Product

A product is a tangible good or an intangible service that is marketed to a consumer. A tangible good is something that can be seen, heard, tasted, felt, or seen. Products such as coffee, milk, biofuel, laundry detergent, and outdoor apparel are all examples of tangible goods.

Intangible products are mostly service based and provided by someone directly in contact with customers, such as mutual fund investment services, health care services, and consulting services. Sometimes the intangible service results in a tangible product, such as a lawyer providing legal advice in filing for a product patent. The intangible product is the lawyer’s services, and the tangible product is the patent itself.

When looking at a sustainable-marketed product, consideration should be made for sourcing of materials, ingredients used, and the manufacturing of the product. This includes using all natural and organic materials, sourcing local and through fair trade suppliers, utilizing environmentally friendly materials, and using lean manufacturing and distribution methods that minimize the company’s carbon footprint. For example, Unilever (the corporate owner of Ben & Jerry’s) has committed that all ingredients in Ben & Jerry’s ice cream be sourced through fair trade suppliers and certified as such by 2013.

Companies, both large and small, are undertaking sustainability initiatives. The most successful companies in doing this sincerely embrace sustainability principles at its core; set clear and measurable goals; and clearly, transparently, and truthfully communicate with their stakeholders about the ecological and social impacts of their products and services. These companies use the four PsCombination of product, price, place (distribution), and promotion that encompass the marketing mix. to enhance and fulfill their sustainable positioning to be true to the vision throughout their marketing mix.

Seventh Generation is a pioneer in sustainability marketing and a leader in natural household cleaning products. Deriving its name from the Great Law of the Iroquois that states, “In our every deliberation, we must consider the impact of our decisions on the next seven generations,” Seventh Generation has long been practicing sustainability throughout its marketing mix for over twenty years. Their entire product line of household and personal care products—from laundry detergents to baby wipes—are carefully designed and manufactured to minimize their impact on the environment. Using all natural, renewable, and recyclable resources, Seventh Generation is working to “help protect human health and the environment.”“Green Cleaning Products,” Seventh Generation, http://www.seventhgeneration.com. (See Chapter 8 "Case: Marketing Sustainability: Seventh Generation Creating a Green Household Consumer Product" for more information on their approach to sustainable marketing.)

Timberland’s Earthkeepers product line is the company’s most visible effort to put their environmental values into their products and market it. Products produced under the Earthkeepers label feature (1) reduced use of harmful chemicals, including no PVC and water-based adhesives; (2) use of recycled materials, including plastic bottles made into linings and laces and recycled rubber sole boots made with up to 30 percent recycled rubber; (3) use of organic materials, including organic cotton; and (4) use of recycled packaging materials, with all boxes made of 100 percent postconsumer recycled packaging cardboard. Timberland has implemented eco-labels to communicate information to consumers about the impacts of their products and has implemented life cycle management to quantify the environmental impacts of the products that it produces. (See Chapter 11 "Case: Accounting for Sustainability: How Does Timberland Do It and Why?" for more information.)

Another example is General Electric. The company committed to utilizing clean technologies and reducing their environmental footprint in 2005 with their ecoimagination program. Since then, a hybrid engine train has been put into development, a state-of-the-art wind turbine blade has been manufactured, and a superefficient washing machine and coal-gasification technology have been introduced. General Electric, in particular, is noteworthy for its pledge to double its investments in the research and development of environmentally friendlier technologies. The total budget for research and development went from $700 million in 2004 to $1.5 billion in 2010. General Electric has been consistently named in the top ten of Global 100 Most Sustainable Corporations.“GE and Unilever Step Forth to Write a New Agenda,” New Economy, http://www.theneweconomy.com/business-and-management/sustainability/ge-and-unilever-step-forth-to-write-agenda.

In the garment industry, Earthtec is an emerging sustainability product marketing clothing manufacturer. Using postconsumer recycled polyethylene terephthalate plastics (such as discarded water bottles), Earthtec converts landfill-bound bottles into high-performance fabrics and clothing. The company is dedicated to using recycled or renewable materials in every single article of clothing they make. Beyond their product line focused on sustainability, the company has incorporated a streamlined manufacturing model that is designed to minimize their carbon footprint.“Earthtec—Clothing with a Conscience,” Earthtec, http://www.earthtec.com/our_story/conscience.

