MARKETING
The Five Simple Rules
of Green Marketing
by Jacquelyn A. Ottman
T     here is no substitute for a genuine commitment
     to sustainable design. It can be an opportunity to innovate
and grow, as well as to strengthen a brand. But as Jacquelyn Ottman
makes clear, companies have to get the right message out. As her examples demon-
strate, that means knowing what’s important to customers, empowering them to
feel they make a difference, being transparent, maintaining quality, and carefully
evaluating price concerns.
                       When it comes to shining a spotlight on       turing can yield significant opportuni-
                       specific sustainability issues, count on      ties to grow your business, to innovate,
                       NGOs and consumer groups to target            and to build brand equity. All you have
                       the most respected and trusted brands         to do is get the word out… right?
                       first. Overnight, issues will make front          As with any other major business
                       pages and leaders will be pressed to          endeavor, this is easier said than done.
                       make changes. The list of recent targets      Even very responsible companies have
Jacquelyn A. Ottman,
President, J. Ottman
                       reads like a Who’s Who of branding:           run into trouble with sustainability-
Consulting, Inc.       Home Depot (sustainably harvested             minded NGOs and consumer groups,
                       wood), Nike (child labor practices),          thanks to a poorly planned and crafted
                       McDonalds (Styrofoam clamshells, and          marketing message. Protect your com-
                       now obesity), and Coke (sugar, water,         pany from these common pitfalls and
                       and packaging). What does all this mean       start taking advantage of new opportu-
                       for your business? Simply stated, if you      nities by heeding my five simple rules
                       don’t manage your business with respect       of green marketing:
                       to environmental and social sustainabil-
                                                                        Know your customer. If you want
                       ity, your business will not be sustained!
                                                                        to sell a greener product to con-
                           But the converse is true, too. A strong
                                                                        sumers, you first need to make sure
                       commitment to environmental sustain-
                                                                        that those consumers are aware of
                       ability in product design and manufac-
                                                                        and concerned about the issues that
                                                                                       Design Management Review Fall 2008   65
Green Design
                     your product attempts to
                     address. Whirlpool is just
                                                               Consumers                 much less greener ones, so keep
                                                                                         this in mind as you develop your
                     one company that learned          must believe in the               target audience and product
                     this lesson the hard way.                                           specifications.
                     Even after winning a $30          legitimacy of your
                                                                                         The rules in action
                     million Golden Carrot prize        product and the
                     for being first to market                                           Let’s take a look at marketing
                     with a chlorofluorocarbon         specific claims you               appeals for some eco-designs
                     (CFC)-free fridge, the com-                                         (improvements over existing
                                                          are making.
                     pany discovered that con-                                           products) and eco-innovations
                     sumers wouldn’t pay the                                             (new types of products) that do
                     premium because they didn’t know what               a great job of winning over green consumers
                     CFCs were—and there were no other value-            while grabbing market share.
                     added benefits.
                                                                         Tom’s of Maine
                     Empower consumers. Make sure that con-              The husband and wife team of Tom and Kate
                     sumers feel, by themselves or in concert with       Chappell created this full line of personal care
                     all the other users of your product, that they      products about 30 years ago. Ten or so years
                     can make a difference. This is called empow-        later, the brand broke out of the deep-green
                     erment, and it’s the main reason why con-           niche to achieve distribution in CVS, Duane
                     sumers buy greener products. This powerful          Reade, and other mainstream drug outlets. The
                     principle underlies so many campaigns laden         company is now owned by Colgate-Palmolive
                     with simple tips for lightening one’s impact        and represents just one of many deep-green
                     on the planet.                                      brands that are increasingly being purchased by
                                                                         mainstream marketers. Other examples include
                     Be transparent. Consumers must believe in
                                                                         Estee Lauder’s purchase of Aveda, Danone’s par-
                     the legitimacy of your product and the specif-
                                                                         tial purchase of Stonyfield Farm, and Unilever’s
                     ic claims you are making. Caution: There’s a
                                                                         acquisition of Ben and Jerry’s ice cream.
                     lot of skepticism out there that is fueled by the
                                                                             The messages on the sides of the Tom’s of
                     raft of spurious claims made in the go-go era
                                                                         Maine toothpaste carton are just one reason for
                     of green marketing that occurred during the
                                                                         their success in winning over green consumers.
                     late ’80s to early ’90s. One brand of household
                                                                         On one panel, check out the letter from Tom
                     cleaner, for instance, claimed to have been
                                                                         and Kate stating their company’s mission.
