly ash generated
by thermal power plants, which would otherwise contributed to a gigantic quantum of
solid waste therefore, is used to manufacture fly ash bricks for construction purposes.

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.

DIFFERENCES BETWEEN TRADITIONAL MARKETING AND

GREEN MARKETING:
Traditional Marketing Green Marketing

 Starts with the identification of needs  Starts with the identification of the
of their target customers. needs of their target customers.
 Customers need is at center point for  Environment needs is at the center
decision making. point for decision making.
 Self centered approach with short  Social cost benefit approach with
term orientation and without giving long term orientation and giving
the attention to environment. importance to environment.
 Development of product as per their  Development of product by analyzing
needs, delivering and providing the ecological compatibility of the
after sales services. product, its raw material. packaging
and reuses etc.
 With a aim of achieving satisfied  Customer satisfaction in an
customers. environment friendly way.
 Practicing is good for company as  Remedy for mitigating climate
well as customers. change and global warming.
 Practicing is good for mankind as
well as environment.
 Remain with satisfied customers.  Remain with satisfied eco-friendly
customers.

BENEFITS OF GREEN MARKETING

Today's consumers are
becoming more and more
conscious about the
environment and are also
becoming socially
responsible. Therefore,
more companies are
responsible to consumers'
 aspirations for environmentally less damaging or neutral products.

Some of the advantages of green marketing are,

 It ensures sustained long-term growth along with profitability.
 It saves money in the long run, thought initially the cost is more.
 It helps companies market their products and services keeping the environment
aspects in mind. It helps in accessing the new markets and enjoying competitive
advantage.
 Most of the employees also feel proud and responsible to be working for an
environmentally responsible company.

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 non-environmentally 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.

GREEN MARKETING IN INDIA: EMERGING OPPORTUNITIES

AND CHALLENGE
GREEN PRODUCTS AND ITS CHARACTERISTICS
The products those are manufactured through green technology and that caused no
environmental hazards are called green products. Promotion of green technology and
green products is necessary for conservation of natural resources and sustainable
development. We can define green products by following measures:
 Products those are originally grown,
 Products those are recyclable, reusable and biodegradable,
 Products with natural ingredients,
 Products containing recycled contents, non-toxic chemical,
 Products contents under approved chemical,
 Products that do not harm or pollute the environment,
 Products that will not be tested on animals,
 Products that have eco-friendly packaging i.e. reusable, refillable containers etc.

NEED OF GREEN MARKETING :

An Anthropological View Issues like Global warming and depletion of ozone
umbrella are the main for the healthy survival. Every person rich or poor would be
interested in quality life with full of health and vigour and so would the corporate
class. Financial gain and economic profit is the main aim of any corporate business.
But harm to environment cost by sustain business across the globe is realized now
though off late. This sense is building corporate citizenship in the business class. So
green marketing by the business class is still in the selfish anthological perspective of
long term sustainable business and to please the consumer and obtain the license by
the governing body. Industries in Asian countries are catching the need of green
marketing from the developed countries but still there is a wide gap between their
understanding and implementation.

CHALLENGES IN GREEN MARKETING

Need for Standardization It is found that only 5% of the marketing messages from
“Green” campaigns are entirely true and there is a lack of standardization to
authenticate these claims. There is no standardization to authenticate these claims.
There is no standardization currently in place to certify a product as organic. Unless
some regulatory bodies are involved in providing the certifications there will not be
any verifiable means. A standard quality control board needs to be in place for such
labelling and licensing.

New Concept
Indian literate and urban consumer is getting more aware about the merits of Green
products. But it is still a new concept for the masses. The consumer needs to be
educated and made aware of the environmental threats. The new green movements
need to reach the masses and that will take a lot of time and effort. By India's
ayurvedic heritage, Indian consumers do appreciate the importance of using natural
and herbal beauty products. Indian consumer is exposed to healthy living lifestyles
 such as yoga and natural food consumption. In those aspects the consumer is already
aware and will be inclined to accept the green products.

Patience and Perseverance

The investors and corporate need to view the environment as a major long-term
investment opportunity, the marketers need to look at the long-term benefits from this
new green movement. It will require a lot of patience and no immediate results. Since
it is a new concept and idea, it will have its own acceptance period.

