15938 3 green product development ppt

15

description

 

Transcript of 15938 3 green product development ppt

  • 1. Addresses environmental issues through productdesign and innovation. significant attention from customers, industries, andgovernments around the world.Originally proposed at the American MarketingAssociation first conference on ecological marketing in1975 Businesses view the global environmental problems asbusiness opportunities. Successful businesses not only meet the worldsneeds, but anticipate them. Delivering eco-friendly, market-leading products is akey driver in todays competitive environment. strategy to achieve cost savings through energy andwaste reduction. It offer a competitive advantage to their brands .

2. Increasing demand for oil and natural gas Increasing effects of climate change Lack of access to clean water Industrialization Usage of natural resources 3. Delivering eco-friendly, market leadingproducts Adoption of the software, InventionMachine Gold fire to drive their greeninitiative Green product development and energyprograms Addressing emission and waste control 4. Sample projects: Magnet created Siphon Flush. The toilet valve can save more than 11 milliongallons of wasted water a day. Magnet credits Goldfire with accelerating time-to-market by 30 percent, cutting development costs by 65 percent. And, the SiphonFlush has 50 percent fewer parts than traditional toilet valves, making it eco-friendly. A $10B convenient foods company discovered corn-oil replacement. Shell developed next generation bio-fuel production methods leveraging seaalgae. Leggett & Platt patented and developed a Semi-fold Box Spring that deliversGreen impact to logistics (small compact units, when folded, are easier to shipresulting in more units per shipment, lower transportation costs, and a lowercarbon footprint). JohnsonDiversey, a $3 billion specialty cleaning solutions company, isresponding to the markets demand for sustainable offerings is by usingInvention Machines innovation software. One such offering at JonsonDiverseyresulted in a sustainable and biodegradable intelligent dispensing system thatgenerated tens of millions of dollars in revenue and continues to drive doubledigits growth over the last five years. 5. Reduce / Reuse Green House Gases(GHG) Reduce Energy Consumption Reuse Resources Use Eco-Friendly Materials Reduce Product Size & Weight Save Scarce Resources like Water 6. Promote good indoor air qualityDurability, and low maintenance requirements Incorporate recycled content (post-consumer and/or post-industrial) They are made using natural and renewable resources Low "embodied energy" (the energy required to produce and transportmaterials) Do not contain CFCs, HCFCs or other ozone depleting substances Do not contain highly toxic compounds, and their production does notresult in highly toxic by-productsObtained from local resources and manufacturers For wood or bio-based products, they employ "Sustainable Harvesting"practices Can be easily reused Can be readily recycled Biodegradable. 7. Left: Recycled cotton/polyester Latex paint can be sent to a paintinsulation and cellulose insulation recycler and reprocessed into qualityare viable alternatives to hazardouspaints.fibreglass insulation. Sustainably harvested wood flooring 8. Incorporates a broad range of activities, includingproduct modification, changes of the productionprocess, packaging changes, as well as modifyingadvertising. Environmental protection and resourceconservation. Balance in division of responsibility Green marketing came into prominence in the late1980s and early 1990s. 9. The green products still lag theconventional products in every category. Psychological factors Price Poor positioning and distribution 10. better understand consumer and marketdynamics get the value proposition right enhance your green credibility to improvebrand image optimize the marketing mix have realistic expectations 11. Sustainability through energy management,environmental compliance , Lead and other hazardoussubstance free products, effluent control, wastemanagement and recycling . The increasing political and social demand for a moresustainable society-affecting the way products need tobe designed, manufactured, used and also disposed off. Driving sustainability by leveraging PLM for drivingGREEN. Confusion in the marketplace. Marketers sometimes take advantage of this confusion,and purposely make false or exaggerated "green"claims- Green washing. 12. According to market researcher Mintel, about 12% ofthe U.S. population can be identified as True Greens,68% as Light Greens. In 1989, 67 percent of Americans stated that theywere willing to pay 5-10 percent more for ecologicallycompatible products. 1991, environmentally conscious individuals werewilling to pay between 15-20 percent more for greenproducts. 2009, agreed to pay up to 40 percent more for aproduct which had been proven to be green. 13. Environmental appeals are actually growing in numbertheEnergy Star label, for example, now appears on 11,000different companies[ models in 38 product categories, fromwashing machines and light bulbs to skyscrapers and homes. The growing popularity of green building programs- increasedemand for green products. Despite the growth in the number of green products, greenmarketing is on the decline as the primary sales pitch forproducts. A high percentage of consumers (42%) feel that environmentalproducts dont work as well as conventional ones. New reports, however show a growing trend towards greenproducts.