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Green Marketing Strategies and Consumer Behavior

This article examines how marketing mix strategies can help close the gap between consumers' pro-environmental beliefs and behaviors. The study evaluates how different elements of a green marketing mix influence consumer-based brand equity for green brands. It also investigates how consumers' environmental concerns and consideration of future consequences may moderate these relationships. A model is developed and tested using data from consumers and five global green brands. The results reveal seven implications for strategically managing green products, promotions, channels, and messaging.

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100% found this document useful (1 vote)
199 views25 pages

Green Marketing Strategies and Consumer Behavior

This article examines how marketing mix strategies can help close the gap between consumers' pro-environmental beliefs and behaviors. The study evaluates how different elements of a green marketing mix influence consumer-based brand equity for green brands. It also investigates how consumers' environmental concerns and consideration of future consequences may moderate these relationships. A model is developed and tested using data from consumers and five global green brands. The results reveal seven implications for strategically managing green products, promotions, channels, and messaging.

Uploaded by

Izmi Asyifa
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

This article was downloaded by: [Monash University Library]

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Journal of Strategic Marketing


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subscription information:
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Marketing mix strategies for closing the


gap between green consumers' pro-
environmental beliefs and behaviors
a a
Arezoo Davari & David Strutton
a
Department of Marketing and Logistics, University of North
Texas, Denton, TX, USA
Published online: 14 May 2014.

To cite this article: Arezoo Davari & David Strutton (2014): Marketing mix strategies for closing
the gap between green consumers' pro-environmental beliefs and behaviors, Journal of Strategic
Marketing, DOI: 10.1080/0965254X.2014.914059

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Journal of Strategic Marketing, 2014
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Marketing mix strategies for closing the gap between green consumers’
pro-environmental beliefs and behaviors
Arezoo Davari and David Strutton*

Department of Marketing and Logistics, University of North Texas, Denton, TX, USA
(Received 12 September 2013; accepted 17 January 2014)

A substantial gap – or disconnect – exists between the stated pro-environmental


Downloaded by [Monash University Library] at 11:29 04 December 2014

beliefs and actual consumption behaviors of purportedly green consumers. Given


this complicating factor, the construction and execution of successful green
marketing strategies generally require more than broad-brush development and
applications of short-term marketing plans. This study was initiated to evaluate the
influence of managed green marketing mix elements on the dimensions of
consumer-based brand equity in a green marketing context, in an effort to develop
insights that will allow green marketers to close this gap. The potential moderating
influence of consumers’ environmental concerns and their consideration of the future
consequences of current behaviors are also investigated. A model is developed and
tested using a snowballing sample of consumer and five global brands selected from
Interbrand. Seven discrete green marketing implications – each related either to the
strategic management of green products, promotions, channels, or messages – are
revealed.
Keywords: consumer-based brand equity; green marketing strategy matrix; green
marketing; green products

Introduction
The percentage of US consumers who actively express concerns about environmental
problems and challenges has grown decade by decade (Manget, Roche, & Münnich,
2009). Consumer worries about the unsustainable use of resources, how best to manage
waste/by-products, or the threat of global warming abound. As do concerns about how
future generations will be negatively impacted such environmental threats and problems
(Jain & Kaur, 2004).
In response, some consumers are naturally turning toward the consumption of the so-
called green products. Such decisions to go green are often grounded in and driven by an
expectation that such choices help the environment. But many experts believe few
consumers are making the green call; and therein lies the rub – or disconnect – between
the stated green beliefs and observed green behaviors of consumers (Braimah &
Tweneboah-Koduah, 2011; Makower & Pike, 2009).
Social scientists generally understand why this gap between consumers’ stated
green beliefs and their actual green exists – and is so prevalent. In most decision-making
contexts, consumers pursue their self-interests. Usually, they do so either by
embracing personal benefits or by avoiding personal costs. These manifestations of
consumers’ ‘pursuit of their self-interests’ play out in ways that exercise divergent – and

*Corresponding author. Email: [Link]@[Link]

q 2014 Taylor & Francis


2 A. Davari and D. Strutton

often opposing – effects on their subsequent beliefs and behaviors (Lewin, Strutton, &
Paswan, 2011).
Given this complicating factor, successful green marketing strategies generally
require more than broad-brush execution of short-term marketing plans (Kirkpatrick,
1990). Longer-term and more subtle strategic thinking usually proves necessary to
establish and maintain relationships with green customers. As does the judicious use of
always limited organizational resources, particularly given that green products
inevitably cost more to produce than ordinary alternatives. Expensive promotional
campaigns similarly must be employed to introduce, explain, and/or justify/rationalize
the benefits of going green. Governmental or other agency subsidies offered in support
of green marketing initiatives, if available at all, frequently require years to acquire
(Christensen, 1994). Finally, green marketers invariably have no choice but to charge
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premium prices.
Marketers have responded strategically to consumers’ expressed – but often
consciously unfulfilled – desire to go green by designing, manufacturing, and
distributing environmentally friendlier products. Sometimes, such products are
positioned primarily based on their ability to deliver direct, near-term benefits to
purchasing consumers or their immediate family. Organic foods, which redound to the
health of consumers, illustrate this sort of green product. At other times, green products
are positioned based on their ability to deliver longer-term values that promote
environmental interests or the welfare of future generations. In either case, green
marketing strategies are usually costly and complicated – and manifestly difficult to
execute successfully. In fact, green strategies are unlikely to profit given firms unless
they generate uniquely desirable positions in the minds of targeted consumers for
whatever green brand or cause is being marketed. Over time, the more successful green
strategies are usually those that also generate more favorable brand associations, greater
credibility, enhanced perceptions of brand quality and higher brand loyalty among
targeted groups of consumers. Not coincidentally these, four communication outcomes
(i.e., brand associations, credibility [or trust], quality, and loyalty) collectively comprise
the consumer-based brand equity (CBBE) construct (Aaker, 1991; Blackstone, 1992;
Chaudhuri & Holbrook, 2001; Oliver, 1999).

Study purpose
This study’s first purpose is to develop managerial insights that will allow marketers to
improve their green strategies. Its second purpose is to generate insights that assist
theorists as they investigate issues related to green brand equity or the identification of
green strategies. This research also investigates the possible influence that two
mediating factors exercise on the relationship between green marketing strategy – i.e.,
involving use of green product development, pricing, promotional, and distribution
tactics – and CBBE. These two mediating factors are (1) consumers’ environmental
concerns and (2) consumers’ consideration of the consequences of their behaviors on
others and themselves.
This study should yield insights regarding the identity of green marketing mix
elements that exert the most/least influence on brand equity. It should also generate
insights regarding how best to target differing green marketing values toward discrete
consumer segments based on the degree to which given segments’ membership is
predisposed/not predisposed to be concerned about the environment or to evaluate/not
evaluate the environmental consequences of their behaviors.
Journal of Strategic Marketing 3

Theoretical background
Green marketing strategies
The American Marketing Association describes green marketing as efforts by businesses
to produce, promote, distribute, package, or recycle products in ways that are sensitive or
responsive to ecological concerns. Green marketing been defined as ‘all activities
designed to generate and facilitate any exchanges intended to satisfy human needs, such
that the satisfaction of these needs and wants occurs, with minimal detrimental impact on
the natural environment’ (Polonsky, 1994, p. 2). Various other descriptions and definitions
exist. However the term is defined, green marketing entails the development of strategies
that target and selectively appeal to environmentally conscious customers (McDaniel &
Rylander, 1993).
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A green marketing strategy matrix