Avoiding Green Myopia

The first rule of green marketing is focusing on customer benefits i.e. the primary
reason why consumers buy certain products in the first place. Do this right, and
motivate consumers to switch brands or even pay a premium for the greener
alternative. It is not going to help if a product is developed which is absolutely green
in various aspects but does not pass the customer satisfaction criteria. This will lead to
green myopia. Also if the green products are priced very high then again it will lose
its market acceptability.

GOLDEN RULES OF GREEN MARKETING

1. Know you're Customer : Make sure that the consumer is aware of and concerned
about the issues that your product attempts to address, (Whirlpool learned the hard
way that consumers wouldn't pay a premium for a CFC-free Journal of Engineering,
Science and Management Education11refrigerator because consumers dint know what
CFCs were.).
2. Educating your customers: isn't just a matter of letting people know you're doing
whatever you're doing to protect the environment, but also a matter of letting them
know why it matters.Otherwise,for a significant portion of your target market, it's a
case of "So what?" and your green marketing campaign goes nowhere. Being Genuine
& Transparent: means that a) you are actually doing what you claim to be doing in
your green marketing campaign and b) the rest of your business policies are
consistent with whatever you are doing that's environmentally friendly. Both these
conditions have to be met for your business to establish the kind of environmental
credentials that will allow a green marketing campaign to succeed.
3. Being Genuine & Transparent: means that a) you are actually doing what you claim to
be doing in your green marketing campaign and b) the rest of your business policies
are consistent with whatever you are doing that's environmentally friendly. Both these
conditions have to be met for your business to establish the kind of environmental
credentials that will allow a green marketing campaign to succeed.
4. Reassure the Buyer: Consumers must be made to believe that the product performs
the job it's supposed to do-they won't forego product quality in the name of 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 those consumers can afford the premium and
feel it's worth it.
6. Giving your customers an opportunity to participate: means personalizing the benefits
of your environmentally friendly actions, normally through letting the customer take
part in positive environmental action
7. Thus leading brands should recognize that consumer expectations have changed: It is
not enough for a company to green its products; consumers expect the products that
they purchase pocket friendly and also to help reduce the environmental impact in
their own lives too.

