Buyer Behavior and Analysis

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GREEN MARKETING AND CONSUMER

GREEN MARKETING

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INTRODUCTION TO GREEN MARKETING

Green marketing is a term which is now known by all the consumers of different markets in the

world. Green marketing came into existence in late 1980s where all the consumers were getting

aware of the fact that the change of their living into green living has become very significant

factor to stay healthy with healthy environment.

Phases of green marketing

Green marketing can be described in terms of three main steps that¶s makes the term of green

marketing complete. First phase of the respective concept is the ecological concept. This term

comprises of those remedies that are said for the existing damages present in the environment. In

order to clean the environment, there are certain factors to be taken into consideration that comes

under the heading of ecological factors. Next in line is the phase of environmental factors. This

phase consist of innovations carried forward for the different controls over the negative effect of

the environment. The products and other technology used are therefore, first checked on the fact

that it does not harm our consumers surroundings making their living unhealthy. The third phase

of green marketing is the sustainability factor. Sustainability means that¶s as there are certain

norms to be followed regarding the two above mentioned phases of green marketing, the

sustainability in doing the practice is also necessary.(www.greenbuying.co.uk,2010).That is, the

companies that are in continuous phase of bringing those product that are safe in accordance to

the rules of green marketing. The companies are also supposed to show continuous improvement

in building a better environment for their consumers with the best products with technological

innovations.

Green Products:

In order to consider the product as ³Green Products´, a product must fulfill the recycling or

reusing property. The product should be free from any harmful chemicals that can harm theenvironment. The product should be not consisting of those gases that can deplete the ozone

layer. There should be sustainability in the continuous improvement of the products quality in

terms of being green so that the unidentifiable substances present in the products can be watched

continuously.




GREEN MARKETING AND COMPANIES PLAYING GREEN

Consumers are much concern these days about the products. They are much aware of the fact

that what products are more likely to create a clean and green environment. Furthermore, they

are well aware about the products suitable for their lifestyle, as the awareness of green products

is increasing. Green marketing has enabled the consumer learn more about the respective.

Newspapers & magazines play a very important role in marketing these concepts for the

consumers. Sun Newspaper¶s green tips, Al Gore¶s documentary are the examples of people

turning green due to green awareness (The Green Marketing Manifesto, 2007)

Since 2007, the Green marketing became the mainstream in the world of different products of

different categories that covers the life of each consumer of all kinds. Not only the food we eat,

the clothes we wear but it comprises of the all the things that are linked to everyone¶s life that are

free from any material or ingredient that can provide negative effect in the future of the

consumer. All the players in different industries of goods, the manufacturers are trying to make

their product as green as possible.gow instance the printing companies are trying to find the

greener suppliers so that not only the output is safe for the consumers but also sustainability of

the company in the upcoming green world is strong enough to survive. The green marketing has

increased by three times from 2006 to 2008, whereas ten times in 20 years.

(www.graphicartsmag.com, March 2010).In order to have sustainability in green products we

need to spot the respective issue continuously ensuring that our green products have the

properties of recycling, reusability, green suppliers and other green resources that are necessary

for a complete green product.

What rules green leaders follow?

The companies are using those equipments that are environmentally safe for the consumers. Thegreen products that the leaders are giving should be based in green standards that are these

products can either be reused or can be recycled. The cost of the good should also to be reduced

giving no extra penny in the business in terms of long term green planning. Since these tasks are

not easy the leaders have the attitude of making everything possible in today¶s world. Of course,




just making the change is not the key to enter in green market. In order to play safe the leaders

are continuously creating the product greener time to time in order to have sustainability.

In order to sustain in the market, the players who are turning their products into green products

or those who have already bought the idea and producing only green products are gaining on the

customers by educating them and communicating the messages about green products.

Advantages & challenges of Green Marketing:

Green marketing not only makes the life of the product longer but also provides a competitive

advantage to the company producing it .The companies are also getting an edge working on

corporate social responsibility that makes them stay fresh in the minds of the consumers.

Furthermore, the products are also reducing the cost thus, increasing the overall profitability of

the product. Most of all, the competitors faces a lot of pressure due to strong competitive of the

green products owner having not only a competitive edge but also using innovations not common

among all in short time span (Esty and Winston, 2005). Moreover, the challlenges that are faced

by companies are the initial cost related to the processes. For instance water treatment

technology, costly material that is recycled or renewable, huge investments in research and

development etc. It also involves high cost in creating awareness among the consumers for the

new green products ( Pirakatheeswari, 2009). Companies need to tell the consumers that these

products are worth being bought though expensive as the consumers are still not willing to pay

extra for the premium products (Lui. 2005).




CONSUMER BUYING BEHAVIOR & PURCHASE DECISION

According to the research survey done by the associations of consumer research, consumers

buying behavior mainly depends on the purchase probability that is what the probability of the

consumer is that how much quantity the person may buy of the particular product. This

probability is also dependent on the attributes of the products in the different categories of the

green products (Hauser & Urban, 1977). For example, if we are talking about recycled clothes

and the recycled paper the probability of buying these items will be different for the same

consumer.

In short, there are mainly Two ma jor factors are also involved in the purchasing of any item; the

price is low or high and the parts of the products that have been recycled as mentioned earlier.

Apart from the realistic factors, the emotional factors that make the buying decisions are the

believed quality as claimed by marketing the green products and purchase involvement of the

consumer. Moreover, the market the buying and using recycled products can stimulate the

market of recycled products ( A ssociation of consumer research, 2009)

Consumer buying behavior and demand theory

Buying behavior of the consumer is one of the best stimulation factor for t he green products.

