SHM Class Slides Sept 2013

Marketing in the 21 st Century
© 2009 John Wiley & Sons, Ltd 1

Agenda
Part I: How Did We Get Here ?
Part II: Sustainable Development
Part III: The Evolution of Marketing Thought
Part IV: Marketing of the Future
Part V: References
2
Part I:
How Did We Get Here ?
3
Population Growth :
Past, Present and Forecast Future
4
Two
Unsustainable
Uptrends:
Population
and
GDP per Capita
5
An Unequal World
6
Part II:
Sustainable Development
7
“… meeting the needs of the present without compromising
the ability of future generations to meet their needs”
The Brundtland Report ‘Our Common Future’ 1987.
Key principles:
• An emphasis on needs, particularly of the global poor;
• Equity in distributing costs & benefits of growth;
• Intergenerationality, to consider long-term future
needs;
• Global environmentalism, to understand the planet as a
finite and vulnerable life support system.
8
Johann Dréo
9
Humanity’s Global Ecological Footprint –
Already Exceeding What the Planet can Sustain
Source: Global Footprint Network 10

Late 20th C economic growth has
‘resulted in a substantial and
largely irreversible loss in the
diversity of life on Earth’ …..
‘gains in human well-being and
economic development, have
been achieved at growing costs
in the form of the degradation
of many ecosystem services …
and the exacerbation of poverty
for some groups of people.
These problems, unless
addressed, will substantially
diminish the benefits that future
generations obtain from
ecosystems’
11
Ecosystem
Services &
Human
Wellbeing
12
Visualising the
Sustainable
Energy Use Technology
Development
Pollution
Agenda and Waste Production &
Consumption
Climate &
Climate Employment,
Change Business &
Trade
Sustainable
Water Prosperity & Material
Resources Development: Standards of Living
Quality of Life
Now & For The
Ecosystems & Future Poverty &
Biodiversity Social
(Nature’s Riches) Personal Inclusion
Development:
Land,
Landscape Education,
and Material Health &
Resources Responsibility
Homes & Equality,
Communities Population, Diversity &
(Rural & Migration & Culture
Urban) Global
Development
13
Part III:
The Evolution of Marketing
Thought
14
Evolving to a New Dominant Logic of Marketing
(adapted from Vargo and Lusch, 2004)
Pre 1900 21st Century
Goods-Centred Model of Exchange Service Centred
(Focus on tangibles & transactions) Model of Exchange
(Focus on intangibles
& relationships)
(Neo) Classical Economics (1800-1920)
Formative Marketing Thought (1900 – 1950)

(Commodity focus, describes marketing institutions & functions)
Marketing Management School of Thought (1950-2000)

(Customer orientation, marketing science, optimization)
Marketing as a Socio-Economic Process (1980 – 2000 +)

( Focus on Processes: services, relationships, customer mgmt,
networks, quality, value, supply, resources & competition)
15
The Core Components of ‘Modern’ Marketing
By the end of the 1970s the ‘Modern’ managerial mainstream of marketing
had become established with the following core components:
• The marketing philosophy
• The marketing environment
• Marketing research
• Marketing segmentation
• The ‘Marketing Mix’ (The 4 Ps of Product, Place, Price and Promotion;
• Competitive advantage;
• The marketing planning and management process.
16
Marketing – A Discipline in Crisis ?
“The productivity of marketing cannot be
improved within the existing frameworks and
structures. As long as marketing’s major
responsibility is customer acquisition and
promise-making, the costs of marketing will
continue to grow , and its effectiveness will
continue to go down… Marketing as a discipline
is in crisis. And marketing as a business practice
responsible for customer management is losing
credibility.” (Christian Grönroos, 2007)
17
Part IV:
Marketing of the Future
18
A Sustainability Oriented Vision of Marketing:
Marketing ForEVER
• E cologically orientated: satisfies needs without
compromising the health of our ecosystems;
• V iable: from a technical feasibility and economic

