GREEN MARKETING IN INDIA: EMERGING OPPORTUNITIES AND CHALLENGES

BYMr. Md. Masoom Baba

1ST YEARSMS-JPNCE

masoommn@yahoo.com

Ms. S. Pranitha1st YEAR

SMS-JPNCEPranithasunkari43@gmail.com

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.

Definition

• Pride and Ferrell (1993) Green marketing, also alternatively known as environmental marketing and sustainable marketing, refers to an organization's efforts at designing, promoting, pricing and distributing products that will not harm the environment.

Who is doing Green Marketing?

• Companies large and small are realising the benefits of going green, and integrating that into their marketing messages.

• According to a 2009 January/February study by the American Marketing Association, more than half of corporate marketers believe that their organisations will increase their involvement in environmental sustainability over the next two to three years, and 43% say their companies will increase marketing of these programmes. As further proof of the growing popularity of green marketing, Datamonitor Product Launch Analytics shows 458 product launches so far in 2010 of package-goods products that claim to be sustainable, environment-friendly, or “eco-friendly.

WHY GREEN MARKETING?

• As resources are limited and human wants are unlimited, it is important for the marketers to utilize the resources efficiently without waste as well as to achieve the organization's objective. So green marketing is inevitable. There is growing interest among the consumers all over the world regarding protection of environment. Worldwide evidence indicates people are concerned about the environment and are changing their behavior. As a result of this, green marketing has emerged which speaks for growing market for sustainable and socially responsible products and services.

GREEN PRODUCTS

There is an Emerging Market for Green Products

• Many include making homes and transportation greener

39%

41%

43%

52%

60%

64%

66%

80%

10%

10%

20%

29%

33%

37%

45%

69%

Eco-Friendly Home

Weather station

High MPG vehicle

Home waterpurification system

High efficiencycooling

High efficiencyheating

Programmablethermostat

Energy savinglighting

Reasons for adopting Green Marketing

• SOCIAL RESPONSIBILITY• LAWS• COMPETITION• COST REDUCTION

COMPANIES USING GREENMARKETING

• COCA-COLA• WALT DISNEY WORLD• MCDONALD’S• XEROX• CANON• PHILIPS• SHELL

GREEN PRODUCTS AND ITS CHARACTERISTICS

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.

Green Marketing Basics

• Balance environmental issues with primary customer needs. If customers aren’t going to use environmental issues to gauge products and companies, and if environmental initiatives are not going to drive a purchasing decision or brand loyalty, green marketing isn’t going to be an effective use of the marketing budget.

• The green marketing claims must be credible. Companies need to provide a level of

detail about the claims that make them meaningful, and be able to substantiate those claims. Customers need to believe the claims for green marketing to be effective.

• Green marketing must empower the customers. The green marketing message must make customers feel that by using the product or service they will make a difference.

• Overcome customers’ concerns about price and product performance. Educate

customers about the benefits the product or service provides, and provide testimonials, case studies, or research reinforcing the performance and value claims.

Green Products

There is no widespread agreement on what exactly makes a product green. Some general guidelines include that a green product.

1. Does not present a health hazard to people or animals;2. Is relatively efficient in its use of resources during

manufacture, use, and disposal;3. Does not incorporate materials derived from endangered

species or threatened environments;4. Does not contribute to excessive waste in its use or

packaging; and5. Does not rely on unnecessary use of or cruelty to animals.

GOLDEN RULES OF GREEN MARKETING

Know you're CustomerReassure the BuyerConsider Your Pricing 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.

THE FUTURE OF GREEN MARKETING

• 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:

CONCLUSION

• Now this is the right time to select “Green Marketing” globally. It will come with drastic change in the world of business if all nations will make strict roles because green marketing is essential to save world from pollution. From the business point of view because a clever marketer is one who not only convinces the consumer, but also involves the consumer in marketing his product. Green marketing should not be considered as just one more approach to marketing, but has to be pursued with much greater vigor, as it has an environmental and social dimension to it.

Best Green IT Project State Bank of India

• By 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..

Green IT@SBI

• 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

Any Queries ??