UNIVERSITY OF PETROLEUM & ENERGY STUDIES

School of Business, Dehradun

Dissertation

On

THE IMPACT OF GREEN MARKETING PRACTICES ON

CONSUMER BUYING DECISION

BBA

Family Business and Entrepreneurship

2020-2023

Submitted To: Submitted By:

Mr. Alok Negi Aman Mittal

 DECLARATION

I hereby declare that the dissertation entitled “THE IMPACT OF GREEN MARKETING
PRACTICES ON CONSUMER BUYING DECISION” submitted in partial fulfilment of the
requirements for the degree of Bachelor in Business Administration in family business and
entrepreneurship is a record of original research work done by me under the supervision and
guidance of Mr. Alok Negi and the dissertation have not formed the basis for the award of
any Degree/ Diploma/ Associateship/ Fellowship or similar title to any candidate of this or
any other university.

Name: Aman Mittal

Enrolment Number: R194220045

Sap Id: 500085473

 MENTOR AGREEMENT FORM

I, Aman Mittal student of BBA Family Business & Entrepreneurship, Semester V, with
Enrolment number R194220045 and SAP ID 500085473 will undertake Dissertation in the
topic “The Impact of Green Marketing on Consumer Buying Behaviour” under the guidance
of Mr. Alok Negi and will submit the synopsis and final Dissertation as required.

Student Name Mentor Name

Aman Mittal Alok Negi
Signature Signature
 ACKNOWLEDGMENT

First and foremost, I would like to express my special thanks and gratitude to “Mr. Alok
Negi” and all other faculty members for their support to complete my project.

I would like to express my deep gratitude to “The University of Petroleum and Energy
Studies” for extending the opportunity of undergoing the project and providing me with all
the necessary resources and expertise needed for the completion of the project.

I express special thanks to my mentor “Mr. Alok Negi” for his valuable guidance and
encouragement throughout my research project on “The Impact of Green Marketing on
Consumer Buying Behaviour.” His expertise, enthusiasm, and dedication to work have been a
constant source of motivation for me throughout the project.

AMAN MITTAL

R194220045

BBA Family Business & Entrepreneurship

 TABLE OF CONTENTS

COVER PAGE

INTRODUCTORY PAGES

• DECLARATION

• ACKNOWLEDGMENT

• TABLE OF CONTENTS

• ABSTRACT

TEXT

Chapter Particulars

1. Introduction
2. Literature Review
3. Objective and Hypothesis
4. Research Methodology
5. Analysis
6. Conclusion
7. References
 ABSTRACT

Colour can be one of the most crucial factors in influencing buyers to purchase specific
products. As a result, organisations have begun employing green marketing practises such as
making products more environmentally friendly and including features that have a lower
environmental impact. These products are evolving into unique products in order to keep up
with these value-conscious customers, whose consumption patterns and purchasing decisions
are changing. Customers are becoming increasingly aware about environmental issues, and
they want to have an active role in reducing the environmental impact of their actions.

There is no way that the globe could possibly sustain itself. As a result, it requires
engagement and input from customers and organisations in order to protect it and raise
awareness of environmental challenges, such as global warming, which currently affects
every human on the planet. Another topic is corporate social responsibility, which refers to
organisations' responsible acts in society, such as offering and marketing environmentally
friendly products.

As a result, the goal of this study is to analyse consumers' perceptions of organisations'

attitudes when they engage in green marketing activities, as well as how it impacts and, in
some ways, moulds customers' purchasing decisions when they are aware of the
environmental impact of their actions.
 INTRODUCTION
"Green products" or "environmental products" are frequently connected with certain qualities
that were generated using a green technique, or with as little influence on the environment as
possible. Some of its characteristics include environmental protection and resource
conservation. The methods involved tend to reduce the usage of toxic materials, pollution,
and waste, all of which are harmful to the environment. Green products must boost
productivity and utilisation of natural resources, incorporate a biological production model,
and reduce the number of materials needed in their operations.

Peattie, K. (1995), identified three distinct phases of this new green marketing trend: the
"ecological," which reflects the development of methods to solve existing environmental
problems; the "environmental," which involves the use of "clean technology" in the process
of developing new products; and the "sustainable," which reflects organisations' behaviour in
developing and marketing environmentally friendly products as customers become more
aware of these.

Green marketing is more than just adding environmental features to products or services.
Some of these changes can be seen in product promotion, while others can be seen in the
company's trademark, which can arise as a result of a logo change or in the packaging
material utilised. Other activities that businesses participate in when going green include
changing the product itself or even the manufacturing process.

Customers are becoming increasingly aware about environmental issues, and they want to
have an active role in reducing the environmental impact of their actions. As a result,
corporations have begun employing green marketing methods such as making products more
environmentally friendly and including features that reduce pollution.

It demands customer participation and contribution to protect it, as well as awareness of

environmental issues such as global warming, which is currently affecting every human on
the planet earth. Another topic is corporate social responsibility, which refers to corporations'
responsible acts in society, such as offering and marketing environmentally friendly products.

