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GREEN MARKETING FOR GREEN TOURISM Conference Paper · May 2012 DOI: 10.13140/2.1.3701.5047
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Tourism & Hospitality Management 2012, Conference Proceedings M. Meler, M. Ham: GREEN MARKETING FOR GREEN TOURISM, pp. 130-139
MARCEL MELER MARIJA HAM Faculty of Economics in Osijek, University of Osijek, Croatia
GREEN MARKETING FOR GREEN TOURISM PRELIMINARY COMMUNICATION
Mass tourism is a thing of the past for the tourist countries that wish to develop their tourism in a well considered way. For this reason tourist countries, including the Republic of Croatia, need to develop a new model of tourism that should be based also on so-called alternative tourism. Alternative tourism is a generic concept encompassing various forms of tourism, such as eco-, soft, responsible, appropriate, small-scale, sustainable and, finally, green tourism. These are mostly defensive, nature-oriented, i.e. environmentally responsible forms of tourism. Green tourism is the phenomenon of people away from their usual habitat in pursuit of leisure activities in the countryside. The paper will first explicate sustainable tourism and then alternative forms of tourism, defining in particular the place and role of green tourism in relation to sustainable tourism and ecotourism. For green tourism to be successful it is essential to undertake adequate marketing efforts. This purpose is best achieved through the so-called green marketing. Seen as a strategy, green marketing implies cooperation between suppliers and sellers, partners as well as rivals, in order to achieve environmentally sustainable development throughout the entire value chain, while at the same time, it internally calls for the cooperation of all business functions in finding the best possible solutions for two major guiding principles: profit and long-term, positive contributions to the environment (society and the natural surrounding). To gain all the strategic advantages that green marketing has to offer to green tourism requires the willingness to rethink the very foundations on which the mission, vision, strategy and goals of a business are based. This entails commitment and focus not only from top management but also from each stakeholder and individual within a business. Keywords: alternative tourism, green marketing, green tourism, sustainable development
INTRODUCTION One of the most important issues affecting the tourist industry in recent years is sustainable tourism. The tourism is increasingly being used as an economic development tool by many third world countries, thereby helping to generate employment as well as improve the local infrastructure. The problem arises when development is rushed, taking little or no consideration of the product‘s life cycle or the environment. Research on sustainability therefore seeks to address the issues that developers need to be aware of, especially in relation to environmental protection. Tourism development is seen as a way of improving a country‘s economy and social wellbeing, but if this development is not handled carefully, tourists will migrate to competing destinations or attractions. In the future, there will be mounting pressures to develop tourism products with a sustainable focus, helping to fit in with the local environment and ensure its preservation. Over the past three decades, issues pertaining to the environment and sustainable development have evolved from being marginal topics to being the focus of consideration and research. Some of the factors that have been driving this change are greater media coverage, a higher level of environmental awareness influenced by reports on various ecological disasters, the heightened activity of interest groups centring on environment issues, and increasingly stringent legislative regulations at a national and international level. What is the current situation in Croatia? After 50 years of presence on international tourism markets, offering mainly one product category - nature based ―sun and beach‖ tourism - there is a need for a shift into more competitive, sustainable and responsible tourism types, better responding to the needs and wants of both future clients and society. Thus, Croatia is facing the challenge to deliver new experiences and products for the
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global tourism markets and to take better advantage of the diversity of differentiated tourism assets it can use to reach future clients.1 In further text we shall therefore look into possible alternative forms of tourism in Croatia, primarily into green tourism, and attempt to establish the foundations of its functioning with the synergistic support of socalled green marketing. This is of particular interest as green tourism seems to be a potential added competitive advantage for Croatia in the turbulent conditions prevailing on the world tourism market.
1.
