Abstract
We provide empirical evidence that debunks four commonly held myths about the marketing of brands with sustainability credentials, i.e. ’green’ brands. With marketing science laws to guide us, we examine a range of consumer brands positioned with environmental or social advantage. Our investigation covers two continents, five consumer goods categories, and eight years. Our findings show that green brands behave as known marketing laws predict and that consequently they face the same challenges, as well as opportunities, as non-green brands. With this new perspective, managers will be better able to set realistic expectations for their green brand marketing.
Key Findings
- Being green/ethical is not a common reason to buy. Even for consumers who say so. Don’t forget to communicate that your brand still delivers on the category drivers of brand choice.
- Green brands appeal to all category buyers. Don’t restrict your market unnecessarily.
- Green brands have predictable levels of loyalty and compete with other brands as would generally be expected for their size. This provides clear metrics against which to judge green brands’ performance.
- A consumer not buying a green brand is due to lack of familiarity, not attitudinal rejection. Just as it is for any small share brand.