Monday, March 9, 2009

Greenwashing – The Dark Side of the Green Movement

For every positive action in nature, there is an equal negative reaction. Yin and Yang. And so it has been since history began. The Green Movement is no different.

Now that a growing number of consumers are becoming educated on the environmental issues facing us all and wanting to do their part to protect the health of their families, employees, communities and planet, a new evil comes lurking out of the shadows. This evil is not easily recognized as it is dressed in friendly green garb, and comes with promises of purity and environmental benefits.

It’s known as “greenwashing”. The watchdog and testing agency, Terra Choice Environmental Marketing/Eco-Logo defines greenwashing as: “the act of misleading consumers regarding the environmental practices of a company or the environmental benefits of a product or service.” With the amount of money being spent each on year on green products and services increasing at a rapid pace, it’s no wonder individuals and companies who prior, had little concern for the environment, are rushing to portray themselves and their products as green.

What is the extent of this practice? In an effort to describe, understand, and quantify the growth of greenwashing, TerraChoice Environmental Marketing Inc. conducted a survey of six category-leading big box stores. Through these surveys, they identified 1,018 consumer products bearing 1,753 environmental claims. Of the 1,018 products examined, all but one made claims that are demonstrably false or that risk misleading intended audiences.

Each of these greenwashing claims fell into one of six categories, labeled by TerraChoice as the “Six Sins of Greenwashing”. The categories included:

1. Sin of the Hidden Trade-Off – a product is claimed “green” for a single attribute
2. Sin of No Proof - A “green” claim that cannot be substantiated.
3. Sin of Vagueness – Claim is either too broad or ill defined and easily misunderstood by consumer.
4. Sin of Irrelevance – Claim may be truthful, but unimportant in making a decision on that product.
5. Sin of Fibbing – Making environmental claims that are simply false.
6. Sin of Lesser of Two Evils - These are “green” claims that may be true within the product category, but that risk distracting the consumer from the greater environmental impacts of the category as a whole.

The Green Movement is still in its infancy and is just starting to build trust among people now concerned about the environment. These are people who, in many cases, are now willing to pay more for a green product. Should that product not be green or live up to its promises, many new green consumers will lose faith in the movement as a whole.

It’s easy for companies to tout their own horn on how green they are. When possible, consumers should look for product certifications from governments and standard setting bodies such as EcoLogo and Green Seal. However, not all small and medium size companies can afford the fees required for testing by these agencies. Companies in this category, and those in the service industry, should review their own company practices, set a plan for their own green initiatives, and strive for professional third party recognition of their efforts. With all that is at stake, no company can afford to be on the “dark side” and lose the confidence of the new green consumer.

Joseph Winn is the President/CEO of GreenProfit Solutions, Inc. which assists businesses in becoming environmentally responsible. You may view their website at www.greenprofitsolutions.com or e-mail Joseph at jwinn@greenprofitsolutions.com .