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The Upside to Green Washing

Sarah Cooke's picture
At today’s Sustainable Business Summit hosted by UT and McCombs’ Net Impact, the audience at the Authentic Green Marketing panel clamored for an opportunity to boo-hiss at examples of green washing. 
   The biggest offenders were quickly identified:  auto-makers and energy companies. 
   Then, a crowd favorite: GE Ecomagination’s ‘sexy coal miners’ commercial.  
While the room simmered with indignation, I could not help but wonder if could there be a downside to condemnation of green washing….
Imagine if the green washing backlash caused large corporations - particularly those that directly or indirectly cause the most damage to our environment through their operations or products – to simply give up and stop trying to improve? What if the criticisms were to make the taking of small steps no longer fiscally beneficial??  Until we have a massive shift in the world dynamic, even small steps might be worth encouraging.
  • A small improvement in the environmental or human rights policies of a Fortune 500 corporation could easily result in more measurable impact on our planet than hundreds of responsible small businesses. Leverage this across their suppliers and retailers and you’ve potential to deliver real change.

 

  • The leverage that large corporations have with governmental entities and consumers is the most powerful tool for building awareness and driving policy change.  

 

For example: Mining is never sexy and this commercial was in bad taste, but the publication of it generated news articles about the real issues with coal that raised awareness with mainstream consumers. 

Another example: Companies that are criticized for unregulated high tech recycling are some of the most powerful proponents for regulatory changes in this area – if they stopped pushing, change may never happen.  

Net: If corporations can’t advertise their wins for brand gain, they could decide it’s not worth the cost to educate and advocate for change.

There are a lot of stakeholders in this issue, and many valid points of view. It is undeniable that green washing can create risks for consumers or businesses who are misled by marketing claims – financial and even health risks. And, efforts to impose clarifying regulations can lead companies to make contradictory decisions in order to achieve a commerically recognized certification.

For example, at an earlier panel one business representative expressed desire to qualify for Rainforest Alliance Certification (you would recognize the little green frog immediately) but to do so would cause them to ship scrap wood from Brazil instead of using US sources.  Such a change would trigger an increase manufacturing costs, carbon footprint, etc but without certification, consumers are unlikely to associate the product with environmental responsibility.  In order to earsily communicate to consumer that they are green, this company would need to become LESS green! 

The answer is not simple, but it should be – truth in advertising – that should be enough said. But, advertising is a big grey zone where exaggerated claims are standard stock and trade. Fortunately, there is evidence that the government is taking the issue seriously: the Federal Trade Commission is updating their Green Guide – the authority on defining terminology, such as when its proper to recycled vs recyclable, and taking the advertisers to task for their claims. Last updated in 1998, the Guide was schedule for update starting in 2009 but the process is already underway due to pressure from industry and consumer advocates for better standards.
While the full solution is not immediately availabe, the good news is that everyone is talking about green washing.  Hopefully we’ll find our way soon.
 
In the meantime, you can learn the all about the nuances of a green dye job using these resources:
    Six Sins of Greenwashing  - the big new maker published in 2007 from TerraChoice
    Greenwashing Index: Rate advertisements on scale ranging from authentic to bogus. Extra fun: a Worst Offenders list!
    Green Watch: Research and report instances of greenwashing
    Diversify: Green washing in popular culture and art.
    Greenpeace: Clean up your ACT, not your image! 
    Treehugger: 2007 Fun with Coal top ten list
 

 

Mr. Right Now

Fast Company published an article, http://www.fastcompany.com/magazine/133/green-business-mr-right-now.html, that recognizes that while 'clean coal' is a pretty lack-luster solution compared to truely green energy solutions, it is a step in the right direction. A stop-gap measure to make improvements while the real solutions are developed. This is similar to the greenwashing issue you discuss here -- its true that companies are slow to understand the dramatic changes that are needed but in the meantime we can benefit from small improvements, which are better than nothing. Positive response to small improvements will encourage increased investment by corporations into cleaning up their act, getting us to the full solution faster.