Marketers should consider two factors before adopting green marketing strategies
(Ginsberg & Bloom, 2004). The first relates to the probable size of the green market in
their sector; the second to those marketers’ ability to differentiate their green products
from the ordinary or green products of competitors. After considering these factors,
marketers should answer four other questions: (1) ‘how substantial is the green consumer
segment for the company?’ (2) ‘can the company increase its revenue by implementing a
green strategy,’ (3) ‘does the company have the required resources and the commitment of
the top managers to be green?’ or (4) ‘can the company compete with current rivals on
environmental issues ?’ (Ginsberg & Bloom, 2004, p. 81). Then, based on the answers, one
or more of four green marketing strategies could be pursued. Two strategies are defensive
in nature; two are assertive:
. Defensive green strategies are wielded to avoid negative consequences that
otherwise would emanate from threatening competitive or public policy initiatives.
Defensive green firms are often unable to differentiate their endemic values from
the values provided by other green competitors due to resource or capability
constraints. Consequently, defensive efforts to promote green initiatives are often
temporary. Firms that opt for defensive green strategies often fail to achieve
material buy-in of their green bona fides among targeted audiences. Because the
market usually perceives their green efforts as minimal, the brand images of
defensive green firms are rarely enhanced (McDaniel & Rylander, 1993).
. Lean green strategies, which are also defensive, permit firms to convert themselves
into legitimately munificent corporate citizens. Lean green firms typically use pro-
environmental activities to reduce costs by improving manufacturing or supply
chain process efficiencies. But for various reasons, Lean greens rarely publicize
their green initiatives, instead opting to create low-cost, rather than green,
advantages. In the process, Lean green firms often secure subsidies from
governmental or environmental agencies (Ginsberg & Bloom, 2004).
. Shaded green strategies help firms develop competitive advantages based on their
ability to deliver innovative, green needs-satisfying products and technologies
(Chen & Lin, 2011). Firms that implement this assertive strategy differentiate
products and brands from competitive alternatives based on their ability to deliver
distinctive green values. Shaded green firms usually promote the presence of pro-
environmental values in their offerings, albeit as a secondary benefit (Ginsberg &
Bloom, 2004).
4 A. Davari and D. Strutton

. Extreme green strategies are generally implemented by firms seeking to integrate


environmental issues into their core business and product life-cycle processes (Chen
& Lin, 2011). Firms usually choose extreme green strategies to serve and satisfy the
green needs of niche markets. Extreme green firms also often distribute their
products through specialty channels. Extreme green strategies are shaped by holistic
business philosophies and values that generally pervade throughout the
organization. Life-cycle pricing approaches, total quality environmental manage-
ment, and environmental munificent manufacturing processes are key extreme
green practices (Ginsberg & Bloom, 2004).

The green marketing mix


Green-oriented marketing mixes also exist. Green marketing mixes broadly entail green
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product development and the execution of pricing, promotional, and/or supply chain tactics
specifically aimed at promoting or preserving environmental welfare (Kinoti, 2011). One key
difference discriminates green and traditional marketing mixes, i.e., the development of
values aimed at satisfying pro-environmental and societal needs is weighted more heavily in
green marketing mixes (Chan, He, & Wang, 2012). The means by which the traditional
marketing mix elements are managed in green marketing strategies are explained below:
. Green products are typically created through environmentally friendlier processes.
Green offerings generally yield more environmentally munificent outcomes as they are
consumed. Green products tend to be more durable and less toxic; indeed, they often are
produced from recycled materials (Ottman, 1998). Green product tactics include, but
are not limited to some combination of the following activities: recycling, repurposing,
or dematerializing products; reducing packaging materials; re-consumption; making
products more durable, reparable, compostable, or disposable; or delivering safer or
more salutatory products (Kinoti, 2011).
. Green prices account for the premiums that consumers often must pay to acquire green
products. Such premiums are often necessary because production costs are higher.
Higher green production costs, in turn, result from the fact that socio-environmental
costs which otherwise would be externalized throughout the environment are
internalized within the firm itself (Peattie & Crane, 2005). At times, however, higher
green prices arise because firms must persuade customers that they should willingly pay
more to benefit either themselves, future generations, or the environment (Chan et al.,
2012). Consumers traditionally pay more for products when they perceive that the
offering delivers more value than erstwhile comparable alternatives. The key, of
course, is differentiation. Differentiating green values might emerge from performance
improvements, superior designs, aesthetic appeals, new green features/functions, or
environmental affinity (Mishra & Sharma, 2012).
. Green promotions typically play the most important role in green marketing mix
tactics. Most consumers view green marketing as little more than promotions of
products that purportedly benefit the environment (Kinoti, 2011). Green promotional
tools are generally used to convey messages intended to persuade customers that their
deciding to ‘go-green’ benefits the environment. Green promotions should satisfy one
or more of three criteria, i.e., (1) they explicitly or implicitly reveal and/or elevate the
relationship between products and the biophysical environment; (2) endorse green
lifestyles, with or without highlighting a product/service; and/or (3) present, enhance,
or sustain environmentally responsible corporate images (Banerjee, Gulas, & Iyer,
1995).
Journal of Strategic Marketing 5

. Green place involves management of tactics related to distributing green products from
their points of origin to points of consumption. Relatively, few consumers actively
search out green products just for the sake of ‘going green.’ Consequently, decisions
about how and where to make green products available are inordinately important.
Indeed, the need to reach green consumers where they shop is almost always pressing.
Niche-like distribution tactics are rarely a good choice for green products. Consumers
must be exposed repeatedly to green products across market sectors (Mishra & Sharma,
2012).

Any one of the traditional marketing mix elements could provide a baseline for
investigating differences in the effectiveness of the four green marketing strategies (i.e.,
lean, defensive, shaded, or extreme). When lean green strategies are executed, greenness is
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exhibited primarily in how products are developed, designed, or manufactured. Defensive


green strategies are similar insofar as the development, design, and manufacturing of
products remain green. But promotional elements are also integrated. When shaded green
strategies are pursued, firms pursue green customers by manipulating three marketing mix
elements: product, promotion, and pricing. Finally, all four traditional marketing mix
elements are engaged when extreme green marketing strategies are pursued. As place is
integrated as a green tactic, distribution channels and retailers are chosen and motivated
based on their ability to deliver greenness (Ginsberg & Bloom, 2004). The discussion that
follows focuses exclusively on extreme green strategies because this strategic approach
assertively applies each traditional marketing mix element.

Consumer-based brand equity


Brand equity is a crucial marketing asset. When present, brand equity enhances corporate
efforts to create unique stakeholder relationships, shape long-term purchasing behaviors, and/
or raise prices (Capron & Hulland, 1999; Hunt & Morgan, 1995). Brand equity has been
defined as ‘a set of assets and liabilities linked to a brand, its name and symbol that enhance or
diminish the value provided by product or services to either to firms and/or their consumers’
(Aaker, 1991, p. 15). Brand equity has likewise been described as the difference in consumer
choice between a focal branded product and an unbranded product given the same level of
product features (Yoo, Donthu, & Lee, 2000).
Three major perspectives on brand equity have emerged. First, there is the financial-
based brand equity (FBBE) perspective. FBBE captures the financial value that brand
equity can create for firms. Second, an employee-based brand equity (EBBE) perspective
also exists. Proponents make a dualistic case for EBBE; first, that more successful and
effective brands can be achieved through positive employee behaviors and, second, that
firms should strategically manage internal brand building processes (King & Grace, 2010).
Finally, there is the CBBE perspective. This view is based on consumer perceptions.
CBBE is thought to drive a brand’s market share and profitability (Christodoulides &
De Chernatony, 2010). The current study is structured to uncover various possible
controllable antecedents to CBBE in pro-environmental branding contexts.

