The Murky World Of Green Advertising

Published: 21 September 2010

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3 pages, 1 figure

Executive Summary

Marketing directors and sustainability leaders need to shift from CSR reporting to ongoing sustainability communications. This new approach faces challenges such as the erosion of consumer trust from years of greenwash, and primarily reactive regulator guidance. Firms’ environmental claims continue to draw public criticism from both environmental NGOs and advertising regulators. In the UK and US the Advertising Standards Agency and the Federal Trade Commission enforce advertising standards and publicise rulings against firms. However, using regulator guidance to navigate the complexities of sustainability communications is insufficient. Fundamentally this is because product sustainability extends beyond a single attribute, and a firm’s overall sustainability reputation overrides any single initiative. Key principles to follow in order to avoid greenwash accusations include thinking how multiple audiences will react, communicating transparent sustainability data and connecting sustainability claims with the business model.

TABLE OF CONTENTS

MARKETING FAILS TO ADDRESS THE COMPLEXITIES OF SUSTAINABILITY
Firms Continue To Fall Short Of Expectations For Environmental Claims
Following Regulatory Guidance Does Not Fix The Problem
Marketing Teams Need To Apply Sustainability Checks And Balances

TABLE OF FIGURES

Figure 1. Firms’ Advertising Claims Fall Foul Of Regulators And Watchdogs

COMPANIES MENTIONED

Advertising Standards Agency, Audi, Boston Globe, Consumers International, Defra, EnviroMedia, Environmental Protection Agency, Inhabitat, Federal Trade Commission, FedEx, Greenpeace, Kmart, National Geographic, Nestlé Waters, Renault, Shell, Tender, The Greenwashing Blog, Wikipedia

RELATED RESEARCH

Green Quadrant: Sustainability Communications Agencies (US)