If reducing carbon footprint increases demand, how does that affect your marketing story?

As consumers and governments become more aware of the concerns relating to the consequences of climate change, there are measures and incentives for businesses and consumers to try to reduce their carbon footprint (the amount of greenhouse gas, mainly carbon dioxide released into the air by human activity).

It’s become commonplace for businesses to measure their carbon footprint and to show the measures being taken to try to reduce it. As consumers become more aware of the need to try and tackle climate change, they are starting to factor this into their purchasing decisions.

Pricing correlation

Since looking for greener solutions often has a cost implication, it’s important for businesses to determine how the market will respond to raised prices if the cost per unit needs to increase. Consumers making a concerted effort to make the right purchasing decisions may be willing to pay more, but the message has to be clear so that they can see why they should make this decision. In practice, reducing an organisation’s carbon footprint may focus on eliminating waste and working more efficiently, which could actually drive a reduction in unit costs.

Demand paradox

There is a paradoxical problem that if a firm’s reduced carbon footprint increases demand, the overall effect is an increase in sales which in turn increases the footprint at an organisational level. With regulations being put into place to reduce the impact of climate change and uncertainty about future direction, businesses and marketing experts are starting to look at innovative ways to offer greener products.

As growing awareness among consumers starts to take hold, it’s important for businesses to stay ahead of the game and make sure that they have a team in place with specialist knowledge as to how to produce greener products and how to promote them to a target audience looking for reassurance that they are making the right choices.

Many businesses put together a communication strategy and make their carbon footprint activity visible, either at product level or organisational level, offering transparency to consumers to aid them in their purchasing decisions. This might show how the business has offset its carbon emissions by taking part in environmental projects or it may illustrate to consumers which packaging methods offer the lowest carbon footprint, again letting the consumer make an informed decision.

There are many challenges that lie ahead when it comes to trying to tackle climate change, both at organisational level and at consumer level and it’s important for businesses to put it at the top of their agenda. Although we cannot yet understand the full implications of some of the proposed regulations and incentives to work in a more environmentally focused way, we can look at the opportunities that it presents and make sure that we are best prepared.

If your organisation is keen to tackle these problems head-on and is looking for forward-thinking personnel to drive the marketing function forward, why not contact the experts at Clifford Associates and let us help you to find the right candidates for the job. Our experience in working to understand client businesses and to match them with the very best candidates ensures that we can help you to put together the right team to drive your business forward into a greener future.

 

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  • Tom Salvat, CEO, CONCURED
    "As a fast-growing start up, we need great people with a tough set of skills to find. They need to be hungry, experienced and fit the culture of a business that is always adapting and growing. Finding these people using Linkedin and other job boards is tough, time-consuming and rarely bears fruit. Ross has always been able to uncover gems for us, and we are benefiting greatly from his skills at CONCURED. Ross has a rare ability to really understand the business, the culture and the people that will nail the role. I couldn't recommend him highly enough, and he is the only recruiter we deal with"      
    - Tom Salvat, CEO, CONCURED
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    Karen Troman, Office Manager & HR Co-ordinator, VoucherCodes.co.uk part of RetailMeNot
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    Neil Kettleborough, CRO & Co Founder, Chalk Social
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    Helen Rosemier, Commercial Director, Professional & Financial Services Practice, Longitude

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