An example of sustainable intangibles is the services provided by the mutual fund company Pax World. Pax World is a recognized leader in the field of sustainable investing—the full integration of environmental, social, and governance (ESG) factors into investment analysis and decision making—in its mutual fund offerings.“About Pax World,” Pax World, http://www.paxworld.com/about. Pax World provides the intangible service of investment advice with a strong sustainability conscience. (See Chapter 12 "Case: Sustainable Investing: Pax World Helping Investors Change the World" for a more comprehensive discussion of sustainable investing.)

Packaging

Packaging plays a critical role in the product’s sustainability. Consumers have increasingly been made aware of environmental packaging choices and are changing their behavior as a result. A leading example of this is with water bottles. Many consumers have made the switch from purchasing single-use plastic water bottles to using refillable water containers. In 2008, 2.5 million tons of plastic bottles and jars were thrown away.“Use-and-Toss Bottle Facts,” Reuseit.com, http://www.reuseit.com/learn-more/top-facts/plastic-bottle-facts. The extremely slow decomposition rate of plastic bottles leaves them to sit in landfills or litter oceans for years. As a result of increased consumer awareness and consumer demand, sales of reusable water bottles from environmentally friendly producers such as Sigg and Kleen Kanteen have come onto the market. Consumers still want clean, filtered water, and companies, such as Brita and PŪR, makers of water filters, have seen a 22.2 percent and 15.2 percent increase in sales during 2009, respectively.GreenerDesign staff, “Green Product Trends: More Launches, More Sales,” GreenBiz.com, April 23, 2009, http://www.greenbiz.com/news/2009/04/23/green-product-trends-more-launches-more-sales.

Another strong consumer packaging trend is the use of reusable shopping bags at grocery stores. Americans use one hundred billion plastic shopping bags every year and over five hundred billion are consumed globally. Of this, four billion become general litter.“Reusable Shopping Bags…What’s the Buzz?,” Notawaste.com, http://www.notawaste.com/articles/reusable_shopping_bags.html. Consumers and retailers are recognizing this, encouraging new behavior, and now it is almost fashionable to bring your reusable shopping bags to your local store. As of 2011, more than two-thirds of consumers indicated that they now use reusable shopping bags.

Another one of the keys to sustainable packaging is to ensure that the product-to-packaging ratio is “right-sized”—meaning that the product tightly fits in the packaging and there is no wasted use of packaging materials or “air space.” This is not only for the package itself but also for the packing case, which houses multiples of the products for shipping. This is often referred to as “cube optimization.” Cube optimization means right-sizing packages and fitting orders into packaging dimensions that are as small as possible without threatening the integrity of the order. Tight packaging-to-product ratios accomplish two things: (1) they reduce use of packaging materials and (2) they reduce energy costs as the pallet loads are more condensed and the manufacturer is not paying to transport “air.” Additionally, as more and more products are being shipped globally in containers by ocean, air, trucks, and rail, every inch of transport space and fuel usage is significant. This is an example of a win-win situation for the business and the environment, as shipping more in the same volume of space cuts shipping costs, impacting the business bottom line, while reducing the amount of energy (and associated greenhouse gas [GHG] emissions) needed, positively impacting the environmental “bottom line.”

Using renewably sourced materials is another way companies can create more sustainable packaging. Renewable materials are those that utilize forest, fiber, and agriculture products. Nonrenewable materials are those like plastic or Styrofoam, which are derived from petroleum and other fossil fuels.

Price

Price is the monetary (or bartered) amount a consumer pays for a product or service based on the product or service’s value or worth. For sustainable products, pricing has often been an issue limiting a product’s or service’s mass acceptance and market growth. Green products tend to be more expensive because the ingredients may cost more than their conventional counterparts. For example, organic food grown with natural fertilizers may be more expensive than those foods not utilizing natural fertilizers. Manufacturing and transportation costs can also be higher. For example, if the transport costs use a higher cost but lower polluting renewable energy fuel source, this will contribute to a higher price point. This creates a price gap between conventional products and those that are sustainable, which is often referred to as the “green pricing gap.” The higher price can be a barrier to wide market acceptance for many green products, as some consumers may want to purchase products that are better for the environment but either do not want or are financially unable to pay a higher price. For the large majority of consumers, if they do not receive additional value from a sustainable product, for example, in the form of reduced energy costs or longer product lives, they will not pay a premium for the sustainable product. If a product is competitive in terms of price, as well as product, place, and promotion, with traditional products and services, sustainability can give that product a competitive edge particularly among consumers with some interest in sustainability such as the middle green.

