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Innovative Branding Strategy

(Green initiatives –A move towards a better way of brand building)

                                   

Devi Premnath

Lecturer

Sree Narayana Guru Institute of Management Studies

 

Balachandran S

Lecturer

Sree Narayana Guru Institute of Management Studies

 

Abstract

 

The drastic change in the climatic condition, Global warming ……the blame is on developed and developing countries that are in the race of development and industrialization. The present world pleads for a green world for a sustained and healthy environment. The thrust to maintain a green world has now come upon the companies. The green initiatives is a modern concept which has got its essence in almost all the functions of management like production, marketing, human resource etc. People give a lot of respect and prefer using the products of the companies who have an eco friendly approach in their business. Branding is one such area where the nuances of green are now utilized more for positioning the product in the market. The value of such environmental initiatives, extend beyond the aspects of social responsibility, and even further beyond simple advertising tag lines, and present a competitive opportunity for both top and bottom line growth, brand differentiation and - given consumer expectations - increased profitability. This paper tries to bring out the relationship between the top 25 green brands and the brand loyalty index.

 

Keywords: Green initiatives, branding brand loyalty index, environment

 

Full Paper

 

What is Green Marketing?

 

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 by itself or produced and/or packaged in an environmentally friendly way. It is a modern concept where both environmentalism and marketing go hand in hand Man is ever inclined to nature and thanks to all environmentalists has made the consumers aware of the ecological implications if the green strategy not followed. This psychological inclination has been passed on to the products which are inclined to green technology. The obvious assumption of green marketing is that potential consumers will view a product or service's "greenness" as a benefit and base their buying decision accordingly.

 

While green marketing is growing greatly as increasing numbers of consumers are willing to back their environmental consciousnesses with their money, it can be dangerous. The public tends to be skeptical of green claims to begin with and companies can seriously damage their brands and their sales if a green claim is discovered to be false or contradicted by a company's other products or practices. Presenting a product or service as green when it's not is called green washing.

Determinants of Green Marketing

 

1) Credibility Profess the green mantra only if you are green, otherwise it will lead to anti publicity of your product.

2) Consumer Awareness - Consumers are already aware of the climatic changes that are taking place. We as consumers all have a guilt that because of industrialization and the use of unwanted items like plastics our ecology is bearing the brunt of it.

3) Customers Opportunity means personalizing the benefits of your environmentally friendly actions; normally through letting the customer take part in positive environmental action

 

Ever Green Brands

 

Before delving into the strategies for sustained growth let me first introduce the readers to the green brands available in the market

 

 

Infosys

 

Green IT equals to data centers optimization; but even if greening the data centers is an urgent imperative, Green IT is far broader than that. It also concerns areas like office automation infrastructure, end-user practices, IT procurement, CSR and the use of ICT as a way to reduce the CO2 footprint. On the other hand, more and more environmental regulations are into force and questions come from the Board, the CEO and the CFO, putting more pressure on the IT department.

 

Taj Hotels

 

51 Buckingham Gate, Taj Suites and Residences, has been dedicated to the 'Green' cause now for many a year, well before it became trendy. The Taj philosophy of community integration and environmental responsibility goes to the core of the activates here in the hotel.

Earlier this year Taj relaunched an Environmental Policy to bring it up to date and ensure it is relevant to guests and associates. They aim to reduce energy and water consumption by 15%,

The property has had an active Green team since 2003, including staff from throughout the Hotel, driving forward all types of green and considerate initiatives.

 

 

Go Green Marketing Strategies for Sustained Growth

 

Go green for a sustained life in the market is new mantra which is coming up. Selling green or eco-friendly products is a great and profitable marketing model these days. Many companies are directly investing on different green social initiatives to promote their brand. After few years, you might find that it is no more a marketing gimmick. It is just like the packet of a product – a stapled item that every company is offering.

 

Environmental sustainability in business is the art of profiting from the customers’ needs without harming the world around us. Of course, some industries have more environmental impact than others. Over 70% of technology executives say they believe their companies do little harm to the environment.

 

An identical percentage believes that although consumers say they want green products, buyers are, in fact, highly resistant to paying the higher prices associated with the privilege. This is a major problem which has been faced by the companies in India also.

 

References

 

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Mintel (1991). London, The green consumer report.

Ottman, J.A. (1993), Green Marketing: Challenges and opportunities, NTC Business Books, Chicago, IL.

Porter, M.E., Van der Linde (1995), "Green and competitive: ending the stalemate", Harvard Business Review, Vol.73, No.5, pp.120-33.

Shelton, R.D. (1994), "Hitting the green wall: why corporate programs get stalled", Corporate Environmental Strategy, Vol.2, No.2, pp.5-11.

Smithe, T. (1998), "The Green Marketing Myth: Tending out Goats at the Edge of Apocalypse, university of Toronto press, Toronto.

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