Green products and services aim to conserve resources for future generations while allowing economic development. They use environmentally friendly production, distribution, and disposal methods. Green marketing involves promoting products' environmental benefits through strategies like using recycled materials, reducing waste and packaging, and making items reusable or recyclable. Eco-labeling informs consumers which products are less harmful to the environment so they can make greener choices. Governments provide incentives and taxes to encourage businesses and consumers to shift toward more sustainable practices.
1. We use the terms "green" and "sustainable" to
refer to products, services, and practices
whose manufacturing, purchase and use
allows for economic development while still
conserving, for future generations.
Environmentally friendly (also eco-friendly,
nature friendly, and green) are terms used
to refer to goods and services, laws,
guidelines and policies claimed to inflict
minimal or no harm on the environment
Green Product
2. • Value added products or services
which promote good health, protect
environmental quality and easily
disposable
• Conservation of value, function and
attributes of the nature
Green Product
3. • Procurement of raw material
– Optimum usage of natural resources
– Restriction of hazardous chemicals
• Green manufacturing process
– Energy conservation
– Prevention of pollution
– Waste minimization
• Green Distribution
– Packaging
– Transportation
• Green Marketing
Green Production
4. • Design for Environment
• Energy Efficiency
• Product Stewardship
• Supplier Management/ greening the supply chain
• Green Operation
• Stakeholder Relations
Sustainability Strategy- Green Business Process
7. Green marketing refers to the process of selling products and/or
services based on their environmental benefits. Such a product or
service may be environmentally friendly in itself or produced
and/or packaged in an environmentally friendly way.
It is a marketing effort to produce, promote and reclaim
environmentally sensitive products
Green Marketing
8. • use recycled materials in product production
• use green energy (such as wind and geothermal)
• reduce production waste (in both energy and materials)
• use eco-friendly methods, including sustainable and organic
agriculture
• buy/sell locally, reducing transportation energy
• reduce product packaging
• make products reusable and recyclable
Green Opportunities
9. • Green products
• Green Price
• Green promotion
• Green consumer
Green Marketing
11. • Being genuine
• Educating your customers
• Giving your customers an opportunity to participate
Keys to Green Marketing
12. • Marketing Audit (including internal and external
situation analysis)
• Develop a marketing plan outlining strategies with
regard to 4 P's
• Implement marketing strategies
• Plan results evaluation
Strategies
13. • Product
The ecological objectives in planning products are to reduce
resource consumption and pollution and to increase
conservation of scarce resources
• Price
Price is a critical and important factor of green marketing
mix. Most consumers will only be prepared to pay additional
value if there is a perception of extra product value. This
value may be improved performance, function, design, visual
appeal, or taste. Green marketing should take all these facts
into consideration while charging a premium price.
Green Marketing Mix -4 Ps
14. • Promotion
There are three types of green advertising:
– Ads that address a relationship between a product/service and the
biophysical environment
– Those that promote a green lifestyle by highlighting a product or service
– Ads that present a corporate image of environmental responsibility
• Place
The choice of where and when to make a product available
will have significant impact on the customers. Very few
customers will go out of their way to buy green products.
Green Marketing Mix – 4 Ps
15. Market Based Instruments (MBIs)
Many countries are offering subsidies for the companies or
industrial sectors that shift to clean technologies, recycling programmes
or for energy conservation / use of non conventional energy
resources.
1. Incentive for those (companies or entrepreneurs) who incur
additional costs in their operations for the protection of
ecosystem. These incentives may be in the form of financial
compensation.
2. Incentives for those in the developed countries when they engage
in clean technology transfer to developing countries.
3. Taxes to be levied for activities/programes that lead to
environmental damage or resource depletion. For example,
levy of extra duty or tax on leaded petrol than unleaded.
4. Lately, tradable permit system has been introduced in
environmental management. For example, tradable permits
for greenhouse gas emission can be exchanged through the
market.
16. Eco – Labeling
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 common person is now becoming aware of the deterioration of
environment especially when it relates to human health. There is a
growing demand for goods and services that cause less damage both to
the health of human and environment.
The Government of India launched an Eco-mark Scheme in 1991 to
increase consumer awareness in respect of environment friendly
products.
Eco - labeling can lead to:
1. Improvement of image and sales of products.
2. Manufacturer's being more accountable to environmental impacts.
3. Consumer's awareness that their choice of product do affect the
environment as some products are less damaging to environment
than others.
17. Operation of Eco-mark Scheme
• There are three stages that lead to award of Eco-mark in India.
These are:
a) The Steering Committee of the MoEF determines the
product categories for coverage under the scheme and to
formulate strategies for implementation and future
developments of the scheme.
b) The second stage is the identification of specific products to
be selected and the individual criteria to be adopted by the
Technical Committee of the CPCB.
c) In the third stage the Bureau of Indian Standards (BIS) is to
certify the product and formulate contract with the
manufacturer allowing the use of eco-mark.
18. Criteria for Eco-mark
According to MoEF, criteria for awarding Eco-mark
cover all the stages of product from raw material to
manufacture and to final disposal.
The general requirements are:
i. Products to meet the relevant standards of BIS.
ii. Manufacturers to produce documentary evidence in regard to compliance
of EPA, Water and Air Acts and other rules and regulations.
iii. The product to display the list of critical ingredients in descending order of
quantity present.
iv. The material used for packaging to be recyclable/reusable/biodegradable.
For Product Specific Requirements following issues are to
be considered:
i. Source of raw material.
ii. Production process.
iii. Energy use/conservation in the production.
iv. Wastes arising from the process of production.
v. Utilization of wastes.
vi. Disposal of wastes.
19. Status of Eco-mark development
According to a Report (1997) of government, 16 categories of
products have been identified by Eco-mark Steering
Committee. These are:
• 1. Soaps and detergents 2. Paper 3. Food items 4. Lubricating
oils 5. Packaging materials 6. Paints and powder coatings 7.
Batteries 8. Electrical/electronic goods 9. Food additives 10.
Wood substitutes 11. Cosmetics 12. Aerosol propellants 13.
Plastic products 14. Textiles 15. Fire Extinguisher 16. Leather