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Green Marketing Edition

              Presenter: Adam Freedgood
              Tweet: @thegreenophobe
The Game:
• 30 minutes…goal: 12 Myths

• Categories:
   • Green For Dummies
   • Print Direct Marketing
   • Digital Direct Marketing
   • Triple Bottom Line

• Contestants & Ask The Audience
Triple
Green For
            Print   Digital   Bottom
Dummies
                                Line


 EASY       EASY    EASY      EASY


MEDIUM MEDIUM MEDIUM MEDIUM


 HARD       HARD    HARD      HARD


                                        END GAME
Myth?...
“Promoting „Go Green, Go
Paperless‟ to customers is
a leading green direct
marketing strategy”
Responsible direct marketing practice?
Based on a narrow set of attributes

                                       Ignores important environmental issues

                                       Example: saying paper is environmentally-preferable
                                       because it comes from a sustainably-harvested forest




                                       Not substantiated by easily accessible info

                                       Lack of reliable third party certification

                                       Example: paper products claiming X% recycled
                                       content without providing evidence


Source: TerraChoice 7 Sins of Greenwashing.
Tips for avoiding “false dilemmas and forced
choices” in direct marketing




Source: Institute for Sustainable Communication. “Print vs digital media: false
dilemmas and forced choices.”
Myth?...
“Promoting „Go Green, Go
Paperless‟ to customers is
a leading green direct
marketing strategy”



                             NEXT MYTH
Myth?...
“The marketing practice
known as ‘greenwashing’
is controversial but poses
little legal risk to marketers”
Who “polices” greenwashing by
marketers in the U.S.?
Myth?...
“The marketing practice
known as ‘greenwashing’
is controversial but poses
little legal risk to marketers”




                                  NEXT MYTH
Myth?...
“Green Echo Award criteria do
not give an advantage to
organizations that fall within a
“green” or environmentally-
focused product or service
category”
• Not just for environmental orgs

• Winners apply “cradle to cradle” principles

• TIP: document DMA Green15 adherence

• Standard Echo performance criteria apply!
Source: www.the-dma.org/environment
Myth?...
“Green Echo Award criteria do
not give an advantage to
organizations that fall within a
“green” or environmentally-
focused product or service
category”



                               NEXT MYTH
Myth?...
“Consumer behavior affects
the lifecycle environmental
impact of direct marketing as
much as other considerations
such as production and
transportation”
Lifecycle Carbon Footprint Distribution
     Direct Marketing Medium: Catalogs




                                  Consumer
                                  Behavior
                                  MATTERS!

                              Source: AF&PA 1/5/11 LCA For Printing & Writing Papers
DMA “Recycle Please” in action




Image source: Quadriga Art www.quadrigaart.com
Myth?...
“Consumer behavior affects
the lifecycle environmental
impact of direct marketing as
much as other considerations
such as production and
transportation”



                                NEXT MYTH
Myth?...
“Delivering products and
services online or in the cloud
represents a shift toward
environmentally friendly
communications compared
with traditional print-based
mediums”
Behind every digital communication is a server, a data
center and a consumer electronic device




                      Where does the ENERGY come from?
Major data center
      operators tracked by:

      • % clean energy used

      • Energy transparency

      • Infrastructure siting

      • Energy efficiency &
      GHG mitigation

      • Renewables &
      advocacy



Source: Greenpeace 4-2012; “How green is your cloud”?
“How green is your cloud?”




Activists re-brand an Apple store in this guerilla marketing maneuver
Is today‟s digital marketing „clean technology‟?
    Source: Mountaintop Removal Coal Mining, WV, USA
    http://itsgettinghotinhere.org/2007/03/14/vice-tv-on-mountaintop-removal/




   Environmental impact of mountaintop removal coal mining for energy production
Myth?...
“Delivering products and services
online or in the cloud represents a
shift toward environmentally
friendly communications
compared with traditional print-
based mediums”




                                      NEXT MYTH
Myth?...
“Consumers have fairly
accurate perceptions about the
contribution that admail makes
toward total household waste”
Table Source: 2008 Pitney Bowes, “The Truth About Green” – consumer attitudes survey.
Data Source: USA EPA MSW Report.
Closing the perceptual gap with consumers




  voluntary
  guided by EPA metrics
  highly visible
  FTC-approved
  zero marginal cost
Myth?...
“Consumers have fairly
accurate perceptions about the
contribution that admail makes
toward total household waste”




