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Wednesday, November 25th, 2009

Buyer Beware: Greenwashing “Pervasive”

December 11, 2007 by Ali  
Filed under Business

Are you being greenwashed? The answer, according to a new survey by TerraChoice Environmental Marketing, is yes. TerraChoice - who has been the official management, certification and delivery agent of the EcoLogo since 1995 – surveyed over 1,000 consumer products that were marketed as a “green” choice in Spring 2007. What they discovered is that more than 99% of products can not back up their environmental claims.

Here’s TerraChoice president Scott McDougall on the findings.

Out of the research, TerraChoice has come up with “The Six Sins of Greenwashing” – a resource for marketers and consumers. The six sins are (via ENN):

  1. Sin of the Hidden Trade-Off: e.g. “Energy-efficient” electronics that contain hazardous materials. 998 products or 57% of all environmental claims committed this Sin.
  2. Sin of No Proof: e.g. Shampoos claiming to be “certified organic,” but with no verifiable certification. 454 products and 26% of environmental claims committed this Sin.
  3. Sin of Vagueness: e.g. Products claiming to be 100% natural when many naturally-occurring substances are hazardous, like arsenic and formaldehyde. Seen in 196 products or 11% of environmental claims.
  4. Sin of Irrelevance: e.g. Products claiming to be CFC-free, even though CFCs were banned 20 years ago. This Sin was seen in 78 products and 4% of environmental claims.
  5. Sin of Fibbing: e.g. Products falsely claiming to be certified by an internationally recognized environmental standard like EcoLogo, Energy Star or Green Seal. Found in 10 products or less than 1% of environmental claims.
  6. Sin of Lesser of Two Evils: e.g. Organic cigarettes or “environmentally friendly” pesticides, This occurred in 17 products or 1% of environmental claims.

(The full report is available online here (in PDF) at the Terra Choice website)

The danger of greenwashing is twofold. Consumers who may think they are using their purchasing power in a way that benefits the environment are being duped and the products they are choosing based on their “green” values offer no environmental relief. Second, products that are truly green are overshadowed in a greenwash saturated market.

But consumers are getting more savvy, in part thanks to reports like the one from TerraChoice. Companies who are greenwashing and using false environmental claims to sell products will become the target of a backlash and, once consumers catch on, find the market moving on without them.

One of the best articles on greenwashing is from Sarah Rich: Are you being greenwashed? at Business Week. Also see Renouncing the six sins of greenwashing, an interview with TerraChoice VP Scot Case at GreenBiz Radio. And The Six Sins of Greenwashing – Misleading Claims Found in Many Products at Environmental News Network.

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Comments

2 Responses to “Buyer Beware: Greenwashing “Pervasive””
  1. Dan says:

    Hi, Ali:

    This is a great post. I think we all sometimes wonder about these “green” claims. As someone who covers residential real estate, I’m always amazed when builders tout massive housing projects as being “green.” Doesn’t building a giant housing subdivision automatically disqualify an activity as green?

    Anyway, thanks for the informative post

    Dan

  2. Ali says:

    You’ve got an excellent point there, Dan. Hopefully certification, in products and buildings, will start to help people discern green from greenwash. When it does, the businesses and builders touting false environmentally friendly practices and products will be hard pressed for customers.
    Thanks for stopping by!

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