To have a successful green marketing strategy, the organisation must be authentic in terms of
what it stands for, or whether firms are accurate, comply with, and behave in accordance with
the company's policies. Organizations must also follow through on what they say in their
marketing campaigns. Empowering customers is also a vital component to success since it
offers customers the power to intervene and become a part of environmental efforts, as well
as ensuring customers recognise the future benefits of being green. Focusing on being honest
with its consumers. If companies follow protocols while making claims about their
environmental friendliness, they can avoid all the suspicion that comes with adopting a
greener strategy. Finally, setting prices based on the selected target is an important part of
this strategy.
 PROBLEM DEFINITION

More emphasis should be placed on specific green product characteristics and customers who
are environmentally cognizant of the consequences of their behaviour. This is a very
significant topic since it can create new chances for businesses in such a highly competitive
global economy. Many scientists argue that going green is the only way to save our world.
Governments must also play an essential role in raising awareness of these environmental
challenges through economic policies that are matched with social responsibility. Even
though, quality has been considered buyers believe that there are additional qualities in their
regular products, such as the possibility of alternative uses for the products after its life time
has expired.

The growing knowledge of environmental concerns has changed customers' choices and
interests, transforming this notion into a revolutionary and erecting a barrier to traditional
marketing. This shift from traditional to green marketing reflects a shift in customer
perception. Customers and businesses are clearly embracing this new view and preferring
environmentally friendly items, even if it means spending more money for these green
products. Being green means that businesses conduct in a more responsible (eco-friendly)
manner, reducing their environmental impact in order to avoid major implications in society's
wellbeing.

PURPOSE OF THE STUDY

The goal of this study is to investigate customers' perceptions of organisations' attitudes when
they engage in green marketing practises, as well as how it affects and, in some ways, shapes
customers' purchasing decisions when they are aware of the environmental impact of their
actions.

In general, green goods can be created from recycled materials, products that can be recycled
or reused, organic products, products that fulfil environmental responsibility packaging, or
other environmental standards.
Green marketing does not simply refer to the promotion or advertising of environmentally
friendly products. We often associate this concept with words like recycling, ecologically
friendly, or refillable. This idea, however, is broader, as it also includes product modification,
changes in the manufacturing process, brand adaptation (e.g., logo, packaging), and the
alteration and improvement of advertising tactics. It also involves the effects of marketing on
pollution, environmental degradation, and energy consumption. It offers a distinct viewpoint
on the basic concept of marketing because it is no longer focused on the issues of specific
civilizations, but on global ones. It entails being able to meet the demands of customers while
having the least amount of impact and harm on the environment.

IMPORTANCE OF THE STUDY

One of the most important aspects of green marketing is meeting customers' requirements by
offering options that do not pollute or damage the environment. As a result, it is critical to
identify different options with limited resources to satisfy the endless requirements of both
individuals and industries while also aligning with the company's aims. Companies nowadays
concentrate on product development and strategies to link it with sustainability. Actions in
the production, distribution, use, and recycling phases must have the least possible
environmental impact. It is critical to evaluate the resources utilised in each step, the
resources required throughout the product's lifetime, and whether the practices used are
ethical.

On the other hand, growing pollution and the effects of global warming are examples of
human destruction that are wreaking havoc on the environment. So far, we have seen how
social responsibility has become increasingly crucial in today's society. As a result, not just
marketers, but also consumers, are acting and becoming more worried, altering their
behaviour patterns.

This concept investigates customers' mindsets and positions on environmental issues,

becoming more of a "central core value" rather than being explicit, and so influencing
consumption and marketing decisions. Other advantages of going green include technological
advancements in the usage of recycled items and the use of new types of commodities. The
imposition of technology has shaken everyday life, and technology is frequently
misconstrued with nature. As a result, it is critical to provide products and services that are
environmentally friendly.

Being green means that businesses conduct in a more responsible (eco-friendly) manner,
reducing their environmental impact in order to avoid major implications in society's
wellbeing.
 LITERATURE REVIEW
The detrimental influence of human activities over the years has given rise to a new
marketing concept: green marketing. The topic of green marketing has recently received a lot
of attention due to its impact on everyday purchasing decisions. This approach is also known
as ecological marketing or environmental marketing. "Green products" or "environmental
products" are frequently connected with certain qualities that were generated using a green
technique, or with as little influence on the environment as possible. Some of its
characteristics include environmental protection and resource conservation. The methods
involved tend to reduce the usage of toxic materials, pollution, and waste, all of which are
harmful to the environment. Green products must boost productivity and use of natural
resources, incorporate a biological production model, and reduce the number of materials
required in their operations (dematerialization).

According to what was said, many green products have the ability to save energy. For
example, demand for electric vehicles has increased not only as a result of government
subsidies, but also as a result of long-term savings. Many organisations are attempting to
generate a "green chic" appeal for their items by publicising them through celebrities in order
to determine trends and reach and enlarge targets. To have a successful green marketing
strategy, the organisation must be authentic in terms of what it stands for, or whether
companies are truthful, comply with, and behave in accordance with the company's standards.
Organizations must also follow through on what they say in their marketing campaigns.