                             NEXT MYTH
Myth?...
“USPS has struggled to
implement sustainability
practices amidst declining mail
volumes that reduce revenue
available to invest in green
activities”
$400 million in savings since 2007
facility energy management systems
 400 employee “green teams”
 Consolidated I.T.
 41,000 alternative fuel vehicles
 green roofs and more
Myth?...
“USPS has struggled to
implement sustainability
practices amidst declining mail
volumes that reduce revenue
available to invest in green
activities”



                                  NEXT MYTH
Myth?...
“UPS saved 3 million
gallons of gasoline per year
by reconfiguring delivery
routes to avoid left turns”
95,000 vehicles = 69 million lbs CO2 avoided
Myth?...
“UPS saved 3 million
gallons of gasoline per year
by reconfiguring delivery
routes to avoid left turns”




                           NEXT MYTH
Myth?...
“Green initiatives have a
long 3-5 year payback
period which puts them at
odds with the fast-paced
world of digital marketing”
“Cloudsourcing” solutions: GSA reduced energy
consumption by 90% and carbon emissions by 85%

       $285,000 annual energy cost savings (93% savings)
Crowdsourcing solutions to pervasive
       sustainability problems
Problem: Sustainable packaging
Solution: Starbucks Betacup Competition



                             multi-channel direct marketing innovation.
DMA Green15: Packaging
Encourage packaging suppliers and designers to actively manage
the environmental footprint of product packaging




                   Avoid the “packaging hall of shame”
Myth?...
“Green initiatives have a long
3-5 years payback period
which puts them at odds with
the fast-paced world of digital
marketing”




                                  NEXT MYTH
Myth?...
“In print-based
marketing, paper choices
play a significant role in
improving environmental
impact”
All paper is not created equal




                      Consider lifecycle
                      environmental impact
                      when weighing
                      alternatives or making
                      the business case for
                      one marketing
                      medium over another
Certification programs establish a
                            chain of custody




 avoid financial & reputational risk of sourcing illegal fiber
 protect biodiversity and human rights in developing countries
 add to brand value and pricing power


Image Source: www.papermartonline.com
Myth?...
“In print-based marketing,
paper choices play a
significant role in improving
environmental impact”




                                NEXT MYTH
Myth?...
“E-Waste is subject to
regulation today, making it
a critical consideration for
marketers designing
integrated digital
communications”
More states are requiring producers to take
      responsibility for waste products

                       2006                                                2012




Source: Product Stewardship Institute. http://www.productstewardship.us/
Myth?...
“E-Waste is subject to
regulation today, making it a
critical consideration for
marketers designing integrated
digital communications”




                             NEXT MYTH
Myth?...
“U.S. CEOs believe that
marketing value created by
sustainability is a lesser benefit
than operational gains such as
production cost savings”
How Sustainability Creates Value
                According to Survey of 1,500 corporate CEO’s and executives in the U.S.

Improved company or brand image
                                                                      30%
Cost savings

Competitive advantage
                                                      Q: “What are the
Employee satisfaction, morale and retention           greatest benefits to your
Product, service or market innovation                 organization in
Business model or process innovation
                                                      addressing sustainability
                                                      issues?”
New sources of revenue or cash flow

Effective risk management

Enhanced stakeholder relations

Other
        2%                                              Source: MIT Sloan Management Review. “The Business of
                                                                  Sustainability.” Fall 2009. Berns, Townend, et al.
Myth?...
“U.S. CEOs believe that
marketing value created by
sustainability is a lesser benefit
than operational gains such as
production cost savings”




                                 END GAME
Thank You for Playing!




      Green Marketing Edition



the-dma.org/environment          START OVER

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Myth Busters Game: Green Marketing Edition

