Green Marketing Strategy

Don't Let Skepticism Stifle Your Interest

Monday, January 30, 2012 by Jacquelyn Ottman
green washing

Ask businesses why they don’t tout green achievements more often, and their answer will likely be fear of greenwash.

Before you let such fears deter you from making investments in sustainable technology or promoting your green achievements, consider how difficult it is for any advertiser to gain consumer trust.

Consumers have always been skeptical of advertising. Take the food industry, for example. Food brands have long been under government scrutiny for their advertising claims. Today, companies are getting smeared for overpromising health benefits, leaving consumers confused about what’s actually true. But we don’t call that “food wash.”

As I write in my book, The New Rules of Green Marketing, skepticism is so rampant in all industries that consumers trust each other more than they trust brands, ads and media messages in general. That’s one reason social media is soaring right now.

Skepticism is par for the course. Besides, a little skepticism is good – it keeps us on our toes. The now “Wild West” green marketplace will mature. But as is the case for many established industries, the potential to screw up will always be there.

So, proceed with caution. But for the sake of the planet and your business, do proceed. The following strategies will help you avoid greenwash and gain competitive advantage in the process:

1. Walk your talk.

Thwart the most discriminating of critics by visibly making progress toward measurable goals. Being proactive in responding to the public’s concerns and expectations starts with a visible and committed CEO. That’s because CEOs can create an emotional link between the company and its customers. Empower your employees, too. Educate them on environmental issues and the specifics of their company’s processes so they can fuel authentic communications about your company’s green initiatives.

2. Be transparent.

Provide access to details about your products and corporate practices, and continuously report on your progress. In the future, disclosure of environmental impacts may be required by law. Get a jump on competitors and regulators—and score some points with consumers—by voluntarily disclosing as much as possible. During this process, don’t hide bad news. Acknowledge your weaknesses and explain how you’re proactively trying to improve.

3. Don’t mislead.

Be specific, prominent and comprehensive so as not to confuse. Consumers may claim to know what commonly used terms such as “recyclable” and “biodegradable” mean, but they can be easily mistaken—creating risk for unsuspecting sustainable marketers.

The best advice for green marketers is to adopt specific standards for disclosure of green initiatives and to follow the FTC Green Guides or other appropriate government guidelines. If possible, consult with lawyers who specifically address green claims.

4. Enlist the support of third parties.

Let stakeholders in on the steps you’re taking, and educate the public on how they can help. You can also align positively with third parties that perform independent life-cycle inventories, certify claims and award eco-seals. Certifying your product under appropriate eco-labels lends credibility to environmental messages. When choosing eco-labels, be sure to choose wisely based on how relevant the label is to your brand image. If your product has multiple eco-labels, make sure the standards for each do not conflict with one another.

5. Promote responsible consumption.

It’s one thing to design a product to be greener, but you can’t minimize impact throughout the total product life cycle unless consumers eventually use and dispose of your product more responsibly. Enlisting consumer support for responsible consumption is a sure-fire way to build credibility and reduce risk. Products can be designed to make it easier for consumers to minimize resource use. In turn, people will appreciate your efforts to make responsible consumption more manageable.

******

Jacquelyn Ottman is the founder and principal of J. Ottman Consulting, Inc., an expert advisers on green marketing to consumer product marketers and U.S. government labeling programs. She is the author of four books on green marketing, including the recently released The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler, 2011).

Download a free chapter and get more information here.

The Rise of the Biobased Economy — and Why Brand Owners Need to Develop a Strategy in 2012

Tuesday, January 17, 2012 by Jacquelyn Ottman

Bio Based CertificationOur economy is slowly but surely heeding the signal that carbon is the new watchword. During the past few years, a steady stream of so-called “biobased” products have been making their way to retail shelves — compostable dinnerware made from corn, plant-based laundry detergents, and bamboo flooring among them. Coke and Pepsi are now competing to be first to market with a soft drink bottle derived entirely from sugarcane or other plant materials.

The emerging biobased economy even has its own label — USDA Certified Biobased, pictured here. It’s part of a federal BioPreferred program designed to help grow “green” jobs, stimulate the rural economy, promote energy independence and prompt a shift to renewable resources from petroleum, helping to manage the carbon cycle.

Launched in February 2011, the label needs a little introduction since the term “biobased”, although familiar sounding, represents more than meets the eye. We advised the USDA on strategic marketing considerations related to the launch of the USDA Certified Biobased label. Here’s a primer — and why you need to be thinking about forming your own biobased strategy during 2012.

What is “Biobased”?
Ask a consumer what “biobased” means and they might respond with somewhat erroneous definitions such as “natural” “biodegradable” or “renewable”.  Consult Webster and you’ll come up short. But the USDA (and federal law) defines it quite specifically as “commercial or industrial products, other than food or feed, that are composed in whole, or in significant part, of biological products or renewable agricultural materials (including plant, animal, and aquatic materials), or forestry materials” — hence the label depicting the soil, sea and the sun.

More important than this definition are the program’s intention — to expand the market for alternatives to petroleum-based products by promoting new uses for agricultural commodities such as bioplastics, biofibers and biobased chemicals. It thus excludes products such as office paper, cotton t-shirts and wooden furniture introduced before 1972. (See BioPreferred.gov for more details.)

Both finished consumer and commercial products as well as intermediate products (e.g., platform chemicals, fibers, etc.) are currently eligible to earn the USDA Certified Biobased label. Standards for “complex” products (consisting of many components, such as automobiles) are being developed. Among the many products that have already earned the label are: Procter & Gamble’s Gillette ProGuide Fusion razor package; Papermate mechanical pencils made from Mirel biodegradable plastic, the Greenware line of cold cups made from NatureWorks’ plant-based Ingeo polymer; and intermediates such as Lenzing’s TENCEL lyocell fiber made from eucalyptus and DuPont’s Sorona polymer. Seventh Generation is so bullish about the label that they have certified over 60 of their household cleaning and personal care products — virtually their entire product line-up.

Why Pursue a Biobased Strategy
The credibility and broadscale awareness of the brand USDA positions labeled products to stand out to consumers. In an age where consumers actively seek environmentally preferable biobased products with comparable price and performance, having the USDA certified biobased label increases shelf appeal. And marketing benefits don’t stop there. The federal government, by law and executive order, now gives purchasing preference to over sixty categories of biobased products. Biobased alternatives can also help businesses to manage volatile petroleum-driven costs and ensure sustainable supplies.

Measurement, Transparency and Product Performance
Not every product made with plants or other renewable resources can qualify for the USDA Certified Biobased label. That’s because the USDA has set strict minimums for biobased content in a wide range of “designated” products. For instance, a lip balm may only need 11% biobased content to qualify, while a disposable food container needs 72%. Any product category for which a target has not yet been established must achieve minimum biobased content levels of 25%. Although this 25% bar may at first glance seem low, keep in mind that minimums are based upon the highest levels of biobased content possible without compromising performance, and to encourage participation in a market now ramping up.

Biobased content is measured using a radiocarbon dating test standard, ASTM D6866. This test measures total carbon content and distinguishes the amount of “new” organic from fossil or petroleum-based carbon. This enables the “new” organic (biobased) carbon to be expressed as a percent of the total carbon. To foster transparency, encourage a level playing field and promote continuous improvement, the USDA Certified Biobased label requires disclosure of the percentage of biobased content for the product and/or package.

Caution Advised When Making Environmental Claims
Marketers may realize advantages if they can substantiate a product’s biobased content in support of environmental marketing claims such as “natural”, “biodegradable”, “renewable” or even “non-toxic”. However, none of these environmental attributes are automatic because of a product’s certified biobased content. Whether a claimed environmental attribute can be supported depends upon the amount of biobased content, as well as how the product was processed and transported, and other life cycle considerations.

Keep in mind too, that much consumer confusion surrounds the biodegradability and recyclability of bioplastics. For instance, some resins may not be biodegradable but can be recycled (like Coke’s bioplastic PET PlantBottle, recyclable with petroleum-based PET).  In addition, some traditional petroleum-based plastics are compostable in industrial (municipal) facilities, but not in backyard composters. And no plastic, biobased or otherwise, is designed to readily biodegrade in landfills.

The revised proposed FTC Green Guides, anticipated in 2012, will likely include specific guidance for biobased marketing and related claims. (We’ll discuss this in more depth in future posts.)

What’s Your Biobased Strategy?
According to Kate Lewis, Deputy Manager of the USDA BioPreferred program, since its introduction in February 2011, over 500 products have been certified to use the USDA Certified Biobased label and over 400 applications are in the pipeline.  She reports that her group is “looking forward to working with proactive brand owners to capitalize upon their certification and really drive this new bio-industrial revolution forward.” Now entering the market, these labelers will enjoy first-mover advantage as well as the opportunity to educate their consumers and other stakeholders about the benefit biobased content brings to their products.