Dimensions of CBBE
As noted, brand awareness, brand associations, and brand loyalty, as well as perceived
quality (of the branded product) and other brand assets such as patents, trademarks, and/or
channel relationships have been identified as brand equity dimensions (Aaker, 1991). The
6 A. Davari and D. Strutton

initial four dimensions (i.e., awareness, associations, loyalty, and perceived quality) are
presumed to capture and reflect consumers’ perceptions of and reactions to brands
(Christodoulides & De Chernatony, 2010). Researchers have also investigated consumer
trust of or satisfaction with brands as key brand equity dimensions (Blackstone, 1992).
Brand knowledge (i.e., a combination of awareness and associations) similarly has been
recognized as a key brand equity dimension (Keller, 1993). In addition, brand image has
been examined as a CBBE dimension (Sharp, 1996). Finally, the clarity of brand benefits,
uniqueness of brand benefits, perceived brand quality (PBQ), brand sympathy, and brand
trust have also been investigated as possible CBBE dimensions (Burmann, Jost-Benz, &
Riley, 2009).
Four dimensions of brand equity were selected for investigation: (1) brand
associations, (2) brand loyalty, (3) PBQ, and (4) brand trust. These specific dimensions
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were selected because each is acutely relevant in green decision-making contexts.


Brand associations have been broadly described as ‘anything linked in memory to a
brand’ (Aaker, 1991, p. 109). Brand associations consist of various ideas, episodes,
instances, and facts that establish a solid web of brand knowledge. Consequently,
associations are intrinsically complicated and multidimensionally connected to one
another. When grounded multiple experiences or communications exposures, brand
associations become stronger (Aaker, 1991). Brand associations are positively related with
brand equity. In large part, this is because brand associations signal quality and help
buyers evaluate brands more easily during various decision-making stages (Yoo et al.,
2000).
Brand loyalty is ‘a deeply held commitment to rebuy or re-patronize a preferred
product or service consistently in the future, despite situational influences and marketing
efforts having the potential to cause switching behavior’ (Oliver, 1999, p. 34). Brand
loyalty increases brand equity by creating loyal consumers. Loyal consumers tend to
purchase brands routinely as opposed to switching back and forth between brands
(Yoo et al., 2000).
PBQ is a primary dimension in brand equity models. Because PBQ influences
perceived risk, the construct can exercise strategic effects on brand equity (Aaker, 1991;
Erdem, Zhao, & Valenzuela, 2004; Keller, 1993). Research suggests PBQ functions as a
basis for brand differentiation and extensions (Aaker, 1991) and can be leveraged to justify
price premiums (Keller, 1993; Netemeyer et al., 2004).
Brand trust captures the extent to which consumers believe that given brands will
fulfill their promises (Burmann et al., 2009). The influence of brand trust increases
dramatically in situations where consumers are required to make decisions under
conditions of uncertainty. Beliefs about the reliability, safety, and/or honesty of brands
shape the formation of trust in consumers’ minds (Chaudhuri & Holbrook, 2001). Brand
trust is developed over time. The construct also serves as proxy for consumers’ prior
knowledge and experiences with brands (Delgado-Ballester & Munuera-Alemán, 2005).

Hypothesized relationships
Green marketing mix strategies and dimensions of brand equity
This research utilizes and explores the effects of each green strategy introduced above
(i.e., defensive, lean, shaded, and extreme). It does so in order to examine the relative
influence of each strategy on the brand equity that green firms are able to generate.
Specifically, relationships among the marketing mix elements (i.e., product, price,
promotion, and place) that necessarily drive the execution of green strategies and all
Journal of Strategic Marketing 7

four CBBE dimensions are explored. The results should yield actionable insights
related to the specific role played by each marketing mix element as firms roll out
green marketing strategies aimed at enhancing CBBE.

Marketing mix elements and brand associations


Product-related or nonproduct-related attributes; functional, experiential, or symbolic
benefits; and overall attitudes toward the brand are among the associations that comprise
brand image (Keller, 1993). The functional theory of attitudes suggests attitudes
afford individuals opportunities to express their self-concepts. Accordingly, attitudes
also serve a value-expressive function (Katz, 1960). As consumers become aware of
brand and develop favorable or less favorable associations with them, CBBE is shaped
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(Keller, 1993).
Firms that adopt green marketing mix-based strategies employ combination of all
traditional marketing mix elements. They do so, presumably, in an attempt to express or
enhance consumers’ perceptions of the values that are associated with their green
offerings. Consumers attitudes toward firms who seek to claim ‘green’ are inevitably
shaped – for better or worse – through their interactions with those firms’ marketing mix
elements. Product-related attributes are formed through the acquisition and/or
consumption of purportedly green products. Nonproduct-related attributes (i.e., pricing
information, packaging or product aesthetics, usage, and user imagery) are similarly
shaped through consumers’ communicative interactions with the firm. Depending on the
green strategy being deployed, such communications include learning about green
products’ prices, exposure to firms’ green promotional messages, and references to or
interactions with specific channels through which products are delivered. All three types of
brand associations – attributes, benefits, and attitudes – should be formed. On this basis,
the following hypothesis is proposed:
Hypothesis 1: Green product, green price, green promotions, and green place are
positively related to brand associations.

Marketing mix elements and brand loyalty


Brand loyalty features two primary dimensions: behavioral and attitudinal (or cognitive)
(Chaudhuri & Holbrook, 2001). Repeat purchasing behaviors are associated with
behavioral loyalty. Attitudinal loyalty, by contrast, ensues from emotional bonds that
consumers establish brand loyalty with brands. The theory of reasoned action suggests that
attitudes toward buying behaviors, subjective norms, and situational factors function as
antecedents to performed behaviors (Ajzen & Fishbein, 1980). Unit brand loyalty is
formed at points of purchase through consumers’ responses to each element of the theory
of reasoned action (Jacoby & Chestnut, 1978). Attitudes toward purchase and subjective
norms are cognitive aspects of brand loyalty. Actual purchase behavior is associated with
brand loyalty’s behavioral aspect (Ha, 1998).
When firms pursue green marketing strategies, one implicit or explicit goal is to inspire
attitudinal loyalty by (1) designing and manufacturing green products that satisfy green
consumers’ wants and needs, (2) providing consumers with incremental green product
benefits that justify seemingly requisite price premiums, (3) communicating specific green
product benefits and features through promotional activities, and (4) distributing green
products through specific channels and stores in which environmental responsibilities
8 A. Davari and D. Strutton

are considered important. Once formed, such attitudinal attachments should motivate
consumers to repurchase the brand as future buying occasions arise. In other words,
behavioral loyalty might be created through adroit management of each green marketing
mix element. The following hypothesis is proposed:
Hypothesis 2: Green product, green price, green promotions, and green place are each
positively related to brand loyalty.