SUSTAINABLE TOURISM
Sustainability can be seen as a fundamental requirement for countries attempting to develop their tourist industry. In the process of developing a tourism product, planners must ensure harmony with the local environment. Sustainability needs to evolve through effective planning with clear guidelines on the breadth and depth of the development. This goal can be achieved by educating and training people involved with tourism and by the actions of governments and organizations in sponsoring initiatives that address the relationship between tourism and the environment. In response to the various negative implications of mass tourism practices, the term sustainable tourism is increasingly being used today. However, many scholars state that there is ―no exact definition of sustainable tourism exists,‖ and sustainable tourism has a strong character as an ideology rather than a concrete practice of tourism.2 In terms of its aspect as an ideology, the idea of sustainable tourism derived from the concept of sustainable development, which is an integrated concept towards development involving three interlinked dimensions: economic growth, social equity, and protection of the environment. As such, all three dimensions must be addressed in order to achieve sustainability. According to the World Commission on Environment and Development, 3 sustainable development is defined as ―development that meets the needs of the present without compromising the ability of the future generations to meet their own needs.‖ The term, ―sustainable tourism‖ emerged in geographical debate in the 1990s to describe tourism development without such negative environmental or social impacts. In an ideal form, it addresses all forms of tourism, both mass and niche markets, and also aims to provide sustainable profits to industry. Sustainable tourism development guidelines and management practices are applicable to all forms of tourism in all types of destinations, including mass tourism and the various niche tourism segments. Sustainability principles refer to the environmental, economic and socio-cultural aspects of tourism development, and a suitable balance must be established between these three dimensions to guarantee its longterm sustainability. Thus, sustainable tourism should:4 1. Make optimal use of environmental resources that constitute a key element in tourism development, maintaining essential ecological processes and helping to conserve natural heritage and biodiversity. 2. Respect the socio-cultural authenticity of host communities, conserve their built and living cultural heritage and traditional values, and contribute to inter-cultural understanding and tolerance. 3. Ensure viable, long-term economic operations, providing socio-economic benefits to all stakeholders that are fairly distributed, including stable employment and income-earning opportunities and social services to host communities, and contributing to poverty alleviation. By looking into these definitions, it is evident that the concept of sustainable tourism is an overarching concept which addresses all the aspects of tourism. Sustainable tourism is therefore not equivalent to a specific form of tourism or a measure which aims to address only one of the three dimensions of the concept. Challenges that the Croatian enterprises in tourism are undoubtedly faced with primarily arise from the fact that the existence of all firms, including those in tourism, must find its foundation, among other things, also in building up and keeping of their competitive advantage. It is obvious that the enterprises in the tourist industry of Croatia must also join the process of creating of their sustainable competitive advantage as a specific guarantee of their business future. It is our belief that sustainable competitive advantage in Croatian tourism can 1
Strategic Marketing Plan of Croatian Tourism 2008-2012, THR & Horwath. Barcelona. 2008, p. 4. Saarinen, J., "Traditions of sustainability in tourism studies", Annals of Tourism Research, Vol. 33, No. 4, 2006, p. 1121. 3 World Commission on Environment and Development, Archive Collection on Sustainable Development, International Development Research Center, Ottawa, 1989. 4 http://www.unwto.org/sdt/mission/en/mission.php (accessed 20 October 2011) 2
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be achieved by developing green tourism, thanks to objectively present comparative advantages of Croatia, which only need to be turned into competitive advantages. Further text will therefore first consider alternative tourism, followed by ecotourism, which will be the basis for explaining the role of green marketing within overall functioning of green tourism.
2.
ALTERNATIVE TOURISM
In order to explain the notion of green tourism, we first need to look into alternative tourism, a range of forms to which green tourism undoubtedly belongs. The idea of alternative types of tourism to mass tourism seems to have found favour with a significant segment of the tourist market. Besides the growth in environmental consciousness since the late 1980s, the development of alternative forms of tourism can also be associated with consumer over-familiarity with mass tourism, and a subsequent desire for new types of holidays. This latter point means that the concept of ‗alternative tourism‘ can be interpreted in at least two ways: alternative tourism as a form of more environmentally aware tourism; or alternative tourism as types of tourism that are different to mainstream tourism without necessarily being any less environmentally damaging. The differences of alternative tourism to mass tourism are highlighted by Cater as follows: 5 Activities are likely to be small scale, locally owned with consequentially low impact, leakages and a high proportion of profits retained locally. These contrast with large scale multinational concerns typified by high leakages which characterize mass tourism. Utilising this definition, it is possible to highlight the characteristics of alternative tourism which differentiate it from mainstream tourism:6 Small scale of development with high rates of local ownership Minimised negative environmental and social impacts Maximised linkages to other sectors of the local economy, such as agriculture, reducing a reliance upon imports Retention of the majority of the economic expenditure from tourism by local people Localised power sharing and involvement