Whether one leads or follows, it’s clear biobased products figure prominently in our future. We predict that all products will ultimately be judged by their carbon content and their potential to effect global climate change. So, credible biobased products are and will continue to be a critical component of a long-range strategy. Short-term motivations for developing a biobased strategy, while company and brand specific, can include minimizing cost, enhancing image, reputation and consumer perception, and avoiding potential regulatory risks. So key questions for every brand owner, product manager and CEO in 2012 are What’s your biobased strategy? Do you have a team in place to bring biobased innovation into your brand and product portfolio?

Jacquelyn Ottman and Mark Eisen wrote this article. They are colleagues at New York-based J. Ottman Consulting, Inc. They advised USDA BioPreferred on the launch of the USDA Certified Biobased label during 2011 and are now advising labelers on how to market their participation in the program. Ms. Ottman is the author of The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler, 2011). Mr. Eisen is the former environmental marketing director at The Home Depot.

Copyright © 2012 J. Ottman Consulting, Inc.

Earth to Eco-Labels: Be Consumer Useful of Wither From Lack of Relevance

Friday, December 30, 2011 by Jacquelyn Ottman
EPA DOT image

Everyone lauds eco-labels being put forth by such sustainability leaders as Timberland, HP and Levi’s for transparency and commitment, but are they really all that useful to consumers? Likely not.  These labels may be informative and project credibility, but I believe their usefulness can—and must—be taken up a notch.
 
An eco-label’s greatest value is not its ability to simply convey environmental stewardship; rather, an eco-label’s worth lies in how clearly it relates green qualities to what I call “consumer-useful” information. Labels with consumer-useful information put the practical, valuable aspects of a product’s environmental attributes front and center. Such labels allow consumers to quantify savings or other sources of added value over the course of a product’s entire lifecycle.
 
I believe almost every eco-label up until this point has fallen short of this goal —except for the new EPA fuel-economy label, that is. In terms of consumer relevance, the EPA Fuel Economy label sets the bar for a future of eco-labels that motivate rather than simply educate.
 
Yes, this EPA label can be applauded for its highly thorough information on greenhouse gas and smog ratings, but its real value lies in its ability to show consumers at the point of sale how much money they can save by buying a greener car. Thus, this label’s most consumer-useful information is the data on estimated annual fuel costs and the fuel savings projected over five years of the car’s ownership.
 
However ironic it may seem for a green label, this latter information will likely shift more car sales than the environmental data that’s provided due to its practicality (It’s OK to sneak green past consumers, folks.)
 
It’s the planets, babies and daisies thing all over again.
If our eco-labels only boast of “planet-saving” attributes, their allure will be short-lived and their impact will be limited. In a marketplace proliferated by vague, repetitive green claims, it is no longer enough to merely explain benefits to the planet.
 
Green marketing means enhancing product quality across the board. That translates into additional product benefits and helping consumers interact with their environment in new ways. Saving money, bettering one’s health, or lengthening a product’s lifespan are all consumer-useful attributes that eco-labels must depict explicitly. Only in doing so will our eco-labels engender stronger motivation to change consumption habits—the goal all along.
 
So, what can other green communicators learn from this?
Live and learn. In my book, The New Rules of Green Marketing, I commend the following companies’ eco-labels, but the EPA’s new fuel-economy label introduced in May of this year shows me these companies could do even better.
 
In the book I congratulate Timberland’s Green Index as a watershed mark in transparency, but I now believe it could include more consumer-useful information. Looking at the Green Index with a consumer useful lens make me want to see estimates on how long the boots will last (durability) and whether or not Timberland provides a repair/rebuild service akin to Allen Edmonds, the fancy men’s shoe maker. Consumers must be able to quantify benefits and relate green qualities to personal benefits.
 
HP’s EcoHighlights label sports a number of laudable environmental accolades their printers have earned, but at the end of the day, consumers might be more interested in how that eco-information translates into relevant benefits such as ease of double-sided printing, life expectancy and costs per printed page.
 
I initially fell in love with the “Levi’s Care Instructions for Our Planet” label and heartily congratulate Levi’s for including it on their jeans. However, I now believe that consumers would be more apt to follow the instructions (and the planet would be better served) if the primary benefit was making one’s jeans look good longer.
 
Think—and Work—Holistically
 Ensuring consumer-useful eco-data will take a de-siloing of sustainability and marketing responsibilities. Only when consumer, environmental and technical advocates roll up their sleeves at one table will relevant communications be developed.


******
 Jacquelyn Ottman is the founder and principal of J. Ottman Consulting, Inc., an expert advisers on green marketing to consumer product marketers and U.S. government labeling programs. She is the author of four books on green marketing, including the recently released The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler, 2011).
 Download a free chapter and get more information here.


 






Let the Consumer Decide

Thursday, December 15, 2011 by Jacquelyn Ottman
shifting scale image

You hear a lot of talk about the “sin of the hidden trade-offs.” when talking green marketing strategy.  I’ve got news for you, folks. Greening—like life itself—is all about the trade-offs! No product is 100% “green.” So, considering that all products use energy and create waste, green is a relative term. One product is green-er for someone at some time in some place.

Green is Relative
For instance, cloth diapers might not cause any trees to be chopped down, but they do use a lot of hot water. Disposable diapers don’t use water but they do clog landfills and with a lot of hazardous waste at that.

So, what is the greener (est?) solution for any one consumer? The answer is usually: “It depends.” For example— and I’m likely oversimplifying here—cloth diapers might be better in NY where we have lots of water and no landfill. But they might be environmental disasters in the Southwest, where diverting water from other regions might be even more environmentally hazardous than digging a hole in the ground and burying them.

Identify the Trade-Offs
Regional, climatic and other differences cannot be underestimated. I’ve been told that if you live in NY like I do, it may actually be better for the environment to buy conventional strawberries grown in New Jersey rather than shipping in USDA Organic strawberries from California.

Consumers dropped the noisy Sun Chips bag like a hot potato; for the vast majority of them, composting was likely irrelevant or misunderstood. I think the Frito-Lay folks would have been better off if they had introduced their corn-based bags regionally in cities like Seattle and San Francisco that have access to municipal collection of compostables.

Consumers intuitively understand these trade-offs. Who said “life is one big trade-off?”. So, let’s empower them with the information they need to choose among the various products, materials, technologies, and designs that serve their needs better, and greener.

Jacquelyn Ottman is the founder and principal of J. Ottman Consulting, Inc., an expert advisers on green marketing to consumer product marketers and U.S. government labeling programs. She is the author of four books on green marketing, including the recently released The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler, 2011).
Download a free chapter and get more information here.

LOHAS Goes Urban

Wednesday, September 28, 2011 by Ted Ning
Earlier this year I attended the Urban Green Summit. This was an event that focused on the inner city citizens of Denver to promote better awareness of green and sustainable business opportunities. It was definitely a crowd that I wanted to connect with and peaked my curiosity to know if LOHAS aspects penetrate different cultures and economic circumstances. I was not disappointed. The event was developed by CURE-T’s Dr. H. Malcolm who received federal funding to promote green jobs and education in Colorado. Dr. Malcolm is a mover and a shaker and you can’t help but be magnetized to his presence and his message. He is always deflecting praise and bringing in others to highlight. This is a sign of a great leader in my book. He also echoed a concern that I have myself: Why is it that the urban communities of color always appear absent in green initiatives, conferences and activities? The LOHAS market tends to target the largely affluent caucasian market. But there is plenty of opportunity unseen and untouched in the minority dominant urban markets as well.

The summit had a star studded panel that included Phaedra Ellis-Lamkins, CEO of Green For All, environmentalist and author, John Francis III and founder of Green for All and current president of Rebuild a Dream, Van Jones. These heavy hitters were mixed with other local movers and shakers in the green movement. Unfortunately I was hoping that there would be more people in attendance at the event. I was told from an insider that having an event on a Saturday morning early is not so PC in the African American communities. There were indeed more people who were there as the day progressed.  I found it to be a very interesting event and demonstrated that green needs to be connected to the urban community by education and clear benefits. The best presentation for me came from Van Jones.

