Background of Green Marketing
This concept was first mooted in Europe in 1980’s where people recognized the need to have environmentally sustainable practices. While this idea met with a lot of inertia in the initial days, it is now increasingly becoming the norm across the world.
What is Green Marketing?
Green marketing refers to the process of selling products and services based on their environmental benefit. - It refers to a holistic marketing concept wherein the product, marketing consumption, disposal of products and services happen in a manner that is less detrimental to the environment with growing awareness about the implications of unsustainable environmental practices. - It incorporates a broad range of activities, such as product modification, changes to the production process, packaging changes, as well as modifying advertising. These products or services may be environmentally friendly or produced in an environmentally friendly, sustainable manner. For example, a product that is recyclable and free from ozone depleting substances can be sold via green markets. - The four Ps of green marketing are – product, price, place and promotion.
Evolution of Green Marketing
Green marketing evolved in three main phases – the first phase or the Ecological green marketing phase was focused on remedying environmental problems. The second phase or the Environmental green marketing phases focused on clean technology that took care of pollution and waste issues. The third phase or the Sustainable green marketing phase focused on developing quality products that were environmentally friendly.
Advantages of Green Marketing
It helps in reducing immediate and long - term damage to the environment. It enhances consumer awareness about ecological problems and enhances social responsibility. As there is a sizeable segment of the population that is environmentally conscious, using green products will earn high revenues for the companies. Reduction of harmful waste through green marketing may lead to substantial savings too.
Disadvantages of Green Marketing
High start - up costs and convincing consumers to switch over to these premium products. Non-cooperation of stakeholders involved. Green washing i.e. companies pass off products as a ‘green product’, where in actuality it is produced in an unsustainable manner itself.
How is the Indian Government encouraging this?
The government has started the Ecomark Scheme, which is an eco-labelling progamme, that increases the awareness of the consumer and encourages them to purchase environmental- friendly products. Green Term Market Ahead encourages use of renewable forms of energy in production and distribution of electricity.