GREEN MARKETING – ADOPTS BY THE FARMS

Green marketing has been widely adopted by the firms worldwide and the following
are the possible reasons cited for this wide adoption:
1. Opportunities - As demand changes, many firms see these changes as an opportunity
to exploit and have a competitive advantage over firms marketing non environment
ally responsible alternatives. Some examples of firms who have strived to become
more environmentally responsible, in an attempt to better satisfy their consumer needs
are:
• McDonald's replaced its clam shell packaging with waxed paper because of increased
consumer concern relating to polystyrene production and Ozone depletion.
• Tuna manufacturers modified their fishing techniques because of the increased
concern over driftnet fishing, and the resulting death of dolphins. Educating your
customers: isn't just a matter of letting people know you're doing whatever you're
 doing to protect the environment, but also a matter of letting them know why it
matters. Otherwise, for a significant portion of your target market, it's a case of "So
what?" and your green marketing campaign goes nowhere. Being Genuine &
Transparent: means that a) you are actually doing what you claim to be doing in your
green marketing campaign and b) the rest of your business policies are consistent
with whatever you are doing that's environmentally friendly. Both these conditions
have to be met for your business to establish the kind of environmental credentials
that will allow a green marketing campaign to succeed. Giving your customers an
opportunity to participate: means personalizing the benefits of your environmentally
friendly actions, normally through letting the customer take part in positive
environmental action.
• Xerox introduced a "high quality" recycled photocopier paper in an attempt to satisfy
the demands of firms for less environmentally harmful products.
2. Government Pressure - As with all marketing related activities, governments want to
"protect" consumer and society; this protection has significant green marketing
implications. Government regulations relating to environmental marketing are
designed to protect consumers in several ways,
I. Reduce production of harmful goods or by-products Modify consumer and industry's
use and/or consumption of harmful goods
II. Ensure that all types of consumers have the ability to evaluate the environmental
composition of goods. Government establish regulations designed to control the
amount of hazardous wastes produced by firms.
III. 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 behaviours and attempt to emulate this
behaviour. In some instances this competitive pressure has caused an entire industry
to modify and thus reduce its detrimental environmental behaviour. For example
when one tuna manufacture stopped using driftnets the others followed suit.
IV. Social Responsibility - 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. There are examples of firms
adopting both strategies. An example of a firm that does not promote its
 environmental initiative 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 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.
V. Cost of 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. SOME CASES Interestingly, green marketing continues to be an issue of
5global interest. In fact, Google Trends reports that, on a relative basis, more searches
for “green marketing” originated from India than from any other country.
Rank Country
1. India
2. US
3 Thailand
4. Australia
5. Canada
6. China
Many companies are adopting green for capturing market opportunity of green
marketing some cases
 EXAMPLE 1 : Best Green IT Project: State Bank of India: Green IT@SBIBy using
eco and power friendly equipment in its 10,000 new ATMs, the banking giant has not
only saved power costs and earned carbon credits, but also set the right example for
others to follow.SBI is also entered into green service known as “Green Channel
Counter”. SBI is providing many services like; paper less banking, no deposit slip, no
withdrawal form, no checks, no money transactions form all these transaction are
done through SBI shopping & ATM cards. State Bank of India turns to wind energy
to reduce emissions: The State Bank of India became the first Indian bank to harness
wind energy through a 15-megawatt wind farm developed by Suzlon Energy. The
wind farm located in Coimbatore uses 10 Suzlon wind turbines, each with a capacity
of 1.5 MW. The wind farm is spread across three states – Tamil Nadu, with 4.5 MW
of wind capacity; Maharashtra, with 9 MW; and Gujarat, with 1.5 MW. The wind
project is the first step in the State Bank of India's green banking program dedicated
to the reduction of its carbon footprint and promotion of energy efficient processes,
especially among the bank's clients.
EXAMPLE 2 : Lead Free Paints from Kansai NerolacKansai Neola Paints Ltd. has
always been committed to the welfare of society and environment and as a
responsible corporate has always taken initiatives in the areas of health, education,
community development and environment preservation.Kansai Nerolac has worked
on removing hazardous heavy metals from their paints. The hazardous heavy metals
like lead, mercury, chromium, arsenic and antimony can have adverse effects on
humans. Lead in paints especially poses danger to human health where it can cause
damage to Central Nervous System, kidney and reproductive system. Children are
more prone to lead poisoning leading to lower intelligence levels and memory loss.
EXAMPLE 3 : Indian Oil's Green Agenda Green Initiatives
 Indian Oil is fully geared to meet the target of reaching EURO-III compliant fuels to
all parts of the country by the year 2010; major cities will upgrade to Euro-IV
compliant fuels by that time.
 Indian Oil has invested about Rs. 7,000 crore so far in green fuel projects at its
refineries; ongoing projects account for a further Rs. 5,000 crore.
 Motor Spirit Quality Improvement Unit commissioned at Mathura Refinery; similar
units are coming up at three more refineries.
 Diesel quality improvement facilities in place at all seven Indian Oil refineries,
several more green fuel projects are under implementation or on the anvil.
 The R&D Centre of Indian Oil is engaged in the formulations of eco-friendly
biodegradable lube formulations.
 The Centre has been certified under ISO-14000:1996 for environment management
systems.
GREEN FUEL ALTERNATIVES In the country's pursuit of alternative sources of
energy, Indian Oil is focusing on CNG (compressed natural gas), Auto gas (LPG),
ethanol blended petrol, bio-diesel, and Hydrogen energy.