Here is what Van had to say to the urban based audience. See if it resonates with you:

van jones“These days people are gathering in unusual groups. Not large groups but different ones. They are the ones who grew were the sensitive children. These are the ones that wanted to save the polar bears and save the world and were disturbed by the mistreatment of others. This tribe is just beginning to find each other. There are more people entering life who are sensitive. Something happening where humanity is being tested and if we don’t pass nothing will be left. Will humanity prove to be a blessing or a curse. This the first time technology and size make up a force of nature. The creator could have made us as robots he did not. We are something more interesting. We have free will, choice and decision making abilities. All other species are set in process.

Will we be locusts or honey bees? Both work hard but one is destructive and one is constructive. Locusts wipe out everything in its path. Destroy habitat until there is none at which point they die. Bees work is a blessing. It makes life of others possible. This movement is deeper than just solar panels and part of interest is the growing sense of peril. I cannot believe that only one race cares for the earth. The U.S. colonization was just as much about land as it was about labor. Land is sacred. We need to remember to view it as such instead of a commodity. We need to remember the difference between a tree and lumber, an animal vs. a pelt, a person vs. a slave. These sacred beliefs were considered paganism. Indigenous peoples of the world have this wisdom and are outcasts in modern society. They are called witches, druids, and pagans. It turns out they are quite wise. They are also known as the highest ecological wisdom. It is only now after 500 years of colonization that the children of the colonizers are coming around to honoring this wisdom.

Do we belong to the earth or does the earth belong to us? An economy that is run by fossil fuels equals trouble in the future. We run a civilization that runs on death. Coal is 40 million years old. Oil is 60 million years old. Both are made up of dead materials. We burn death in our cars and as electricity but are shocked when death shows up as asthma and global warming. We are much better when we have a living economy. One that runs on life such as the sun, wind and water.

So how do we get there? We need to change our ways. Change has 4 drivers. There are the mystics. They see the vision of what we are to become. Then there are the artists who popularize the vision. The entrepreneurs who create the technologies and then the politicians who create the rules.  The current culture is not ready for change. The Tea Party is a buzz saw. And yet the biosphere is so small that we need change. We are a soap bubble in the universe.  What can we do? The last economy had 3 mistakes: 1. Consumptions 2. Credit 3.Ecological destruction

Production has moved overseas and our economy was based on spending. Kill it, shrink wrap it, sell it, trash it was the method. The past 18 months has seen the most wacky weather and environmental changes. Mother earth is telling us something. We need to adopt a strategy of green growth, restoration and conservation. Create local consumption that respects the earth. If I had talked to you all in 08’ it would have been very different. You would have all been smiling. Obama will take care of us. Now everyone is looking gloomy. This was only 2 ½ years ago. Do you remember where you were when he was elected? When he was sworn into office? How you felt? We forgot how we got to that moment. Obama was not the author for hope. The movement for hope didn’t start with Obama it started in 03’. When Bush went to war you stood up. More people mobilized in the 1st week than Vietnam did in 6 years. We lost but we didn’t quit. In 06’ Kerry ran and was only 100K votes short of an Indiana win and lost but we didn’t quit. In 05’ Katrina hit as did the Huffington Post and YouTube. We had the 1st speaker of the house. Obama was out there as an unknown Senator selling a book and ran into the movement and found us. Don’t insult yourself. Obama inspired us but we inspired him first. Now it is time for the movement of hope and change. This can’t be about things we are against but things we are for. We need to be willing to connect people with work that needs to be done. Soldiers are coming home to nothing. Nation building needs to be done here too. There is a saying – bankers get rich in good times, the people go broke in bad times. We need to praise and support our public employees – teachers, fire fighters, nurses and police. Now rich people don’t pay tax and communities are abandoning them when they never have abandoned us.

You were born for a reason. You are sensitive for a reason. Depression is terrible. It clouds you so you can’t see the opportunity. They tried to kill hope in 68’ when Kennedy was assassinated. We are throwing away our efforts because FOX TV is mean. We have been through much more than the tea party. In 1906 no woman could vote, no paid holidays, no weekend, no child labor laws. People fought year after year until today. You fought when they had clubs and guns. We didn’t have social media and yet we mobilized. Are you going to be locusts or honey bees to make the next century ordinary or extraordinary and beautiful.”

Love to hear what you think of what Van Jones has said and if you feel LOHAS can be intergrated into urban markets is a better way.

Top LOHAS-ish Fall Conferences for 2011

Thursday, August 18, 2011 by Ted Ning

LOHAS crowdHere it is mid August and already I have to start working on my conference attending schedule for the fall of 2011. It seems like I have to do this earlier and earlier each year primarily because there are so many LOHAS oriented conferences being added or are catching my attention that I did not know of before. I have done a post on what events I think are important the past 2 years and here is my 3rd installment of top green/health and wellness/social enterprise/sustainability/leadership conferences worth considering as you plan your conference schedule for the fall.

For those new to the conference scene, there are two seasons – fall and spring. There are associations and organization that provide 1 or 2 events a year usually during those months. This is primarily because summer is a time when many set up personal vacation time and winter has more holiday time and weather issues.

Conference strategy
In determining which event is best for you take a look at the speakers and topics that will be presented. It is also important to look at the sponsors and how the event is presented via the event website. This will give you a feel on the type of companies that will be attending the event and what type of audience the event is trying to attract. By viewing the agenda content you can get an idea on how in depth they plan on going on topics. Also look at the networking opportunities that are in the program. Some events consciously embed them in the program via receptions, meals and outings and others do not. It is really up to you to make the best of the time for your own networking purposes.

On site
I find attending events to be incredibly stimulating. However I also find them to be extremely exhausting. Make sure you eat right, drink plenty of fluids, keep to a good sleep schedule and maintain a steady energy balance. For the large trade shows make sure you wear comfortable and supportive shoes for those hours on the exhibit floor. There are plenty of after party events to attend at which you can have some great business talks. It is up to you to make sure you know what formula works best for you. Set up meetings in advance if you can. That way you have some anchors to build the rest of the day's plan around and not get too lost in the shuffle of things - especially if they are large trade shows.


Leadership
Women in Green - August 30-31st Santa Monica CA
Focuses on women in leadership positions that promote green business. Although all the speakers are women you don’t need to be of the double X chromosome to attend. This is the second year of the event and according to people who attended last year it was about 200 people. This year there should be more.

Conscious Capitalism - OCT 12-14 Austin TX
You need an invite to attend this prestigious event that brings many CEO’s together to discuss conscious leadership within organizations. It is a relatively small event with around 200 attending. John Mackey of Whole Foods co-founded this and has people ranging from the CEO of the Container Store to Jean Houston speaking on how business can drive conscious change.

Green
Green Initiatives Conference Sept 29-30th Ft Lauderdale FL
A new event on my radar that has some interesting presenters and sponsors. The event team that is putting this on look like they have a tech background and may be one of the main focuses of the event. There are larger corporations participating such as DOW, HP and Coca Cola. It looks like they will focus on sustainability within larger companies and case studies from experiences.

SXSW Eco Oct 4-6 Austin, TX
SXSW music festival looks to sing a new green tune this year with the addition of a green event. Former LOHAS speakers who will be presenting include Simran Sethi and Philippe Cousteau. This is thier first year and the B2B event looks interesting. A great idea tagging it onto SXSW.

Opportunity Green Nov 9-10 Los Angeles, CA
OG is in its 3rd year and brings together green business and sustainable design in LA. They have about 800 attendees from all walks of life – corporate, entrepreneurs, media and of course Hollywood. They hold a great green design competition and it is a high energy event with interesting sessions and booths ranging from LED lighting for studios to BMW to water filters.

BSR - Nov 1-4 San Francisco, CA
The big one for the larger corporations that has been around a long time focusing on the corporate responsibility of multi-national corporations. Last year they had over 1000 in attendance. If you are looking to connect with the bigger companies on CSR initiatives this is the one to check out.


Funding and Finance
SOCAP Sept 7-9 Fort Mason, San Francisco CA
A vibrant event focusing on investing into social entrepreneurship. This event brings together large funds and banks with social entrepreneurs. Competitions on business plans are submitted ahead of time for a competition for funding and there is great education on raising capital for the startup and social enterprises.

SRI in the Rockies OCT 2-5 New Orleans, LA
A flagship event for social responsible investing(SRI) that brings SRI funds together with financial advisors. They also bring in a mix of speakers who focus on humanitarian, social and environmental impacts such as Jane Goodall, David Bornstein, Hunter Lovins and Bill McDonough. If you want insights on SRI and where it is headed this is THE event to attend.

Slow Money OCT 12-14 San Francisco, CA
Slow Money is a network of food activists, investors and entrepreneurs who nurture a range of conversations in order to actively develop funding and investment channels for local and sustainable food enterprises. Like Slow Food, they have local gatherings and a larger main event promoting a slow and steady investment into businesses who are seeking an alternative to the conventional Wall Street type investor.  Speakers include David Suzuki, David Orr and Vananda Shiva.