Marketers need to minimize the price barrier either by reducing the price point to be closer to its conventional counterparts or through marketing efforts to raise the perceived value to command a premium. Products, such as organic food brands, Earth’s Best, and Starbucks with their fair trade coffee, have done a commendable job in creating greater perceived value, thus commanding premium pricing. Some green product marketers use effective targeting to minimize the green price gap by targeting either people who are better off financially (those who can better afford to take environmental factors into their consumption decisions) or particular market or consumer groups, such as super greens and green regional markets (e.g., Portland, Oregon), with concentrations of potential customers who derive value in conspicuous conservation and demonstrating their environmentalism.Lindsay Kauffman, “Green as a Status Symbol: Why Increased Prices May Increase Sales,” Triplepundit.com, http://www.triplepundit.com/2011/05/green-status-increase-prices-increase-sales.

To that end, consider the American family of four who spends an average $115.60 per week on groceries.Food Marketing Institute, U.S. Grocery Shopper Trends (Food Marketing Institute, 2010), 107; “Key Facts,” Food Marketing Institute, accessed April 1, 2010, http://www.fmi.org. If the green products cost 10 percent to 25 percent more, their $115.60 per week yields significantly less purchasing power. This is even more pronounced in a weak economy. Yet many sustainable business practices, such as using materials with longer life, can save consumers money in the long term. Pricing is key in the marketing mixA planned mix of the controllable elements of a product’s marketing plan commonly termed as the four Ps (product, price, place, and promotion). and marketers of sustainable products and services need to ensure the price and value equation is right for maximum success.

Place

Place is where the product can be purchased and includes how the product is distributed to the purchase location. Place can be a physical store as well as a virtual store on the Internet, also known as an e-tailer. Amazon is probably one of the best and biggest examples of an e-tailer as it has no “brick and mortar” storefronts.

Some sustainability focused retailers with brick and mortar storefronts are moving toward more sustainable practices. Retailers like Kohl’s are implementing solar energy panels in some of their stores. Walmart is building more energy-efficient stores, using more alternative fuels in its trucks, and reducing packaging.Dan Sewell, “Retailers See Green in ‘Green’ Business,” MSNBC.com, April 23, 2010, http://www.msnbc.msn.com/id/36739333/ns/business-going_green/t/retailers-see-green-green-business.

A place-related sustainable marketing area of increased interest is buying locally. According to the 2011 Nielsen global online consumer survey, belief in the positive impact of local products is highest in North America, where 65 percent of consumers reported that local goods have a positive impact on the environment.

Consumers are increasingly concerned about the environment and carbon emissions from transporting goods over long distances. Increasing numbers of local retailers are promoting themselves as local with the associated environmental and community economic benefits associated with local residents buying from local businesses compared to national and international companies. Some larger companies are recognizing the interest in buying local by increasing their use of local suppliers. This includes Whole Foods stores buying from local farmers and fisheries.

Retailers are increasingly scrutinizing their suppliers and demanding that the products that they sell meet higher sustainability standards. Walmart has implemented a sustainability scorecard that scrutinizes their suppliers’ and vendors’ entire product development cycle to ensure that they are implementing sustainable practices and continually looking to improve on these practices. If they are not, Walmart has stated that they will not carry the products. Other retailers are also beginning to demand that their suppliers meet sustainability hurdles including Safeway, Kroger, and Target.

The distribution channel is a significant consideration for sustainable marketing practices. Companies that are sustainability-minded are looking at ways to reduce their carbon footprint through a variety of efforts. Transportation with fuel-efficient loads, using alternative energy sources, and optimizing distribution routes are a few of the examples that can favorably impact the distribution channel in a sustainable way.

Promotion

Promotion is the communication tools and tactics that a company uses to promote and market their product. There are many ways to communicate a company’s products and benefits. Branding is the cornerstone of the communications platform.

A brandAn image in the consumer’s mind for a particular product or service. It is defined by a perception, good or bad, which consumers or prospects associate with a particular product or service. is an image in the consumer’s mind for a particular product or service. Strong sustainable brands should have a brand image of the product or service having a positive impact on people and the environment. Stonyfield’s brand positioning of “healthy food, healthy people, healthy planet” stems directly from the company’s strategic vision.

