green marketing unit 1 mba 2nd sem
TRANSCRIPT
WHAT IS GREEN MARKETING? green marketing is the marketing of
products that are presumed to be environmentally safe.
A SIMPLE DEFINTION In simple terms it refers
to the process of selling products and/or services based on their environmental benefits.
Such a product may be environmentally friendly in itself or produced and/ or packaged in this way.
THE AMERICAN MARKETING ASSOCIATION (AMA) DEFINITION A 3 WAY DEFINTION: (retailing definition) The marketing of
products that are presumed to be environmentally safe.
(social marketing definition) The development and marketing of products designed to minimize negative effects on the physical environment or to improve its quality.
(environment definition) The efforts by organizations to produce, promote, package, and reclaim products in a manner that is sensitive or responsive to ecological concerns
GREEN MARKETING Mutual benefit A competitive edge Rising green demands of
customers Higher profit margin
DEFINITION Green marketing refers
to the process of selling products or services based on their environmental benefits. Such a product or service may be environmentally friendly in itself or produced or packaged in an environmentally friendly way.
GO GREEN Many manufacturers have
recognized environmental concerns as a source of competitive advantage and have developed products with a green image
Macdonald’s have stopped packaging their hamburgers etc in polystyrene containers and now use cardboards which comes from a renewable resource and is biodegradable or recyclable .
The production process is compatible with ecosystemIt is compatible with goals of the companyIt satisfies the consumers
REQUIREMENTS
Eco label is an environmental claim that appears on the packaging of a product .It is awarded to a manufacturer by an appropriate authority. ISO 14020 is a guide to the award of Eco-labels.
The government of India launched an Eco-mark Scheme in 1991 to increase consumer awareness in respect of environment friendly products. The aim of the scheme is to encourage the customers to purchase those products which have less harmful environmental impact.
ECO LABELLING
Improvement of image and sales of products Manufacturer’s being more accountable to
environmental impacts. Consumer’s awareness that their choice of
product do affect the environment as some products are less damaging to environmental than others
Eco labeling leads to
OPERATON OF ECO-MARK SCHEME OF GOVERNMENT OF INDIA 3 stages led to award of eco-mark in
IndiaThe Steering Committee of the MEF determines the product categories for coverage under the scheme and to formulate strategies for implementation and future developments of the scheme.The second stage is the identification of specific products to be selected and the individual criteria to be adopted by the Technical Committee of CPCB.In the third stage the Bureau of Indian Standards
(BIS) is to certify the product and formulae contract with the manufacturer allowing the use of eco-mark.
Products to meet the relevant standards of BIS.
Manufacturers to produce documentary evidence in regard to compliance of EPA. Water and Air Acts and other rules and regulations such as Prevention of Food Adulteration Act and rules made there under.
The product to display the list of critical ingredients in descending order of quantity present.
The packaging to display the criteria based on which the product has been labelled environment friendly.
The material used for packaging to be recyclable./ reusable /biodegradable.
The products to be accompanied by detailed instructions for proper use.
CRITERIA FORECO-MARK
STATUS FOR ECO-MARK
DEVELOPMENT
1. Soaps and detergents2. Paper3. Food items4. Lubricating oils5. Packaging materials6. Paints and powder
coatings7. Batteries8. Electrical / electronic
goods9. Food addition10.Wood substitutes11.Cosmetics12.Aerosol propellants13.Plastic product14.Textiles15.Fire extinguisher16.Leather
IMPORTANCE OF GREEN MARKETING
IMPORTANCE OF GREEN MARKETING green marketing helps to keep the
environment clean, . green marketing helps the company to
reduce their production cost. Herbal products and organic products
are eco friendly
WHY GREEN MARKETING IS NOT POPULAR IN INDIA
People are more attracted towards foreign products
And most companies are not interested to producing herbal products
people are not aware of the importance of the green marketing,
Green marketing products prices are very high
LIMITATIONS IN GREEN MARKETING
Green products require renewable and recyclable material, which is costly
Requires a technology, which requires huge investment in R & D
Water treatment technology, which is too costly
Majority of the people are not aware of green products and their uses
Majority of the consumers are not willing to pay a premium for green products
Why Green Marketing is Important ? It is well known that increasing production and business activities are polluting the natural Environment. Damages to people, crops, and wildlife are reported in different parts of the world. As resources are limited and human wants are unlimited, it is necessary for marketers to use Resources efficiently, so that organizational objectives are achieved without waste of resources. So green marketing is inevitable. There is growing interest among people around the world Regarding protection of natural environment. People are getting more concerned for environment And changing their behavior for the protection of environment.