1. Slide 1:
Why Greenworks?
Background (in :meline):
1995: Clorox chemists started experimen:ng the idea of a biodegradable plant and mineral-
based cleaning formula.
2004: Clorox accelrated when it iden:fed a por:on of the consumer market dubbed
“Chemical Avoiding Naturalists”, who wanted greener cleaners.
2006: Don Knauss installed as CEO, brought the effort to a head.
2008: GreenWorks was launched, represen:ng the company’s first internally develop brand
in 20 years.
So we can see, it’s always been Clorox’s true inten:ons to work for the beYer, more
environment-friendly, same as that it chose to curtail produc:ono rather than dilute its
product during Second World War, or the fact that it nullified the pre-war conotracts that
would’ve enabled Clorox to purchase scarce chlorine at prices unfair to suppliers during the
war.
Slide 2:
Why Partnering with Sierra Club?
Clorox need to do something to make people realise it’s not just a company with toxic
household chemicals, or that they were effec:ve biocides know to humanity. Therefore, In
addi:on to its own promo:on of the company’s image, it needs to partner with someone, to
endorse the product line. As there were no one with greater credibility – they were the
Good Housekeeping Seal of environmental groups.
Slide 3:
How did it work?
For Clorox: it worked well.
Early 2008: GreenWorks hit shelves.
1. During that year, sales of the GreenWorks line far expected Clorox’s expecta:ons and
captured 40% of the market for green cleaning products.
2. The Skyrocke:ng sales of GreenWorks products helped Clorox post posi:ve income figures
for its first fiscal quarter of 2009 (ending Sept. 30): 12% increase in revenues and 15%
increase in net income.

2. 3. GreenWorks sold $5 million of glass cleaner in the 365-day period that ended in Nov. 2,
2008, and that’s excluding Wal-Mart, club store and convenience store sales.
4. A product “cer:fied” by environmental experts would initrigue tradi:onal Clorox
customers, addi:onally, it would also aYract new, more environmentally friendly consumers
who might have a poor image of Clorox.
So we would consider, it worked successfully for Clorox.
Slide 4:
Now, is the partnership with Sierra Club necessary and successful?
Let’s define the no:on of “necessary and successful” in four dimensions:
1. Clorox; 5
2. Sierra; 5
3. Consumers; 6
4. Compe:tors; 7
5. Market; 8
6. Environment/society. 9
Slide 5:
So for Clorox, as we’ve analysed in the previous slide, it was a success. The company’s
reputa:on is now “greener”, the revenue has increased, the market share has been captured
(by 40%);
For Sierra:
In the short term, it is tas:ng the two sides of the coin (the coin being the partnership with
Clorox”.
Let’s talk about the Con’s first:
1. the Club risked its reputa:on and was unsure how its members would interpret the news;
2. some Club cons:tuents remained skijsh, and there were s:ll doubts about the
conclusion that “club leaders, board of directors and commiYee heads found no fault with
the products” as the approval process was flowed (according to Jessica Frohman, volunteer
co-chair of the club’s toxics commiYee: “people who serve on these commiYees are more
policy wonks than chemists”;
3. Mixed results: the club started having difficulty recrui:ng younger environmentalists and
the percentage of contributors who also became members started to decrease.
Pros:
1. It kept an undisclosed por:on of the product proceeds with Clorox, I’m sure anybody can
assume that income would help the club with it’s opera:on and management;
2. By working with Clorox, Sierra Club, unprecedentedly, created a marketplace that featured
the combina:on of “green home products can come from a company that normally people
would think it can’t be green”, that is, to combine a very well known cleaning brand with a
very green brand, it would seem internally controversial, yet, it can be perfectly logical;

3. 3. the Club’s ins:tu:onal knowledge was strengthened by Clorox as the laYer publicly
acknowldged that the partnership helps the company focus on sustainability efforts, as it
represents the industry, which plays an important role in environmental conoserva:on, so
the issue has not become the solu:on.
4. for item 3 in previous slide about the recruitment and decrease of members, the club had
a fine solu:on by pos:ng a webpage addressing why the partnership.
Slide 6:
For Consumers:
1. Exis:ng green products’ price went down.
Examples –
Seventh Genera:on: acknowledged in May 2009 by its CEO Chuck Maniscalco that “some
price cuts would be necessary”;
SC Johnson: enterned the green products market in 2009 with its Nature’s Source line, at a
low premium compared to tradi:onal products;
Church & Dwight: Released the Arm & Hammer Essen:als line of products in late 2006,
which worked as well as tradi:onal cleaners and saved consumers up to 25% when they buy
refills;
2. More green products means more viewers and buyers of such products, which will make
consumers more environment-aware.
Slide 7
Compe:tors such as the extant smaller firms Seventh Genera:on or Method (who actually
introduced green cleaners in 1987), DID NOT lose market share.
They were ini:ally concerned about Clorox’s entry into the market, but those concerns were
tamed when both companies saw increased sales.
Why?
Slide 8:
To the market:
It is a great thing!
It’s bringing more aYen:on and significant working capital to educa:ng Americans that you
can be green and effec:ve.
The pie isn’s divided yet by another kid. It’s made larger for more kids.
Case worth ci:ng: in May 2009, Chuck Maniscalo, took over as CEO of Seventh Genera:on,
and said the coompany liked the coompe::on brought on by players such as Greenworks
because “it’s crea:ng more market energy.”
放小饼被分，大饼被分
贴图（18、19 页）
Slide 9

4. To the environment/society:
1. To address the problems environmentally, we need to get more per:nent businesses
involved. And Clorox is doing just that, with the help of Sierra Club.
2. Companies and brands are taking ac:ons too:
Unilever: demonstrated some comiYment to environment management: 100% sustainable
sourcing of ingredients for several brands by 2015;
Several smaller companies pioneered green products in the gap ler by the giants in the early
years of growth in the market, and established strong environmental brands.
Summary:
Now it is apparent that the partnership was necessary and successful. It could have been the
buYerfly that fluYered the wing.