                     “environmentally friendly since 1884.”
                                                                         Signing the letter lets customers know there real-
                     Reassure the buyer. Consumers need to               ly is a Tom, there really is a Kate—just like there
                     believe that your product performs the job          really is a Ben and there really is a Jerry—that is,
                     it’s supposed to do. They won’t forgo product       two real people minding the store and staking
                     quality in the name of the environment.             their personal reputations on the quality of their
                     (Besides, products that don’t work well will        products. (The company website features a simi-
                     likely wind up in the trash bin, and that’s not     lar letter.)
                     very kind to the environment.)                          Another panel lists all the ingredients in the
                                                                         toothpaste—all-natural spearmint oil, for
                     Consider your pricing. If you’re charging
                                                                         instance, and next to each ingredient is the role
                     more for your product—and many environ-
                                                                         each of the ingredients plays in the toothpaste.
                     mentally preferable products cost more due
                                                                         There’s even a third column that lists the loca-
                     to economies of scale and use of higher-qual-
                                                                         tion from which each ingredient is sourced.
                     ity ingredients—make sure that consumers
                                                                         (Again, the company website reinforces this,
                     can afford the premium and feel it’s worth it.
                                                                         with an in-depth look at the ingredients in all
                     Many consumers, of course, cannot afford
                                                                         Tom’s of Maine products.)
                     premiums for any type of product these days,
66     Design Management Review Fall 2008
                                                                                         The Five Simple Rules of Green Marketing
    This is unprecedented in the
history of consumer goods!
                                           Toyota’s Prius                Tide Coldwater
                                                                         Tide Coldwater is a line exten-
Can you do this with your              is likely the most                sion of Tide that is helping it
product’s ingredients? How                                               build brand equity and stay
many of them contain warning            successful green                 fresh—and green—in the mar-
labels? (Both Crest and Colgate          product in the                  ketplace. A lifecycle assessment
do.) For Tom’s, the ingredient                                           commissioned by Procter &
list helps get consumers over             world today                    Gamble found that 80 to 85
any price barriers at the point                                          percent of the energy used to
                                        (along with the
of sale and underscores credi-                                           wash clothes comes from heat-
bility and trust. Buyers feel they   ubiquitous compact                  ing the water. P&G calculated
are choosing a brand with nat-                                           that US consumers could there-
ural ingredients and accept the
                                      fluorescent lamp).                 fore save $63 per year by wash-
price premium.                                                           ing in cold water rather than
                                                       warm. So, with the proviso that it could per-
The Toyota Prius
                                                       suade consumers that cold-water washing was
Toyota’s Prius is likely the most successful green
                                                       efficacious, P&G positioned the product as a way
product in the world today (along with the
                                                       to save on energy bills.
ubiquitous compact fluorescent lamp). And for
                                                           Marketing efforts first reassured consumers
many good reasons. First, it provides consumers
                                                       of the product’s efficacy. Then, P&G set up a
with all they seek in a sedan and more—attrac-
                                                       website that encouraged visitors to calculate the
tive styling, fuel efficiency, and a hybrid engine
                                                       amount of energy they could save, both person-
that makes it possible to drive for an unlimited
                                                       ally and in conjunction with all the others who
amount of miles stopping only for fill-ups (ver-
                                                       took the same Tide Coldwater Challenge.
sus, for instance, having to stop for a 12-hour
                                                       Advertising showed how long a major US land-
recharge if the engine were all electric). Also
                                                       mark, such as the Empire State Building, could
because of the hybrid engine, the car is beloved
                                                       be lit with the energy that could be saved if all of
by car enthusiasts for its quiet ride. Examine the
                                                       the consumers in New York City switched to
dashboard and note a most unusual feature—a
                                                       cold-water washing.
screen that lets the driver know which of the two
                                                           On its website, P&G also engaged consumers
engines is in use and how much fuel efficiency is
                                                       with helpful energy-saving tips and resources,
being enjoyed at any given moment. Anecdotes
                                                       starting with information about switching to
report that Prius owners try to beat their previ-
                                                       Energy Star-certified compact fluorescent light-
ous record each time they drive!