  • 1. Sed ut perspi undomnis oiste Natus aei Green Marketing Edition Presenter: Adam Freedgood Tweet: @thegreenophobe
  • 2. The Game: • 30 minutes…goal: 12 Myths • Categories: • Green For Dummies • Print Direct Marketing • Digital Direct Marketing • Triple Bottom Line • Contestants & Ask The Audience
  • 3. Triple Green For Print Digital Bottom Dummies Line EASY EASY EASY EASY MEDIUM MEDIUM MEDIUM MEDIUM HARD HARD HARD HARD END GAME
  • 4. Myth?... “Promoting „Go Green, Go Paperless‟ to customers is a leading green direct marketing strategy”
  • 6. Based on a narrow set of attributes Ignores important environmental issues Example: saying paper is environmentally-preferable because it comes from a sustainably-harvested forest Not substantiated by easily accessible info Lack of reliable third party certification Example: paper products claiming X% recycled content without providing evidence Source: TerraChoice 7 Sins of Greenwashing.
  • 7. Tips for avoiding “false dilemmas and forced choices” in direct marketing Source: Institute for Sustainable Communication. “Print vs digital media: false dilemmas and forced choices.”
  • 8. Myth?... “Promoting „Go Green, Go Paperless‟ to customers is a leading green direct marketing strategy” NEXT MYTH
  • 9. Myth?... “The marketing practice known as ‘greenwashing’ is controversial but poses little legal risk to marketers”
  • 10.
  • 11. Who “polices” greenwashing by marketers in the U.S.?
  • 12. Myth?... “The marketing practice known as ‘greenwashing’ is controversial but poses little legal risk to marketers” NEXT MYTH
  • 13. Myth?... “Green Echo Award criteria do not give an advantage to organizations that fall within a “green” or environmentally- focused product or service category”
  • 14. • Not just for environmental orgs • Winners apply “cradle to cradle” principles • TIP: document DMA Green15 adherence • Standard Echo performance criteria apply!
  • 16. Myth?... “Green Echo Award criteria do not give an advantage to organizations that fall within a “green” or environmentally- focused product or service category” NEXT MYTH
  • 17. Myth?... “Consumer behavior affects the lifecycle environmental impact of direct marketing as much as other considerations such as production and transportation”
  • 18. Lifecycle Carbon Footprint Distribution Direct Marketing Medium: Catalogs Consumer Behavior MATTERS! Source: AF&PA 1/5/11 LCA For Printing & Writing Papers
  • 19. DMA “Recycle Please” in action Image source: Quadriga Art www.quadrigaart.com
  • 20. Myth?... “Consumer behavior affects the lifecycle environmental impact of direct marketing as much as other considerations such as production and transportation” NEXT MYTH
  • 21. Myth?... “Delivering products and services online or in the cloud represents a shift toward environmentally friendly communications compared with traditional print-based mediums”
  • 22. Behind every digital communication is a server, a data center and a consumer electronic device Where does the ENERGY come from?
  • 23. Major data center operators tracked by: • % clean energy used • Energy transparency • Infrastructure siting • Energy efficiency & GHG mitigation • Renewables & advocacy Source: Greenpeace 4-2012; “How green is your cloud”?
  • 24. “How green is your cloud?” Activists re-brand an Apple store in this guerilla marketing maneuver
  • 25. Is today‟s digital marketing „clean technology‟? Source: Mountaintop Removal Coal Mining, WV, USA http://itsgettinghotinhere.org/2007/03/14/vice-tv-on-mountaintop-removal/ Environmental impact of mountaintop removal coal mining for energy production
  • 26. Myth?... “Delivering products and services online or in the cloud represents a shift toward environmentally friendly communications compared with traditional print- based mediums” NEXT MYTH
  • 27. Myth?... “Consumers have fairly accurate perceptions about the contribution that admail makes toward total household waste”
  • 28. Table Source: 2008 Pitney Bowes, “The Truth About Green” – consumer attitudes survey. Data Source: USA EPA MSW Report.