Empowering customers is also a vital component to success since it offers customers the
power to intervene and become a part of environmental efforts, as well as ensuring customers
recognise the future benefits of being green.

For a firm, sustainable development is implementing business strategies and actions that meet
the demands of the enterprise and its stakeholders today while conserving, sustaining, and
improving the human and natural resources that will be required in the future.

The three pillars that attempt to protect the planet's integrity while also improving people's
quality of life. They are as follows:

Social- It is defined as the construction of tools to improve residents' quality of life,

legislation to support population needs, and the development of better policies in areas such
as education, security, and leisure.

Environmental- The environmental pillar is based on the numerous approaches to seek

environmental preservation, natural resources, and the reduction of environmental damage
over time.

Economic- It includes the creation, distribution, and consumption of products and services.
Companies cannot profit from labour exploitation or reckless and criminal environmental
exploitation in order to be sustainable.
If we had to pick one perceived impediment to the growth of sustainable and ethical brands, it
would have to be cost. In other words, the more prosperous the customer, the more likely
they are to live a sustainable lifestyle. There are several techniques to achieving more
sustainable consumption patterns, such as minimising food waste, supporting more
sustainable diets, and controlling the development in "non-food" demand for agricultural
commodities. Sustainable packaging is being adopted by brands for a variety of reasons,
including corporate social responsibility, lowering carbon footprints, reducing waste,
improving sales – and because retailers require it. Nature can become unbalanced as a result
of over-exploitation, pollution, and destruction of natural resources. Because humanity is a
part of nature, it is critical to convert to eco-friendly items to help safeguard the environment
from harm.

Various authors have contributed to a voluminous literature on green marketing. According

to the review of literature, numerous authors have highlighted Green Marketing and its
related difficulties, methods, and challenges from the local to the global level. Green products
deliver the same profit and performance as non-green products and are more environmentally
friendly, which increases customer values and increases sales. Customer retention is defined
as a customer's future proclivity to remain with the service provider. In the past, measuring
customer happiness was regarded to be the key to understanding a corporation's ability to
retain consumers.

However, customer pleasure is not the only criterion required to keep customers with the
company and cannot guarantee consumer support for an extended period of time. In some
circumstances, service providers may be unable to retain their satisfied clients since customer
pleasure alone cannot secure the customer's long-term commitment to any service provider.
Instead, service providers should consider elements other than customer happiness, such as
customer trust, in order to retain their consumers.

Despite the fact that, environmental issues affect all human activities, few academic
disciplines have included green issues in their literature. As society has become more
concerned with the natural environment, corporations have begun to adapt their behaviour in
an attempt to accommodate society's "new" concerns.

The researcher studied 7 research papers and articles to understand the work done in the
domain. The approach for conducting a literature review was as follows:

1) identify document categories and a number of publications

2) identify top journals and authors

3) map research themes linked to the topic

4) identify past research theory and method

5) describe and discuss descriptive findings from the literature review

6) offer future research plans and conclusions.

 Table-1 Literature Review

S.No Title Author(s)/ Tools/ Methods

Year

1. The Role of Consumers' Ganimete Secondary data.

Behaviour in Applying Green
Podvorica, Fatos
Marketing: An Economic
Analysis of the Non-alcoholic Ukaj, 2019
Beverages Industry in Kosova.

2. Investigating and Extracting M. Safaei, 2020 Secondary data.

Green Marketing Strategies for
Eco-Friendly Packaging in the
Food and Pharmaceutical
Supply Chain (Case Study of
Arian Daru harmaceutical
Company).

3. Green Innovation in Marketing Yunita Budi Secondary Data.

Research: Rahayu Silintowe
and Sukresna
A Systematic Literature
Review

and Bibliometric Analysis

4. State of green marketing Prashant Kumar

T.A. Pai
research over 25 years Secondary Data.
Management
(1990-2014) Institute, Manipal,
India
 Literature survey and
classification

5. Green Marketing in India: A Dr. Ankur Secondary Data.

Review based Study Sabharwal

Guru
Jambheshwar
University of
Science & Tech

Department
Member

6. Green Marketing Mix: A Prashant Kumar Secondary Data.

Review of Literature and
Direction for Future Research XLRI - Xavier
School of
Management

7. Green Marketing Mix: A Bhimrao Secondary Data.

Review of Literature and Ghodeswar
Direction for Future Research
National Institute
of Industrial
Engineering
(NITIE)

Faculty Member
 OBJECTIVES AND HYPOTHESIS
Research Objectives

1. How do colour, quality and post-use fate influence customers purchase habits,
for green products?
2. How green marketing affects customers’ attitudes when acquiring eco-products?
3. How green marketing practices influence customers’ perception on companies’
attitudes?
4. To propose a framework effective green marketing campaign.