Investor's Circle OCT 26-27 Philadelphia, PA
A membership organization that  support a great entrepreneurs that are addressing social and environmental issues. They look at 10-15 high impact deals that are seeking investment.  They also provide a due diligence process that starts once the event is complete. It is about 200 people in attendance who are angel investors, fund managers, family office managers, foundation executives and trustees, wealth, financial and philanthropic advisers and their clients and other accredited investors.

Industry Specific
EcoTourism and Sustainable Tourism Conference Sept 19-21st Hilton Head SC
With over 30 inspiring sessions, 50 leading industry partners, and impactful and engaging keynote presentations, the ESTC 2011 (Hilton Head Island, SC, USA, September 19-21, 2011) sets the platform for ongoing dialogue promoting innovative ideas and practical solutions, driving change in global tourism.

Expo East Sept 22-24 Baltimore MD
Attended by as many as 25,000 industry professionals and featuring thousands of exhibits, Natural Products Expo East is the largest natural, organic, and healthy products trade show on the East Coast. With the newest and best-selling products and branded ingredients available this show features the best in organic at All Things Organic/Organic Products Expo-BioFach America, offers an extensive retailer training program and provides an advocacy platform through a strategic partnership with Natural Products Association East. Natural Products Expo East is ranked as one of the top 200 tradeshows in the US.

Greenbuild Oct 4-7 Toronto Canada
Greenbuild is the green building industry's can't miss event. It's where we go to learn about what's new in green building practices through the extensive educational sessions, see the latest technology and innovation in the exhibit hall, and perhaps more importantly, where we go to do business.  Greenbuild is a one-stop shop for credential maintenance. From pre- or post-show LEED workshops to sector-specific summits, from green building tours to concurrent educational sessions, you will find the education you need at Greenbuild. Most sessions at Greenbuild will be approved for continuing education credits for LEED and other professional credentials, allowing you to maintain your credential with ease.


Beauty/Wellness
Natural Beauty Summit Oct 6-7 NYC
This is a smaller and formal event for the natural and organic beauty industry that brings together the mission driven companies such as Dr. Bronners and Weleda with the larger corporations such as Este Lauder, L’Oreal and Avon. It is more of a lecture format and a lot of presentation intake. If you are a data hound you will get your fill. If you are a networker you will need to work for it but there are good connections to be made. The group is a bit insular if you are an outsider but if you are seeking to enter the luxury skincare market it may be worth considering.

Green Spa Network - Oct 9-12 Sundance, UT
This event is made up of a group of spa resorts and products that want to go the extra mile in promoting green efforts in the spa industry. The event has about 100 passionate people who want to move the spa world in the direction of holistic and sustainable integration. They are a very open and friendly group that welcomes newcomers (and new members). Plus the events are always at pristine green resorts.

ISPA - Nov 7-9 Las Vegas
If you are in the spa industry you have to go where everyone goes which is the International Spa Association Conference. Every other year they have their annual event in Las Vegas which brings investors, products and service providers, spa techs and directors together. This is THE most well groomed event I have ever experienced with exhibitors providing facials, teeth whitening and massages. There is good data provided on the spa world and great sessions specific to spa owners and employees. ISPA provides great data on the spa market as well. 

Social Venture Network Oct 27-30 Philadelphia, PA
SVN is a membership organization of successful social entrepreneurs ranging from Ben Cohen and Jerry Greenfield, creators of Ben & Jerry’s, to Van Jones, former Green Czar to Obama, to Tom Szaky founder of Terracycle. It mixes sustainability with community building and innovation and a ton of passion. You can’t leave this event without 2-3 bonding hugs. It is a great place to seek mentorship, collect ideas and also potential funding from successful entrepreneurs and community leaders who are interested in helping others. This overlaps with the Investor’s Circle previously mentioned.

Net Impact Oct 27-29 Portland, OR
Net Impact is a large event that brings 2500 students and corporations together. They have chapters associated with Universities all over the country with a large membership and the event focuses on social enterprise, green business strategies, and nonprofit work.

Public Events
Yoga Journal Conference Sept 18-25 Estes Park, CO
For yoga die hards and trainers interested in the business of yoga or just to improve their own yoga practice. Famous yoga instructors such as Rodney Yee, Sean Corn and Shiva Rae have taught classes here. There is a vendor area as well.

Greenfestivals
Greenfests are the creations of Green America and a designed to celebrate green and diversity in various regions. Their flagship event in San Fran pulls in 30,000 attendees and they have some amazing keynote speakers such as Dr. Weil, Deepak Chopra, Amy Goodman, Jim Hightower and many more. Companies large and small mingle together with the public selling their products and services. I think these are great not only to see what is being sold but to see who is buying and the similarities and differences each region has as it relates to green. There is always a colorful audience at Greenfestivals.
New York  10/1-2
Los Angeles  10/29-30
San Francisco 11/12-13

Bioneers San Rafael, CA 10/14-16
Bioneers is where ecology meets activism meets celebration. I could spend hours in the parking lot just reading all the bumper stickers on people’s cars (mostly hybrids). If you are into fighting injustices of the underserved, hearing the wisdom of traditional cultures and the stories of animals and unique journeys of people this is an event for you. There are workshops on business, youth, art, peace and more.  It draws about 3-5,000 who are all there because of the larger mission Bioneers embodies. Networking is great but you will need to be selective on who you connect with since there are so many types of people there.

Of course these are just a few of the many events out there of interest to me. There are many others that are international that I did not include. If there are any other events you see I am missing please feel free to comment and add.

Trend to Watch: Consumers Paying Retailers to Go Green

Monday, August 8, 2011 by Margaret McAllister

carrotmobConsumers are turning the tables on marketers. Sure, social networking has given buyers a bigger voice. But I’m talking about a new phenomenon specific to the green marketing space.

It’s a cross between a flash mob and the good old carrot vs stick method to promote behavior change. It’s called Carrotmob and it’s literally sprouting up around the world.

The brainchild of Stanford grad Brent Schulkin, the first Carrotmob event was staged in 2008. Schulkin invited two dozen mom & pop convenience stores in San Francisco to compete for the added customers that Schulkin promised he could deliver in one day. To win the competition, the stores had to name a percentage of earnings they would commit to sustainable upgrades to their stores.  The winning retailer threw down a 22% bid. Hundreds of Carrotmobbers descended on the store spending over $9,000. The storeowners – true to their promise -- spent nearly $2,000 to greenify their store and, as an added benefit, they’ve been replacing their standard packaged goods with healthier alternatives to keep their new customers coming back.

So what’s the Big Idea here? Is it that groups of activists – from Canberra to Freiburg from Tunisia to Saskatoon -- are staging “buycotts?” Yes, but its longer term, more mainstream potential is so much more.

The big idea is that consumers, fueled by social media and inspired to use their buying clout in inventive ways, will call more shots. Not by protesting but by revolutionizing the idea of “market demand.” Think about it. At Red Kite, we certainly are. A focus for us is helping clients tap into the female consumer market. Knowing that women are more prolific shoppers, more environmentally active, more active on social media, and better at word-of-mouth, we think they will be the mainstream mobbers of the future.

Will you be ready?

Why Guys Are More Resistant Green Consumers and What to Do About It

Monday, August 1, 2011 by Margaret McAllister
stubborn manIf we look at green behavior along gender lines, women consumers win the day. There’s plenty of research to back this – from LOHAS studies to countless others. Among the latest is a report released by Ogilvyearth, which adds a whole new reason why.

 

In it, 1,800 American adults were asked “do you think the green movement is more masculine or more feminine.” 82% said more feminine.

 

Okay. Wow! So sometime between the emergence of the modern environmental movement with its initial crises (burning rivers, nearnuclear melt-downs and oil slicks) and the emergence of present-day laundrylists of practical consumer actions, the average Joe gave up the cause and the average Jane picked up the daily duties. What the heck does this stat even mean?

 

Our best advice is to remember that, when it comes to consumer perception, rationalism doesn’t always prevail. What’s important for you, as a marketer, is to absorb the information and determine what it means -- for your company.

 

Here’s a good place to start:  if your current primary consumer market is dominantly female, then acknowledge, encourage and reward her green behaviors: recycling, re-using, conserving, preferring sustainable products, and making healthy safe choices for her family. Make sure you educate and continually inform her of your company’s sustainable actions. Tell her your story and motivate her, again through the media channels she uses, to tell her friends and family. Inspire her to be your brand ambassador.