Advertising, public relations, personal selling, consumer and trade promotion, social mediaMedia that is interactive, instantaneous, and mobile and allows consumers to interact with one another and share information anytime, anywhere., digital marketing, and mobile marketing are all marketing promotion tools. When determining which mediums to utilize, marketers need to consider (1) marketing objectives, (2) effective reach of mediums among identified target audiences, and (3) budget. It is best to use a mix of promotion vehicles to most effectively and efficiently reach the target market and consistently apply the branding and messaging to maximize awareness. The messaging is best when it elicits a call to action on the consumer’s part—that is, purchase, engagement, and loyalty.

• Advertising encompasses communications designed to increase awareness and encourage the purchase of a particular product or service and is a paid medium. Advertising methods are more interruptive versus permission based (see the following description) and include television, print (newspapers and magazines), Internet advertising (such as banner ads), radio, billboards, and cinema advertising.

Nike recently made a big splash with its marketing focused on creating a better world through sports. Their efforts included the first 100 percent recycled television advertising, reusing and remixing film from their previous campaigns over the years to create a new spot to introduce their Better World campaign. The digital mash-up showcases the inspiration and history of the brand while bringing attention to the sustainability concept of reuse and reducing resources. This is also a good example whereby utilizing sustainability principles actually benefits the bottom line. By reusing existing film, Nike did not have to spend the thousands of dollars to produce a new television commercial nor expend energy costs for a production shoot. For perspective, an average television commercial cost exceeds $300,000,Tim O’ Leary, “The Latest on How Much It Costs to Produce a TV Commercial,” Bizzy Life, May 23, 2010, http://bizzylife.com/2010/05/the-latest-on-how-much-it-costs-to-produce-a-television-commercial. and an average television shoot is two to three days depending on how many locations are required.

Utility company the Denver Water Company created an advertising campaign that visually highlighted their campaign message of “Use Only What You Need.” This campaign was run on outdoor billboards, print ads, and bus and taxi ads.

• Public relations is about influencing, informing, and persuading the consumer and is often not a medium that is directly paid for, such as paying to take out ads in the newspaper, on the radio, or on television. Instead, you earn stories and coverage, which is called “earned media.”

There are many tools to use for public relations; among them are press releases, press conferences, fact sheets, letters to the editor, guest columns, radio and television talk show appearances, blogs, white paper publishing, speaker engagements, trade shows, and endorsements.

Toyota, when it launched Prius, one of the first hybrid cars, received endorsements from such influential eco-friendly organizations as the United Nations, the Sierra Club, and the National Wildlife Federation. These endorsements helped to establish Toyota’s green brand image and credibility. Utilizing press releases and print ads, Toyota helped to spread the word of their endorsements to maximize awareness. Prius has gone on to be the number one hybrid car in the United States.

• Personal selling includes one-on-one selling, word of mouth, cold calls, sales meetings, product presentations, and demonstrations.

One of Simply Green’s (a biofuel company based in Portsmouth, New Hampshire; see Chapter 7 "Case: Sustainable Business Entrepreneurship: Simply Green Biofuels") most successful marketing tools was cold calling (phone calls that are unsolicited and without any prior connection) to music industry performers touring in the region. It was through this personal selling technique that Simply Green landed an account filling famous musicians’ tour buses, which earned Simply Green instant fame and credibility.

• Consumer promotions are programs that directly help to influence the consumer to purchase the product and typically include some price incentive. For sustainable marketing they often include an incentive or donation that help people and the planet. Items such as free standing inserts (FSIs: the inserts that are typically in Sunday’s newspaper), coupons, buy one get one free offers (BOGOs), Groupon offers, in-store sampling, couponing, event marketing, sweepstakes, and other contests are key consumer promotion tactics.

Blake Mycoskie started Toms Shoes on the premise that for every pair of shoes sold, one pair would be donated to a child in need. Toms Shoes recognized that consumers want to feel good about what they buy and thus directly tied the purchase with the donation. This consumer promotion is a buy one give one. In just four years, Toms Shoes has donated more than four hundred thousand shoes, evidence that consumers have clearly embraced the cause.

• Social media involves the use of sites, such as Facebook, Twitter, Foursquare, LinkedIn, and YouTube, among others, to help generate awareness and get consumers engaged in a relationship with a brand and talking to each other about the brand. Social media are permission-based marketing, and consumers have to engage on their own and give “permission” to marketers to engage with them (e.g., when you “Like” a product or service fan page on Facebook or you view a promotional YouTube video or sign up for a blog RSS feed). This is different than interruptive marketing, which consumers usually have little control over (although DVRs are making it possible for consumers to not have to watch television advertising).