EXAMPLE 4 : India's 1st Green Stadium The Thyagaraja Stadium stands tall in the
quiet residential colony behind the Capital's famous INA Market. It was jointly
dedicated by Union Sports Minister MS Gill and Chief Minister Sheila Dikshit on
Friday. Journal of Engineering, Science and Management Education Dikshit said that
the stadium is going to be the first green stadium in India, which has taken a series of
steps to ensure energy conservation and this stadium has been constructed as per the
green building concept with eco-friendly materials.
EXAMPLE 5:Eco-friendly Rickshaws before CWG Chief minister Sheila Dikshit
launched on Tuesday a battery operated rickshaw, “E-rick”, sponsored by a cellular
services provider, to promote eco-friendly transportation in the city ahead of the
Commonwealth Games.
EXAMPLE 6 : Wipro Green I Wipro can do for you in your quest for a sustainable
tomorrow - reduce costs, reduce your carbon footprints and become more efficient -
all while saving the environment. Wipro's Green Machines (In India Only) Wipro
InfoTech was India's first company to launch environment friendly computer
peripherals. For the Indian market, Wipro has launched a new range of desktops and
laptops called Wipro Green ware. These products are RoHS (Restriction of Hazardous
Substances) compliant thus reducing e-waste in the environment.
EXAMPLE 7 : Agartala to be India's first Green City Tripura Sunday announced
plans to make all public and private vehicles in Agartala run on compressed natural
gas (CNG) by 2013, thus making the capital “India's first green citsy”.Tripura Natural
Gas Co Ltd (TNGCL), a joint venture of the Gas Authority of India Ltd (GAIL) and
the Tripura and Assam governments, has undertaken a project to supply CNG to all
 private and government vehicles.CNG will also be available to those now using
electricity, petrol and diesel to run various machineries.TNGCL chairman Pabitra Ker
told reporters. He said: “The company will soon provide PNG connections to 10,000
new domestic consumers in the city and outskirts. Agartala will be the first city in
India within the next three years to become a green city.
EXAMPLE 8 : Going Green: Tata's new mantra The ideal global benchmark though
is 1.5. Tata Motors is setting up an eco-friendly showroom using natural building
material for its flooring and energy efficient lights. Tata Motors said the project is at a
preliminary stage. The Indian Hotels Company, which runs the Taj chain, is in the
process of creating eco rooms which will have energy efficient mini bars, organic bed
linen and napkins made from recycled paper. But there won't be any carpets since
chemicals are used to clean those. And when it comes to illumination, the rooms will
have CFLs or LEDs. About 5% of the total rooms at a Taj hotel would sport a chic
eco-room design. One of the most interesting innovations has come in the form of a
biogas-based power plant at Taj Green Cove in Kovalam, which uses the waste
generated at the hotel to meet its cooking requirements. Another eco-friendly
consumer product that is in the works is Indicia EV, an electric car that will run on
polymer lithium ion batteries. Tata Motors plans to introduce the Indicia EV in select
European markets this year.

PRESENT TRENDS IN GREEN MARKETING IN INDIA

Organizations are Perceive Environmental marketing as an Opportunity to achieve its
objectives. Firms have realized that consumers prefer products that do not harm the
natural environment as also the human health. Firms marketing such green products
are preferred over the others not doing so and thus develop a competitive advantage,
simultaneously meeting their business objectives. Organizations believe they have a
moral obligation to be more socially responsible. This is in keeping with the
philosophy of CSR which has been successfully adopted by many business houses to
improve their corporate image. Firms in this situation can take two approaches:
 Use the fact that they are environmentally responsible as a marketing tool.
 Become responsible without prompting this fact. Governmental Bodies are forcing
Firms to Become More Responsible. In most cases the government forces the firm to
 adopt policy which protects the interests of the consumers. It does so in following
ways:
 Reduce production of harmful goods or by products
 Modify consumer and industry's use and /or consumption of harmful goods; or
 Ensure that all types of consumers have the ability to evaluate the environmental
composition of goods. Competitors' Environmental Activities Pressure Firms to
change their Environmental Marketing Activities. In order to get even with
competitors claim to being environmentally friendly, firms change over to green
marketing. Result is green marketing percolates entire industry. Cost Factors
Associated With Waste Disposal or Reductions in Material Usage Forces Firms to
Modify their Behaviour. With cost cutting becoming part of the strategy of the firms it
adopts green marketing in relation to these activities. It may pursue these as follows:
 A Firm develops a technology for reducing waste and sells it to other firms.13Journal
of Engineering, Science and Management Education14Journal of Engineering,
Science and Management Education
 A waste recycling or removal industry develops.

