The Evolution of Green Marketing: Strategies for a Sustainable Future

Abstract

This study is dedicated to analyzing the effectiveness of green marketing strategies as a pivotal driver for a sustainable future. The research design employed for this investigation is primarily descriptive in nature, aimed at comprehensively examining the landscape of green marketing practices. Data collection for this study encompasses both primary and secondary sources. Primary data is acquired from companies that have actively embraced green marketing approaches. To systematically collect this primary data, a structured questionnaire is employed as the research instrument. The questionnaire is thoughtfully designed to align with the research objectives, with a particular focus on understanding the intricacies of Green Marketing Strategies and the pivotal role played by Green advertising. In the quest to evaluate the efficacy of strategies adopted by these companies, the study employs statistical tools, with a strong emphasis on descriptive and frequency analysis. These analytical methods are instrumental in offering insights into the effectiveness of the green marketing strategies that are instrumental in steering us toward a more sustainable future. This research unfolds as a valuable exploration of the world of green marketing, unearthing insights into the strategies that not only resonate with consumers but also serve as catalysts for fostering a sustainable and eco-conscious future.

Introduction

I. INTRODUCTION

In recent years, green marketing has transitioned from being a niche concept to a mainstream business strategy. Companies worldwide are increasingly recognizing the importance of environmental sustainability not only for ethical reasons but also for the bottom line. This article explores the evolution of green marketing and provides insights into effective strategies for businesses to navigate the sustainable future. Green marketing emerged as a response to growing environmental concerns in the late 20th century. As consumers became more environmentally conscious, businesses began to realize that embracing sustainability could be a competitive advantage.

The initial focus was on promoting eco-friendly products, but green marketing has since evolved significantly. At its core, green marketing revolves around the central principle of environmental responsibility. It entails businesses adopting practices and strategies that minimize negative impacts on the environment while striving to generate positive contributions to ecological well-being. This involves a multifaceted approach, including product innovation, sustainable supply chain management, transparent communication, and ethical business practices. Transparency and authenticity are pillars of green marketing. In an era of information accessibility, consumers are discerning and demand integrity from the brands they support. Therefore, businesses engaged in green marketing must communicate their sustainability efforts honestly, providing verifiable evidence of their eco-friendly practices.

II. OBJECTIVES

The study prevails with the primary objective of analysing the effectiveness of green marketing strategies for a sustainable future.

III. STATEMENT OF THE PROBLEM

In today's rapidly changing business landscape, environmental sustainability has become an imperative. Businesses are increasingly adopting green marketing strategies to respond to heightened consumer demand for eco-friendly products and sustainable practices. However, this shift towards green marketing is not without its challenges. The problem at hand revolves around the multifaceted nature of green marketing and its impact on businesses and consumers alike. This paper aims to identify the important problem areas of green marketing : strategies adopted by the companies.

IV. REVIEW OF LITERATURE

(Ali, 2021)1 The primary focus of this analysis is to determine how environmental awareness and eco-friendly consumption affect the link between eco-friendly advertising and eco-friendly consumer behavior. The present study evolves around three characteristics likely Green Branding, Green Advertising and Ecolabelling. Data were gathered using a survey research technique using a questionnaire modified from other studies. SmartPLS was used to conduct an analysis of the data in order to evaluate the measurement model for validity and reliability as well as the structural model for testing and confirming hypotheses. When we concentrate on how much information customers have about the environment, it becomes apparent that customers in developing nations know less than customers in wealthy ones. Since various consumer segments require various marketing methods to sway their purchasing decisions, this worries the marketing teams of firms. While considering Green Consumption and Environmental awareness, Green Consumption plays a vital role in linking green consumer behavior and green marketing.

(Correia et al., 2023)2 The objective of this study is to investigate whether consumers decisions to make environmentally conscious purchases are influenced by their engagement with companies eco-friendly marketing communications. Additionally, the research delves into the influence of individual consumer attributes like gender, education, and environmental attitudes on the extent to which they pay attention to companies' eco-friendly marketing messages. The study employed an online survey distributed to adults aged 18 and above in Portugal, resulting in 690 valid responses. Various analytical methods, including explanatory examinations, statistical assessments, quantitative investigations, linear association, and predictive modeling, had been utilized for data interpretation. The findings reveal a noteworthy trend: consumers are indeed taking notice of companies' eco-friendly marketing communications. Moreover, a strong connection is evident between consumers' attentiveness to these messages and their inclination to make green purchases. The outcomes also highlight that individuals with higher educational achievements and stronger environmental convictions, as well as women, exhibit heightened sensitivity to companies' eco-friendly marketing messages.

