Perspective... Consumers are going green despite the slump. But why aren't brands?

It isn’t surprising. The recession is making the best brands think twice about how resources should be allocated. Whether global or local, the growing list of reviews in all disciplines is primarily cost-driven. But, with brands and their procurement departments under pressure to deliver savings, are these discussions including cuts in corporate sustainability programmes? Few companies would openly admit to it if they were.

We know, however, that, despite the difficult environment, many major clients like Coca-Cola that have been on the receiving end of consumer backlashes seem determined to change their business practices and models to become more environmentally friendly. They are evaluating how their efforts should be promoted and marketed. They believe that green initiatives will produce long-term cost savings and are a prudent operations decision.

But, more than that, the commercial green movement is fuelled by the hopes that these brands will look better to consumers.

The extent to which the recession affects green marketing won’t be entirely clear for some time. But research appears to support the argument that consumers are still demanding that the brands they interact with are environmentally and socially responsible. According to Havas Media, globally, 79 per cent of consumers would prefer to buy products from environmentally responsible companies. Interestingly, these environmentally conscious consumers aren’t just in the US and the UK, but in emerging markets such as China and India. And nearly half of them are willing to pay a 10 per cent premium for products produced in an environmentally and socially responsible way. Synovate’s recent car survey bears the same point. Six in 10 consumers would choose to buy a green car over a dream car, even if money was no object. The research company found that some of the top numbers for going green were from Thailand, Korea and China.

So, how do you actively engage these consumers? How does a brand demonstrate commitment to responsible business and sustainability? Too many companies in Asia still act on the thinking that sustainable communication is about turning brands green overnight or using typically ‘green’ iconography in communications. Unfortunately, this approach can lead to accusations of ‘greenwashing’.

Instead, marketers need to be thinking about creating compelling communications, underpinned by fact, with a clear call to action for consumers. They need to bear in mind that environmental and social messages aren’t enough anymore. It’s about sustainable communication and decreasing the physical resources used in creating campaigns. Don’t assume that a digital marketing campaign is ‘green’ just because it doesn’t use tons of paper. A popular website or a large email campaign can use a significant amount of energy, and increase the carbon footprint.

Recession or not, brands in Asia have been slow to respond to the change in attitudes towards the environment. But the issue of sustainability hasn’t gone away. As the economy improves, expect environmental awareness to return to prominence.

Got a view?
Email [email protected]