THE FUTURE OF GREEN MARKETING

There are many lessons to be learned to be learned to avoid green marketing myopia,
the short version of all this is that effective green marketing requires applying good
marketing principles to make green products desirable for consumers. The question
that remains, however, is, what is green marketing's future? Business scholars have
viewed it as a “fringe” topic, given that environmentalism's acceptance of limits and
conservation does not mesh well with marketing's traditional axioms of “give
customer what they want” and “sell as much as you can”. Evidence indicates that
successful green products have avoided green marketing myopia by following three
important principles:

CONSUMER VALUE POSITIONING

 Design environmental products to perform as well as (or better than) alternatives.
 Promote and deliver the consumer desired value of environmental products and target
relevant consumer market segments.
 Broaden mainstream appeal by bundling consumer desired value into environmental
products.

CALIBRATION OF CONSUMER KNOWLEDGE

 Educate consumers with marketing messages that connect environmental attributes
with desired consumer value.
 Frame environmental product attributes as “solutions” for consumer needs.
 Create engaging and educational internet sites about environmental products desired
consumer value.

CREDIBILITY OF PRODUCT CLAIM

 Employ environmental product and consumer benefit claims that are specific and
meaningful.
 Procure product endorsements or eco-certifications from trustworthy third parties and
educate consumers about the meaning behind those endorsements and eco
certifications.
 Encourage consumer evangelism via consumers social and internet communication
network with compelling, interesting and entertaining information about

GREEN MARKETING: SWOT ANALYSIS

As in formulation of green strategy, a firm may evolve it from a SWOT analysis
Environmental Audit.
STRENGTHS:
 Marketers get access to new markets and gain an advantage over competitors that are
not focusing on “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. E.g.
research and development capabilities for clean processes and green products and
human resources committed to environmental protection.
 WEAKNESS:
 Most customers choose to satisfy their personal needs before caring for environment.
 Overemphasizing greenness rather than customer needs can prove devastating for a
product.
 Many customers keep away from products labelled “Green” because they see such
labelling as a marketing gimmick, and they may lose trust in an organization that
suddenly claims to be green. E.g. products cannot be recycled, and hazardous wastes)
of a company.

OPPORTUNITIES:
 Marketing to segment which are becoming more environmentally aware and
concerned. These consumers are demanding products that conform to these new
attitudes.
 Organizations perceive green marketing to be a competitive advantage, relative to the
competitors. Firms, therefore, strive to improve upon their societal awareness. This
complements the increase in consumers’ socially conscious behaviour and will
therefore give them an advantage over competitors who do not address these issues.
E.g. offering an environmental friendly product and saving resources, and relating
them to internal strengths.

THREATS:
 Uncertainty as to the environmental impact of present activities, including that is
perceived to be less environmentally harmful.
 Uncertainty as to which green marketing activities are acceptable from a
government perspective.
 The possibility of a backlash from consumers or government based on existing green
marketing claims, threat one and two above may cause backlash to arise.
 E.g. competitors gain market shares with green products and increased environmental
regulations).

TOP 5 COMPANIES THAT PAINT INDIA GREEN

Judging by the number of large, small and mid-size Indian companies that are setting
the trend with green initiatives, India is serious about building environmental
 sustainability into her business practices. The
following companies who made it to the list of top
5 green Indian companies prove the statistics
right!

Tamil Nadu Newsprint and Papers Limited (TNPL)

Adjudged the best performer in the 2009-2010 Green Business Survey, TNPL was
awarded the Green Business Leadership Award in the Pulp and Paper Sector. The
initiatives undertaken by this top green firm in India includes two Clean
Development Mechanism projects and a wind farm project that helped generate
2,30,323 Carbon Emission Reductions earning Rs. 17.40 Crore.

Wipro Technologies
The list of top 10 green Indian
companies is never complete without
Wipro which climbed to the top five brand
league in Green peace’s 'Guide to Greener
Electronics' ranking. Despite the global
financial crisis, Wipro held fast to its
commitment towards energy efficiency and
Wipro broadens its green IT initiatives was lauded for launching energy star
through its participation in "The Green compliant products in the market.
Grid"
HCL Technologies
This IT major may be considered as the icon of Indian
green initiatives, thanks to the “go green” steps taken
in solving the problem of toxics and e-waste in the
electronics industry. HCL is committed to phasing out
the hazardous vinyl plastic and Brominates Flame The HCL Green Bag
Retardants from its products and has called for a campaign that aimed at
Restriction on Hazardous Substances (RoHS) tackling e-waste
legislation in India.