Marketing mix elements and PBQ


As noted, PBQ can reduce perceived risks and justify premium pricing. PBQ is comprised
of consumers’ judgments about the overall excellence, esteem, or superiority of one brand
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as compared to alternatives (Netemeyer et al., 2004). PBQ bolsters the willingness of


consumers to pay premium prices, influences their purchase intentions, and affects their
choice. Expectancy value theory has been applied to investigate the PBQ formation.
Consumers could be exposed to brand information that is relevant to PBQ via promotions
in which the overall quality of brands is emphasized (Kirmani & Zeithaml, 1993).
Alternatively, consumers might infer quality judgments directly through brand
experiences. Brand experiences engender stronger judgments and are more easily
accessed from memory (Fazio & Zanna, 1981). The notion of ‘value’ is clearly influential
as consumers form PBQ judgments.
Various tactics exist through which firms that employ green strategies might create and
communicate higher expected value through their purportedly offerings. To begin with,
firms could design and manufacture green products that feature higher quality and deliver
heightened performance. In addition, firms could promise and presumably provide
premium quality as a justification for the higher prices that green consumers typically must
pay. Moreover, firms could distribute green products through green channels that
are themselves positioned to generate value to consumers who make decisions based on
judgments about a firm’s social responsibility. Finally, firms could promote these values or
other problem-solving capacities through public relations or other promotional activities.
The following hypothesis is proposed:
Hypothesis 3: Green product, green price, green promotions, and green place are
positively related to perceived brand quality.

Marketing mix elements and brand trust


Trust contributes materially to all sorts of relational successes. Accordingly, brand trust
should play an important role in green marketing contexts (Flavian, Guinaliu, & Torres,
2005). If consumers believe that brands are consistently competent, honest, and
responsible, trust is amplified (Doney & Cannon, 1997). Social exchange theory suggests
the presence of consumer trust should enhance the social embedded-ness of consumer –
provider relationships and deepen customers’ commitment to brand relationships
(Grayson & Ambler, 1999; Singh & Sirdeshmukh, 2000).
Firms that selectively engage with targeted consumer audiences through green marketing
strategies always enjoy the opportunity to design and manufacture green products that
actually address and satisfy the specific needs of green consumers. Moreover, firms could
continually promote the green features of their offerings’ through promotional efforts, exploit
green distribution channels for purposes of demonstrating their green bona fides, or
Journal of Strategic Marketing 9

demonstrate to (rather than tell) prospective customers why and how much they care about
green. Firms that pursue green marketing strategies likewise might benefit from governmental
subsidies that, at net, may actually lower costs of production as they increase the value of their
offerings for consumers. In sum, by designing and launching green products that reliable
loyalty and persistently fulfill pro-environmental or pro-social promises, firms can increase
consumer trust. The following hypothesis is proposed:
Hypothesis 4: Green product, green price, green promotions, and green place are each
positively related to brand trust.

Environmental concerns
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There are many reasons why firms should investigate the belief and value systems of
consumers. But the reason most germane to this context ensues from the need to secure the
sorts of discrete insights that equip firms to develop strategies that ultimately effectively
influence the decision-making processes of actual or potential green consumers (Hoyer &
MacInnis, 2004). Some consumers are already oriented toward making decisions that they
believe will yield environmental benefits. Such consumers would generally already
possess stable beliefs that the environment and the need to preserve it are important. These
pro-environmental sentiments often drive the personal norms of consumers. These
subjective norms, in turn, may influence the environmental behaviors of such consumers,
that is, their propensity to seek out or purchase environmentally friendly options (Reser &
Bentrupperbäumer, 2005; Stern, 2000). This exact process is addressed in the Theory of
Planned Behavior (TPB) (Ajzen, 1991). TPB argues that consumers’ environmental
beliefs coalesce to form their attitudes toward green behaviors. In turn, these attitudes
generate intentions to purchase green products (Bernstein, 1992; Peattie, 1995, 1999).
Consumers who are concerned about environmental issues typically should already
possess the intrinsic motivation to seek out and use green products. Such consumers are
more likely to notice or be attracted to green promotional activities. They are similarly
more likely to seek green versions of product solutions they know they must acquire – or
to visit specific stores to find specific green products. Finally, environmentally concerned
consumers are usually more willing than their counterparts to pay higher prices to acquire
green offerings. Indeed, consumers’ focal environmental attitudes and concerns may
moderate the relationship between firms’ green marketing strategy and the level of CBBE
engendered by that strategy. Consequently, a fifth hypothesis is proposed:
Hypothesis 5: Consumers’ environmental concern moderates the relationship between
a firm’s green marketing strategy and its consumer-based brand equity.

Consideration of future consequences


Consumers invariably differ in the degree to which they consider and evaluate the future
consequences of their current behaviors. If the degrees of individuals’ concerns about
the future consequences of their current behaviors were arrayed along a continuum,
consumers who believe that given behaviors are desirable because of their future positive
consequences, even if the immediate outcomes of consumers’ behaviors are not beneficial
or even costly, would reside at one end. Such consumers should more willingly sacrifice
immediate benefits or conveniences to secure positive outcomes in the future. Individuals
preferring to maximize immediate benefits or minimize immediate costs at the expense of
10 A. Davari and D. Strutton

potentially beneficial future outcomes would reside at this continuum’s opposite end.
These consumers are less likely to find promises about any future benefits that would
emerge as consequences of current behavior appealing. Such divergent attitudes are
captured by the ‘consideration of future consequences’ (CFC) scale (Strathman, Gleicher,
Boninger, & Edwards, 1994).
This study evaluates the possibility that consumers’ consideration of current/future
consequences moderates the relationship between green marketing strategies and CBBE.
Well-positioned green products clearly could provide consumers with both more
immediate and longer-term benefits. Consumers who are more concerned about the future
consequences of their current behaviors may find the promises of an environmentally
friendly product appealing. However, little reason exists to suspect that consumers who are
more motivated by the immediate consequences of their decisions should differ.
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Consequently, a final hypothesis is offered.


Hypothesis 6: Consideration of consequences moderates the relationship between a
firm’s green marketing strategy and the dimensions of its consumer-
based brand equity.

Methodology
Sample selection and data collection
The sampling frame consisted of residents of a metropolitan region in the Southwest USA.
A snowball sampling method was employed to identify potential respondents. Students
from a large public university in the area received for recruiting participants. The final
sample featured 305 respondents. Available data were checked for missing, miscoded, or
dubious data entries. After this process was completed, 286 surveys remained.
The questionnaire focused around five well-known brands that compete, though not
necessarily with each other, in the food and restaurant sector, i.e., DANONE, Coca Cola,
Pepsi, Kellogg’s, and Starbucks. These five brands were identified selected based on the
‘50 Best Global Green Brands’ report released by Interbrand in September 2012. Data
were collected online. Respondents received a URL to view the questionnaire and
participate in the survey. Sample-related demographics are shown in Table 1. Notably,
57% of respondents were female.