 

If your current primary consumer is dominantly male, you have a bit more work to do. You need to dispel the “feminine mystique” before you can hope to change their behavior. A good place to start is by doing some research on your own customer or prospect base. Who are the most amenable and who are the most resistant consumers? Look at a generational segmentation of your data to find your most likely prospects.

 

Focus groups can certainly help you put a face to it. Consider sessions with those who are most open as well as those who are most closed in order to understand the depth of the resistance. This will offer your marketing team and agency some great options for communications strategies.

 

You can certainly go levels deeper into the psychology behind these perceptions, preferences, barriers and worldviews to truly overcome the obstacles. In our opinion, this is truly the voyage you need to take to build a comprehensive marketing approach. Red Kite can help you plum those depths and come up with a solid “what to do about it” strategy. 

 
Want to learn more? Tune into the podcast  recorded live at the LOHAS Forum with Red Kite principal Margaret McAllister and interviewer Carolyn Parrs.


Green Marketing Q&A with Seri McClendon, CLEAN Agency CEO

Thursday, July 28, 2011 by Seri Mclendon

The 2011 Green Brands Survey recently found that consumer interest in green products continues to increase and has expanded across categories – from personal care, food and household products to automotive, energy and technology goods. Companies across all sectors are rolling out new and or improved products touting eco-friendly attributes. With such a varied selection of products making green claims, how does one make an educated decision on the best products for their family and lifestyle? Seri McClendon, chief executive officer of CLEAN Agency, shares insight on this issue.

Seri McClendon

What are businesses doing to meet consumer demand for eco-friendly products and services?

Sustainability has become a key business issue for consumer product companies. They recognize that in order to remain competitive they must shift to meet the changing demands of consumers and of the environment. To do this, businesses are taking a critical look at their supply chains and determining how they can produce better products that have a reduced impact on the environment and can still deliver on their brand promise. Some of the ways this is being done include responsible raw material sourcing, more efficient manufacturing processes and reduced, reusable or recyclable packaging materials to cut waste to landfills. Companies are also beginning to highlight such innovations on their product packaging to promote their commitment to environmental stewardship and gain loyalty from like-minded consumers.

When shopping for green products, what should consumers know about “greenwashing” and how can they evaluate eco-friendly product claims?

Greenwashing has received a lot of attention lately as more and more businesses try to capitalize on the growing consumer interest in green products. Greenwashing refers to deceptive marketing used to promote a misleading statement or perception about a product, policy or service.  The first step in making smart purchase decisions is to educate yourself before heading to the store. GreenerChoices.org is an excellent resource for consumers that want to learn more about specific product claims and their meaning. The site provides independently researched, unbiased information on product safety, health and nutrition, updated label claims and other related topics.

Certification labels from reputable environmental organizations can also help consumers choose sustainable products. The Environmental Protection Agency, for example, provides Energy Star certification for energy efficient home appliances and the Design for the Environment label for high performance, cost effective and environmentally-friendly cleaning products. Responsible consumer product companies like Seventh Generation, Patagonia and Aveda also document and substantiate product claims on their web site.

How can consumers further drive sustainability efforts of their favorite brands?

Be vocal! Let the brands you patronize know how you feel about their products and their efforts towards becoming more sustainable. Share feedback on a company’s web site, comment on news stories written about sustainable innovations of your favorite brands and leverage the power of social networking sites like Facebook and Twitter to let companies know what you want from their products and services.

ABOUT SERI MCCLENDON

Seri McClendon is the CEO of CLEAN Agency. She is an industry veteran with more than 22 years of marketing experience. Seri formed CLEAN, an integrated agency serving the sustainable business sector, from her passion for environmental studies, policy and science. She holds a Masters degree in Geography with an emphasis in Industrial Ecology and a BA in marketing. Seri is a member of The USC Center for Sustainable Cities Advisory Board and was recently recognized as an Outstanding Woman in Environment and Energy Efficiency by the 2011 Women in Business Awards. 

Marketing to the "Hyphenated Person"

Friday, June 24, 2011 by Heather Munro Marshall
elephant journal is proud to be the official new media partner with LOHAS Forum. Click here for our ongoing LOHAS coverage, and be sure to follow our live coverage on Twitter. [Our editor Waylon Lewis is honored to serve on two panels during this event.]

By the year 2050, 25 percent of the U.S. population will be of Latino heritage. Green businesses, are you listening?

Actor Julia Ahumada Grob, who was raised by a Chilean father and Jewish mother in New York City, and produces the original Web series East Willy B (a cross between Cheers and Spike Lee's Do The Right Thing), calls herself a "hyphenated person."

Grob helped create the digital show in part to represent the New Generation Latino, or people like her.

Green marketers trying to sell their products to the New Generation Latino, take note. These potential customers are:
  • Urban 
  • Culturally proud/sensitive
  • Tech/Media savvy
  • Global
  • Socially Conscious
The key to marketing to this audience, Grob says, is to be authentic. A lesson Coors Light learned the hard way.

The brewer was forced to pull its its  Puerto Rican Pride ad campaign after two days, following a heated digital protest within the urban Puerto Rican community.

Further proof that, thanks to Twitter, Facebook and the like, social responsibility is here to stay. Your customers won't stand for anything else.


Heather Munro Marshall is a freelance writer, yoga teacher and creator of Namaspray® yoga mat cleaner. She is blogging from the LOHAS Forum 2011.

The Greenest Product You can Buy is the one You Don't. ~ Jolee McBreen

Friday, June 24, 2011 by Jolee McBreen
 

The Latest LOHAS Consumer Trends

The below article is brought to you as part of elephant journal’s ongoing coverage of LOHAS Forum. For our complete coverage, be sure to follow elephant on Twitter and Facebook.


I walked into the main ballroom at the St. Julien and scanned the dimly lit room for a seat while Steve French, dressed in a large paper bag, and Gwynne Rogers, covered in plastic bags, began speaking on stage. I knew right then this wasn’t going to be just any presentation.

Not knowing much about LOHAS until two weeks ago I was excited to learn more about who the LOHAS consumer is – and who they’re growing to be. French and Rogers took us through various statistics, facts and opinions with humor as well as knowedge.

The first topic on deck was the green movement. French gave the first point stating that green is as strong as ever and the recession has been a good thing in regards the green market.

He gave a number of great points including, that sustainability itself is not sustainable. Businesses must look at why consumers are buying in the first place. Even though he acknowledged it was “an oxymoronic statement,” French insisted we were shopping our way to sustainability.

The greenest product you can buy is the one you don’t buy.

On the opposing side, Rogers stated it was naïve to think that the recession hasn’t had an effect on the green marketplace. Showing that consumption of organic food and natural cleaning products, for example, have fallen at an average of 10%.

Most consumers are taking into account the price of the products and not acknowledging their carbon footprint. 70% of consumers base their purchase decisions on price.

It was great to discuss both positive and negative views, especially when it comes to the green movement. So much information and opinions can be extremely one-sided. And to get the info in costume made it that much better.

Some interesting facts about the LOHAS consumer:

  • – Different segments: naturalites, drifters, conventionals, and unconcerned – but we didn’t talk     much about the unconcerned since, as French said, “we don’t like them.”
  • – Generally the first ones that try new eco-friendly products
  • – High interest and active in social media and gorilla marketing
  • – Used to predict upcoming trends
  • – Always looking for the “deeper green” – greener versions of existing products

French and Rogers also ran through the positive and negatives of operations for your business.

Is it better to have a green product or to run your operations in a green way?

On one side, the view was that the product itself doesn’t have enough impact and therefor how you make the product should be ethical and green. On the opposing side, the product should be green because that’s what consumers are paying for.

Rogers took both approaches – go big or go home, stating that if you’re going to make the effort to create a green product for consumers, you might as well go all the way in your production as well.

In the realm of how to market to LOHAS consumers, “Keep it simple, stupid.”

There has been an information overload when it comes to the green movement, but some still don’t even know what sustainability means – 15% haven’t even heard of it. Yes, you read that correctly.

The most important things to take away from French and Roger’s presentation:

  • – It doesn’t have to be paper or plastic, we have to integrate new products, sources, etc., without alienating others – and people
  • – Needs to practical and sustainable
  • – Work towards producing green products and operations
  • – Think beyond your current geography

Overall, find a balance.

10 Things That Make the LOHAS Forum Unique

Wednesday, June 8, 2011 by Ted Ning
1. Cross section of attendees is like no other event. Where else will you find Fortune 500 companies shoulder to start up entrepreneurs next to mainstream media and celebrity. It is a great networking event for those who want to stretch their comfort zone and meet new people.