Research Hypothesis

1. The colour green has a positive impact in customers’ attitudes towards the purchase of
these products.
2. Green products having a post-use fate (reuse, repair, recycle, remanufacture, re-
condition) has a positive effect in the intention to purchase these products.
3. Customers’ awareness of the superior quality of green products, when comparing to
normal ones with the same features but not eco-friendly, has a positive effect in the
intention to purchase.
4. Customers who opt for green products over normal ones are more satisfied.
5. Customers who opt for green products will remain loyal to these products.
6. Customers who purchase green products tend to be environmentally conscious.
7. Green products customers have a favourable opinion towards companies that are
adopting green marketing approaches for reputation purposes.

Research Gap

Green marketing is still a recent concept for customers. Despite the fact that quality has been
considered buyers believe that there are additional qualities in their regular products, such as
the possibility of alternative uses for the products after its life time has expired. Customer
satisfaction is defined as a post-purchase response that is influenced by elements such as
quality, perceived value, expectations, and confirmation, which refers to the difference
between real and expected quality. Thus, expectations serve as the cornerstone of
contentment, acting as an "anchor" that allows customers to change their satisfaction based
on their experience with the product and service.

Research Investigation

The investigation will pursue through the implementation of a questionnaire based on the
literature review. Questionnaires are often conducted in marketing research because their
easy, cheap, and allow reaching a wider number of people in an efficient way. Questionnaires
are often designed in a way it permits to interpret and measure individuals’ behaviours,
opinions, and experiences through a simple way with questions having standardized answers.
Then, these questions will verify and confirm the validity of the stated hypotheses developed
previously.

Data Collection and Tools

Except for the final question, every item related to the research model was measured using a
5-point Likert scale ranging from 1 - strongly disagree to 5 - strongly agree, because the
questions are closed-ended and to facilitate the way respondents can express their opinions
and the path their choices may take, as well as to collect specific data convenient for the
contributing factors of the research.

The elements of the studying model must be deconstructed into items in order to produce a
questionnaire that can test customers' awareness of green marketing practises. Consequently,
the concepts and definitions of the constructs and items used in this model are explained
bellow:

Independent Variable Construct

Green Product Features Customer attitudes

Green Product Features Environmental awareness

Quality and Post-use fate Intention to acquire

Green Product Features Perception of company’s

intentions

Research Methodology

Research methodology is a way of explaining how a researcher intends to carry out their
research. It's a logical, systematic plan to resolve a research problem. A methodology details
a researcher's approach to the research to ensure reliable, valid results that address their aims
and objectives. A systematic questionnaire will be used to collect primary information. The
questionnaire consisted of 19 questions ranging from personal information to their awareness
and perception about the various green marketing techniques. Through this we can identify
how it affects their buying behaviour and finally frame an effective green marketing
campaign. The primary subjects of the questionnaire will be:

Q1. Gender

The majority of the population are women which represent 55.2% of the sample and men are
44.80%.

Q2. Age
Regarding the exhibit, more than half – 70%, of the sample are young adults, from age 21 to
30. Participants older than 50 represent 11.2 % of the sample. The rest of the participants are
distributed over the other age group categories.

Q3. Educational Background

The majority of the participants have a bachelor degree – 42.2%. The second largest group,
participants have a master degree – 28.8% of the population followed by 14% having a high
school degree. The remaining respondents have either a Postgraduate Diploma, or a PhD or
another degree, represent 11.6% of the sample.
Q4. Participants’ perception on company’s intentions

The final question is related to the individuals’ perception on company’s intentions when
engaging in green practices. The majority of the population – 43.2% consider it is for
reputation reasons. And 18.8% respectively correspond to participants who consider these
practices are to obtain government benefits and to increase profits. On the other hand, 15.2%
of the population has the perception companies are doing because they are aware of their
impact in the environment.

Taking into consideration the bivariate analysis, young participants have different
perspectives on the companies’ intentions about green marketing. So, from age 21-25 years
old, participants consider companies are doing it because of reputation (60 cases),
representing 50.08% within this age group choices, and 13.6% of this age group consider is
for awareness of the impact in the environment (16 cases). On the other hand, older
participants (>50) consider companies are doing it for their consciousness in the environment
as 28.6% of this group, and 25% and 21.4% consider it is about increasing profits and to
obtain benefits from the government, respectively. In general, participants don’t consider
being obliged as a factor for companies to adopt these practices.

Participants with a Master degree or a Postgraduate diploma consider reputation as the main
reason to adopt green practices, representing 62.5% and 47.8% within each group. And 5.6%
and 13% of each of these groups, choose environmental consciousness. Alternatively,
participants with a high school degree consider the awareness companies have as the main
reason – 37.1%, and reputation and increase of profits as the following reasons (31.4% and
8.6% respectively).

So, regarding the outputs, the highest the degree participants have, they are more likely to
consider companies’ intentions are to enhance their reputation instead of being social
awareness of their actions.
Influence of moderator variables in Likert scale answers

This part defines the impact of the moderator variables as: gender, age and educational
background alongside with Likert scale questions on participants’ answers. It also refers the
most appropriate statistic tests used in order to explain and confront the statistical differences
when the association of the question with the moderator variables. It was used the 5 point
Likert scale: 1 “Strongly disagree”, 2 “Disagree”, 3 “Indifferent”, 4 “Agree”, 5 “Strongly
agree” and 1 “Very dissatisfied”, 2 “Dissatisfied”, 3 “Neither satisfied or dissatisfied”, 4
“Satisfied”, 5 “Very satisfied”.