(Nuryakin & Maryati, 2022)3 This study aimed to bridge a gap in existing literature by exploring how a green marketing orientation influences the effectiveness of micro enterprises in the context of green marketing. The research outcomes highlighted the pivotal roles played by green innovation and green competitive advantage in achieving success in green marketing endeavors. In order to enhance the effectiveness of green marketing strategies, the researchers introduced the moderating influence of experienced management or owners, coupled with education. The study selected and analyzed a total of 223 samples from Batik SMEs located in Yogyakarta, Indonesia. The researchers employed purposive sampling techniques to accumulate responses from individuals.  The results revealed a noteworthy connection between eco-friendly marketing orientation and environmentally conscious innovation. Moreover, results indicated that green product innovation and competitive advantage act as intermediaries in the link between environmentally conscious marketing orientation and the overall performance of green marketing.

(Giantari & Sukaatmadja, 2021)4 To enhance the challenging edge of land developers or firms operating in Bali, it is essential to assess and elucidate the execution of the Eco-friendly marketing mix approach, which is founded on ecological awareness and societal resources. The data amassed for this investigation are entirely original. Employing a questionnaire as the principal research instrument, the survey methodology is adopted to gather primary data. The study was conducted within various cities in Bali, focusing on property development companies. The selected unit of analysis pertains to a real estate developer headquartered in Bali, engaged in projects spanning a minimum of 20 hectares, positioning the company within the middle to upper echelons of the market. Respondents targeted for this study include general managers, CEOs, or business owners, with the Bali-based real estate developer as the focal point of analysis. In the process of finding result, Partial Least Squares (PLS) is utilized for inferential statistics.  Final observation indicates that there isn't a significant direct link between environmental mindset and competitive superiority. An indirect impact is discerned by the execution of eco-friendly marketing strategy. Thus, the strategic application of the green marketing mix exhibits a favorable and noteworthy dominance on bolstering superiority. Furthermore, the adoption of the green marketing mix is directly and significantly influenced by environmental orientation. Notably, competitive advantage receives a substantial and positive impetus from social capital.

 (Gajanova & Gorzelanczyk, 2022)5 The goal of the contribution is to determine whether a company's use of electric vehicles can favorably affect how all consumers—across all generations—perceive its communication with target groups. This is important because effective communication with target audiences is a key component of any socially responsible business' success. Given the nature of the study's objectives, a combination of two-dimensional descriptive statistics, Chi-square tests, index calculations, and mediation analysis methodologies were employed. The findings show that using electric vehicles has a favorable mediating effect on how communications from socially conscious businesses are perceived. Due to the role of social responsibility in value generation and subsequent development of goodwill and enduring competitive advantage, the correlation between these two factors is currently a widely discussed topic.

It is foreseeable that vehicles featuring alternative propulsion systems, such as electric cars, will progressively gain prominence due to the present demands of public interest institutions and the governments of various European nations.

(Sugandini et al., 2020)6 Present study targets to evaluate the strategies of green marketing, the management of green supply chains, and the intentions related to environmentally conscious purchasing. This study focuses on Small and Medium Enterprises (SMEs) in the craft industry within Indonesia's Special Region of Yogyakarta. The study relies on original data gathered through the distribution of questionnaires. Organizations and people serve as the study's analytical unit. Purposive sampling is the sample method used, and the criteria include customers who have ever purchased green items as well as SMEs who use environmentally friendly production methods. Results has been obtained through Structural equation modelling. The results obtained from the data analysis indicate a correlation between green supply chain management and green marketing strategy, where the former has an impact on the latter. Additionally, it is evident that the implementation of a green marketing strategy influences the intention to engage in green purchasing behavior.

V. RESEARCH METHODOLOGY

1. Research Design: The Research design adopted for the study is descriptive in nature.
2. Nature and Source of Data: The research is centred both on primary and secondary data. The primary data is collected from the companies who adopted the green marketing approaches. The data is gathered through a structured questionnaire. The questions were framed according to the need of the study concentrating more towards Green Marketing Strategies and the role of Green advertising.
3. Statistical Tools used: The Statistical tools used to identify the effectiveness of strategies adopted by the companies were descriptive and frequency analysis.

VI. RESULTS AND DISCUSSION

Table 1: Nature of ownership

From the table, it can be inferred that 46.7 percent of the respondent’s own partnership firm, 30.0 percent of the respondents hold Sole proprietorship concern and 23.3 percent of the respondents were from Company sector.