competitiveness perspective;
• E thical: in promoting greater social justice and equity;
• R elationship based: focused on management of

relationships between businesses and their customers and
other key stakeholders.
19
Towards Sustainability Marketing
Scope
Narrow Broad
(Markets) (Society/Planet)
Relationship Sustainability
Relationships Marketing Marketing
(3)
Focus (1)
Commercial Modern Eco-Marketing
Transactions Marketing (2) Ethical marketing
20
Part V: References
 Belz, Frank-Martin and Peattie, Ken (2009):
Sustanability Marketing: A Global Perspective,
Wiley: Chichester, pp. 3-18.
Hopwood, B., Mellor, M. and O’Brien, G. (2005):

Sustainable development: Mapping different approaches,
Sustainable Development, 13, pp. 38-52.
Vargo, Stephen L. and Lusch, Robert, F. (2004):

Evolving to a New Dominant Logic for Marketing, Journal of
Marketing, 68 (1) pp. 1-17
Grönroos , Christian (2007):

In Search of a New Logic for Marketing, Wiley, Chichester.
21
Part V: References
 Belz, Frank-Martin and Peattie, Ken (2009):
Sustanability Marketing: A Global Perspective,
Hopwood, B., Mellor, M. and O’Brien, G. (2005):

Sustainable development: Mapping different approaches,
Sustainable Development, 13, pp. 38-52.
Vargo, Stephen L. and Lusch, Robert, F. (2004):

Evolving to a New Dominant Logic for Marketing, Journal of
Marketing, 68 (1) pp. 1-17
Grönroos , Christian (2007):

In Search of a New Logic for Marketing, Wiley, Chichester.
22
Framing Sustainability
Marketing
Learning Objectives
1. Understand the key elements of
sustainability marketing
2. Relate sustainability marketing to
corporate social responsibility (CSR)
Agenda
Part I: Toyota Prius – The Way Forward
Part II: Evolution of Marketing
Part III: Emergence of Sustainability
Marketing
Part IV: Elements of Sustainability Marketing
Part V: Corporate Social Responsibility
Part VI: Reading
Part I:
Toyota Prius
The Way Forward
Photo: Edusilvero
Source: http://lh4.ggpht.com/_hwyn2h_y7i4/SXUW4zATqNI/AAAAAAAABz4/mPmpFXLLTtE/s720/03_10_Prius.jpg
Photo: Hammer 51012 Source: http://flickr.com/photos/hammer51012/3065013573
Photo: Argonne National Laboraty
Source: http://www.flickr.com/photos/argonne/3398734984/
Photo: Colin Chou
Source: http://flickr.com/photos/chaubaby/3008236465/
Part II:
Evolution of Marketing
1
Organizational
Goals
(production
orientation)
3 2
Societal Consumer
Goals Goals
(societal (consumer
orientation) orientation)
Source: Bartels, R. and Jenkins, R.L. (1977) ‚Macromarketing‘, Journal of Marketing, 44(4): 17-20
Part III:
Emergence of
Sustainability Marketing
Societal Marketing
Immediate Satisfaction
Low High
High SalutaryProducts DesirableProducts
Long-run
ConsumerBenefit
Low DeficientProducts PleasingProducts
Source: Kotler, P. (1972) ‚What consumerism means for marketers‘ Harvard Business Review, 50(3): 48-57
Ecological Marketing
Photo: Mila Zinkova
Source: http://commons.wikimedia.org/wiki/File:Oiled_bird_3.jpg
Green Marketing and Environmental Marketing
Life cycle assessment
A process to evaluate the environmental burdens
associated with a product, process or activity by
identifying and quantifying energy and materials
used and wastes released to the environment.
Includes assessment of the entire life cycle of the
product, process or activity
Shades of green
• Glass or plastic
• Plastic tea cups or earthen t-cups
Life Cycle Assessment – Example Green Earth
Author: Steve Silva