Question 1 – Do you associate the colour green in the brand logo as being an ecofriendly
brand? – observing the Independent Sample T-test and Kruskal-Walli’s output there isn’t
statistically significance difference (p>0.05) within gender and educational background
(mean of 3.72).

Question 2 – Do you consider these products having a green colour, makes you buy
them? – there is no statistical significance difference (p>0.05) within gender and age groups.
Here the uncertainty was clear among respondents consider themselves indifferent for buying
for a matter of colour in the products. In average, customers are indifferent to the colour
green as a reason to purchase (mean of 2.89).

Question 3 – Are you aware companies are adopting green colours to their logo to stand
out as eco-friendly companies? – there isn’t statistical significance difference between all
groups. Basically, all respondents are unanimous and agree and are aware for the fact
companies are adopting green colours to be associated to an environmentally friendly
company (mean of 3.68).

Question 4 – I realize when I am opting for green products over the other ones –
participants are unanimous and agree they realize when they’re choosing an eco-product over
another one. There isn’t statistical significance difference between all groups, and all groups
agree they perceive when they’re acquiring eco-products (mean of 3).

Question 5 – I consider green products provide higher quality than regular ones with
the exact same characteristics – respondents agree on eco-products providing higher quality
comparing to other products. There isn’t statistical significance difference between all groups
(mean of 3.53).

Question 6 – If I consider green products having higher quality, I choose them over the
other ones? – participants are unanimous and also agree that quality is a reason for them to
buy green products. There isn’t statistical significance difference between all groups (mean of
4.09).

Question 7 – I think green marketing practices affect positively my perception of the

brand? – participants agree green marketing practices can affect their perception of the
brand. There isn’t statistical significance difference between all groups (mean of 3.92).
Question 8 – Knowing a product can be recycled, reused or repaired after you use it, is
it a reason for me to buy these particular products? – there isn’t statistically significance
difference (p>0.05) within gender and educational background. In average, participants agree
on the fact products having a post-use fate is a reason to acquire it (mean of 3.86).

Question 9 – I remain loyal to companies which practices are environmental friendly

(decrease wastes, recycle materials, etc.)? – there is statistically significance difference
(p50. Older participants who are more than 50 years old are more willing to remain loyal,
mean of 4.39, than younger respondents from age 16 to 40 with a mean average of 3.84.
Respondents agree they will remain loyal to companies which engage into green marketing
practices (mean of 3.86).

Question 10 – From a scale 1 to 5 (1- very dissatisfied, 5- very satisfied) what is your
level of satisfaction when buying green products? – there isn’t statistical significance
difference (p>0.05) between all groups. All demographic groups unanimously are satisfied
with green products (mean of 3.92).

Question 11 – When I learn about the negative and harmful impact a product has in the
environment, I stop buying it – there isn’t statistically significance difference within gender
and educational background. In average, respondents agree on stop purchasing products when
they learn about their damaging impact for the environment (mean of 3.84).

Question 12 – In case there is an alternative, I prefer products which cause less

pollution – there is statistically significance difference (p<0.05) within age groups and
educational background. In average, participants agree on the fact when having choices, they
opt for the product which is less harmful to the environment (mean of 4.33).

Question 13 – Choosing between two products, I always buy the one which has the
minimum impact to people and the environment? – participants agree when having a
choice, they always go for the product which has the minimum impact. There is statistical
significance (p<0.05) difference between all groups (mean of 3.79).

Question 14 – I change products when they do not comply with the ecological
conditions/rules? – there isn’t statistically significance difference within gender and
educational background. In general, respondents agree they look for other products when they
violate the environmental rules (mean of 3.40).

Question 15 – I think companies are adopting green approaches due to... – there is
statistically significance difference within age groups and educational background.
Participants classified companies’ actions as reputation driven actions.

Testing relationships

To Test Hypothesis 1 and 2 - the colour green has a positive impact in customers’ attitudes
towards the purchase of these products – the researcher correlated question 2 “Do you
consider these products having a green colour, makes you buy them?” with question 1 “Do
you associate the colour green in the brand logo as being an eco-friendly brand?” and
question 3 “Are you aware companies are adopting green colours to their logo to stand out as
eco-friendly companies?”. Regarding the values collected from the Model Summary it
indicates the degree of the correlation/relationship among variables. In this case, there is a
high positive correlation among question 2 and questions 1 and 3 (R=0.581). This correlation
is statistically significant (p <0.05). So, 33.8% of consumers’ perception of opting for eco-
products can be explained by the fact consumers perceiving green colour as environmentally
friendly.

To test Hypothesis 3 and 4 - customers awareness of the superior quality of green products,
when comparing to normal ones with the same features but not eco-friendly, has a positive
effect in the intention to purchase - The researcher correlated question 6 “If I consider green
products having higher quality, I choose them over the other ones?” with question 5 “I
consider green products provide higher quality than regular ones with the exact same
characteristics”. Moreover, when analysing the values form the Model Summary, it is
possible to conclude there is a medium correlation (R= 0.342) between these two questions
and statistically significant (p <0.01). So, R2 explains that 11.7% of consumers’ choices can
be explained by the fact they are satisfied.