Scales and measurement


Four dimensions of CBBE were used as the dependent variable. Existing scales were used
to capture these four dimensions (Baalbaki, 2012; Chaudhuri & Holbrook, 2001;
Netemeyer et al., 2004; Yoo et al., 2000). The two hypothetically moderating constructs –
environmental concern and consideration of consequences – were also adopted from prior
research (Dunlap & Van Liere, 1978; Strathman et al., 1994). The four independent
variables were measured on a 12-item scale developed by the authors. These items were
intended to capture the extent to which respondents agreed that various marketing mix
options had been adapted and delivered by each focal brand. All items were measured
using a five-point Likert-type scale. Each scale ranged from 1 (strongly disagree) to 5
(strongly agree). Correlations among constructs are shown in Table 2.
Each item featured within each construct was subjected to confirmatory factor analysis
(Table 3). Those items that failed to properly load on expected factors were removed.
Removing those items never resulted in a considerable change in the construct’s domain.
Each remaining item within each factor conformed to its anticipated construct. Cronbach’s
Journal of Strategic Marketing 11

Table 1. Sample demographics.

Gender (%)
Male 42.5
Female 57.1
Age (years)
18 – 20 12.9
21 – 25 37.8
26 – 30 12.9
31 – 35 6.3
36 – 40 2.4
41 – 45 3.8
46 – 50 6.6
51 – 55 9.1
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56 – 60 4.2
60 þ 3.8
Household income (USD)
Less than $20,000 31.4
$20,001 –$40,000 13.2
$40,001 –$60,000 12.5
$60,001 –$80,000 10.1
$80,001 –$100,000 10.5
$100,001 – $140,000 9.8
$140,001 – $180,000 4.5
$180,001 – $220,000 3.5
$220,001 – $260,000 1.4
More than $260,000 2.8

alphas were calculated. The results met or exceeded all broadly accepted standards
(Carmines & McIver, 1981).

Analysis and results


As noted, four dimensions of CBBE were used as the dependent variables in this study.
Four elements of traditional green marketing mixes were used as the independent
variables. Linear regression analysis was employed to quantify the strength of the
relationships between the dependent and various independent variables (Tables 4 –6).
H1 posited that the four elements of green marketing strategies (i.e., product, price,
promotion, and place) were positively related to brand associations. The overall model
was significant ( p , 0.000, RS ¼ 0.073). But among the four marketing mix elements,
only green product was significant ( p , 0.000). Thus, H1 was partially supported. The
Table 2. Correlations among variables.

GProduct GPrice GPromotion GPlace EC CCC CFC


GProduct 1 0.230** 0.443** 0.489** 0.208** 2 0.071 0.188**
GPrice 0.230** 1 0.379** 0.263** 0.081 0.195** 2 0.012
GPromotion 0.443** 0.379** 1 0.458** 0.154* 0.151* 0.069
GPlace 0.489** 0.263** 0.458** 1 0.115 0.079 0.060
EC 0.208** 0.081 0.154* 0.115 1 2 0.232** 0.430**
CCC 2 0.071 0.195** 0.151* 0.079 2 0.232** 1 2 0.321**
CFC 0.188** 2 0.012 0.069 0.060 0.430** 2 0.321** 1
*Correlation is significant at the 0.05 level (two-tailed); **Correlation is significant at the 0.01 level (two-tailed).
12 A. Davari and D. Strutton

Table 3. Confirmatory factor analysis, mean, SD, and reliability.

1 2 3 4
Green price
GMS6. This brand usually charges more for its 0.911
environmentally friendly products.
GMS5. Green products that are made by this firm are 0.908
more expensive than nongreen alternatives.
GMS4. I must pay more to purchase the environmentally 0.799
friendly products that are made by this company.
Green product
GMS1. This company produces environmentally 0.846
friendly products.
GMS3 This company tries to improve the design and 0.797
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quality of its products in order to make them more


environmentally friendly.
GMS2. This company has been a pioneer in introducing 0.747
green products to the market.
Green promotion
GMS9. I have read about this firm’s green products in 0.773
newspaper articles.
GMS8. This firm provides a lot of information about its 0.734
green products in its advertisements.
GMS7. This brand offers special promotions and deals 0.694
(price discounts, coupons, etc.) to people who purchase
its green products.
Green place
GMS11. This firm’s green products can be found in 0.809
stores which themselves are known for supporting
environmental and green causes.
GMS12. The stores that sell green products made by this 0.765
firm are usually environmentally friendly themselves.
Percentage of variance explained (Total ¼ 68.52) 20.12 17.93 15.48 14.98
Alpha score 0.871 0.79 0.67 0.65
Mean 3.19 3.76 3.16 3.3
SD 0.93 0.67 0.75 0.66
1 2 3 4

Brand loyalty
BL6. Even if there is another brand as good as this one, I 0.853
still prefer to buy this brand.
BL5. Even if another brand has the same features as this 0.836
brand, I would prefer to buy this brand.
BL4. It makes sense to buy this brand from this firm 0.83
instead of another brand, even if the two brands seem the
same.
BL3. If this brand is available, I simply will not buy 0.826
similar brands made by other firms.
BL7. If another brand is not different from this brand in 0.795
any way, it seems smarter to purchase this brand.
BL2. Brands offered by this firm are usually my first 0.736
choice.
BL1. I am loyal to the brands marketed by this firm. 0.673
Brand associations
BA2. When I use this brand, it makes a good impression 0.872
on other people.
(continued)
Journal of Strategic Marketing 13

Table 3. (Continued)

1 2 3 4
BA3. If a person uses this brand, he or she is more likely 0.837
to fit in socially.
BA4. When I use this firm’s products, I feel accepted by 0.817
others who are important to me.
BA1. When I use this firm’s products, others view me 0.775
more favorably.
Brand quality
BQ4, Products made by this firm are consistently high in 0.79
quality.
BQ3. Brands marketing by this firm consistently perform 0.78
better than other brands in the same category.
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BQ1. The firm’s product is high quality. 0.705


BQ2. Green products made by this firm are the best in 0.598
their class.
Brand trust
BT4. This brand is safe to use. 0.849
BT3. This is an honest brand. 0.789
BT1. I trust brands made by this firm. 0.604
Percentage of variance explained (Total ¼ 74.69) 28.71 17.31 15.75 12.92
Alpha score 0.94 0.862 0.848 0.858
Mean 3.25 3.166 3.738 3.893
SD 0.955 0.8255 0.67 0.735
1 2

Environmental concern
EC5. Humans are severely abusing the environment. 0.77
EC15. If things continue on their present course, we will 0.763
soon experience a major ecological catastrophe.
EC13. The balance of nature is very delicate and easily 0.696
upset.
EC11. The earth is like a spaceship with very limited 0.691
room and resources.
EC1. We are approaching the limit of the number of 0.678
people the earth can support.
EC3. When humans interfere with nature, it often 0.654
produces disastrous consequences.
EC7. Plants and animals have as much right as humans to 0.573
exist.
EC9. Despite our special abilities, humans are still 0.556
subject to the laws of nature.
EC2. Humans have the right to modify the natural 0.693
environment to suit their needs.
EC8. The balance of nature is strong enough to cope with 0.677
the impact of modern industrial nations.
EC10. The so-called ‘ecological crisis’ facing human- 0.592
kind has been greatly exaggerated.
EC4. Human ingenuity will insure that we do not make 0.63
the earth unlivable.
EC12. Humans were meant to rule over the rest of the 0.622
nature.
EC6. The earth has plenty of natural resources if we just 0.591
learn how to develop them
(continued)
14 A. Davari and D. Strutton

Table 3. (Continued)

1 2 3 4
EC14. Humans will eventually learn enough about how 0.534
nature works to be able to control it
Percentage of variance explained (Total ¼ 46.415) 26.421 19.985
Alpha score 0.844 0.465
Mean 3.505 2.885
SD 0.733 0.514
Consideration of current consequences 1 2