Source: http://commons.wikimedia.org/wiki/File:Lfe_cycle_green_earth.png
Part IV:
Elements of
Definition of Sustainability Marketing
“… planning, organizing, implementing

and controlling marketing resources and
programmes to satisfy consumers’ wants
and needs, while considering social and
environmental criteria and meeting
corporate objectives.”
Source: Belz and Peattie (2009), p. 31
Socio-ecological Consumer
Problems Behaviour
Values and Objectives
Strategies
Mix
Transformation
Source: Belz, F.-M. and Peattie, K. (2009): Sustainability Marketing: A Global Perspective, Chichester: Wiley, p. 32
Sustainability Marketing Mix („Four Cs“)
 Customer Solutions
 Communications
 Customer Cost
 Convenience
Part V:
Corporate Social Responsibility
Definition of Corporate Social Responsibility
“...a concept whereby companies integrate

social and environmental concerns in their
business operations and in their interaction
with stakeholders on a voluntary basis.”
Source: Commission of the European Communities (2002), p. 5
Corporate Responsibility
Corporate Responsibility
Corporate Corporate Corporate

Financial Social Environmental
Responsibility Responsibility Responsibility
Source: World Business Council for Sustainable Deveopment (1999) Corporate Social Responsibility,
Geneva: Switzerland, p. 3.
Stakeholder Model
Government
Employees Pressure
Groups
Suppliers Company Customers
Shareholders Media
Competitors
Source: Freeman, R.E. (1984) Strategic Management: A Stakeholder Approach, Boston: Pitman Publishing.
Responsive and Strategic Approaches to CSR
General Social Value Chain Social Dimensions

Impacts Social Impacts of Competitive
Context
Good citizenship Mitigate harm Philantropy that

from value chain leverages capa -
activities bilities to improve
salient areas of
competitive context
Transform value -
chain activities to
benefit society
Responsive Strategic
while reinforcing
CSR CSR
strategy
Source: Porter, M.E. and Krämer, M.R. (2006) ‚Strategy and society‘, Harvard Business Review, 84(12): 89
Consumer Behaviour

Agenda
Part I: Introduction
Part II: Understanding the ‘green‘ consumer
Part III: Understanding the purchase and

purchase context
Part IV: Towards sustainable consumption
Part V: References

Part I:
Introduction

Consumption Perspectives:
Conventional vs. Sustainability Marketing
Focus of Conventional Marketing:
On the consumer as an individual and their wants;
On purchase as an activity;
On transfer of product and its ownership;
Focus of Sustainability Marketing:

On the consumer and their wants/needs in their social
context and the collective impacts of consumption;
On consumption as a process;
On long-term flows of resources and value;
Growing Concern about the Collective
Consequences of our Individual Consumption
Photo: Andrew
Photo: KingofHiking
© 2009 John Wiley & Sons, Ltd Photo: ChuckTaylor 54

Part II: Understanding the
‘Green‘ Consumer
55
What Can Influence How We Respond as
Consumers to the Sustainability Agenda ?
Demographics – who we are;
Economic rationality – what its worth;
Perceived costs and benefits – what’s in it for us;
Knowledge – what we know;
Attitudes and beliefs – what we think;
Values and norms – what we think is important;
Psychographics - our lifestyle & sense of identity;
Perceived consumer effectiveness and self efficacy – what
we think we can do, and whether we think it makes a
difference;
…………..….or any combination of the above !
56
Value Shifts for Sustainable Consumption
From To
Egocentric (Selfish) Altruistic(Un-Selfish)
Conservative Open to change
Indulgent Frugal
Materialist Post-materialist
Technocentric Ecocentric
Anthropocentric Biocentric
Photo: iLoveButter 57
Influences on Consumer Buying Behaviour
Cultural: including social class & subcultures.
Social: family, reference group, role & status.
Personal: sex, age, occupation, life-stage,

disposable income, lifestyle, personality.
Psychological: motivations, perceptions,