To test Hypothesis 5 – Customers who opt for green products will remain loyal to these
products - the researcher correlated question 9 “I remain loyal to companies which practices
are environmentally friendly (decrease wastes, recycle materials, etc.)?” with question 2 “Do
you consider these products having a green colour, makes you buy them?” and question 8
“Knowing a product can be recycled, reused or repaired after you use it, is it a reason for me
to buy these particular products?”. Regarding the Model Summary there is a medium
correlation (R=5.82) between these questions. And the R2 refers 33.8% of consumers will
remain loyal is explained by the green product’s specific characteristics.

To test Hypothesis 6 and 7- customers who purchase green products tend to be

environmentally conscious - The researcher correlated question 11“When I learn about the
negative and harmful impact a product has in the environment, I stop buying it”, with
question 12 “In case there is an alternative, I prefer products which cause less pollution” and
13 “Choosing between two products, I always buy the one which has the minimum impact to
people and the environment?”. There is a high correlation (R=0.746) between these questions
and there is statistical significance (p <0.01). R2 states 55.1% of consumers, who are
environmentally friendly, can be explained by their buying habits.

Analysis

The conducted questionnaire allowed to collect important information to outline customers

decision and buying patterns. Therefore, in order to test and verify the hypotheses, the
researcher was based on the gathered data from descriptive analysis, independent sample tests
and linear regressions.

Hypothesis 1: The color green has a positive impact in customers’ attitudes towards the
purchase of these products – is verified. Perceptions are trigged by what surround us and
everything we observe. So, colors are the main cause for trigging brand awareness of
customers and shape brand image. Several authors Chang and Lin (2010) suggest customers
create associations with colors, specifically with red, yellow, green, blue, black, and white.
Colors directly influence customers, turning it into an essential tool for brand shaping.
Therefore, it starts when colors are implicitly used by customers to shape brand image, which
will affect their motivations to purchase and finally it develops an image with meanings
related to it, considered as “ideal brand image”. So, due to the strength of colors influencing
emotions and behaviors, customers and brands should find the perfect balance. Gathering the
ideal customers to brands and keeping them aligned. The age group which reveals to make an
immediate association of the color green as being an eco-friendly brand is from 26 to 30
years old. This age group is also the one which is more aware for the changes and evolution
of brands when adopting green colors to their logos (68% within groups). These means
younger generations are more exposed to these changes and absorbing it.

Hypothesis 2: Green products having a post-use fate (reuse, repair, recycle, remanufacture,
re-condition) has a positive effect in the intention to purchase these products – is verified. Out
of 250 respondents, 63 and 118 “strongly agree” and “agree” respectively, for these particular
characteristics of products having a different life after they are used is appealing for
customers to purchase them. This research goes in agreement with existing theories of several
authors, Thierry, Salomon, Nunen and Wassenhove (1995), considering products which can
have a different and new use at the end of their life time depending on their components, their
value, and their potential to be harmful to the environment and also the practicality of
recovering these products. The life cycle of the product is optimized through reducing waste
and in a way by minimizing purchasing costs. Customers’ perception and choice of products
with these characteristics is only triggered by the increasing awareness of customers about
the protection of the environment. Thus, offering green products retains a cluster of
customers who are environmentally conscious customers.

Hypothesis 3: Customers’ awareness of the superior quality of green products, when

comparing to normal ones with the same features but not eco-friendly, has a positive effect in
the intention to purchase – not verified. Johnson and Ettlie (2001) suggest quality is the
consequence of a “well performance”, meeting customers’ needs and making this feature
correspond to their preferences with little flaws, which includes performance, packaging,
design, characteristics and others. This feature in a product influences customer satisfaction
and loyalty. Thus, taking into concern some other studies, Kotler and Keller (2009) refer
quality as being an antecedent of satisfaction and loyalty. However, organizations must focus
on customers’ new trend of being environmentally concern and extend the product
differentiation by reaching these customers’ needs and developing and highlighting other
features worth their attraction.

Hypothesis 4: Customers who opt for green products over normal ones are more satisfied –
is verified. In general, consumers tend to feel satisfied when they acquire these products.
Therefore, 152 out of the 250 respondents, say they feel satisfied and 38 feel “very satisfied".
These results are coherent according to Ottman, Stafford, Hartman (2006) theory, as the
exposure to chemicals are present among most products, which turns to be an important issue
for those customers who are more susceptible to “health and safety”, to influence their choice
considerations when buying environmental products. As these products have been lately
positioned as products which don’t contain toxic chemicals becoming very attractive to
customers who are aware of it. Therefore, currently green products are develop to have a
better performance than the conventional ones due to their specific features: energy
efficiency, efficient streams - by collecting several products into a single one (from CD’s and
DVD’s to virtually store them) - product dematerialization and sustainable services. These
facts make the researcher believe customers who purchase environmental products feel more
satisfied than when acquiring conventional ones due to their features and performance.