2. Permission to drop the armor of image is granted and expected. Everyone at the event wants to know who each other is at heart first and then get to professional interests second. This makes the attendees really open to each other and sincerely attentive to each other’s needs.

3. On the cutting edge of what is next. Many events have large corporations as the core of their speakers where at LOHAS you see more of the larger corporations in the audience learning how to enter the LOHAS market.

4. Boulder City is the epicenter of LOHAS activity. Despite being just over 100K in population it is the hub of organics, clean tech, outdoor industry, spirituality, alternative medicine, technology, entrepreneurship and is beautiful place to be in June when the LOHAS Forum occurs.

5. St. Julien Hotel & Spa is the best hotel in Boulder and has a very accommodating staff and has fully embraced sustainability. They provide the measurements for landfill alleviation for the LOHAS forum and organic and locally sourced meal options. Last year we were able to recycle 87% of our waste from the event. We strive to do more this year. The spa is top notch as well. 

6. The LOHAS gift room is legendary. Rather than provide a pre stuffed conference bag of brochures that are typically dumped in the hotel room we provide a gift room of various items from LOHAS companies that attendees can pick and choose from. Attendees love this and the gift bags are usually quite stuffed when people leave the room!

7. Market data worth thousands of dollars is presented by a variety of green market trend specialists. Those that are interested on what is happening in the LOHAS space can collect a tremendous amount of insight from these highly sought presentations.

8. Program content transcends green business
 to include elements to connect with the human spirit and community in a way that is energetic and inspiring.

9. A paperless program for this year and digital signage. The program will be on an app that is also a mobile website. The app will be downloadable on iTunes and will allow those who are not attending to see what is happening by reading the social media feeds, text alerts and uploaded images by attendees. Conference signage are flatscreen monitors that double as media centers for video.

10. Not just a conference but a community celebration! We have a variety of ways built into the event ranging from morning yoga and meditation to musical entertainment to after parties to engage the senses for attendees.

If you are an attendee and have other elements I have forgotten I would love to hear them. Please share!

Vanilla Ice, Skinny Jeans and Complexity: On New Marketing Programs for the LOHAS Consumer

Thursday, March 31, 2011 by John Rooks

My company has been firmly planted in the green space since our birth in 2003.  We were not first, but we were pretty early.  A lot has changed.

 

We have made our way through the rapid change by studying the culture.  We produce content that is relevant to the various sustainability movements (there are multiple) taking shape around us.  Here are some examples of the type of content we produce to understand it all:

 

  • Biennial Green Language Survey of 100 Print Ads
  • Pop-Culture Lens studies exploring the meaning of sustainability in our culture
  • Our soaplabs design, test and prove innovative strategies with very trusting clients
  • An upcoming report that breaks emerging marketing trends into 6 narratives

 

Our latest green language study will be available (for free) later this month (if you’d like an advance copy, let us know here).  As a sneak peak, here is one of the findings: 

 

Green is no longer a driving element in print ads.

 

As we write the report, I’m reminded of a talk I gave at the LOHAS Forum in 2007.  The talk was called A Beautiful Ambiguity: Language, LOHAS and the Mainstream (If you’d like to download the nostalgic pdf, go here).  I remember saying to the crowd, "once green is mainstream our competitive advantage is gone."  My point was that we were all hyper focused on green as THE thing.  And at the time it was THE thing.  But at some point the rest of the market was going to catch up with us, and we would need to evolve.  That time has come.

 

I used pop-culture to illustrate the point and show how trends evolve.  For example, when bubblegum pop music starts using hardcore street language (or gang signs), the street must change how it represents itself – it’s no longer dangerous. It pushes it further.  When the skinny suburban kid steals your language, urban kids don’t want it back.  Or, more contemporarily, when your mom comes home in skinny jeans, things must change.  This is the way culture evolves – change happens in the margins, mainstream absorbs and the margin pushes it further. 

 

Fringe – Margin – New Fringe – New Margin – New New Fringe – New New Margin…and so on.

 

And throughout this continuous cycle of cultural evolution, the entire system becomes more and more complex.  It’s not unlike energy efficiency. The first 40% of efficiency (perhaps sustainability in general) was the easiest.  But by now we have changed the light bulbs and weatherized the house.  The next 40% will get progressively more complex and challenging.  It will require new technologies, processes, innovations and ways to measure impact. 

 

Similarly, sustainability marketing  programs need to engage consumers in new ways.  They need to be measured in new ways.  They must push the dialog further.  The programs that companies design to embody LOHAS are growing in complexity out of necessity.  I think this is a good thing.  It is part of cultural evolution.  One of the projects that graduated our soaplabs was More Than Promote - a strategy that measures marketing by its corporate, civic and cultural impact. 

If we’re not innovative in how we fundamentally approach marketing, we end up looking like a modern version of Vanilla Ice sampling Vanilla Ice sampling Queen. 

 

By John "Ice Ice Baby" Rooks

Beware of the False Certification

Tuesday, February 15, 2011 by Jay Eckhardt


It’s hard to believe, but then again it’s not – the Federal Trade Commission has challenged a company that was selling a scam environmental certification.  Not surprisingly, the agency filed a press release last month announcing that FTC is prosecuting the marketers of the “Tested Green” environmental certification program, seeking to bar the company and its founder from engaging in this type of deception.  The agency also seeks a twenty year compliance order, to supervise the individuals responsible for “Tested Green.”

Tested GreenAccording to the FTC’s complaint in the matter, Tested Green certification was sold at two price levels, for $189.95 for a “Rapid” certification and $549.95 for the “Pro-Certify” Tested Green certification.  However, the only real requirement to obtain the certification was a willingness to pay for it.  In exchange, Tested Green would provide logos and a link to a Tested Green web page that would “verify” certification.  As the FTC press release quipped, Tested Green certifications “were neither tested nor green.” 

Apparently, the FTC has found that 129 customers were duped by (or perhaps complicit with) the bogus Tested Green certification program.  If consumers or competitors of these customers were potentially harmed or mislead by such certifications, don’t be surprised to see additional fallout from this investigation. 

The problem of false certifications is certainly not limited to “Tested Green.”  In the 2010 Greenwashing Report, the marketing firm TerraChoice notes that this is one of the bigger problems with environmental marketing claims, finding that over 30% of the 4,744 products examined for the 2010 Report advertised false certifications.  If that is true, the FTC’s enforcement action against Tested Green isn’t exactly a clean-up in the industry. 

To be fair, the FTC’s new proposed Green Guides do attempt to address this problem directly, noting that bogus certifications will be prosecuted.  Still, given the modest number of green marketing enforcement actions in recent years, it is hard to imagine that FTC will launch a major offensive against false certifications.  On the other hand, a few FTC prosecutions, the TerraChoice Greenwashing Report, and other means of enforcement available to consumers and competing companies, should serve as warning to would-be false certifiers and those who would purchase their bogus certifications.  The market is wise to this type of cynical green marekting strategy.

Joseph ("Jay") Eckhardt is an attorney, and the editor of the FTC Green Guides Resource Page at the law firm Stoel Rives LLP, based in Portland, Oregon. 

California Consumers Challenge ‘Carbon Negative’ Water

Friday, January 7, 2011 by Jay Eckhardt

Hibiscus
The rising tide against greenwashing may have swamped the Fiji Water Company.  The issue is carbon offsets.  Is Fiji Water truly “carbon negative” as the company has advertised?  A lawsuit filed last month by the Newport Trial Group, a law firm representing California consumers, argues that it isn’t.  The problem isn’t that Fiji hasn’t tried to account for and offset carbon emissions.  The problem, according to the consumers’ complaint, is that Fiji relies on carbon offsets that are premised on speculative offsets that “may or may not happen in the future.”  Once again, the market is looking closer at green marketing claims – and class action plaintiffs’ attorneys are striking out against vague claims.   Whether Fiji Water has actually deceived consumers with its ecofriendly claims is yet to be determined. 

Certainly, the Fiji Water case isn’t the first consumer class action that alleges deception in the context of greenwashing, but it is another indicator that green marketing can be risky.  And while there has been significant attention to the Federal Trade Commission’s release of new Green Guides for environmental marketing in recent months, the Fiji Water case also serves as a reminder that the FTC isn’t the only stakeholder empowered to challenge environmental marketing claims. 

What did Fiji Water do to provoke this challenge?  According to the complaint, the key issue is that carbon offsets purchased by Fiji rely on something called “forward crediting,” a method of providing carbon offset credits based on future offsetting activities.  The complaint alleges that forward crediting has been discredited by the Stockholm Environment Institute.