Consideration of current consequences


CFC12. I only act to satisfy immediate concerns, figuring 0.821
that I will take care of future problems that may occur at
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a later date.
CFC3. I only act to satisfy immediate concerns, figuring 0.819
the future will take care of itself.
CFC4. My behavior is only influenced by the immediate 0.814
(i.e., a matter of days or weeks) outcomes of my actions.
CFC10. Sacrificing now is usually unnecessary since 0.729
future outcomes can be dealt with at a later time.
CFC9. I generally ignore warnings about possible future 0.675
problems because I think the problems will be resolved
before they reach crisis level.
CFC11. Since my day-to-day work has specific 0.674
outcomes, it is more important to me than behavior that
has distant outcomes.
CFC5. My convenience is a big factor in the decisions I 0.577
make or the actions I take.
Consideration of future consequences
CFC2. Often I engage in a particular behavior in order to 0.779
achieve outcomes that may not occur for many years.
CFC1. I consider how things might be in the future, and 0.732
try to influence those things with my day-to-day
behavior.
CFC6. I am willing to sacrifice my immediate happiness 0.726
or well-being in order to achieve future outcomes.
CFC7. I think it is important to take warnings about 0.712
negative outcomes seriously even if the negative
outcome will not occur for many years.
CFC8. It is more important to perform a behavior with 0.697
important long-term consequences than a behavior with
less important short-term consequences.
Percentage of variance explained (Total ¼ 56.445) 32.166 24.279
Alpha score 0.864 0.796
Mean 2.603 3.768
SD 0.741 0.68

collective finding underscores the degree of influence that the qualities and problem-
solving capabilities associated with green product itself exercise on consumers’ green
marketing decision processes. The finding also highlights the need that green marketers
face to design and deliver products that genuinely deliver on the green promise. Make a
promise, keep a promise, it seems. On the other hand, the observation that the price,
promotion, nor place mix elements were not related to brand associations surprised.
Details that purportedly explain this lack of significance follow.
Journal of Strategic Marketing 15

Table 4. Results of the regression analysis for H1 – H4.

GProduct GPrice GPromotion GPlace Model


IV.
DV. b p b p b p b p R2 p
BA 0.197 0.017 0.049 0.365 0.057 0.437 0.111 0.185 0.073 0.000
BL 0.170 0.062 2 0.161 0.008 0.233 0.004 0.259 0.005 0.134 0.000
BQ 0.343 0.000 2 0.044 0.262 0.046 0.389 0.169 0.006 0.223 0.000
BT 0.346 0.000 2 0.072 0.082 0.060 0.279 0.104 0.103 0.181 0.000

H2 proposed that all four elements of a green marketing strategy were positively
associated with brand loyalty. Analysis again revealed that the overall model was
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significant. Reassuringly, at least from the perspective of green practitioners,


each green marketing mix element was significantly associated with brand loyalty
( p , 0.000, RS ¼ 0.134). Yet, contrary to expectations, green price was negatively
related to brand loyalty. One possible explanation for the negative link between price and
brand loyalty is that consumers often have difficulty accepting the notion that higher prices
of green products is because of the higher value embedded in green products. Instead,
green products’ generally higher prices are clearly degrading the likelihood that many
consumers will purchase them in the future purchases. Green marketers should either
design products that deliver more immediate value or reposition and restructure their
promotional messages in ways that appeal to the longer term better angels of potentially
green consumers’ natures. Otherwise, nominally green consumers apparently will not pay
the necessarily higher green prices.
H3 proposed that each green marketing mix element would be positively associated
with PBQ. Again, the model was significant ( p , 0.000, RS ¼ 0.223). But green place
and green price were the only significant marketing mix elements. The two significant
findings lend additional credence to two long-standing marketing principles. First, that
marketers’ choice of channel of final delivery (i.e., be it a traditional or online retailer)
redounds directly and for better or worse to consumers’ perceptions of the quality of the –
in this case – green brand that is being delivered. And second, in the absence of additional
information, even green consumers still assume that higher prices are associated with
overall brand excellence, esteem, or superiority. Promotional efforts apparently exercise
little influence on consumers PBQ, which may simply speak poorly of the effectiveness of
those promotions. The fact that the product element was not significant suggests that an
emphasis on green naturally and perhaps inevitably detracts from an emphasis on a
product’s quality.
The fourth hypothesis tested the proposition that green marketing mix efforts
should significantly influence consumers’ brand loyalty. The regression model itself
was significant ( p , 0.000, RS ¼ 0.181). But only green product was significantly
related to brand trust. Therefore, only partial result was observed for H4. This finding
suggests green marketers are generally developing green products that deliver sufficient
value to merit their repurchase, but are falling short in their executions of promotional,
pricing, or distribution strategies that otherwise should deliver similar loyalty-inspiring
effects.
The fifth and sixth hypotheses evaluated the possible moderating effects of two
factors on the extant relationship between green marketing strategies and CBBE. The
moderators were ‘environmental concern’ and ‘consideration of current/future con-
sequences,’ respectively. A series of regression analyses was conducted to test the proposed
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16

Table 5. Results of the regression analysis for H5.


GProduct GPrice GPromotion GPlace EC1 EC2 Model
IV.
2
DV. b p b p b p b p b p b p R p
BA 0.151 0.986 0.039 0.830 0.047 0.089 0.085 0.757 0.161 0.306 0.139 0.047 0.142 0.000
BL 0.157 0.076 2 0.179 0.766 0.153 0.847 0.061 0.160 0.174 0.255 0.132 0.081 0.215 0.000
BQ 0.266 0.989 2 0.042 0.937 0.069 0.454 0.164 0.904 0.092 0.271 0.020 0.029 0.286 0.000
BT 0.368 0.411 2 0.142 0.151 0.060 0.985 0.030 0.061 0.038 0.136 0.096 0.001 0.258 0.000
A. Davari and D. Strutton
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Table 6. Results of the regression analysis for H6.


GProduct GPrice GPromotion GPlace CCC CFC Model
IV.
2
DV. b p b p b p b p b p b p R p
BA 0.151 0.815 0.039 0.571 0.047 0.823 0.085 0.766 0.139 0.840 0.101 0.813 0.134 0.000
BL 0.157 0.664 0.880 0.153 0.801 0.061 0.099 0.132 0.156 0.014 0.096 0.161 0.000
2 0.179
BQ 0.266 0.089 0.556 0.069 0.888 0.164 0.988 0.020 0.862 0.138 0.009 0.275 0.000
2 0.042
BT 0.368 0.217 0.974 0.060 0.846 0.030 0.259 0.096 0.088 0.091 0.095 0.213 0.000
Journal of Strategic Marketing

2 0.142
17
18 A. Davari and D. Strutton

Elements of Green Marketing Environmental concerns Dimensions of Consumer-


mix-based Strategy based Brand Equity

H1
Brand Association
Green Product

Green price H2
Brand Loyalty
Green Promotion
H3
Green Place Perceived Brand
H4 Quality

Brand Trust
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Consideration of Consequences

Figure 1. Theoretical model of the study.