Hypothesis 5: Customers who opt for green products will remain loyal to these products – is
verified. The result reveals there is a tendency for customers remaining loyal to companies
who adopt green practices, and it is statistically significant meaning it can translate the entire
population behavior. Regarding several authors – Asgharian and Saleki (2012) state customer
loyalty refers to a positive connection between the product or service and customers through
influencing them to have preference for it and suggest it to others, keeping away other
possible options. Loyalty can be defined as the upcoming decision of buying a product or
service constantly, even when other options are also viable. In this case, the researcher
believes loyalty can be expressed through emotional associations with the meaning of the
brand align with their preference.

Hypothesis 6: Customers who purchase green products tend to be environmentally conscious

– is verified. There is a statistically significant correlation between purchasing habits and
being environmentally conscious. This means the purchase of green products is related to the
fact customers are aware for environmental issues. This research also goes in agreement with
Schwartz (1977) study, stating individuals’ experiences and how they associate norms and
rules with specific behavior might dictate their behavior and actions as they feel they are
responsible for it. Also, regarding this study, the values which promote pro-environmental
behavior are “activist, good citizen and health customer”. However, some authors Sharma et
al (2008) consider the fact customers opt for ecoproducts is due to the cost factor. So
choosing green products can reflect more efficiency in the products performance and at the
same time saving money. Individuals measure the costs and benefits when engaging in an
activity, or in other words it represents the “awareness of consequences” (Karp, D. 1996).

Hypothesis 7: Green products customers have a favorable opinion companies are adopting
green marketing approaches for reputation purposes – verified. organizations have social
obligations and values which are reflected in their social responsibility, however these
concerns for ecological responsibility are considered being moderate. Thus, concerns for
environmental issues must be also accompanied by a “charismatic and powerful manager” in
order to inspire and influence in a stronger way the importance and legitimacy of
environmental concerns. On the other hand, taking into consideration the H7, it is confirmed
and the researcher can conclude after the analysis of the results, customers perception on
companies’ attitudes is for reputation reasons. Concerning Bansal and Roth (2000),
companies use green marketing in order to gain “competitiveness”, as a way to improve
profitability, waste management and decrease the utilization of resources (lowering costs) and
at the same time improve their market positioning by stating they are ecological driven.
 RECOMMENDATIONS
Brushing up, customers’ attitudes are resultant from the specific characteristics they find in a
product and their distinct features which will stimulate their position and stand for choices
and so, protecting the environment. Thus, marketeers should focus on the following topics
which are related to the contributions of this research:

 Contribution for the evolution of the study of this particular branch in marketing, by
assembling in this study customers’ perception and green marketing.
 Recognize the importance of green marketing potential in terms of trends, shaping
customers’ behavior, and add value to products and services.
 Recognition of the importance of the expansion of the relationship between the brand
and customers, in a way it allows the understanding of their need which have been
evolving throughout the times, in other words, complying with a more responsible
customer.
 Highlight products’ features in order to make them more appealing and turning into a
reason for their choice over regular ones.
 Enhance customers’ perception of the color green, developing and establishing
feelings to them, when thinking of the brand. Retailers must understand the way to
develop the brand concept through the balance of their brand image and their own
practices.
 Companies should invest and develop more on eco-practices, in order to have a bigger
impact on the market, and emerge as being environmentally conscious organization.
And giving more attention to environmentally conscious customers who take an
active role in protecting it.
 Organizations should not only invest in green practices when they are forced to, as it
might turn into avoidance behaviours and also a negative perception of the brand from
the customers.
 The fact this is a model which can be applied in every part of the world, as it is a
global topic with no target restrictions.
 RESEARCH LIMITATIONS
As in every investigation, there are usually some limitations, so it is important to refer
those, in order to support future researchers taking into consideration what was done
before. Realizing which points can be improved, in order to become better and “go
beyond them”. –

 Nationality groups: was one of the limitations of the study. Nevertheless, the
distribution of individuals by their nationality turned out to be not statistically
significant in order to sort out other conclusions.

 Questionnaire questions: the introduction of some other questions derived from

other ones, should have been done in order to make the research hypothesis more
significant.

 Participants’ emotional behaviour: it was not taken into account the participants
emotional actions and the way they were driven while they were acquiring
products, which would possibly interfere with the results.

 Context: some other factors could influence customers to opt for green products
and that would affect their choices.

 Qualitative research: combining the quantitative research with a qualitative one,

developing interviews directed to an example of a company which is now
introducing green marketing practices as its strategy.
 CONCLUSION
The final purpose of this dissertation is to develop a conceptual model which would integrate
and measure the effects green products have on customers and how they turn to be appealing
for them, whether or not if it has a bigger influence on customers who are environmental
concern. This model was made with the main goal of collecting information and therefore to
take conclusions from it.

The questionnaire, based on Likert scales questions, was used in order to collect information
about customers’ behaviour and at the same time allow making conclusions about customers’
perception when exposed to green products and in the meantime being able to confirm the
existing theories about the way these new marketing practices can influence customers’
actions.