Table 2: Annual Turnover

From the table, it is understood that 11.7 percent of the enterprises Average turnover is less than 5 crores. 48.3 % average turnover is 5 to 10 Crores, 25% of the average turnover is 11 to 20 crores and 15% of the enterprises average turnover is above 20 crores.

Table 3: Type of Sector

From the table, it can be inferred that 87.5 percent of the enterprises are Private sector enterprises and the rest 12.5% belongs to Public sector enterprises.

Table 4: Capital Invested

From the table, it can be inferred that 21.7 percent of the respondents capital investment is below 10 lakhs. 45 percent of the respondents capital investment is 10 to 20 lakhs, 32.5 percent of the respondents capital investment is between 20 to 50 lakhs and 0.8 percent of the respondents capital investment is above 50 lakh rupees for their business.

Table 5: Effectiveness of Strategies adopted

Companies that engage in sustainability reporting, such as disclosing environmental and social performance metrics, are considered the most effective in building trust and accountability for their sustainability claims. This strategy has the highest mean score of 3.5167. Consumers are more likely to support and purchase products from companies that actively invest in sustainable sourcing and production. This strategy ranks second with a mean score of 3.1500. The idea that consumers have a responsibility to support companies committed to sustainability, even if it means paying a premium for their products or services, is ranked third with a mean score of 2.9250. Sustainability initiatives should be an integral part of a company's core values and not just a marketing strategy. This approach ranks fourth with a mean score of 2.6333. Sustainability strategies, when properly implemented, can lead to a competitive advantage in the marketplace. This strategy ranks fifth with a mean score of 2.5083. Companies that engage in CSR initiatives are perceived as more ethical and responsible by consumers. This approach ranks sixth with a mean score of 1.7000. Companies that transparently communicate their sustainability efforts are more likely to gain the trust of consumers. This strategy ranks seventh with a mean score of 1.6417.

Sustainability initiatives, such as reducing carbon emissions or waste, have a positive impact on a company's bottom line. This approach ranks eighth with a mean score of 1.5083. Companies that prioritize sustainability in their operations are more likely to build long-term trust with consumers. This strategy ranks ninth with a mean score of 1.5083.

Conclusion

It\'s important to note that while green marketing can be an effective strategy for both businesses and the environment, consumers should remain vigilant and critically evaluate the claims made by companies to ensure they are genuine and not just a marketing ploy. Green marketing should ideally be part of a company\'s broader commitment to sustainability rather than a superficial branding tactic. Green marketing has come a long way from its early focus on products to a comprehensive strategy that encompasses transparency, authenticity, and a commitment to sustainability throughout an organization\'s operations. As consumers continue to prioritize environmental concerns, businesses that adopt effective green marketing strategies will not only contribute to a more sustainable future but also position themselves for success in an increasingly competitive marketplace. Sustainability is no longer an option; it\'s a business imperative.

References

[1] Ali, M. (2021). A social practice theory perspective on green marketing initiatives and green purchase behavior. Cross Cultural and Strategic Management, 28(4), 815–838. https://doi.org/10.1108/CCSM-12-2020-0241 [2] Correia, E., Sousa, S., Viseu, C., & Larguinho, M. (2023). Analysing the Influence of Green Marketing Communication in Consumers’ Green Purchase Behaviour. International Journal of Environmental Research and Public Health, 20(2). https://doi.org/10.3390/ijerph20021356 [3] Nuryakin, N., & Maryati, T. (2022). Do green innovation and green competitive advantage mediate the effect of green marketing orientation on SMEs’ green marketing performance? Cogent Business and Management, 9(1). https://doi.org/10.1080/23311975.2022.2065948 [4] Giantari, I. G. A. K., & Sukaatmadja, I. P. G. (2021). Effects of environmental orientation, green marketing mix and social capital on the competitive advantage of real estate developers in Bali. Property Management, 39(2), 193–209. https://doi.org/10.1108/PM-01-2020-0005 [5] Gajanova, L., & Gorzelanczyk, P. (2022). THE PERCEPTION OF THE USE OF ELECTROMOBILITY BY ENTERPRISES AS A COMPONENT PART OF GREEN MARKETING ACTIVITIES. https://doi.org/10.26552/ems.2022.2.72-80 [6] Sugandini, D., Muafi, M., Susilowati, C., Siswanti, Y., & Syafri, W. (2020). Green supply chain management and green marketing strategy on green purchase intention: SMEs cases. Journal of Industrial Engineering and Management, 13(1), 79–92. https://doi.org/10.3926/jiem.2795

Copyright

Copyright © 2023 R. Manju, Dr. A. Latha. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.