                                                       ing. It included tips from the Alliance to Save
    When the car was introduced, ads focused on
                                                       Energy environmental group, and encourage-
superior performance evidenced in a quiet ride,
                                                       ments to “consider buying a different kind of
while supplemental ads touted its environmental
                                                       car”—namely, the Prius.
bona fides. With energy prices on the rise, the
                                                           Leveraging word of mouth via the Tide
Prius pitch has shifted to superior fuel efficiency,
                                                       Coldwater Challenge and associating with
while a crafty PR machine links the car to envi-
                                                       notable third parties helped to overcome the
ronmentally conscious celebrities and causes.
                                                       barriers of skepticism, and the Tide brand found
Some owners, it is reported, even buy the car for
                                                       a fresh new message in step with the consumer
what is being called conspicuous conservation—
                                                       need to control rising energy prices.
letting everyone know they are environmentally
astute. In fact, as of the second quarter of last      MilliCare
year, the number-one reason owners said they           In 2003, carpet and chemical manufacturer
bought the car was “because it makes a state-          Milliken & Co. was in search of a new branding
ment about me.”                                        strategy for MilliCare, its franchise carpet and
                                                                                    Design Management Review Fall 2008        67
Green Design
                  textile maintenance division.
                  Recognizing the rapid growth of
                                                        The environmental                 multidimensional and had high
                                                                                          impact. The company launched
                  the green building industry and            movement                     its new brand at World
                  widespread concern over                                                 Workplace 2004, the premier
                  employee health, recruitment,               is about                    trade show for the company’s
                  and retention, The Moderns, a             doing things                  primary audience of facility
                  New York-based branding and                                             management professionals.
                  design agency, drafted a posi-             differently.                 Subsequent efforts have includ-
                  tioning document that showed                                            ed strategic placement of
                  how MilliCare could own “clean” in all of its       bylined articles in trade magazines to support
                  dimensions—something MilliCare’s competi-           the company’s thought-leader positioning,
                  tors weren’t doing.                                 pitching feature stories in vertical market publi-
                      With the help of sustainability experts,        cations to introduce the concept of sustainable
                  MilliCare and The Moderns moved forward             carpet and textile maintenance in such indus-
                  with a brand positioning that articulated the       tries as education and long-term care, and local
                  many benefits of sustainable maintenance and        and regional business coverage to promote the
                  set up MilliCare to speak not just to facility      brand and its individual franchisees.
                  managers, but also to architects and designers,         Clearly, gaining the acceptance and buy-in of
                  developers, human resource professionals, and       MilliCare’s 80-plus franchisees was an important
                  CEOs. In so doing, MilliCare’s brand recognition    step in the rebranding process. A comprehensive
                  was significantly enhanced nationwide. In addi-     rollout campaign included an interactive game to
                  tion to a significant increase in telephone         create intrigue, a series of launch events to pro-
                  inquiries, new business opportunities, and sales    vide education, and a monthly e-newsletter to
                  (up 30 percent), MilliCare has extended its         reinforce brand messages. As a result, the external
                  national network through increased franchise        launch saw a nearly flawless implementation of
                  partner recruitment. More partners have joined      brand standards—from incorporating new mate-
                  the franchise in the last two years than joined     rials to revitalizing the entire sales process.
                  the six years prior.
                                                                      The Method line of household cleaning, laun-
                      The new positioning for MilliCare was cap-
                                                                      dry and personal care products
                  tured with a new identity, tagline, stationery,
                                                                      The environmental movement is about doing
                  training manual, presentation tools, modular
                                                                      things differently. Method is a brand that is try-
                  marketing kit, product packaging, uniforms,
                                                                      ing to express this differentness in nearly every
                  vehicles, signage, franchise office design, and
                                                                      way possible, starting with how the product
                  tradeshow design.