beliefs, attitudes, experience.
Situational: time, place, company,

circumstance.
… and of course, marketing ! 58

An Example of a Sustainability Market Segmentation:
Defra’s Segments for UK Pro-Environmental Behaviours
1. Greens: well-educated on green issues, positively connected to
arguments.
2. Consumers with a Conscience: want to be seen to be green. Focused on
consumption and making positive choices.
3. Wastage Focused: good knowledge about wastage and local pollution,
although they lack awareness of other behaviours.
4. Currently Constrained: want to be greener, but don’t think there is much
they can do. Focused on balance, pragmatism and realism.
5. Basic Contributors: sceptical about the need for behaviour change. Like to
conform with social norms. Know little of green issues and behaviours.
6. Long Term Restricted: have other priorities to address before considering
environmental impact. Everyday behaviours are often low impact for
reasons other than environmental concern.
7. Dis-interested: no interest or motivation to change current behaviours.
May be aware of climate change & other issues but this has not entered
their current decision making processes.
59
Sustainable Consumption Behaviour
Opportunities
60
Part III: Understanding the
Purchase and the Purchase
Context
61
Purchase Specific Influences on Consumer Behaviour:
The Green Purchase Perception Matrix
62
Key Purchase Dimensions
Value:
Frequency:
Visibility:
Complexity:
For self or for others:
Necessity or indulgence:
63
Rose City Choclatier
Consumer Goods – More than just ‘Stuff’
‘The insight that consumer goods attain
symbolic properties clearly has some
resonance with popular psychology about
our relationship with material possessions. A
child’s favourite teddy bear, a woman’s
wedding dress, a stamp collector’s prized
first day cover, the souped-up, low-sprung
sports car of the ‘boy racer’: all these
examples suggest that there is much more
at stake in the possession of material
artefacts than simple functional value’
Tim Jackson.
64
Photo: Tanakawho
Part IV:
Towards sustainable
consumption
65
Towards Sustainable Consumption Behaviour:
Targeting Key Behaviours and Sectors
According to the Environmental Impact of Products study (Tukker et

al., 2005), 75-80 % of environmental impacts of household
consumption in Europe is linked to a small number of
consumption choices and behaviours relating to housing, food,
home energy & personal transport;
66
Photo: Aaron Escobar
Towards More Sustainable Lifestyles:
Principles of Voluntary Simplicity.
1. Material simplicity: consuming fewer products and services,
seeking out efficient, durable, and low-impact products;
2. Human scale: moving towards working and living
environments that are smaller, simpler and less centralized.
3. Self-determination: through a reduced reliance on large
commercial businesses, or even large public sector
organizations.
4. Ecological awareness: conservation of resources and
reduction of waste in order to protect the environment.
5. Personal growth: satisfaction through experiences and the
development of personal abilities instead of through
commercially provided consumption experiences.
67
Strategies
68
Part I: Introduction to Sustainability
Marketing Strategies
Part II: The Marketing Environment
Part III: Developing Strategies – market

choice & positioning
Part IV: Innovation, timing & relationships
Part V: References
69
Strategy Questions for Sustainability Marketing
Normative sustainability marketing –

Determines the broad What? and Why? of the
business, reflecting its values, the key needs of its
customers and the socio-ecological challenges
they face.
Strategic sustainability marketing –

Focuses more on addressing the How? Where? and
When? questions necessary to translate
sustainability marketing values into a
commercially viable marketing strategy.
70
Marks and Spencer’s Sustainability Strategy:
Plan A “Because there is no Plan B”
The 100 point Plan A for M&S seeks to address the key
sustainability challenges that the business faces, grouped under
five headings:
1. Climate change: with the aim of making the business carbon
neutral by 2012;
2. Waste: with the aim of eliminating waste to landfill from its
operations by 2012;
3. Sustainable sourcing: particularly to extend M&S’s use of
organic and free range produce;
4. Ethical trading standards: to use the power or M&S as an own
brand retailer to improve the livelihoods of their suppliers and
supplier communities worldwide;
5. Helping customers and employees to live a healthier lifestyle.
71
Part 2: The Marketing
Environment
72
The
Media
Customers
Rivals FIRM Suppliers