The fact that Fiji Water went beyond merely trying to offset its carbon emissions, and claimed that its products are “carbon negative” based on the purchase of carbon offsets equal to 120% of its carbon emissions is also very relevant.  This may be  a case of “no good deed goes unpunished” – if Fiji in fact did purchase bona fide carbon offsets that will materialize in the future.  On the other hand, if the facts show that Fiji purchased speculative or poorly administrated carbon offset credits, expect the California consumers to demand a big settlement.  (The complaint argues that Fiji Water’s “carbon negative” advertising helps the company charge super-premium prices.)

An interesting aspect of the complaint is that while it does not reference the FTC’s new Green Guides, the consumer challenge against forward crediting tracks with the FTC’s thinking.  The proposed new Guides advise that  “marketers should clearly and prominently disclose if [their] carbon offset represents emission reductions that will not occur for two years or longer.”  The Green Guides are not California law of course, but California’s consumer protection statute does actually make reference to the Green Guides and provides a legal defense for companies that can show their marketing claims are consistent with the Guides.  

Regardless of where the Fiji case actually goes, it teaches a couple important lessons to all marketers.  First, remember that the FTC isn’t the only “enforcer” empowered to challenge a green marketing strategy.  Bogus, vague, or speculative claims may be challenged by class action attorneys under state laws, especially in big states like California.  Second, the guiding principle for green marketing claims has to be complete disclosure.  A company can merely claim that it purchases carbon offsets, but that claim is risky without further disclosure of the fine print.

Guest Blogger Joseph ("Jay") Eckhardt is an attorney at Stoel Rives LLP, based in Portland, Oregon.  


Introducing the More Than Promote(R) MashUp Awards

Monday, January 3, 2011 by John Rooks

Just what the world needs – another design award.  

 

The More Than Promote® MashUp Awards give sustainability-minded graphic designers and green marketing experts a chance to take on their favorite (or least favorite) brands and give them a More Than Promote makeover.  Its a graphic and strategic design challange for green marketers.

 

More Than Promote campaigns are designed to have the following metrics:

 

Corporate Value – Classic ROI for ad campaigns - like sales, traffic, brand recall.  Exsisting campaigns likely already have this (or better), but you can change them.


Civic Value
– Add a positive benefit that the promotion itself offers to the community or the planet in general.  Pick up garbage, paints bike lanes, financial literacy, cures cancer.  Make sure the Civic impact in on brand, or at least moves the brand forward.


Cultural Value
– Add a progressive positive dialogue through the promotion that moves our culture forward.  What culture change is needed to sustain the brand and the planet?

 

Here's the task:  Pick a brand campaign and mash it up with the values created through More Than Promote.  Have fun with it.  What MORE can promotion do?

 

Here are a few MashedUp examples to get your started:


MashUp Sample 1:  NetFlix

NetFlix uses their two-way envelopes allowing soldiers and their family's to communicate for free with positive messages of support and pride.

 

Corporate: Branding

Civic: Free communication for troops and families.

Cultural: Positive messages of support.



 

MashUp Sample #2: DunkinDonuts

DunkinDonuts launches a promotion to promote and support home composting. Pick up your bag of used coffee grounds at your local DD's.

 

Corporate: Store foot traffic, less waste disposal.

Civic: Increase composting, waste steam reduction.

Cultural: Introduce composting language and action to target demo.

 

Now it’s your turn.  Submit your own promotion image(s) and strategy MashUps for the 2011 MTP Mashup Awards.  Winners will be announced at this year's LOHAS Conference in June in Boulder Colorado.

 

You can find more about the strategy, the rules and submission guides right here.




 

FTC's New "Green Guides" Finally Emerge

Friday, October 8, 2010 by Jay Eckhardt

After almost three years of consultation and planning, and following a great deal of anticipation in recent months, the Federal Trade Commission has finally published “Proposed, Revised Green Guides.”  This latest version of the Green Guides will be open for public comment until December 10, 2010.  After that, according to an FTC press release, the agency will issue a final, official version of the Guides. 

It’s a sad truth, but consumers and regulators view environmental marketing claims with increasing skepticism.  While many companies make fair claims about the environmental attributes of their products, others are exploiting consumer demand for sustainable products with false or unsubstantiated marketing claims.  Thanks to such tactics, the term “greenwashing” has entered the marketing lexicon.  The environmental marketing firm TerraChoice brilliantly describes and defines greenwashing in its 2009 Greenwashing Report, and concludes that many, if not most, environmental marketing claims are unfounded. 

In this climate, it’s no surprise that the FTC is stepping up efforts to combat greenwashing.  A key step in this new enforcement effort is to provide more guidance on environmental marketing claims through the Green Guides.  The Guides (last updated in 1998) provide non-binding “interpretations” of federal consumer protection regulations, namely Section 5 of the FTC Act (15 U.S.C. § 45), which is the law that empowers the agency to punish deceptive practices. 

The Green Guides provide common-sense instruction on green marketing strategy, and more specific guidance on particular marketing terms that were popular in 1998, including “biodegradable,” “compostable,” “recyclable,” “refillable,” and “ozone safe.”  The new proposed Green Guides address those terms, but also provide guidance on new terms and concepts found in present-day green marketing, such as:

  • environmental seals of approval,
  • “free-of” and “non-toxic” claims,
  • carbon offsets,
  • claims concerning renewable energy, and 
  • claims concerning renewable materials. 

Given the explosion of environmental marketing claims in recent years, revised Green Guides are well overdue.  But what kind of impact will they have?  The new Guides do not really change the rules; the FTC has always identified the Green Guides as “guides” useful in applying consumer protection law.  Ultimately, product claims for clean technologies will be evaluated under the FTC Act itself, for their potential to deceive consumers.  If claims are vague and unqualified, or cannot be substantiated by scientifically proven facts, they are going to be suspect. 

The FTC provides a brief summary of the proposed Green Guides here, provides the complete Guides with analysis and comment here; public comments on the proposed Guides may be submitted here.  Read more insightful commentary on the new Green Guides here, and here.

Guest Blogger Joseph ("Jay") Eckhardt is an attorney at Stoel Rives LLP, based in Portland, Oregon.
 

Is the Eco Index a Good Way to Measure Sustainability?

Wednesday, September 8, 2010 by Scott James

The Outdoor Industry Association (OIA, home to such brands as Adidas, Levi’s, and Nike), recently launched its benchmarking Eco Index worldwide, hoping to cement it (and itself) as the leading sustainability measurement tool for apparel and more. In fact, this group clearly has its sights set on taking this tool beyond its own industry boundaries to others seeking better understanding of a green marketing strategy.

Although the site is gaining momentum while still in beta, it is not moving fast enough for some. The folks at Timberland have a competing rating system called the Green Index they launched in 2007, complete with a snazzy website and social media-friendly branding. Getting end purchasers to recognize and use the index is crucial. I discussed this with Tom De Blasis, Global Design Director for Nike Soccer, while he was on a road trip recently. He observed ”the third party nature of the Eco Index can cut through the corporate noise and terminology clutter that has lead to consumer confusion.”

The products within the OIA are diverse, from footwear to filters for water, all aimed at getting us out from behind our desks and into the great outdoors. But when you dig deeper into this toolset, you can see how it could be applied to a number of different industries.

I asked Kim Coupounas about it. She’s the Chief Sustainability Officer of GoLite, past chairman of the OIA board, and a current member of OIA’s Eco Working Group, which launched the tool. Coupounas explained “the Eco Index is completely open-source and available for use by all companies, not just those in the outdoor industry. While it’s rooted in the outdoor industry, it has the ability to be applied within most other industries and sectors.”

While companies can score points for fairly dubious “improvements” – Levi’s gets points for telling me to wash my jeans in cold water to save energy (duh) – the majority of the categories for scoring points are environmentally solid. For many companies, the Eco Index will become a serious motivational tool, applicable to everyone from the CEO to the unpaid intern. Dan Marriner, a designer for Element Skateboards, commented, “for companies that have been performing well in terms of environmental sustainability, the Eco Index is a positive motivation to continue fine tuning the way products are made. For others it is a kick in the pants that will either motivate them, or separate them from an increasingly conscious market.”

But the version 1.0 of the Eco Index falls short is one major area, when looking at the human rights aspect of our supply chains. As we all know, you measure what you want to improve. The Eco Index is the best collaborative effort I’ve seen to date that measures eco-related areas ranging from land use intensity to how the chemistry of the products interacts with human beings. But it falls short of measuring additional impacts on the humans involved in the production process.

If one defines true sustainability as having components related to profit, planet, and people, then the Eco Index is well on its way. For the next version of the Eco Index, I’d love to see the human rights impact better measured, perhaps by marrying it to an existing system such as Transfair USA’s Fair Trade certification or an updated version of OIA’s own Fair Labor measurement system. Then we could truly call this index “sustainable” for the profit, planet, and people.

