Addresses environmental issues through product design and innovation. significant attention from customers, industries, and governments around the world. Originally proposed at the American Marketing Association first conference on ecological marketing in 1975 Businesses view the global environmental problems as business opportunities. Successful businesses not only meet the worlds needs, but anticipate them. Delivering eco-friendly, market-leading products is a key driver in today’s competitive environment. strategy to achieve cost savings through energy and waste reduction. It offer a competitive advantage to their brands .
Increasing demand for oil and natural gas Increasing effects of climate change Lack of access to clean water Industrialization Usage of natural resources
Delivering eco-friendly, market leading products Adoption of the software, Invention Machine Gold fire to drive their green initiative Green product development and energy programs Addressing emission and waste control
Sample projects: Magnet created Siphon Flush. The toilet valve can save more than 11 million gallons of wasted water a day. Magnet credits Goldfire with accelerating time-to- market by 30 percent, cutting development costs by 65 percent. And, the Siphon Flush has 50 percent fewer parts than traditional toilet valves, making it eco- friendly. A $10B convenient foods company discovered corn-oil replacement. Shell developed next generation bio-fuel production methods leveraging sea algae. Leggett & Platt patented and developed a Semi-fold Box Spring that delivers Green impact to logistics (small compact units, when folded, are easier to ship resulting in more units per shipment, lower transportation costs, and a lower carbon footprint). JohnsonDiversey, a $3 billion specialty cleaning solutions company, is responding to the market’s demand for sustainable offerings is by using Invention Machine’s innovation software. One such offering at JonsonDiversey resulted in a sustainable and biodegradable intelligent dispensing system that generated tens of millions of dollars in revenue and continues to drive double digits growth over the last five years.
Reduce / Reuse Green House Gases (GHG) Reduce Energy Consumption Reuse Resources Use Eco-Friendly Materials Reduce Product Size & Weight Save Scarce Resources like Water
Promote good indoor air quality Durability, and low maintenance requirements Incorporate recycled content (post-consumer and/or post-industrial) They are made using natural and renewable resources Low "embodied energy" (the energy required to produce and transport materials) Do not contain CFCs, HCFCs or other ozone depleting substances Do not contain highly toxic compounds, and their production does not result in highly toxic by-products Obtained from local resources and manufacturers For wood or bio-based products, they employ "Sustainable Harvesting" practices Can be easily reused Can be readily recycled Biodegradable.
Left: Recycled cotton/polyester Latex paint can be sent to a paintinsulation and cellulose insulation recycler and reprocessed into qualityare viable alternatives to hazardous paints.fibreglass insulation. Sustainably harvested wood flooring
Incorporates a broad range of activities, including product modification, changes of the production process, packaging changes, as well as modifying advertising. Environmental protection and resource conservation. Balance in division of responsibility Green marketing came into prominence in the late 1980s and early 1990s.
The green products still lag the conventional products in every category. Psychological factors Price Poor positioning and distribution
better understand consumer and market dynamics get the value proposition right enhance your green credibility to improve brand image optimize the marketing mix have realistic expectations
Sustainability through energy management, environmental compliance , Lead and other hazardous substance free products, effluent control, waste management and recycling . The increasing political and social demand for a more sustainable society-affecting the way products need to be designed, manufactured, used and also disposed off. Driving sustainability by leveraging PLM for driving GREEN. Confusion in the marketplace. Marketers sometimes take advantage of this confusion, and purposely make false or exaggerated "green" claims- Green washing.
According to market researcher Mintel, about 12% of the U.S. population can be identified as True Greens, 68% as Light Greens. In 1989, 67 percent of Americans stated that they were willing to pay 5-10 percent more for ecologically compatible products. 1991, environmentally conscious individuals were willing to pay between 15-20 percent more for green products. 2009, agreed to pay up to 40 percent more for a product which had been proven to be green.
Environmental appeals are actually growing in number–the Energy Star label, for example, now appears on 11,000 different companies[ models in 38 product categories, from washing machines and light bulbs to skyscrapers and homes. The growing popularity of green building programs- increase demand for green products. Despite the growth in the number of green products, green marketing is on the decline as the primary sales pitch for products. A high percentage of consumers (42%) feel that environmental products don’t work as well as conventional ones. New reports, however show a growing trend towards green products.