FIRM
Intermediaries
Investors
73
The Marketing Environment
The Micro Environment:
• Actors that the company interacts with directly (customers,

suppliers, intermediaries and competitors in the marketplace,
and communities, the media, government and financial
intermediaries beyond)
The Macro Environment:
• The broader forces that influence the actors in the

microenvironment (technology, economy, demographics,
politics and of course, the physical, ecological environment)
74
Part III: Developing
Strategies – market choice &
positioning
75
Market Choice
Influenced by:
• Market size, maturity and growth rate;
• Profitability and intensity of competition;
• Potential market entry costs and barriers to entry;
• Potential strength of competitive position;
• Life cycle stage of products & technologies;
• Corporate skills, resources & experience;
• Degree of fit with existing strategy;
• Sustainability of market and potential defensibility of a position
within it;
76
Potential Sources of Competitive Advantage for
Sustainability Oriented Products and Firms I
Differentiation:
sustainability as the basis
to stand out from the
competition. Examples of
differentiation bases Photo: Phil Wiffen
include organic, local,

ethical, low carbon or ‘free
from’ (e.g. phosphates or
GM) or a sustainability
brand. Photo: Loopzilla 77
Photo: Becoming Green
Sustainability Oriented Products and Firms II
Low cost:
focus on reducing
material and
energy inputs, and
cutting inefficient
pollution and
waste to be
cost/price
competitive;
78
Photo: TheTruthAbout
Sustainability Oriented Products and Firms III
Niche strategy: identifying,
occupying and defending a
particular market niche of the
‘greenest’ consumers with
specialist products to meet their
needs.
Niche strategies have been a key

feature of early sustainability
marketing strategies – but can
restrict development and impact
of sustainable markets.
79
Photo: Loopzilla
Sustainability Brands:
From Alternative to Mainstream
Pioneering Eco-Brand Now Part of :
Body Shop L’Oreal
Ben & Jerry’s Unilever
Green & Blacks Cadburys
Ethos Water Starbucks
80
A positioning strategy involves:
• Segmenting the market, choosing

particular segments to target, and
understanding how to vary the
market offering to different segments;
• Developing a differentiation strategy to
appeal to each target segment
compared to the competition;
This creates a a “unique sustainability

selling proposition” (USSP), for a
company or product, which encapsulates
what makes it different to the
competition, what makes it sustainable,
and what makes it attractive to
consumers.
81
Part IV:
Innovation, timing &
relationships
82
Eco-Efficiency Curves
(Brezet, 1997)
83
A Stakeholder Approach to Sustainability Strategies:
Stakeholders for Electric Vehicles (Cooper, 2000)
85
Communications
ONE Water:
Addressing a Key Socio-Ecological Problem
• 1 billion people in the

world don’t have
access to clean water
• 2 million people die
each year from
drinking
contaminated water
• 40 billion hours are
wasted each year
walking to collect
water
© 2009 John Wiley & Sons, Ltd
ONE – A ‘Cause Inspired’ Brand
• ONE water was launched in July 2005
to try to address this problem
• “We can’t change the world overnight,
but we can improve the lives of one
person, one day at a time”( Duncan
Goose, Founder)
• ‘Like-for-Like’ business model where
ONE water donates all its profits from
bottle water sales to finance
‘Roundabout Playpumps’ which provide
a free, clean, sustainable water source
to communities in Africa.