IDEA Cellular
One of the best Indian companies, IDEA,
paints India green with its national ‘Use
Mobile, Save Paper’ campaign. The
company had organized Green Pledge
campaigns at Indian cities where thousands
came forward and pledged to save paper
and trees. IDEA has also set up bus shelters
with potted plants and tendril climbers to
convey the green message.
IDEA’s green bus shelter in Mumbai

HeroHondaMotors
Hero Honda is one of the largest two-wheeler
manufacturers in India and an equally
responsible top green firm in India. The
company’s philosophy of continuous
innovation in green products and
solutions has played a key role in striking the Hero Honda Green Ambassadors:
right balance between business, mankind and winners of the international inter-
nature. school environment quiz competition
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 those 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.
 CORPORATE INITIATIVES FOR GREEN MARKETING AS SOCIAL
RESPONSIBILITIES:
1. Broadcaster New Delhi Television Ltd , or NDTV, in partnership with car
maker Toyota Kirloskar Motor Pvt. Ltd launched Greenstone on 7 February—a 24-
hour live television event to create awareness about environmental issues.
2. Riva Electric Car Co. developing a market for electric cars and thereby a sustainable
business—firms are gearing up to bring about a change in the way their businesses
and products are perceived.
3. Panasonic Corp. is working out a go-to-schools interactive campaign to spread
awareness among students on global warming and other environmental issues, to
begin with.
4. Nokia India Pvt. Ltd has launched a campaign to recycle electronic waste.
Consumers are encouraged to dump old mobile phones and accessories, irrespective
of brand, at any of the 1,300 green recycling bins at Nokia priority dealers and Nokia
care centers.
5. Henkel India Ltd launched "eco-learn"—a learning initiative to inculcate
environmental concern and sustainability.
6. Hindustan Unilever Ltd's, or HUL's, Surf Excel Quick Wash talked about how
housewives could save two buckets of water while using premium detergent powder
to wash clothes.
7. Reckitt Benckiser Group Plc. has launched a global campaign Our Home Our
Planet to help consumers save money and minimize their carbon footprint as part of
 CONCLUSION
Green marketing do not strengthen company’s image in the mind of respondents that
is very much clear from trustworthiness of green claims and certainly it do not have
positive image of the organization in the minds of the respondents. It was observed
that the respondents who were more proactive with the environmental behavior have
positive attitude towards green advertisements. It means green advertisements have
positive impact on only those who are already practicing it.
Rest of the respondents who were passive had very less impact on their buying
behavior. This is the crucial aspect that needs to be changed so that they can have
positive impact on all the target market which will have an effect on their buying
behavior. The result of the study indicate that the advertisements not reflected the
companies level of greenness and the proposition that green advertising reflects
environmentally sound strategic and structural level decisions.
Green marketing covers more than a firm's marketing claims. While firms must bear
much of the responsibility for environmental degradation, the responsibility should
not be theirs alone. 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. Having said this, 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.
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 while firms can have a great impact on
the natural environment, the responsibility should not be theirs alone
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.
Thus, we can say that there are sufficient opportunities for green marketing in
Ludhiana but it may also face lot of challenges as considerable percentage of
population are not aware and also willing to know the affairs of green marketing
initiatives. We need to educate them through proper campaigns. Green marketer must
find an opportunity to enhance you product's performance and strengthen your
customer's loyalty.
 BIBLIOGRAPHY
Books:
 Chopra, S. Lakshmi (2007), "Turning Over a New Leaf", Indian Management, Vol-
64, April-2007
 Othman, J.A. et al, "Avoiding Green Marketing Myopia", Environment, Vol-48, June-
2006
 Philip Kotler & G. Armstrong .Principles of marketing, Edition- 12, March 9, 2007

 Richa Agrawal, Green Marketing: An Emerging Trend (PMR, Vol.5, April 2000)

Magazines:
 Green at Work Magazine : Edition - March/April 2006 by Bruce Piasecki.
Article - Future of Green Marketing
Edition - Jan/Feb 2007 by Rob Bradley
Article - Green Warming Solutions

Websites:
 http://www.greenmarketing.com/blog/
 http://greenmarketing.net/stratergic.html
 http://epa.qld.gov.au/sustainable_ industries
 http://wmin.ac.uk/marketing research/marketing/greenmix.html