how to green your brand by ms. victoria fritz

7/31/2019 How to Green Your Brand by Ms. Victoria Fritz

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CONTENTS NATION WORLD BUSINESS TECHNOLOGY HEALTH/LIFESTYLE

How to Develop a Green Brand

STRATEGY POINTS

A green brand is one that successfully combines performance and perception in beingTVSXEFPIIXLMGEPERHIGSPSKMGEPP]VIWTSRWMFPI

There are two approaches to green marketing: the functional and the emotional

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and availability

BUSINESS

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:NKcenSEI8KVUXZ September 3-16, 2012

Inthese times of greater environmental

and social awareness, companies see the

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obligations and opportunities. Consequently, those

determined to be green brands receive recognition

and an improved reputation.

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and ecologically responsible, according to Jez

Frampton, Global Chief Executive ofInterbrand, a

global brand consultancy company. Interbrand, in

partnership with Deloitte, has been evaluating the

worlds top brands based on performance as well

as the publics perception of their green credentials

VLQFH7KHLUUHSRUWBest Global Green Brands

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criteria, with Asian car manufacturer Toyota topping

this years list.

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SHUFHSWLRQThe report noted that companiesDUHQRZWDNLQJVLJQLFDQWVWHSVWRUHGXFHWKHLU

social and ecological impact and conveying this

message to their consumers. Hence, the screening

processfor choosing the green brands includes a

careful study of a brands actual performance as

well as market perception.

Deloitte assesses each brands performance based on

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environmental impacts and execute

environmental programs

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gas emissions, water management, waste

management, and toxic waste management

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performance in measuring, reporting and

mitigating the environmental performance of

their transportation and logistics, business travel

and commuting

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engagement with their relevant stakeholders

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mitigating environmental performance of their

supply chain

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production, and use of life-cycle assessment,

among others.

A brands perception is measured according to six

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brands environmental claims

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their competitors

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brands green activities and its green reputation

in the market

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the brands environmental claims; comparing

the perceived importance of the brands green

activities with the brands green perception

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green communication

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brands green activities as a whole.

The overall green brand score is calculated as a

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and the standardized perception score. In cases where

performance is greater than perception, Interbrand

calculates a simple average. When perception outdoes

performance, Interbrand calculates a simple average

and then applies a consistent discount factor based

on the gap between perception and performance. This

discount factor is designed to penalize brands that are

not living up to public expectations.

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Ranking is based on the extent that overall score

improved or regressed from the preceding year.

This means achievements of the preceding year

remain credited, and are added on to the current

years achievements.

To illustrate the method of scoring and ranking,

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reveals its recycling initiative, among other efforts.

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Recycling System, tracing the battery through a complete

loop from sale through disposal, shredding, production and

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process, but also communicated it effectively to its stakeholders

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green brands are car manufacturers, since cars are a

major source of carbon emissions. But that is probably

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VWUDWHJLHVDeveloping a green brand is possible

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emotional positioning strategies, by Hartmann

et al ofUniversidad del Pais Vasco in Bilbao,

Spain, sought to test suggested green positioning

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perceived brand positioning and brand attitude. The

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from its competitors through its environmentally

sound attributes. Furthermore, they classify green-

brand positioning strategies as functional or emotional

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A functional approach builds brand associations by

conveying information on environmentally sound

product attributes that are advantages over competing

brands. These attributes include production process,

product use, and disposal. For example, a car brand

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this strategy has its limitations. It may not deliver

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motivate the customer to purchase.

1 Toyota -02.56

2 Johnson & Johnson 03.89

3 Honda -00.38

4 Volkswagen 04.20

5 Hewlett-Packard 11.72

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FUNCTIONAL VS. EMOTIONAL APPROACH IN

IMPROVING BRAND ATTITUDE

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Instead of, or in conjunction with, a functional

approach, the company can choose from three

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improvement of the environment

2. Personal satisfaction from exhibiting his/her

environmental consciousness to others

3. Having sensations normally experienced

through contact with nature; embedding

the brand in pleasant imagery of

natural environments evokes vicarious

nature experiences.

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DWWLWXGH"The research study thus proposes

two things. First, perceived green-brand positioning

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Second, green-brand positioning improves brand

attitude. The question posited by the research

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were exposed to in the study. They were each shown

advertisements on individual computer terminals,

and then were asked to respond to a set of questions.

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control and three experimental groups. The control

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Experimental groups were shown a hypothetical

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was shown an experimental ad based on functional

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The second used the emotional approach, embedding

the brand in nature scenery. The third combined

both strategies.

Merecedes ATMOS (Combined Posit.)

Merecedes ATMOS (Emotional Posit.)

Merecedes ATMOS (Functional Posit.)

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scale with the functional approach ad, and improved

on the emotional scale with the emotional ad. The

greatest increase happened, however, with the

combined functional-emotional strategy.

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the emotional dimension on brand attitude has a

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Results show that there are indeed two approaches

of green-brand positioning. Likewise, green-brand

positioning does improve brand attitude. On the

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case. However, the authors caution against using

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of both approaches on brand attitude is positive. The

combined functional and emotional strategy still led

to the strongest perceptual shift.

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for Sustainable Development (IISDVKDUHV

guidelines in the0DUNHWLQJVHFWLRQRIWKHLU

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asked of consumers. Few will pay more for greener

products; additional product value is what they will

pay for. Assure them of quality at the same time.

Also, bring the products within easy reach, since

consumers will not go out of their way just to buy

green products.

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ImagePower Green Brands Survey, as represented

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Findings show that concern for the environment

rebounded to pre-recession levels and consumers

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regard cost as the biggest barrier to buying green

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willing to pay the premium.

In other words if prices were the same, a consumer

is likely to buy what he perceives as a green

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1. Seventh Generation They are very forthcoming in their work to keepenvironmental impact to a minimum in their products and in

their company

2. Whole Foods Market It is my impression that they are committed across the

board to selling organic foods grown under green conditions,

that they are concerned about the carbon footprints of their

products in terms of purchasing local or regional foods,

and that they emphasize recycling, minimization of energy

consumption, etc.

3. Toms of Maine Their products are all natural and their packaging is made

from recycled materials. They also use sustainable practicesin their business.

4. Burts Bees Because all of their products are natural and organic.

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packaging and products.

5. Trader Joes They are concerned about their suppliers being green, they

are always advertising sustainable products and they really

seem to care

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is very or somewhat important to buy from

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consumers trust advertising to inform them about

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One important survey result is that consumers

are most likely to buy green personal care, grocery

and household products.

Though the complete list was not included,

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important aspect of green marketing is consumer

education. This is according to Jacquelyn

Ottman, head ofJ. Ottman Consulting, which

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marketing, and lists several )RUWXQH

companies and the U.S. government among

its clients.

According to herEORJHQWU\RI2FWREHU

(which is also an excerpt in her book, The New

Rules of Green marketing: Strategies, Tools and

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says consumer education could spell success

for a campaign. She cited the case of Whirlpool,




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free refrigerator. Consumers, not knowing what CFC

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improvement. She added that educational messages

could help boost involvement, enhance imagery and

increase credibility.

Its not enough to present a green product. She

emphasizes the need to explain how a product can

safeguard ones health, or protect the environment. If

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statistics, you make buyers feel their choices make a

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