As kids play - water is pumped
from the ground…

The Competitors ONE Faced
• UK bottled water market worth

£1.5 billion
• Dominated by Evian, Vittel,
Highland Spring & supermarket
own brands
• Few of these sell on ethical or
environmental issues
• Market growing at 6-7% p.a.
• Highly competitive : top 4
brands spend £ 1-4 Million pa on
advertising.
Challenge of Market Entry
• ONE’s launch boosted by being official water
for Live8
• However, major barriers to entry for new
brands
• Had to fine innovative ways into the market:
– Used an innovative ‘set your own margin’
pricing policy;
– via Total Filling Station retail outlets not
conventional stores;
– Promotional approach especially new
media & celebrity endorsement (as Brand
Ambassadors);
– Personal advocacy of cause and brand by
Duncan Goose;

Two Views of Marketing Communications
As a ‘Mirror’ of Society,
which reflects back what
we want and how we live
and connects us to the
solutions and products
that companies offer us.
As a ‘Distorted Mirror’ that

encourages over-
consumption, selfishness
and which promotes
stereotyping, superficiality
and a homogenized global
consumer culture.
Photo: Nicola Whittaker

A Classical ‘Physical Systems’ Based Model of Marketing
Communications
Sender Feedback Receiver

Response
NOISE
Encodes Message via Decodes

message Media message
… but marketing communications is a social process.

Sustainability Product
Communications:
Key Aims
• Generate awareness;
• Inform and remind;
• Persuade and reassure;
• Motivate and reward;
• Develop connections; Image: netefekt

Reaching out to Consumers
What Can Influence How We Respond as Consumers to
the Sustainability Agenda ?
Demographics – who we are;

Economic rationality – what its worth;
Perceived costs and benefits – what’s in it for
us;
Knowledge – what we know;
Attitudes and beliefs – what we think;
Values and norms – what we think is
important;
Psychographics - our lifestyle & sense of
Media
There are a range of media with which
marketers can reach consumers:
The highest profile media is mass media
advertising, particularly on TV or radio
or in print.
There are many examples of effective
media ads for sustainability goods and
services.
However, there are many other ways of
reaching consumers.
Photo: Pink Moose

Media - Posters

Media – Displays & Merchandising
Image: Spicy Bear
Image: Spicy Bear

Image: Shared Interest
Media - Labelling
Image: Rachel Blue
Image: Spicy Bear

Media – Events & Trade Shows
Image: Capitain Giona

Media –
Online Ads
Image: net efekt

Creating Credible
Messages

Types of Sustainability Message
Appeals
1. Financial appeals (save
money, save the planet);
2. Management appeals
(we’re part of the solution);
3. Euphoria appeals (pure,
healthy, natural etc);
4. Emotional appeals (save
the kids, polar bears etc);
5. Zeitgeist appeals;
6. Other (e.g. celebrity
endorsement) Image: Jan Cantor
Greenwashing – From 6 to 7 Deadly Sins
(Terrachoice – based on USA, UK, Canada & Australia)
1. Hidden trade-offs;
2. No proof;
3. Vagueness;
4. Irrelevance;
5. Fibbing; Unclear
6. Lesser of two evils, and Over 2,000 products surveyed –
98% guilty of at least one
New for 2009 ‘Greenwashing Sin’
7. “Sin of Worshiping
False Labels”
Marketing messages connecting green products with desired
consumer value (Ottman, Stafford, Hartman 2006)
Marketing messages connecting green products with desired
consumer value
Part IV:
Sustainable Communication as
a Two-Way Process
McDonagh’s Principles of Sustainable Communication :
Trust: built to counter loss of confidence in businesses and
business leadership;
Access: opening up facilities & information, particularly in
relation to ecological impacts;
Disclosure: voluntarily through corporate environmental
reporting;
Dialogue: to build trust, learn from stakeholders and their
concerns, and to begin to draw them into company decision
making process;
Radically different from conventional process of trying to

control the communications agenda.
Developing Dialogue: Two-Way Communication :
Communication is also about listening to, and
dialogue with, consumers and other
stakeholders.
Beyond conventional market research,
companies can build dialogue and gain insight
through techniques such as :
– Round tables;
– Citizens’ panels;
– Consensus conferences;
Photo: Dave Neary
‘Front line’ staff can also be a valuable channel to

feed communication from the customer into the
Consumers as Communicators
The online world allows consumers to
communicate effectively with each other to
praise, criticize or even parody companies’
offerings and communication.
Image: marrisaorton
The Ten
Rules for
Successful for
Sustainability
Communications
From Futerra
Sustainability
Communications .