  • 29. Closing the perceptual gap with consumers  voluntary  guided by EPA metrics  highly visible  FTC-approved  zero marginal cost
  • 30. Myth?... “Consumers have fairly accurate perceptions about the contribution that admail makes toward total household waste” NEXT MYTH
  • 31. Myth?... “USPS has struggled to implement sustainability practices amidst declining mail volumes that reduce revenue available to invest in green activities”
  • 32. $400 million in savings since 2007 facility energy management systems  400 employee “green teams”  Consolidated I.T.  41,000 alternative fuel vehicles  green roofs and more
  • 33. Myth?... “USPS has struggled to implement sustainability practices amidst declining mail volumes that reduce revenue available to invest in green activities” NEXT MYTH
  • 34. Myth?... “UPS saved 3 million gallons of gasoline per year by reconfiguring delivery routes to avoid left turns”
  • 35. 95,000 vehicles = 69 million lbs CO2 avoided
  • 36. Myth?... “UPS saved 3 million gallons of gasoline per year by reconfiguring delivery routes to avoid left turns” NEXT MYTH
  • 37. Myth?... “Green initiatives have a long 3-5 year payback period which puts them at odds with the fast-paced world of digital marketing”
  • 38. “Cloudsourcing” solutions: GSA reduced energy consumption by 90% and carbon emissions by 85% $285,000 annual energy cost savings (93% savings)
  • 39. Crowdsourcing solutions to pervasive sustainability problems Problem: Sustainable packaging Solution: Starbucks Betacup Competition multi-channel direct marketing innovation.
  • 40. DMA Green15: Packaging Encourage packaging suppliers and designers to actively manage the environmental footprint of product packaging Avoid the “packaging hall of shame”
  • 41. Myth?... “Green initiatives have a long 3-5 years payback period which puts them at odds with the fast-paced world of digital marketing” NEXT MYTH
  • 42. Myth?... “In print-based marketing, paper choices play a significant role in improving environmental impact”
  • 43. All paper is not created equal Consider lifecycle environmental impact when weighing alternatives or making the business case for one marketing medium over another
  • 44. Certification programs establish a chain of custody  avoid financial & reputational risk of sourcing illegal fiber  protect biodiversity and human rights in developing countries  add to brand value and pricing power Image Source: www.papermartonline.com
  • 45. Myth?... “In print-based marketing, paper choices play a significant role in improving environmental impact” NEXT MYTH
  • 46. Myth?... “E-Waste is subject to regulation today, making it a critical consideration for marketers designing integrated digital communications”
  • 47.
  • 48.
  • 49. More states are requiring producers to take responsibility for waste products 2006 2012 Source: Product Stewardship Institute. http://www.productstewardship.us/
  • 50. Myth?... “E-Waste is subject to regulation today, making it a critical consideration for marketers designing integrated digital communications” NEXT MYTH
  • 51. Myth?... “U.S. CEOs believe that marketing value created by sustainability is a lesser benefit than operational gains such as production cost savings”
  • 52. How Sustainability Creates Value According to Survey of 1,500 corporate CEO’s and executives in the U.S. Improved company or brand image 30% Cost savings Competitive advantage Q: “What are the Employee satisfaction, morale and retention greatest benefits to your Product, service or market innovation organization in Business model or process innovation addressing sustainability issues?” New sources of revenue or cash flow Effective risk management Enhanced stakeholder relations Other 2% Source: MIT Sloan Management Review. “The Business of Sustainability.” Fall 2009. Berns, Townend, et al.
  • 53. Myth?... “U.S. CEOs believe that marketing value created by sustainability is a lesser benefit than operational gains such as production cost savings” END GAME
  • 54. Thank You for Playing! Green Marketing Edition the-dma.org/environment START OVER