How do you define “sustainability” in your industry?

Green Beer, But it's Not St. Patrick's Day

Wednesday, August 4, 2010 by Jennifer Schwab of SCGH

ESCONDIDO, CA -- Ever been to Chicago on St. Patty's Day? The river is dyed green, and the hundreds of Irish Pubs scattered throughout the city offer green beer. Thanks but no thanks.

As a big fan of microbrews -- the slightly larger producers brew what is properly called "craft beer"-- I am always on the lookout for environmentally friendly labels. In Escondido, about 20 miles north of San Diego, is what is surely among the greenest breweries in the world - Stone Brewing Co. The idea of an environmentally friendly brew house seems out of synch with one of their best-selling labels, "Arrogant Bastard?" But we will forgive them, after all, it is fabulous marketing tool that has encouraged beer enthusiasts from around the world to come witness this green suds establishment.

2010-08-03-ArrogantBastardAle.bmp

The story of Stone Brewing Co. begins with the two founders, Greg Koch and Steve Wagner. Koch owned recording studios in L.A. and Wagner was a studio musician who rented space. Serendipitously, they ran into each other at a "How to Make Microbrews" seminar and, as they say, the rest is history. Since its founding in 1996, Stone Brewing has become one of the largest craft beer producers in America, with annual output of well over 100,000 barrels.

What makes Stone green? Only the largest, operating room clean, state-of-the-art facility you've ever seen, a huge 100,000 foot building tucked in an anonymous area of Escondido. On a guided tour with Stone's knowledgeable Director of Communications, Ken Wright, we learn that the hundreds of thousands of pounds of by-product created during the brewing process (it looks like wet sawdust) is fully biodegradable and trucked to local farms for use as cattle feed. The plant has a full gray water recycling capability to help cut water consumption (this is critical because the brewing process is very water-intensive), and the roof is adorned with solar panels to help reduce the enormous energy consumption brewing requires by almost one-half.

All Stone bottles and cardboard carriers are fully recyclable, and the plant was built using a variety of reclaimed woods and other metals. One of the most impressive features of the tour was seeing the process from brewing the hops, to bottling, to hauling off for distribution. Unfortunately a rarity in modern day American culture - a vertically integrated manufacturing process. There were costs involved in making Stone a green operation, but the founders determined that this was worthwhile investment for business and environmental reasons. Stone has not really advertised a green marketing strategy, instead preferring to let the sustainable design speak for itself and hope the word spreads virally and by reputation.

A beautifully designed one-acre beer garden lies adjacent to the brewery; visitors can meander along the heavily landscaped pathways and walkways while sipping the wide variety of ales, hefeweizen and seasonal brews. Although I am a Belgian-only beer drinker at heart, the spectacular facility produces increasingly good seasonal beers such as Levitation Ale and Ruination, as well as their mainstays Stone Pale Ale and IPA, and of course Arrogant Bastard.

Stone Brewing Tour from stonebrew on Vimeo.

Our only criticism of the entire operation, and this is echoed in many internet reviews by consumers, is the food. The restaurant is very appealing visually, the design, green building techniques and materials used are breathtaking. Unfortunately, the grub leaves a lot to be desired. I do, however, admire the Bistro's "Meatless Monday" promotion. As a greenie, even if the food is horrendous, you gotta love their enthusiasm for vegetarianism! They are the largest consumer of locally grown, organic ingredients in San Diego. The Meatless Monday credo is as follows:

"If you have dined with us before, you already know that we use locally grown, organic ingredients as part of our dedication to sustainability, community, and better health. Now we are kicking it up a notch by offering a meatless menu on Mondays. Meat dishes are available on request but we encourage you to make a commitment to your health and the environment by trying our Chef's fantastic vegetarian creations. You won't miss the meat!"

2010-08-03-interior1_07_12cc.jpg

Tours are available twice daily. Take one you'll be pleased to see how even an inherently non-green activity such as craft brewing can be made much more energy efficient and sustainable with some forethought, commitment and investment as demonstrated by Stone Brewing Co. As always, I invite your comments and recommendations of other green brew-ha!

 

Follow Jennifer Schwab on Twitter: www.twitter.com/SCGreen_Home


We can muse over what can be, but we are living what is.

Friday, June 11, 2010 by Ted Ning
There it was, right in front of me.  Children gathered in groups, in various incarnations of homogenous “uniforms” that are no doubt found in every grammar school across the country.
 
From afar, I could see easily identify the sports-minded, the musicians, the free-styling artistes and the more academically-minded readers -- but as I got closer, the demarcations that distinguished the groups blurred.  There were athletes catching up with school work, dancers changing into soccer uniforms and everyone -- and I mean everyone -- was sporting Silly Bandz on their wrists.
 
Yes, the comfort in commonalities is no doubt why kids instinctively gravitate towards others who share the same interests from a very young age. But the struggle for individuality within the group provides the rich exchange that allows children to grow into adults who appreciate the differences that make us individuals.
 
The sustainability movement has its niches, too. No self-respecting marketer would declare that there is only one type of customer, yet how many distinctive buckets do you need to understand the green market? Furthermore, once you settle on your definitions, how long do you hold onto them?  It has been said that the one constant is change. People are ever-evolving as the marketplace greets us with new standards, new products and services to meet needs that aren’t always obvious even to the consumers who purchased them.
 
As socially conscious marketers we have a puzzle in the paradox of green: we wish to move the needle to a world that is less dependent on “stuff” -- yet our purpose as manufacturers and retailers  is to sell what we make to turn a profit. 
 
One could argue that nothing is really sustainable as long as humans are involved.  We are always taking, making, breaking and shaking up the model -- and along the way, we use or make new components to meet our needs. What is so interesting to me is that we have an unquenchable thirst for the new.  In fact, technology has created new markets and dependencies (think fax, cell phone, now Twitter, Facebook, etc.) that have created a new generation of junkies for products that didn’t even exist but 5 years ago!
 
So how do we reconcile the need to improve ourselves and our surroundings with a mandate to consume less?  
 
It is a conundrum for all marketers, and in particular those who have chosen to make their companies and their brands mouthpieces for the movement.
 
What is the biggest problem we have as promoters of green products?  
 
OURSELVES. We forget who the customer is and why they really are attracted to our solution. We tend to get caught up in the romance of sustainability, the bigger purpose, the mission.
 
Our customers? Not so much.
 
Each of us has a vision of who we are, the bigger group we fit into, and the way we deviate from that group. We buy to meet a variety of needs -- some, vital to our existence (food, shelter, health), who we are as part of a group (suburbanite, executive, farmer, teacher) -- and other needs that are more subjective in nature (fashionable, artistic, knowledgeable, spiritual).
 
If you look at the way most companies group customers in various shades of green -- through the lenses of how we (and our customers) see ourselves, you’ll see how far off the mark we are.
 
It feels funny to write it, but perhaps it is time we throw out this model and start fresh. (Or maybe “recycle” what works, and be more efficient with our approach.)
 
Green shouldn’t be about denial.
Green shouldn’t be about pain.
Green shouldn’t be about sacrifice.
Green shouldn’t be all about the planet.
 
(Wait a minute! That last one sounds so heretical!) 
 
Truthfully, the planet will continue to exist without us. It may take a long time, but it will heal itself.  It is us who are in trouble. We are arrogant to think that we can continue to support humanity if we destroy the very thing that sustains us.  In that light, sustainability is the ultimate exercise in practicality!
 
Green should be tied to real life expectations.  Not some idealized vision of what should be.  We can muse over what can be, but we are living what is.  How do we improve on the here and now? How do we make things taste better, improve our health, cost less, use fewer resources, give us more time to pursue what interests us? 
 
Sustainability in my mind, is all about balance and the pursuit of happiness. That is how we need to segment our customers: by what they need to achieve their own vision of where they fit into the world. 
 
We must remember that consumers are just like us when we take off our marketing hats and put down the green Kool-Aid. They see themselves as part of a bigger group and they buy products that make them feel good within their means.  Means often refers to money, but time, convenience, access -- they are all “means” as well. 
 
So when we are segmenting our customers and sharing the benefits of products that are relatively (note that term!) better than traditional products, we need to explain how the product makes them happier, more successful, more like the vision they hold of themselves. We need to focus on the reasons why our products let them be the persons that they are.
 
We need to start equating sustainability with plain old common sense.  We need to segment people into groups that make it easy for them to see how our products fit practically into their lives. Only then will the paradox of sustainable consumption be resolved.

Written by
President, Founder earthsense