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Environmental Marketing Mix
An increased focus on environmental issues, has contributed to a rise
in the demand for environment friendly products and services or green marketing.
The spotlight on sustaining the environment has created terminology
such as “carbon footprint” and “offsetting”.
Many organisations have adapted their marketing strategies to capitalise
on the consumer appetite for environment friendly products and services. Environment friendly marketing strategy takes into account additional factors which are not
usually part of the marketing mix. Such a deviation from the academic
acceptance of the “marketing mix” components has led LearnMarketing
to develop the ‘environmental marketing mix.’
Environmental Product Strategies
There are a large number of environmental issues impacting on the production
of goods and products, for example:
- What is the impact of production, sourcing of materials and packaging
on the environment?
- Can minimum levels of packaging and environment friendly packaging
be achieved without compromising product quality or appeal?
- Supplier practices i.e. are they at least as environmentally friendly
as the organisation they are supplying?
Environmentally friendly products can increase and decrease production
costs; environmentally friendly production may increase costs for organisations
and their suppliers but this may be offset by lower fuel bills through
energy efficiency measures or an increase in sales caused by a positive
product image. An organisation may able to pass increases in production costs (caused
by Environment Friendly products) to consumers. However this will depend on the level of increase,
type of consumer, competitor prices and
the strength of the economy. For example during times of recession consumers
will place price above many of the other factors making up the
Environmental Place Strategies
All organisations need to “carefully” time when their
product reaches consumers; exact time of distribution will depend on
the product or service being distributed. Such timing may have an environmental
Some products will need to reach the consumer shortly after production
for example fresh food in order to retain freshness, taste or nutritional
value. The fastest method of distribution may damage the environment.
Conversely a more environmentally friendly method e.g. via canals may
impact on speed of distribution and consequently quality of the product.
A method of distribution that combines speed with “environmentally
friendliness” may increase distribution costs as some of these
processes are still under development e.g. electric vehicles.
In addition to the type of transport used for distribution, an organisation
will need to review distribution techniques; For example timing deliveries
so that they occur during off peak hours and do not contribute to congestion.
Some organisations attempt to make fewer deliveries, whilst others promote
concentrated products (e.g. fabric conditioner) as they increase the
number of products that can carried in each delivery vehicle.
Even if “environment friendly distribution” is not at
the top of an organisation’s list of priorities, government policies
may elevate it to the top. Congestion charging and low emission zones
have been introduced in the London. Apart from the obvious increase
in costs involved in following such policies, a failure to observe
environment friendly rules and regulations will lead to fines,
sanctions and negative publicity.
After reviewing internal distribution methods an organisation will need
to review supplier and subcontractor distribution as consumers and the
media expect organisations claiming environmental credentials to work with other environment friendly organisations.. For example
do subcontractors use Bio-fuel? Are subcontractors actively
managing their “carbon footprint” and energy use?
Next (Environmental Promotion and Pricing)