Hinweis der Redaktion

  1. Welcome to Mythbusters: Green Marketing Edition, the game where we explore the role that environmental sustainability plays in multi-channel direct marketing. For the next 30 minutes we will put a dozen different green marketing myths to the test. We will uncover the myths and see if they stand up to the facts about how environmentally friendly initiatives support profitability in today’s direct marketing world. Adam Freedgood is your host for today’s game. Adam is the vice-chairperson of the DMA Committee on the Environment and Corporate Social Responsibility and director of business development for Quadriga Art, a multinational firm specializing in integrated direct marketing strategies for mission-driven organizations.
  2. First we’ll state a myth that has to do with environmental sustainability and direct marketing. Each myth falls into one of four categories. We’ll then present some factual information to help confirm or bust the myth. A myth is “plausible” if it could be true under certain circumstances that are likely to happen often. We will alternate through contestants until all 12 myths are addressed. Contestants can ask the audience for help if the answer is not apparent.
  3. These are examples of “go green, go paperless” logos, seals and messaging we see in the marketplace. One of the marketers using the “Save the Planet” seal is a home builder. “What if all the forests suddenly disappeared…” is known as a false dilemma…there is actually more forested land in the U.S. today than at the turn of the century. Although consumer preference is a DMA-supported marketing best practice, “paperless” billing and other paperless communications options do not exemplify 3BL or “triple bottom line” thinking. “Go Green, Go Paperless” frequently fits the criteria for “greenwash”. Unless a marketer specifies the specific environmental gains that are achieved by the “paperless” option. http://d3m0l1sh3r.deviantart.com/art/Go-Paperless-Poster-312802070http://www.verdeicorp.com/Pages/owner.aspx
  4. The “go green, go paperless” statement is typically made in a very brief and unsupported way when it is promoted to consumers. The lack of proof about how going paperless represents a “green” activity is the problem here.
  5. Source: Institute for Sustainable Communication. “Print vs digital media: false dilemmas and forced choices.” http://www.sustainablecommunication.org/downloads/whitepapers/printvsdigital_false-dilemmas-and-forced-choices.pdf
  6. Greenwashing is considered deceptive advertising by the Federal Trade Commission. Marketers are also subject to regulation by BBB and private legal action by competitors and activist nonprofit organizations such as Friends of the Earth, NRDC and EcoJustice.
  7. We produced the Winter 2010/11 direct marketing campaign with the goal of strategically supporting the sustainability objectives of meeting our acquisition targets, serving the ongoing needs of consumers, and of being good stewards of the resources we use. Direct Marketing and Publishing Operations departments worked collaboratively guided by our internal Environmental Policy & Vision Statement to identify, implement, and track meaningful environmental choices made throughout the life cycle of the campaign season.The overall environmental benefits of the choices we made included less energy and materials consumption, more benign manufacturing, and reduced emissions. Additionally, we promoted recycling of direct marketing packages that are recyclable, saved money, upheld response rates, and met our objectives.
  8. Source:www.the-dma.org/environment
  9. FACT! The Green Echo is an award category that takes into account lifecycle environmental planning in marketing campaign execution. The award is judged on several criteria common to the traditional Echo Award including overall performance and creative execution.
  10. The end-user impact portion of the environmental lifecycle for many paper products is a substantial portion of the total environmental impact from a C02 perspective. Source: AF&PA January 5, 2011 “Life Cycle Analysis presentation for printing and writing papers.” Catherine Foley et al.
  11. Getting more consumers to recycle a product equates to measurable environmental benefit with no marginal cost to marketers.
  12. This myth is confirmed in the case of many marketing mediums and products – catalogs and some magazines for example. Because every product, service and marketing approach has a different lifecycle environmental impact, we’ll call this myth “plausible” to avoid generalizing. Bottom line: it depends on the product but for most direct marketing approaches, consumer behavior (recycling, type of energy use, etc.) plays a big role.
  13. Source: Greenpeace 4-2012; “How green is your cloud”? Data centers use 3% of all energy in the U.S. (doubled in past 5 years)–Carbon footprint currently ½the size of the entire air travel industry–Growth rate = 10 new coal or nuclear power plantsE-Waste – (Hardware…PCs, PDAs, Laptops, Servers, Routers, Mobile, etc.)–Pending EPA regulation: Hugely toxic. Lead. Mercury. Nasty stuff!
  14. Source: MountaintopRemoval Coal Mining, WV, USA; http://itsgettinghotinhere.org/2007/03/14/vice-tv-on-mountaintop-removal/
  15. Source: 2008 Pitney Bowes, “The Truth About Green” – consumer attitudes survey. Source: USA EPA MSW Report.
  16. The DMA Recycle Please logo mark helps close the perceptual gap for brands that market using direct mail.
  17. http://www.ipc.be/en/Media/News/General%20news/USPS%20Greenhouse%20Gas%20Emissions%20Decrease%20by%20Nearly%201%20Million%20Metric%20Tons.aspxhttp://about.usps.com/news/national-releases/2011/pr11_085.htm$400mm in energy cost avoidance since FY07; potential savings: $150mm/yr2.5acre green roof and building retrofits in NYC: $1million in energy savings in first year$25mm in recycling revenue generated in 2011; recycling about 46% of solid waste for 215,000 tons.
  18. 95,000 vehicles. 69 million lbs CO2 avoided. Less time idling meant less fuel consumption. Discovery Channel’s Mythbusters tested and confirmed this myth in their own controlled experiment.
  19. Example: outsourcing IT computer power – going from in-house dedicated servers to systems “shared” with thousands of other businesses. Source: “Google Apps: Energy Efficiency in the Cloud.” 2012. Google. http://static.googleusercontent.com/external_content/untrusted_dlcp/www.google.com/en/us/green/pdf/google-apps.pdf
  20. Customer interaction. Risk avoidance. Cost savings. Brand power. http://s3files.core77.com/blog/images/2010/04/betacup-comp.jpgDigital QR Code example: “Champion Cup.” http://www.jovoto.com/projects/drink-sustainably/ideas/5357
  21. http://conformerinc.wordpress.com/2009/12/29/hall-of-shame-5-sh/
  22. Chain of custody graphic Source: www.papermartonline.com Who handles this in your organization? Purchasing. Production. Designers. Agency. Printer/mailhouse.
  23. E-Waste recycling rate in the U.S. is only 15% compared with over 50% for paper products.
  24. Retailers are profiting from recycling programs but this is one category where government regulation is catching up with voluntary efforts.
  25. Source: Product Stewardship Institute. http://www.productstewardship.us/Electronics are a key focus in most states because today’s electronic devices contain lead, mercury other heavy metals and contaminates which are harmful to people and the natural environment at all stages of production and disposal. Electronics must not be sent to landfills…but there’s value in all that waste!
  26. Statement: “America’s CEO’s agree that the primary corporate value created from sustainability is effective risk management.”