Part V: References

Belz, Frank-Martin and Peattie, Ken (2009):
Sustainability Marketing: A Global Perspective,
UNEP et al. (2005): Talk the Walk. Advancing Sustainable Lifestyles

through Marketing and Communications, Paris (www.talkthewalk.net)
Ottman, Jacqueline, Stafford, Edward & Hartman, Cathy (2006):

Green Marketing Myopia. Environment, 48 (5), 22-36.
(www.greenmarketing.com/files/articles/Stafford-MyopiaJune06.pdf )
Convenience

Agenda
Part I: FamilyMart – Sustainability and
Convenience
Part II: Consumption and Convenience
Part III: Delivering Sustainability and

Convenience in Purchase.
Part IV: Convenience in Use and Post Use

Part I:
FamilyMart – Sustainability
and Convenience

FamilyMart

FamilyMart

FamilyMart

FamilyMart

Part II:
Consumption and
Convenience

‘Convenience’
Something is
convenient if it is
- appropriate in
time and place;
- removes
discomfort or
trouble and
promotes ease;
- well suited to one’s
wants. Photo: JohnRobertSheppard
Part III:
Delivering Sustainability
and Convenience in
Purchase
The Shopping
Mall:
Convenience
Through Co-
location
the new
gatekeepers

Photo: Tanakawho
Photo: Weitwinkel
Packaging:
Delivering Convenience, but
Generating Waste

Part IV:
Convenience in Use and
Post Use
TOTAL SAVINGS
15.3 14.2
TOTAL ECO CO2
% %
SAVING REDUCTION
Photo:
© 2009 John Wiley & Sons, Ltd Uncleweed
Source: ECNGroup

Reframing Sustainability Marketing

Agenda
Part I: Introduction: The Evolution of
Marketing & Sustainability
Part II: Social Marketing and Social

Enterprise
Part III: Towards a Sustainable, One Planet

Economy
Part IV: References

Part I:
Introduction – The Evolution
of Marketing & Sustainability

Evolution of Marketing &
1970s Sustainability
Ecological
Marketing:
Small number of industries and a small range of

environmental issues.

1980s Sustainability
Green
Marketing:
Photo by Neubie
Emergence of ‘Green Consumer’ & broadening of issues &

industries.
Photo by OSDE8Info © 2009 John Wiley & Sons, Ltd

New MillenniumSustainability
Sustainability Photo: Felix42Contra la Censura
Marketing:
Photo: D’Arcy Norman
Photo: David.nikonvscannon
Photo: Fotdmike
Photo:
Hockyshooter
Photo: Phil Wiffen
Emergence and merging of numerous social and environmental issues

affecting many industries.
Image: Netefekt
Image: Madaboutasia
Where Next ? Towards the Production and
Marketing of Sustainable Solutions
DeSimone &Popoff 2000 © 2009 John Wiley & Sons, Ltd

Part II: Social Marketing and
Social Enterprise

Social Marketing
"the use of marketing principles and techniques
to influence a target audience to voluntarily
accept, reject, modify, or abandon a behavior
for the benefit of individuals, groups, or
society as a whole"
Social
Kotler & Lee, 2002 marketing

‘customer
triangle’

Pearce’s
‘Three
Systems of the
Economy’
Model
From: Social
Enterprise
in Anytown

Part III:
Towards a Sustainable
One Planet Economy

• The development of more localised, small-scale, low-impact solutions to
meet needs in sectors such as food and construction by taking advantage
of local produce and materials;
• The use of environmental management practices, intelligent logistics,
packaging and waste minimisation to reduce the impacts of production
and distribution systems;
• The development of clusters on industrial ecology principles
bringing groups of suppliers, processors, distributors and
utilities together to achieve major progress in
energy/water/waste minimisation and creating cost savings;
• Major investments in sustainable energy systems to reduce
our dependence on oil and reduce CO2 emissions;

