Way Beyond Green Marketing

‘Going Green’…a day doesn’t go by without a brand or corporation announcing that it is implementing some form of the cause. Sadly, many (most?) are only implementing green as a new or seasonal marketing and promotional tactic.

Why is this unfortunate? Becoming a green business is a far more intensive, committed and important strategic issue to be used merely as PR fodder. To me, adopting sustainable business practices is a core strategic move, and should be seen as part of the brand values, personality and image. Every expression of brand essence -- internally and externally -- should support, reinforce and communicate the commitment made.

Green is not merely a marketing or PR issue limited to customer communications. Consumers are too smart to not see through it eventually. Plus, sustainable operations make sense because they are the right thing to do. More importantly, there is a growing understanding that these practices can create strategic advantage and source of powerful differentiation across a globe of interconnected markets with fleeting brand loyalty and changing regulatory methods.

Companies are finding a clear link between profits and sustainability. Gone are the days when a business leader’s feeble off handed defense was a charge of ‘higher costs’ or cries of ‘Western European’ utopian idealism.

“There is 100% overlap between our business drivers and social and environmental interests,” says Dow CEO Andrew N. Liveris


We have witnessed the pattern of publication of corporate policies (generally voluminous and generic) on websites and increased green marketing exploitation. Recently wholly new sustainable brands and products have emerged, from the ground up – e.g. Green Works by Clorox, that have succeeded and spawned other activity.
However, corporations have yet to reorient themselves – philosophically and operationally – to internalize sustainability. No doubt this is a challenging task, as there are no business functions that would not benefit from this approach: R&D; Procurement/Supply Chain; Manufacturing; Packaging; Distribution & Logistics; Marketing & Sales; and more.

Besides the high initial investment costs, there is a lack of consistent metrics and investor expectations of returns all hinder wider and faster adoption. The risks are clear, as the brand impact for Nike and Wal-Mart from their global sourcing scandals has shown, and as environmental disasters had on BP, Exxon and Union Carbide.
The good news is that the heightened awareness among the public has raised expectations and created pressure on corporations to move in meaningful ways. If consumers are truly willing to vote with their dollars and pay higher costs in the short term for ‘sustainable’ products, brands will have little choice but to act.

Thankfully, sustainability is “right at the top of the agendas” of more US CEOs, especially young ones, according to the McKinsey Global Institute.

How prepared is your brand? Are you vulnerable to competitors faster, first moves? If not, it just may be a shot you don’t recover from.