The game is changing; it is now an imperative for all brands to be green. The environment, and specifically global warming, may soon be an incendiary issue for corporate America. One recent poll indicates social responsibility is valued by American consumers and “damaging the environment is the main reason [consumers] would think that a company is socially irresponsible.” (Italics added) – Lee Daley, chairman and chief executive of Saatchi & Saatchi UK
This risk is likely only to increase with time. Brand perception is likely to be shaped by potential influencers including consumers, businesses, governments and non-governmental organizations. These groups are growing rapidly and becoming more vocal.
Such a strong association between corporate action – and potentially inaction – on the environment and social irresponsibility leaves brands at risk unless proactive steps are taken to become green. Emerging green consumer purchase behavior suggests this scenario:
- Despite the real threat of global warming, consumers will continue to spend on the things that they want and enjoy
- Demand for green (or greener) products will increase over time as attitudes and social norms evolve, new product choices become available and information that enables consumers to make informed purchase decisions (e.g. green labels) is introduced
- Consumers will start to shift spending to greener brands within a category
- Consumers will increasingly prefer to purchase from companies with a brand that is perceived as green, regardless of whether or not the product that they ultimately purchase is one of the company’s “green” products
For corporate America, this should be wake-up call. Simply put, every brand will soon need to be green, regardless of whether or not customers are actively buying green products today. Yet the window of opportunity is closing: soon green will simply be a threshold to compete. Moreover, it takes time to build green credentials that consumers deems authentic. Companies that do not actively pursue a green brand strategy today risk being left behind; and as Daley suggests, those who do not may even jeopardize their very survival.
The above excerpts taken from: Green Branding Urgency
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