• The use of financial and other business services to promote
more sustainable business practices and principles such as
carbon trading or triple bottom line accounting;
• Harnessing ethical trading and the power of public sector

purchasing to develop markets for more sustainable products;
• The use of social marketing campaigns to promote more

sustainable behaviours amongst citizens and consumers;
• The use of IT to enable ‘distributed intelligence’ and to provide
digital solutions for the development of re-use and recycling
services, community networks;
• Encouraging the development of social enterprises and

community based businesses and greater partnerships
between businesses, communities and governments;

A Simple (But Often Overlooked) Truth – If it
isn’t sustainable, it can’t be
sustained.

Sustainability Thinking Existing Marketing
Perspective Will Require: Thinking Provides:
Timeframe Multi-generational futurity Here, now, short-termism
Key objective Promotion of welfare Gratification
Guiding principle Equity Consumer sovereignty
Focus on addressing Needs Wants

(particularly of the poor) (particularly of the rich)
Worldview emphasising Global environmentalism Global consumption and

production systems
Setting Within environmental Within economic

limits hyperspace

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Marketing in the 21 st Century

© 2009 John Wiley & Sons, Ltd 1

Part II: Sustainable Development

Part III: The Evolution of Marketing Thought

Part IV: Marketing of the Future

The Brundtland Report ‘Our Common Future’ 1987.

Source: Global Footprint Network 10

(Neo) Classical Economics (1800-1920)

Formative Marketing Thought (1900 – 1950)

Marketing Management School of Thought (1950-2000)

Marketing as a Socio-Economic Process (1980 – 2000 +)

• The marketing philosophy

• The marketing environment

• The ‘Marketing Mix’ (The 4 Ps of Product, Place, Price and Promotion;

• The marketing planning and management process.

• V iable: from a technical feasibility and economic

• E thical: in promoting greater social justice and equity;

• R elationship based: focused on management of

Hopwood, B., Mellor, M. and O’Brien, G. (2005):

Vargo, Stephen L. and Lusch, Robert, F. (2004):

Grönroos , Christian (2007):

Hopwood, B., Mellor, M. and O’Brien, G. (2005):

Vargo, Stephen L. and Lusch, Robert, F. (2004):

Grönroos , Christian (2007):

High SalutaryProducts DesirableProducts

Author: Steve Silva

“… planning, organizing, implementing

“...a concept whereby companies integrate

Corporate Corporate Corporate

Suppliers Company Customers

General Social Value Chain Social Dimensions

Good citizenship Mitigate harm Philantropy that

© 2009 John Wiley & Sons, Ltd 50

Part II: Understanding the ‘green‘ consumer

Part III: Understanding the purchase and

Part IV: Towards sustainable consumption

© 2009 John Wiley & Sons, Ltd 51

© 2009 John Wiley & Sons, Ltd 52

Focus of Sustainability Marketing:

© 2009 John Wiley & Sons, Ltd Photo: ChuckTaylor 54

Cultural: including social class & subcultures.

Social: family, reference group, role & status.

Personal: sex, age, occupation, life-stage,

Psychological: motivations, perceptions,

Situational: time, place, company,

… and of course, marketing ! 58

For self or for others:

According to the Environmental Impact of Products study (Tukker et

Part II: The Marketing Environment

Part III: Developing Strategies – market

Part IV: Innovation, timing & relationships

Normative sustainability marketing –

Strategic sustainability marketing –

Rivals FIRM Suppliers

The Micro Environment:

• Actors that the company interacts with directly (customers,

The Macro Environment:

• The broader forces that influence the actors in the

include organic, local,

Niche strategies have been a key

Body Shop L’Oreal

Ben & Jerry’s Unilever

Green & Blacks Cadburys