Using the power of social media, two CEOs created a “rap off” contest utilizing YouTube videos, Facebook, and Twitter. CE-YO Gary Hirshberg, of Stonyfield Yogurt (see Chapter 13 "Case: Strategic Mission–Driven Sustainable Business: Stonyfield Yogurt"), and CEO Seth Goldman, from Coca-Cola’s Honest Tea, became dueling rappers to promote organics for Earth month. Hirshberg and the “Stonyfield Moms” created a rap video about eating organic (http://www.youtube.com/watch?v=SCA6P9lsEfw&feature=pyv&ad=8718280378&kw=organic%). Not to be outdone, Goldman, who is a longtime friend of Hirshberg’s, thought that they at Honest Tea could do a better rap video and responded with the rap, “Rethink What You Drink” (https://www.youtube.com/watch?feature=player_embedded&v=jeF-65eDLc0#!).

Consumers voted on Facebook for the best rapper team and could upload their own organic rap video to win cash and a supply of Stonyfield Yogurt and Honest Tea. Both Stonyfield and Honest Tea used social media to engage consumers for a sustainable mission and actively encouraged consumer participation. The campaign went viral, receiving many website hits, likes on Facebook, tweets and retweets, and YouTube visits.

Tom’s of Maine, a Kennebunk, Maine–based personal care company owned by Colgate and well known for its sustainable positioning, uses social media to engage their consumers. For example, they introduced their new Wicked Fresh toothpaste and mouthwash with ads running on Facebook’s newsfeed page, a “Wicked Fresh” sweepstakes, a contest, and an online instant win game. The company also used Twitter to promote the contest.

• Event marketing is either the use of an existing event or the creation of an event to engage prospective consumers, build awareness, and market a company’s products and services. One of the simplest examples is the use of trade shows and exhibits. Other methods include creating flash mobs, interactive exhibits, pop-up stores, or other means to stage events.

Volkswagen creates interactive exhibits in key cities globally to help consumers change their habits to reduce their carbon footprint. Titled “The Fun Theory” (http://thefuntheory.com), they have built interactive exhibits, such as glass bottle recycling bank arcades and piano-based steps in subways that play musical notes when stepped on to encourage more walking versus riding the escalator. By making consumer habit changes fun, Volkswagen is making an impact.

• Digital marketing is primarily the use of web-based marketing tools. This would include a company’s website, search engine optimization (SEO), pay-per-click, retargeting, e-mail, RSS, blogging, podcasting, and video streams, to name a few. The Internet can be used with push or pull techniques. Digital marketing can be used to “push” a message to the target market via e-mail, IM, RSS, or voice broadcast, and it can also be used to “pull” content via a banner ad and pay-per-click search terms.

Seventh Generation (see Chapter 8 "Case: Marketing Sustainability: Seventh Generation Creating a Green Household Consumer Product"), a national manufacturer and distributor of environmentally friendly household and personal care products, recently has been successfully utilizing digital marketing techniques including SEO, retargeting (generating ads that follow consumers by placing cookies on their site based on previous site visits), and pay-per-click.

