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The ABC's of Staying Clean on Greenwash Lara Pearson Rimon Law Group
www.Rimonlaw.com  [email_address] www.BrandGeek.net Lara@BrandGeek.net
Greenwashing and  Advertising Self-Regulation David G.Mallen Deputy Director National Advertising Division (NAD)
www.coneinc.com  |  @ConeLLC  |  www.coneinc.com/whatdoyoustandfor Jonathan Yohannan Senior   Vice President, Corporate Re...
Industry Self-regulation of Advertising
National Advertising Division <ul><li>Protects the integrity and credibility of advertising by ensuring that claims are tr...
Substantiating   Green  Claims <ul><li>What claims are conveyed to  consumers? </li></ul><ul><li>Does the advertiser have ...
Green Claims at NAD <ul><li>Old Generation: </li></ul><ul><li>General Environmental Benefit </li></ul><ul><li>Biodegradabl...
Evergreen   Rules for Environmental Marketing
Be a Resource 79%  of consumers want companies to provide information about environmental commitments on the package to he...
Be a Resource Smartphone Label Readers On-pack Information “ This package is suitable for industrial composting. However, ...
Be Grounded Green Environmentally Friendly Earth Friendly Eco-Safe Energy Efficient Carbon Neutral Recyclable Zero Waste S...
Be Realistic Put claims in wider context with humility and “work in progress” tone 75%  of consumers say it’s ok if a comp...
Green Gap Persists <ul><li>When Americans see a product advertised as “green” or “environmentally friendly,” they believe ...
Testing Environmental Purchase Drivers 2011 Cone Green Gap Trend Tracker  1-in-2 (51%)    1-in-3 (30%)    1-in-5 (19%)
Certifications: Consumer Perception 2011 Cone Green Gap Trend Tracker
Imagery: Consumer Perception 2011 Cone Green Gap Trend Tracker
Claims: Consumer Perception 2011 Cone Green Gap Trend Tracker
Risk of Consumer Backlash 37% will avoid the company’s products  altogether 2011 Cone Green Gap Trend Tracker
 
 
 
 
Claims of General Environmental Benefit <ul><li>Harnessing the Power of Nature </li></ul><ul><li>100% Naturally Derived Su...
“ Clean with the  Power of Clorox” Clorox (GreenWorks) Report #5089 (2009)
<ul><li>Renewable   Energy </li></ul>
S.C. Johnson Greenlist Milwaukee Journal Sentinel , 2/9/11 “ Litigation…contends S.C. Johnson is deceptively implying that...
Hilex Poly v. ChicoBag
 
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SB11 - Rimon Law Group - Lara Pearson

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SB11 - Rimon Law Group - Lara Pearson

  1. 1. The ABC's of Staying Clean on Greenwash Lara Pearson Rimon Law Group
  2. 2. www.Rimonlaw.com [email_address] www.BrandGeek.net Lara@BrandGeek.net
  3. 3. Greenwashing and Advertising Self-Regulation David G.Mallen Deputy Director National Advertising Division (NAD)
  4. 4. www.coneinc.com | @ConeLLC | www.coneinc.com/whatdoyoustandfor Jonathan Yohannan Senior Vice President, Corporate Responsibility [email_address] 617-939-8350 Twitter: @jyohannan
  5. 5. Industry Self-regulation of Advertising
  6. 6. National Advertising Division <ul><li>Protects the integrity and credibility of advertising by ensuring that claims are truthful and accurate. </li></ul><ul><li>Cost-effective means of resolving disputes. </li></ul><ul><li>Success Rate: 95% </li></ul>
  7. 7. Substantiating Green Claims <ul><li>What claims are conveyed to consumers? </li></ul><ul><li>Does the advertiser have “competent and reliable” evidence to substantiate those claims? </li></ul><ul><ul><ul><li>Scientific evidence </li></ul></ul></ul><ul><ul><ul><li>Test, analyses, and research studies </li></ul></ul></ul><ul><ul><ul><li>FTC Green Guides </li></ul></ul></ul><ul><ul><ul><li>Industry Standards </li></ul></ul></ul>
  8. 8. Green Claims at NAD <ul><li>Old Generation: </li></ul><ul><li>General Environmental Benefit </li></ul><ul><li>Biodegradable </li></ul><ul><li>“ Natural” or “free” from hazard </li></ul><ul><li>New Generation: </li></ul><ul><li>Renewable Energy </li></ul><ul><li>Seals & Certifications </li></ul>
  9. 9. Evergreen Rules for Environmental Marketing
  10. 10. Be a Resource 79% of consumers want companies to provide information about environmental commitments on the package to help them make informed purchases “ Any disclosures needed to prevent an advertisement from being misleading must be clear and prominent and in close proximity to the claim…Websites cannot be used to qualify…because consumers likely would not see that information before their purchase.” Companies must provide supporting information at point of sale 2011 Cone Green Gap Trend Tracker
  11. 11. Be a Resource Smartphone Label Readers On-pack Information “ This package is suitable for industrial composting. However, industrial composting isn’t available in all areas, so check to see if such a facility exists in your community.” Companies must provide supporting information at point of sale QR Codes “ SEE WHAT MAKES OUR BEEF SO NATURAL AND DELICIOUS. Watch the video on your smartphone.”
  12. 12. Be Grounded Green Environmentally Friendly Earth Friendly Eco-Safe Energy Efficient Carbon Neutral Recyclable Zero Waste Sustainable 67% of consumers wish companies would do a better job helping them understand the environmental terms they use to talk about their products and services Tell a story that ensures what the product delivers is what consumers believe 2011 Cone Green Gap Trend Tracker
  13. 13. Be Realistic Put claims in wider context with humility and “work in progress” tone 75% of consumers say it’s ok if a company is not environmentally perfect, as long as it is honest about its efforts “… we produced a solution that preserved wetlands.” 2011 Cone Green Gap Trend Tracker
  14. 14. Green Gap Persists <ul><li>When Americans see a product advertised as “green” or “environmentally friendly,” they believe it means: </li></ul>29% Majority of consumers misinterpret general environmental claims 2011 Cone Green Gap Trend Tracker
  15. 15. Testing Environmental Purchase Drivers 2011 Cone Green Gap Trend Tracker  1-in-2 (51%)  1-in-3 (30%)  1-in-5 (19%)
  16. 16. Certifications: Consumer Perception 2011 Cone Green Gap Trend Tracker
  17. 17. Imagery: Consumer Perception 2011 Cone Green Gap Trend Tracker
  18. 18. Claims: Consumer Perception 2011 Cone Green Gap Trend Tracker
  19. 19. Risk of Consumer Backlash 37% will avoid the company’s products altogether 2011 Cone Green Gap Trend Tracker
  20. 24. Claims of General Environmental Benefit <ul><li>Harnessing the Power of Nature </li></ul><ul><li>100% Naturally Derived Surfactants </li></ul><ul><li>More Sensible for the Environment </li></ul>
  21. 25. “ Clean with the Power of Clorox” Clorox (GreenWorks) Report #5089 (2009)
  22. 26. <ul><li>Renewable Energy </li></ul>
  23. 27. S.C. Johnson Greenlist Milwaukee Journal Sentinel , 2/9/11 “ Litigation…contends S.C. Johnson is deceptively implying that Windex and Shout have been tested by a neutral 3 rd party and found to be environmentally friendly.” S.C. Johnson Response “ We’re very proud of our accomplishments under the Greenlist system.”
  24. 28. Hilex Poly v. ChicoBag

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