                                                                      looks and smells. The bottle for the dishwashing
                      To counter the fact that maintenance service
                                                                      liquid, for example, looks like an upside-down
                  is done at night (in absentia) and as a result is
                                                                      teardrop. It was specifically designed by fashion
                  essentially invisible, The Moderns developed
                                                                      designer Karim Rashid so that consumers would
                  various promotional initiatives, including spon-
                                                                      feel comfortable leaving it right at the kitchen
                  soring a book entitled Green Clean, the
                                                                      sink, helping the user project a sort of status to
                  Environmentally Sound Guide to Cleaning Your
                                                                      visitors. Packaging is minimal and recyclable,
                  Home. Local MilliCare franchisees sponsored a
                                                                      and the contents inside are biodegradable.
                  community cleanup program and an “on-the-
                                                                          The Method product label sports an under-
                  ground” presence with branded vehicles that
                                                                      stated lower-case m in a circle, with method also
                  acted as a compelling billboard promotion and
                                                                      in lowercase just beneath. No splashy lettering.
                  resulted in a significant increase in telephone
                                                                      No flashy starbursts like the ones that are
                  inquiries and new business opportunities.
                                                                      designed to capture consumers’ attention at
                      Publicity efforts on behalf of MilliCare were
                                                                      mainstream store shelves. What attracts con-
68     Design Management Review Fall 2008
                                                                                     The Five Simple Rules of Green Marketing
sumers to this product is the distinctiveness of       1. Think and act holistically. It is no longer
the package shape and the unique coloring of              enough to focus on functional benefits
the product inside. This product may look                 alone. Ask: What are we making? Product
expensive, but it actually sells at competitive           or service? Green or not? How are we mak-
prices at Target, Office Depot, and Safeway.              ing it? Who are we working with?
    Method doesn’t advertise. The brand attracts
                                                       2. Take advantage of the opportunities that
consumers via strong price value and through
                                                          green marketing represents to engage con-
word of mouth that is generated in a number of
                                                          sumers on an emotional level and thus
highly effective ways, starting with the unique-
                                                          build brand equity. Ask: How can we make
ness of the product itself. Visit the Method web-
                                                          our passion and vision relevant and engag-
site and read how the company tells visitors
                                                          ing, our consumers into advocates? How
what it stands for. Each element of the Method
                                                          can we empower consumers to make a dif-
mantra—efficacy, safety, environment, design
                                                          ference by providing them with education,
(how many brands would list design?), and fra-
                                                          infrastructure, events, and experiences?
grance—gets a page. (In-home interviews I con-
ducted for a client recently attested to the           3. The way you communicate will be critical
importance of this brand’s light scent to con-            to success (and will help you avoid green-
sumer purchasing decisions.) Do your brands               washing). Ask: How can we ensure that our
have mantras—or simply a list of benefits, or at          approach is viewed as authentic? As trans-
least a marketing and creative strategy?                  parent? Are all stakeholders aware of our
    Another thing you’ll find at the Method web-          intentions and progress? Is our vision
site is a campaign called I Fight Dirty. (Note the        embedded into the fabric of our company?
“anti” tone.) This campaign empowers users to
                                                       4. Eco-innovation represents new ways to
fight not only against dirt itself, but also against
                                                          grow top-line sales. Ask: How can we
dirty industry practices, such as making prod-
                                                          inspire consumers? What technology and
ucts in bottles that can wash up on pristine
                                                          partners do we need to gain access to?
beaches. Thus, it captures the brand’s essence
from an emotional, as well as a functional,            5. Strive for an ideal goal of zero environ-
standpoint (another breakthrough).                        mental impact. Strive to eco-innovate
    Refer to the Method website to see a sample           rather than simply eco-design. Ask: What
of a newsletter sent to consumers who sign up.            would it take to achieve zero environmen-
Recent issues have proffered tips on how to               tal impact and still meet our consumers’
compost Christmas trees and locate brands of              needs? Can we make consumers more
reusable diapers. The website talks about the             responsible? It’s one thing to design better
places where Method has been spotted—like the             products and technologies. But industry’s
Green Festival hosted by Coop America each                efforts will only go so far. Achieving zero
year. And it even gives visitors the opportunity          environmental impact will come about
to buy Method t-shirts and other merchandise!             only if changes in consumer behavior can
How many of your users would wear clothing                be made—thus the genius of Toyota’s dash-
with your brand’s name on it? How many of you             board and websites that engage consumers
would even think to offer it?                             in more responsible forms of behavior. 
                                                                                Reprint #08194OTT65
Putting the rules to work for your business
To start capitalizing on the many market oppor-
tunities represented by sustainability, consider
the following:
                                                                                Design Management Review Fall 2008        69