Washing Away Greenwash
(Note for readers: Richard has called this "the most boring post you've ever written." Thanks for the encouraging and positive feedback Rich. Actually I'm having a few days off computer stuff in the interests of spending quality summer time with my children by tramping round forests. So, on the basis that anything is better than nothing, here's a worky post. Who knows, some of you might find it interesting. Others may just enjoy the snooze.)
Greenwash : The term used to describe the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service for the purpose of increasing profits, or in order to try and enhance its standing with the general public.
Due to the increasing focus on climate change and global warming there can be no doubt that ensuring a strong ethical culture is of premium importance to companies. The latest research by Deloitte shows that four out of ten consumers will buy more environmentally friendly products this year, so companies want to ensure that their business ethics are sound, and widely publicised too. A business must demonstrate to its consumers that its corporate responsibility isn’t just playing at manipulating its carbon footprint, but that its emphasis and actions regarding protecting the planet are the core focus of the company mission.
Most importantly, those ethics must be genuine. If a company spends millions on advertising its green credentials but also manipulates its statistics to look better, for example if it employs African child labour or exploits local farmers, then those money-motivated practices will be quickly exposed by an ever-vigilant public and the media. In this modern internet age, secrets don’t stay that way for very long. Greenwash is real, and the truth will come out.
So when a company’s reputation is at stake, it is important that all companies analyse their goals and business practices and ensure their policies are rock solid when considering how they use their energy, their ethical trading plans and also their sustainable patterns of consumption. British supermarkets are currently revamping their business ethics and competing for a larger market share of an ever-increasingly environmentally aware general public. If they don’t change to reflect this trend, then their customers will go elsewhere, so it’s important to tow the line, even if it means increasing prices because they have to switch to different suppliers, or reducing their packaging, or even charging for carrier bags (which will be law in the UK next year.) Tesco (the UK equivalent of Walmart) is even carbon-foot-printing its own products. However, because supermarkets are fundamentally cost and profit driven, they will always cut corners and when they do their greenwash is quickly exposed. As John Grant said in his book The Green Marketing Manifesto, "You can't put a lettuce in the window of a butcher's shop and declare that you are now turning vegetarian."
It is a moot point as to whether or not this trend towards social, evironmental and ethical trading is an overly onerous responsibility or a new marketing opportunity, but it is certain that this will be the way forward for future capitalism in the Western World, and one day all companies will operate this way.
Our world is changing. There is no place for eco-cliché in the new corporate world. Advertising spin subsequently exposed as lies will kill a corporate brand stone-dead. Companies should tell the truth, embrace the change, and put ethics and saving the planet at the core of their agenda.
The future of business is green. Just make sure it's real green, not fake.
Well, I do hope everyone enjoyed my cure for insomnia. If anyone is still conscious after this, please do let me know...
Greenwash : The term used to describe the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service for the purpose of increasing profits, or in order to try and enhance its standing with the general public.
Due to the increasing focus on climate change and global warming there can be no doubt that ensuring a strong ethical culture is of premium importance to companies. The latest research by Deloitte shows that four out of ten consumers will buy more environmentally friendly products this year, so companies want to ensure that their business ethics are sound, and widely publicised too. A business must demonstrate to its consumers that its corporate responsibility isn’t just playing at manipulating its carbon footprint, but that its emphasis and actions regarding protecting the planet are the core focus of the company mission.
Most importantly, those ethics must be genuine. If a company spends millions on advertising its green credentials but also manipulates its statistics to look better, for example if it employs African child labour or exploits local farmers, then those money-motivated practices will be quickly exposed by an ever-vigilant public and the media. In this modern internet age, secrets don’t stay that way for very long. Greenwash is real, and the truth will come out.