• Mobile marketing is on the rise, especially with the increasing penetration of smartphones. Currently, the Nielsen Company puts smartphone household penetration at 40 percent, but it is growing quickly.Nielsen, “In US, Smartphones Now Majority of New Cellphone Purchases,” Nielsenwire, June 30, 2011, http://blog.nielsen.com/nielsenwire/online_mobile/in-us-smartphones-now-majority-of-new-cellphone-purchases; Graceann Bennett and Freya Williams, Mainstream Green, 2011, http://assets.ogilvy.com/truffles_email/ogilvyearth/Mainstream_Green.pdf; Stephanie Clifford and Andrew Martin, “As Consumers Cut Spending, ‘Green’ Products Lose Allure,” New York Times, April 21, 2011, http://www.nytimes.com/2011/04/22/business/energy-environment/22green.html?pagewanted=2&_r=2; Karen Collins, “Sustainability and Business,” in Exploring Business (Irvington, NY: Flat World Knowledge, 2009); Wikipedia, s.v., “Greenwashing,” http://en.wikipedia.org/wiki/Greenwashing; Arthur Thompson, A. J. Strickland, and John Gamble, “Five Generic Competitive Strategies,” in Crafting and Executing Strategy, 17th ed. (New York: McGraw-Hill, 2009); “Seventh Generation’s Mission,” Seventh Generation, http://www.seventhgeneration.com/seventh-generation-mission; “Seventh Generation,” Behind the Brand, http://www.gobehindthebrand.com/498341/Behind-the-Brand-br-Seventh-Generation-br-Jeffrey-Hollender#.TitH0s0xYyM; “‘Green’ Household Cleaning Products in the U.S.: Bathroom Cleaners, Laundry Care and Dish Detergents and Household Cleaners,” Packaged Facts, http://www.packagedfacts.com/Green-Household-Cleaning-2554249; Laurie Burkit, “Seventh Generation Protecting Its Turf,” Forbes, January 18, 2010, http://www.forbes.com/2010/01/18/seventh-generation-brand-awareness-cmo-network-chuck-maniscalco.html; Kari Lipshutz, “Once You Go Green, You’ll Probably Go Back,” AdWeek, April 22, 2011, http://www.adweek.com/news/advertising-branding/once-you-go-green-you-ll-probably-go-back-130883; “Arm & Hammer’s New Cleaners Not Only Greener, They’re Cheaper,” EnviralMarketing.com, http://www.enviralmarketing.com/2008/10/22/arm-hammers-new-cleaners-not-only-greener-theyre-cheaper; Stephanie Clifford and Andrew Martin, “As Consumers Cut Spending, ‘Green’ Products Lose Allure,” New York Times, April 21, 2011, http://www.nytimes.com/2011/04/22/business/energy-environment/22green.html?pagewanted=2&_r=2; “Seventh Generation Corporate Conscious Report,” Seventh Generation, http://www.7genreport.com/introduction/performance.php; “Big Changes at Seventh Generation,” 7Gen (blog), June 1, 2009, http://www.seventhgeneration.com/learn/blog/big-changes-seventh-generation; Marc Gunther, “Seventh Generation Sweeps Out Its Founder,” Marc Gunther, November 1, 2010, http://www.marcgunther.com/2010/11/01/seventh-generation-sweeps-out-its-founder; Alex Goldmark, “Seventh Generation Snags Burt’s Bees CEO to Replace Founder,” Good Business (blog), February 10, 2011, http://www.good.is/post/seventh-generation-gets-a-new-ceo-john-replogle-from-burt-s-bees; Priti Ambani, “Jeffrey Hollender & Seventh Generation: Lessons Learned at the End of a Chapter,” Ecoprenuerist, June 27, 2011, http://ecopreneurist.com/2011/06/27/jeffrey-hollender-seventh-generation-lessons-learned-at-the-end-of-a-chapter; Jonathan Bardelline, “Clorox Income Falls as Recession Slows Green Brands,” GreenBiz.com, May 3, 2011, http://www.greenbiz.com/news/2011/05/03/clorox-income-falls-recession-slows-green-brands. Mobile advertising and the use of QR (quick response) codes is an effective way to engage consumers. QR codes are two-dimensional (2D) matrix barcodes that can hold thousands of alphanumeric characters of information. When consumers “snap” them on their smartphones, the QR codes can take them to a special mobile-enabled site that provides content and incentives to promote a product. In today’s digital world of immediacy, consumers want instant access to what’s relevant and mobile marketing techniques are being used to make that possible.

Sea Bags, a Portland, Maine–based company that makes handmade tote bags from recycled sails, is using a strategic approach with QR codes, incorporating them into its marketing strategy. The QR code directs consumers to a mobile-enabled website that shows a video portraying the company story and commitment to recycling, detailing how they use recycled sails to make their product. Future plans are to include bag tags (also made of recycled sails) with QR codes, which tell consumers their sail’s history and sailing journey around the world.

• Grassroots promotion and marketing combines some of the different promotional approaches in a focused, creative, and low-cost way that is often local or community based. It can be particularly useful for start-up ventures. It uses public relations (such as local press and media stories), blogs, social media, and community event planning and participation to drive qualified leads to company websites and physical locations for purchases.

Andrew Kellar, the founder of Simply Green, used grassroots marketing with a focus on company participation with a nonprofit organization (the New Hampshire Green Alliance) and high-visibility sales with well-known early adopterA person (or group) who embraces new technology or buys products or service before most other people do. customers (touring rock band buses) to build up its customer base to over five hundred in just one year at a very low marketing cost. (See more details in Chapter 7 "Case: Sustainable Business Entrepreneurship: Simply Green Biofuels".)