relationships. By turns, the possible moderating role of ‘environmental concern,’ ‘concern


for current consequences’ and ‘concern for future consequences,’ and their respective
interactions with each marketing mix element for each CBBE dimension was investigated.
The model for H5 was significant. But no single interaction between the four green
marketing mix elements and environmental concern was significant. Despite this finding,
the R 2 of the model improved as environmental concern was included as a moderator
(RS ¼ 0.142). An F-test comparing the R 2 was conducted to ascertain whether the
improvement was significant. The F-test revealed that this improvement was significant.
This finding suggests, logically enough, that those consumers who are already concerned
about the environment are more predisposed toward responding favorably to green brands.
When the brand loyalty equation was examined, analysis revealed that the model, as
well as the interaction between green product and environmental concern, was significant.
Again, its R 2 improves (RS ¼ 0.215) when environmental concern is added to the model.
An F-test was employed to test whether this difference was significant. The difference
squares were significant. Green marketers, it appears, should find that the task of
cultivating brand loyalty becomes more manageable when they target consumers who
have already expressed unease about the current welfare of the environment.
When the moderated relationship between the marketing mix elements and brand
quality was examined, the overall model again was significant. But no individual
interactions were significant. Still, the moderated model proved more highly predictive
than the original model (RS ¼ 0.286). F-test results revealed that the R 2 in the original
model was significantly lower than the R 2 in the moderator model. Brand quality
perceptions apparently are not impacted by consumers’ preexisting environmental
orientation. Instead, again logically, these results infer that brand quality perceptions will
more likely be influenced by the actual quality built into and delivered by green products
themselves. The reality of quality, rather than contrived perceptions of quality, appears
crucial to the successful development and execution of green strategies.
Finally, the notion that environmental concern may play a determinant role in
moderating the relationship between green marketing mix elements and brand trust
was examined. The associated model, as well as the interaction between green product
and environmental concern, was significant. Overall model R 2 again was enhanced
(RS ¼ 0.258), and the improvement was significant. H5 was partially supported.
Journal of Strategic Marketing 19

Native – or converted – pro-environmentalists, as the case were, are naturally more


inured toward accepting the promise of green. Again, the notion that values-based
targeting is useful when developing green strategies is underscored.
The same analytical process was followed to test the final hypothesis. H6 investigated
that the moderating effects of consumers’ consideration of consequences might exercise
on the extant relationship between the marketing mix elements and the brand equity
dimensions. The overall model was tested. It was significant. Yet, no single interaction
was significant. But the R 2 of the moderated model was stronger (RS ¼ 0.134) than the R 2
of the first model. An F-test revealed this difference was significant.
The model in which consideration of consequences moderated the relationship
between marketing mix elements and brand loyalty show was significant. But none of the
interactions were significant. Nor was the improvement in the R 2 of the original and
moderated models significant (RS ¼ 0.161). Adding consideration of consequences to the
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model improves the relationship between marketing mix elements and PBQ (RS ¼ 0.275).
Again, however, no single interaction was significant. The same result was observed when
the potential moderating effect of the consideration of consequences on the relationship
between the green marketing mix elements and brand trust was evaluated. The model was
significant. But no single interaction was significant, nor did the R 2 of the moderated
model improve (RS ¼ 0.213).
H6 was not supported. While this last result disappointed, it ultimately may enlighten.
Specifically, the results suggest that as they evaluated green brands most consumers assign
relatively little value to the possible impact of the future consequences of their current
behaviors. If this conjecture is accurate, it may partially explain why green promotional
efforts exercised so little influence over brand equity outcomes such as trust, loyalty, or
quality. Green or potentially green consumers, it appears, assign less importance than
expected to a value, i.e., a more plenteous environmental future for all that intuition
suggests they should have supported. This observation should trouble green marketers,
given that this exact future-oriented value is typically emphasized in green promotions.

Discussion
The purpose of this study was to evaluate the influence that firms’ green marketing
strategies have on the CBBE they are available to develop. To accomplish this end, the
study explored the relationships among the four elements of green marketing mix strategy
(i.e., green product, green price, green promotion, green place) and each of the four
dimensions of CBBE (i.e., brand association, brand loyalty, PBQ, brand trust). Five green
brands that routinely employ green marketing mix strategies were selected from
Interbrand’s annual report.
Results indicated that all four elements of green marketing strategy were related to
brand loyalty. However, for brand association, only green product was significantly
related. Green product and green place each had positive influence on PBQ; price and
promotion were not related. By contrast, green product and green price were the only two
elements of marketing mix that are related to brand trust. Apparently, green product is the
only marketing mix element that is capable of exercising a positive influence on each
dimension of brand equity. By contrast, green promotion and green place apparently
exercise the least influence on CBBE. Notably, green price was negatively associated with
the two brand loyalty and brand trust. These unexpected results implies, simply, that as the
prices of green products rise, consumers levels of loyalty toward and trust in the associated
brand is likely to decline. This issue clearly must be addressed by green strategists before
20 A. Davari and D. Strutton

they can close the gap that separates consumers’ stated intentions to go green from their
actual green behaviors.
Several other prescriptive strategic insights emerge from this study. First, the results
demonstrate that consumers do form associations with firm’s green marketing strategies. In
other words, consumers are familiar with green products and recognize that they are different
from nongreen alternatives. However, these green associations are far from uniformly
positive. This is evidenced by the fact that green products’ normally higher prices negatively
affected the levels of loyalty and trust that consumers ascribed toward green brands.
These results also suggest that despite their green marketing mix efforts green firms
still struggle to convince consumers that the environmentally friendly values engendered
by green brands are worth the extra sacrifice that is required to acquire and use them.
Perhaps this is because the benefits of green products are usually long-term in nature.
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Consequently, the benefits of green products generally do not accrue to the consumers who
actually purchase or use green products. Yet were firms better able to provide potentially
green consumers with the sense that they would experience greater short- and long-term
benefits when they elect to go green, the loyalty of such consumers toward and their trust
in green brands might improve. Many of those benefits presumably would need to be
emotional in nature. A strategic emphasis on psychological values of the sort that could
arise once consumers understood they were doing the right thing, perhaps simply for the
sake of doing good, and consequently helping others, might prove effective. Such
psychological values could arise from careful positioning initiatives which themselves are
delivered through intentional efforts. The observation that green promotions were not
significantly associated with enhanced trust in green brands similarly underscores the
imperative that exists to redesign the messaging aims of green promotions.
This study also suggested consumers believe that distributing green products through
specific green channels adds to the perceived quality of an offering. This finding makes
sense because the perceived quality of a brand is driven by several factors. The choice of
appropriate distribution channels might be one of these factors. Of course, if firms want to
improve the perceived quality of their brands in the minds of consumers by selecting
specific green distributors, marketing managers should communicate how this decision
adds to the value of their offerings and how this choice differentiates them from other firms
who sell their environmentally friendly products using regular nongreen distributors.
The study likewise revealed that green marketers’ promotional activities often fail to
motivate consumers to trust their brands or perceive them as higher in quality. The reason
why often may come down to a failure to choose the right media through which to convey
their promotional messages. These results suggest it is particularly important to identify
the appropriate communication channels when delivering messages that emphasize firm’s
social and environmental responsibilities. Other promotional vehicles, such as the
sponsorship of causes or engagement with charity events, may prove suitable channels
when green marketers are attempting to promote their brands.
Internally motivated, environmental-concerned consumers often seek out possible
ways to help preserve the environment. Environmental-concerned consumers generally
believe that through their own purchasing and consuming green products they can help the
environment, even when environmentally friendly products are more expensive in
comparison to their nongreen alternatives. Consequently, as these results confirm,
promotional activities of green brands make more sense to consumers who already care for
the environmental problems and seek out opportunities to avoid damaging the
environment. Environmentally concerned consumers apparently prefer to purchase
green products from specific distribution channels that are themselves known to be
Journal of Strategic Marketing 21