So when a company’s reputation is at stake, it is important that all companies analyse their goals and business practices and ensure their policies are rock solid when considering how they use their energy, their ethical trading plans and also their sustainable patterns of consumption. British supermarkets are currently revamping their business ethics and competing for a larger market share of an ever-increasingly environmentally aware general public. If they don’t change to reflect this trend, then their customers will go elsewhere, so it’s important to tow the line, even if it means increasing prices because they have to switch to different suppliers, or reducing their packaging, or even charging for carrier bags (which will be law in the UK next year.) Tesco (the UK equivalent of Walmart) is even carbon-foot-printing its own products. However, because supermarkets are fundamentally cost and profit driven, they will always cut corners and when they do their greenwash is quickly exposed. As John Grant said in his book The Green Marketing Manifesto, "You can't put a lettuce in the window of a butcher's shop and declare that you are now turning vegetarian."
It is a moot point as to whether or not this trend towards social, evironmental and ethical trading is an overly onerous responsibility or a new marketing opportunity, but it is certain that this will be the way forward for future capitalism in the Western World, and one day all companies will operate this way.
Our world is changing. There is no place for eco-cliché in the new corporate world. Advertising spin subsequently exposed as lies will kill a corporate brand stone-dead. Companies should tell the truth, embrace the change, and put ethics and saving the planet at the core of their agenda.
The future of business is green. Just make sure it's real green, not fake.
Well, I do hope everyone enjoyed my cure for insomnia. If anyone is still conscious after this, please do let me know...
posted by Lin at 8:26 AM
8 Comments:
This post has me wondering how Rich is going to ensure that his photography is green so that he is not outed by a local attorney/accountant/model? We know that Dave S. is green already, will Rich emulate him and start shooting all his models while naked (models are nude, photographers are naked)?
Lin,
I certainly concur with your comments.
Business ethics must never be seen as simply a marketing tool, it is, at its core, a way of doing business, which should impact the entire demeanor of the organization across its entire operations.
'Greenwashing' is simply a waste of money.
Let me give you an example, British American Tobacco. According to information on its web site, the company's extensive public relations efforts include sponsorship of 144 youth prevention programs (for smoking), the plantation of 628 million trees and corporate donations totaling approximately 16.1 million pounds.
Yet in my view, whilst the above efforts are positive, the company still does not enjoy a good reputation. This is courtesy of being accused of tax evasion worth some $60 million over five years in South Korea, promotion of cigarettes to minors in Nigeria and being fined a few years back for involvement in a price-fixing scandal in Italy.
Perhaps the company's long term history of misleading the public about the effects of smoking and destroying evidence which was potentially relevant to litigation proceedings against them did not help either.
I seriously wonder why the company bothers in an extensive public relations effort when its other business practices ensure that its public reputation will justifiably remain poor for the foreseeable future.
Cheers
Andrew
Dave is awake.
Wow thanks Andrew. I really didn't think anyone would read this, let alone a business ethics specialist :-)
You want to have large global corporations with good business ethics, the kind that are looking out for the environment and us the little people that buy the goods ...hmmmm...well I guess it's good to have dreams that you hope will come true.
Maybe if you follow the yellow brick road. The kindly wizard will make it so.
D.L. Wood
Andrew, sometimes corporations have a huge disconnect between their public relations messages and the reality of their practices. The Integrated Marketing Program at Northwestern University has advanced IMC theory, which says advertisers, PR specialists, and marketers must be admitted to the inner circles of corporations and given influence over company practices.
The issue is inconsistent messages. While the PR people are espousing one thing, the corporation often is actually doing something else.
My advertising textbook focuses on international marketing and PR, and it advances IMC theory. A corporation must be consistent in all its messages, and these messages must be consistent with actual policy. I guess this is another way of saying that business ethics must never be just a marketing tool. The public today is too savvy for that.
Advanced IMC theory? Boy, now I'm really out of my depth, although I certainly agree with your points. Thanks Dr L. :-)
(Incidentally Rich is still asleep. No boobies, you see.)
I couldn't get through the post, I'll admit it.. but the pictures are beautiful, LOL.
Post a Comment
Links to this post:
Create a Link
<< Home