While green has entered the mainstream consciousness of consumers, new research commissioned from the Australian Food and Grocery Council shows action does not always follow readily. A 1000 shoppers were interviewed during May 2010 and while 80% of respondents stated the environment is of importance to them, just 13% followed through with action at the checkout on the day the research was conducted.
Why the gap?
From a niche consumer segment just a few years ago, green business has transformed into a sophisticated multi-billion dollar industry with thousands of products and services, though it could be much bigger with some simple measures. The problem is a lot of promises are being made about green products and this is causing some confusion for both b2b (business to business) and b2c (business to consumer) market segments. Confusion about environmental claims and product performance are key reasons for lack of follow through by consumers, although plenty of interest is there.
What’s the remedy?
Successful green products and services build their business on ensuring they can deliver a high performing product that is as sustainable as possible, and are very clear in the marketing and communication about what the product or service does, how well it does it, and what the environmental impacts are.
ECOVER: A good example of “doing green marketing well”
The Belgium based cleaning product company ECOVER has a range of cleaning products for the kitchen and bathroom, and has a turnover of around $100 million a year.
“I am a micro-business” I hear you scream, “I can’t relate to a business with sales over $100 million a year”…
But wait…ECOVER started off in a garage owned by an out of work soap salesperson in the 1980’s. It has grown to be one of the most successful green brands ever created by being a business first, and an environmental saviour second. This principle has been engrained in the company since its garage days as a micro business. In an interview with Time Magazine CEO Mick Bremens was quoted -
“Our products have to perform, if a business wants to survive it obviously has to make profits. But then our attention goes to the environmental responsibility, and we try to behave as sustainably as possible. That means trying to balance economical, ecological and social behavior”.
ECOVER has gone on to say that “total sustainability” is never really achievable; it is a constant work in progress. This kind of honest approach coupled with real sustainability measures and a high performing product that represents good value for money is why ECOVER is doing so well. They produce a product that is as sustainable as possible, while ensuring it works as well as those from brands who are less environmentally attuned.
Here are some lessons from ECOVER on what green consumers consider before making a purchase.
- Performance & quality. Both b2b and b2c market segments are looking for performance and quality. It’s vital that any product or service can perform as well as any non-green brand, just like ECOVER.
- Value for money. This is not about the initial price customers or client’s pay; it’s about the value. For example many of ECOVER’s products are concentrated in form, so value is delivered over time.
- Safety. A clear reason many sustainable, organic, green products are purchased is that the ingredients / components used to make them (whether a cleaner or new computer) are safer for humans to eat, wash with, clean or even recycle.
- Communication. ECOVER and many other successful green brands are very good at communicating the products brand essence. It’s about keeping the marketing message simple and engaging the audience at multiple levels.
- Availability. There’s no point in having a great product or service if it’s confusing or difficult to buy. Make sure your brand is easy to do business with by ensuring what you're offering is easily delivered.
- Sustainability. To be a green brand you need to be as sustainable as possible (environmentally and socially). Produce a 360-degree sustainability policy and get some independent assessment of your strategy and implementation. Remember not to over-state your green credentials – visit the greenwashing article for more on this.
What brands do you think are a good, or indeed a bad example of green marketing?
“ It has grown to be one of the most successful green brands ever created by being a business first, and an environmental saviour second. ”
Chris Eccleston Chris Eccleston is the Principal Consultant at Green Solutions Marketing, an Australian owned end-to-end green marketing and communications company experienced in bringing green brands to life, or rejuvenating existing sustainable products and services.