Jonathan Dodd, evp/director of strategy at G2, a global marketing services agency, thinks eco-friendly business practices will survive the recession and retailers that continue to promote their greenness will benefit once the economy starts growing again.
Mr. Dodd told Brandweek, "The current economic cycle will eventually bottom out. The challenges facing the planet will not recede as quickly or as easily. Sustainability is a long-term commitment. It's one thing to focus on other priorities and another thing altogether to backpedal on commitments made. Times of change also offer opportunities to change the game. If Wal-Mart, a retailer that is doing relatively well in these challenging times, can maintain its commitment to sustainability and price, it could emerge in a far stronger position that by focusing on price alone."
Among retailers, Mr. Dodd said Tesco's Green Clubcard Program, which provides consumer rewards for buying green products, was most worthy of emulation. He hadn't seen anything on par with it, however, in the U.S. yet.
Creating a similar program would allow retailers to establish credibility for corporate sustainability goals while serving as an "easy way to motivate and reward consumers to pursue greener behaviors," he said.
Mr. Dodd pointed to programs such as "BP offering carbon-offsetting opportunities" as a means to promote a desired behavior on the part of consumers while reinforcing a positive image in their minds at the same time.
He pointed to Kroger for an example of how to market eco-friendly attributes while addressing other concerns more immediately top-of-mind with shoppers. The grocer, Mr. Dodd told Brandweek, promoted "some of its private label brands not only as competitively priced, but also as using recyclable paper in their packaging to add value to the overall proposition."
Discussion Questions: Should retailers and brands step back from green initiatives considering the financial challenges faced by shoppers? Is there a way for retailers to have their green cake and eat it too? What merchants in the U.S. or abroad are navigating the economic crisis while building on their green credentials at the same time and doing it successfully?