environmentally concerned. Green product marketers should segment their target


audience as follows: (1) consumers who are environmentally concerned and (2) consumers
who are not environmentally concerned. These two groups of consumers need to be treated
differently. The same marketing strategies that would work well for the first group may
prove of little value to the second.
Considerations of current and future consequences of consumers’ current behaviors,
based on findings, improved the relationship between green marketing mix elements and
brand equity dimensions. Meanwhile, CFC plays a direct role in the relationship between
green marketing mix elements and PBQ. One can conclude that both people who care
more about the current consequences of their buying behavior, as well as those who
allocate more attention to the future consequences of their purchase behaviors, tend to be
interested in green products, each from a different perspective. Marketers should decide
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which group they wish to target and then tailor their marketing strategy based on the needs
and wants of that target group. Once they have identified a target segment, marketers can
more easily identify the proper sort of benefits (shorter- versus longer-term) to offer
through or communicate about their green products.
Seven additional practical managerial implications arise from these findings. In part,
each implication reveals how green marketers might best close the gap that exists between
the stated beliefs and actual behaviors of purportedly ‘green consumers.’ First, green
product clearly plays the most important role among the four traditional green marketing
mix elements. The other marketing mix elements (i.e., price, promotion, and place)
apparently cannot overcome poor product design or product development. Second, in
consumers’ minds green place – i.e., retailers, e-tailers, or logistics providers who deliver
green offerings – is related to the perceived quality of green offerings. However, many
firms ignore this marketing mix element when designing green marketing strategies.
Strategists should address this easily correctable oversight. To the extent possible, for
example, the green branding bona fides of say, retailers or third-party logistics providers,
should align with the green values of end-use consumers. Third, to create more favorable
brand associations, green marketers should design and deliver products that provide values
that genuinely ‘honors’ their green promises. Fourth, the typically higher prices of green
products apparently are largely responsible for the extant disconnect between green
consumers’ stated beliefs and actual behaviors. Strategically, marketers can opt to either
ramp up their deliver of green values to the point where those values justify higher prices
in the market’s ‘green mind,’ or lower their prices. Most managers would likely prefer the
first strategic alternative. Fifth, the only marketing mix element that was related to brand
loyalty again was product. Again, the extent to which green products should deliver on
their promised value propositions is underscored. Sixth, the results suggest green firms
should almost exclusively target consumers who have already indicated their own
personally held environmental concern. Marketers, it appears, will gain more from
aligning their green values with prospects or customers who already share those values –
as opposed to trying to change someone’s mind. Seventh, and surprisingly, these results
suggest most consumers are not overly concerned about the future consequences of their
current environmental behaviors. Green marketers should take note, and if appropriate,
adjust their green promotional messages accordingly.

Limitations and future research


Despite the richness of this model and its findings, better data or more sophisticated
analysis involving additional contributory issues that have yet to be identified may reveal
22 A. Davari and D. Strutton

relationships not yet tested. Using this model as jumping off point, such possibilities
should be investigated in future research. For example, due to time constraints, only one
category (food industry) was studied. Therefore, the results might be more applicable to
firms doing business in this context. Future research could extend these relationships to
other industries in which green products are introduced by firms. Second, among the
several dimensions of CBBE, only four dimensions are selected for the purpose of this
study. A more comprehensive study of various dimensions of CBBE might yield more
useful implications for practitioners and scholars. Third, since specific green brands that
are known by consumers were selected for this study, the results might to some degree
mislead. To account for this limitation, unknown brands might be investigated in future
experimental designs.
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Common questions

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Green promotion and place tend to have a limited influence on Customer-Based Brand Equity (CBBE) because they often fail to adequately convey the value and distinctiveness of green products. Promotions are not always effective in communicating the unique benefits of green initiatives, and the choice of distribution channel, while important, may not be as impactful as the tangible value provided directly by the green product itself. Consumers often perceive the quality and value of the product as more critical in influencing their perceptions of equity .

Green marketers can improve consumer trust and brand loyalty by emphasizing the emotional and psychological benefits of purchasing green products. Highlighting the long-term environmental impact and moral satisfaction can appeal to environmentally concerned consumers. Additionally, marketers should enhance promotional strategies by selecting appropriate communication channels that effectively convey the brand's green initiatives and values, perhaps through sponsorships or eco-conscious charity events .

Consumers recognize green products as distinct from non-green alternatives, often due to their environmentally friendly attributes. However, these perceptions are not uniformly positive; higher prices and perceived low immediate benefits often lead to lesser loyalty and trust. Consequently, green marketing strategies must bridge the gap between the environmental values of green products and consumer willingness to pay the price premium, by accentuating immediate and long-term benefits, both tangible and emotional .

Green marketing strategies have both positive and negative implications for brand loyalty and trust. While elements like green product development can enhance perceived value and merit repurchase, other elements such as green price negatively affect brand loyalty and trust. Higher prices of green products tend to lower consumer trust and loyalty since consumers often struggle to see immediate value in paying more for green features. Thus, firms struggle to justify the higher costs to consumers .

The choice of distribution channels significantly influences consumer perceptions of green product quality. Consumers attribute higher quality to brands distributed through specific green channels as opposed to regular, non-green distributors. Effective communication of how these green distribution choices add value helps differentiate these brands from competitors who use conventional channels .

The consideration of future consequences (CFC) influences consumer interest in green products by aligning their purchasing decisions with long-term environmental benefits. Consumers with a high CFC are more likely to prioritize the environmental impact and future benefits of their purchases, making them more inclined to choose green products. Understanding this inclination allows marketers to target and communicate effectively with such consumer segments about long-term product benefits and sustainability goals .

To align consumers' stated intentions to go green with their actual purchasing behaviors, green marketers should focus on creating more immediate value for green products, both economically and emotionally. By designing products that offer immediate benefits or repositioning promotional messages to highlight long-term environmental impacts and personal satisfaction, marketers can transform intentions into purchasing behavior. They should also improve the price-value perception and simplify the decision process for consumers by clearly communicating these benefits .

Green promotional activities often fail to enhance brand trust and perceived quality due to ineffective media choice and messaging. Many promotions do not successfully communicate the brand's social and environmental responsibility, failing to resonate with consumers. Using appropriate communication channels and clearer messaging about the benefits and values of green products could make promotional efforts more effective .

Green price has been found to be negatively associated with brand loyalty and trust. As the prices of green products rise, consumers’ levels of loyalty and trust in these brands decline. This challenges green strategists to address the gap between consumers' intentions to support green products and their purchasing behaviors. Consumers perceive the higher prices of green products as a barrier, impacting their willingness to be loyal to and trust these brands .

Consumer environmental concerns play a critical role in shaping the effectiveness of green marketing strategies. Consumers who are environmentally concerned are more likely to be receptive to green products, despite higher prices; they seek products that align with their values and provide a means to contribute positively to the environment. Green marketers should therefore segment their audiences based on environmental concern and tailor strategies accordingly, emphasizing the unique benefits and value their green products offer .

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