Yes, everyone should care about the environment. But if green marketing doesn’t make dollars, does it still make sense? These days, nobody can blame marketers for rushing to “green” their brands. Rarely has there been a bandwagon like the eco-friendly one upon which most of America’s big-name businesses have jumped. Over the last six months or so, the carbon-neutral footprint may have become the new motherhood and apple pie. Given the fervor, marketers might presume a substantial payoff for touting one’s eco-friendliness. After all, these big-name companies certainly wouldn’t invest so heavily in getting the message across if there weren’t a measurable – and significant – return on investment, right? Well, not so fast. While there are many good reasons for companies to run green marketing campaigns, an immediate financial return on investment may not be at the top of that list. In some cases, a measurable financial ROI may not even be on the list. It’s still too difficult to tease out the role a company’s values play in a consumer’s purchasing decision, and there’s not enough analysis given the recent development of these campaigns. Historically, “studies of the effect of a company’s social reputation on consumer purchasing preferences or on stock market performance have been inconclusive at best,” professors Michael E. Porter and Mark R. Kramer wrote in the Harvard Business Review in December. So why has green marketing taken such hold of corporate America’s creative teams? Two words: motivation and risk. As news about climate change has gone mainstream, surveys have found that consumers are far more interested in the environment – and in a company’s social values – than they were even several short months ago. A May survey by Landor Associates found that concern for the environment among American consumers was “universal,” and that eight in 10 consumers believe it’s important to buy from green companies, and will spend more to do so for certain items like energy-saving household appliances. Indeed, the company reported that “nearly all Americans display green attitudes and behaviors.” Contrast that with last year’s survey, in which 58 percent of respondents declared themselves “uninterested” in whether a brand or a company was green. The firm calls this shift “one of the most complete and speedy revolutions in consumer attitudes ever seen.” Pages: 1 2 3 4

Green Marketing, Large Business, Medium Business