Marketing the products with positive attitude, need of the contribution of consumer for the eco-

friendly products and discussing the environmental issues are the best ways to make the

consumers move towards the recycled products. Furthermore, the utility of consumer for

recycled products can be improved by continuous research of consumer behavior and product

innovations

Utility can be explained by maximizing the satisfaction of a consumer that he or she gets for the

price they pay for a product. Furthermore, marginal utility means the added satisfaction a

consumer gets for paying little extra for one product in comparison to another product. Talking

about the recycle products, the utility can be increased by communicating the need of such

products for their eco-friendly lifestyle. The consumer should know that the extra price they will

pay for these recycle will be beneficial for their life forever. (Welker, 2009). As they still feel




that the virgin products are far better then the products that are reusable or recycled. As now

green marketing will make the consumers more aware of the facts that the eco-friendly products

are useful and its is beneficial for their own life to pay extra for the products, the marginal utility

of these products will increase.Since marginal utility is directly proportional to the total utility,

the total utility automatically increases. Therefore, we can also say that, consumer can increase

the marginal utility for buying of these products then the brand new products.

Furthermore, talking of law of diminishing marginal theory, once the product has gained the

marginal utility, after a span of time which is depending on the increase of the utility of the

products with an additional unit, the product shows the diminishing factor that is decrease in the

utility of the product.




MESSAGES APPEAL USED IN GREEN MARKETING

There are different appeals used for conveying the message to the consumer about green

marketing. The useful appeals for green marketing are given below (Seeing Green, 2007).

The most useful appeal that has been used is the fear appeal. Fear is a very important appeal due

to the reason that this appeal has an incredible power of influencing the consumers for the use of

the right product for the surety that the product is safe. Furthermore, it highlights that fact that if

the green products are not used the world will become dirtier for the consumers where it is

impossible to live and stay healthy.

Personal appeal also plays an important role, as it indicate the safety of the environment in terms

of the green products showing that all consumers that are a team of different individual living in

the society have the concern of the other individual to have a safe green life with no polluted air

and disaster of environment. In short, it replaces the confused life with the personal appeal of

comfort and pleasure.

As the emotional appeal gets the emotional grip of the consumers, the consumers always

remember the concept that is communicated to them. As this kind of appeal is most suitable for

the products of such competitors that have very thin line edge of the products. The only

usefulness of such appeal is for grabbing the motivational factor of the consumers.

Last but not the least appeal; the social appeal plays a very important in conveying the message

of peace, eco-friendly and clean environment. Especially, the companies that are promoting their

green products and green environment are basically play with the corporate social

responsibility(CSR) campaigns that enable them to be remember by their customers .Sometimes,

when the consumers are not using the products they still remember different brands only because

of the CSR activities.




CONCLUSION

The overall scenario of the market is diverting towards the green products while narrowing down

the target market of the products are from non-green category. Therefore, the multinational

companies which are here to stay for a long time, plan to move towards the highly innovative

and researched products that are eco-friendly, sustainably green and can be recycled and reused.

Marketing itself is the main way of making the consumer aware of the green concept so that they

have a safe environment. Although there is a group of certain populating in many nations where

there is a huge demand of green products available. But to minimize the increasing resource of

the green product they need to increase the number of consumer therefore cutting the cost.

Once the companies fulfill the rules that make their product green followed by making the green

products sustainable and market their product while omitting the gap of no or less

communication between the companies and the consumers regarding the necessity green

products, this industry will cover the whole universe with its wonders.




REFERENCES

Association of Consumer Research, µ Determinants of Consumer Purchase Decision¶, 2004-2009,

Vol: 22 1995. http://www.acrwebsite.org/volumes/display.asp?id=7711

Esty and Winston, D,µGreen to Gold¶ 2005 - 2009 , published by: Yale University Press 2006.

Gail-Nickel, Keling, ³Green Marketing Strategies for Printers.´ Graphics Arts Magazine (15

March 2010). 7 October 2010. http://graphicartsmag.com/articles/2010/03/green-

marketing-strategies-for-printers

Grant, John G., The Green Marketing Manifesto, Book, Published by John Wiley & Son Inc.

West Sussex, England 2007

Hauser and Urban, John, ³Direct Assessment of consumer utility function´ 1977, 7 Oct.

2010.http://dspace.mit.edu/bitstream/handle/1721.1/1905/SWP-0843-

16566986.pdf?sequence=1

John G., µThe growth of Green Marketing¶, www.greenbuying.co.uk . 07. Oct 2010 <http://www.

greenbuying. co. uk/ thegrowthofgreen marketing_622. php>

L. Hui, µ Environmental Marketing - A Model of Consumer Behaviors¶ 2005,

http://www.sbaer.uca.edu/research/acme/2005/04.pdf

Ragland, T. Seeing Green´ 2007, 7 Oct. 2010 http://www.tateragland.com/assets/ICDHS_08.pdf

Pirakatheeswari, P, µGreen Marketing opportunities and challenges¶ 21 august 2009, 7 oct. 2010

http://www.articlesbase.com/marketing-articles/green-marketing-opportunities-challenges-

1146893.html

Welker, µConsumer Behaviors and Demand Theory¶ .

2009,www.welkerwikinomics.wetpaints.com.

http://welkerswikinomics.wetpaint.com/page/Theory+of+Consumer+Behavior

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Buyer Behavior and Analysis