Regarding this investigation, it can be concluded firstly, customers are aware of the colour
green being a colour which represents the protection of the environment, a brand which is
environmentally friendly. The results reflect the consistency between colours and symbols
and feelings customers associate to the brands, just through their look at it. Individuals
immediately choose and go for what stands out more, according to their preferences.
Therefore, organizations use colours in order to persuade customers’ behaviours and
influence their perceptions of the brands, with the ultimate intention of making customers
want to acquire the product Chang and Lin (2010).

As seen throughout the results, colours can boost customers’ attraction for these products and
develop a strategic position of these products in customers’ mind.

Customers do not consider green products as offering more quality comparing to regular
ones. Despite the fact of quality being a feature, which has been seen as an antecedent of
satisfaction (Kotler and Keller 2009), customers feel that there are other features they
consider a reason for them to purchase, as the possibility of the existence of other utilization
of the products after they are life time ends.

So, organizations are focusing on customers’ new trend of being environmentally friendly
and extend the product differentiation. Regarding the research developed, customers feel the
post-use fate of a product a more valuable feature which catches their attention and stimulates
them to purchase.

As a consequence, customers who capture these products’ features are more likely to feel
satisfied and consequently become loyal to these products which offer them characteristics
they know will be important to diminish the harm for the environment, protecting the
environment for their generation, but also for the future ones. The elements which
characterize an eco-product and this new tendency of being environmentally friendly are
valuable as it potentiates the attraction of customers.
Summing up, customers feel influenced by green marketing, although the main shopping
motivation is the product features, customers seem to be more willing to acquire these
products and more attentive for approaches because they’re environmentally conscious. They
are seeking for the option which will have the less impact to the environment as they are
aware they have an active role to change, diminish and control the impact of their actions.
These conclusions can be useful for organizations which look further than profits and want to
evolve their brand image and develop the potential of the products by protecting the
environment and being eco-friendly. It can improve customers’ perception of companies’
intentions when they become “green.”

According to the obtained results, it is clear that there is still in customers’ mind the
perception companies only use green marketing and opt for products which cause less harm
for the environment for reputation reasons. Customers should have more information about
companies’ intentions for changing their strategies in the market and cooperating with
environmental institutions and stakeholders.

To summarize, the researcher suggests marketeers and organizations to fully understand the
potential of the products and services, they have been marketed and evolve with this new
tendency of green marketing. Green marketing is still a recent concept for customers.
However, due to the increasing importance individuals are giving to environmental issues,
green marketing can be seen as a way to market these products which have relevant features
for this type of customers, who are environmentally conscious and so, use this approach as a
competitive advantage.
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APPENDIX

1. Gender *
Mark only one oval.
o Male
o Female
2. Age *
Mark only one oval.
o <16
o 16-20
o 21-25
o 26-30
o 31-35
o 36-40
o 41-45
o 46-50
o >50
3. Country *
4. Educational Background *
Mark only one oval.
o High School Degree
o Bachelor Degree
o Postgraduate Diploma
o Master Degree
o PhD - Doctoral Degree
o Other
5. Do you associate the color green in the brand logo as being an
eco-friendly brand? *
o Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
6. Do you consider these products having a green color, makes you
buy them? *
Mark only one oval.
o Strongly disagree
 o Disagree
o Indifferent
o Agree
o Strongly agree
7. Are you aware companies are adopting green colors to their logo
to stand out as eco-friendly companies? (e.g. McDonalds,
Starbucks, BP, etc.) *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
8. I realize when I am opting for green products over the other
ones. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
9. I consider green products provide higher quality than regular
ones with the exact same characteristics. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
10. If I consider green products having higher quality, will I choose
them over the other ones?
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
11. I think green marketing practices affect positively my
perception of the brand. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
 o Strongly agree

12. Knowing a product can be recycled, reused or repaired after

you use it, is it a reason for me to buy these particular products? *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
13. I remain loyal to companies which practices are environmental
friendly (decrease wastes, recycle materials, etc.). *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
14. From a scale 1 to 5 (1 - Very dissatisfied to 5 - Very satisfied)
what is your level of satisfaction when buying green products? *
Mark only one oval.
o 1 - Very dissatisfied
o 2 - Dissatisfied
o 3 - Neither satisfied or dissatisfied
o 4 - Satisfied
o 5 - Very dissatisfied
15. When I learn about the negative and harmful impact a product
has in the environment, I stop buying it. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
16. In case there is an alternative, I prefer products which cause
less pollution. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
17. Choosing between two products, I always buy the one which
has the minimum impact to people and the environment. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
18. I change products when they do not comply with the ecological
conditions/rules. *
Mark only one oval.
o Strongly disagree
o Disagree
o Indifferent
o Agree
o Strongly agree
19. I think companies are adopting green approaches due to
(choose one from the following). *
Check all that apply.
o Increase profits (with lower costs)
o Obtain government benefits
o Reputation
o Obliged
o Awareness of their impact in the environment

Thank you!