of people in the decision making process Pace of development directed and controlled by local people rather than external influences. Using these criteria, alternative tourism surpasses purely a concern for the physical environment which typifies green tourism, to include economic, social and cultural considerations. If the physical, environmental and cultural dimensions of the environment are considered in an integrated fashion, and tourism is developed with the previously shown characteristics then alternative tourism can be viewed as synonymous with the concept of sustainable tourism development. A kind of tourism that is often associated with the characteristics of alternative tourism outlined above is ‗ecotourism‘. However, like the concept of alternative tourism, there is no consensus about the meaning of ecotourism, which will be discussed in more detail below. According to Krippendorf7 the philosophy behind alternative tourism - forms of tourism that advocate an approach opposite to mass conventional tourism - was to ensure that tourism policies should no longer concentrate on economic and technical necessities alone, but rather emphasise the demand for an unspoiled environment and consideration of the needs of local people. This ‗softer‘ approach places the natural and cultural resources at the forefront of planning and development, instead of as an afterthought. Also, as an inherent function, alternative forms of tourism provide the means for countries to eliminate outside influences, and to sanction projects themselves and to participate in their development - in essence, to win back the decisionmaking power in essential matters rather than conceding to outside people and institutions. Alternative tourism is a generic term that encompasses a whole range of tourism strategies (e.g. ‗appropriate‘, ‗eco-‘, ‗soft‘, ‗responsible‘, ‗people to people‘, ‗controlled‘, ‗small-scale‘, ‗cottage‘, and ‗green‘ tourism), all of which attempted to transpose the concept of alternative development - an endogenous development process based upon the satisfaction of basic needs, self-reliance and environmental harmony – onto tourism. Thus, the concept of alternative tourism proposes, in direct contrast to mass, Fordist-type tourism production, locally controlled,
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Cater, E., "Ecotourism in the Third World: Problems for Sustainable Tourism Development", Tourism Management, April, 1993, p. 85. Holden, A., Environment and Tourism, Second Edition, Routledge, Abingdon, 2007, p. 233. 7 Fennell, D. A., Ecotourism - An introduction, Routledge, London, 1999, p. 9. 6
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appropriate small-scale developments with the community as the primary instigators and beneficiaries of tourism. Here it should be noted that the concepts of eco-tourism, green tourism and soft tourism are used to signify environmentally friendly tourism but have different focuses and meanings. Cox suggests that the positive features of alternative tourism typically include: 8 1. Development within each locality of a special sense of place, reflected in architectural character and development style, sensitive to its unique heritage and environment. 2. Preservation, protection and enhancement of the quality of resources, which are the basis of tourism. 3. Fostering development of additional visitor attractions with roots in their own locale and developed in ways which complement local attributes. 4. Development of visitor services which enhance the local heritage and environment. 5. Endorsement of growth when and where it improves things, not where it is destructive, or exceeds the carrying capacity of the natural environment or the limits of the social environment, beyond which the quality of community life is adversely affected.
3.
ECOTOURISM
Due to its specific features, ecotourism is clearly a counterbalance to mass tourism. It is based on smallsized user groups (family, friends) on the demand side as well as on small-sized and specific facilities on the supply side. Moreover, in its function ecotourism requires its users to also have an ethical approach, based upon environmental attitudes as well as upon awareness, responsible behaviour, and communication, especially with regard to the natural and cultural environment. Ecotourism implies a return to nature and, and at the same time, a return to what is natural in the very sense of the word. Partaking in ecotourism, the objective of ecotourists is to acquire new experiences by actively and directly participating in the destination‘s way of life, and by protecting and fostering the destination‘s environmental integrity and biodiversity. Essentially, ecotourism represents a tourism industry form realized in cooperation with the nature. A marketing approach hereby presupposes the satisfaction of triple needs: the needs of a guest in a temporarily changed environment, the need to preserve the natural environment, and eventually the needs of tourism offer subjects. All the three aforementioned need types are interrelated, so a tourist product that needs to satisfy them has to be closely connected, i.e., integrated, thereto. This implies that the nature receives, while that what has been previously taken has to be in the limits of its preservation. The International Ecotourism Society distinguishes between sustainable tourism and ecotourism. It defines sustainable tourism as tourism that meets the needs of tourists and the host region, while concurrently protecting and improving conditions for the future. The definition of ecotourism, according to the same source, is: Ecotourism is responsible travel to natural areas that protects the environment and improves the well-being of local people.9 The problem stems from the fact that ecotourism is often defined as one of a number of ‗sustainable tourism‘ concepts, alongside ‗green tourism‘ and ‗nature tourism‘ for example. It is thus apparent that there is no clear and firm boundary between these forms of tourism. It should be noted here that sustainable tourism and ecotourism are not synonyms, many forms of ecotourism may not be sustainable, and if ecotourism is to contribute to the sustainable development, then careful planning and management will be required. While most of the players involved in ecotourism desire change, there is usually considerable disagreement concerning which changes are desirable. In fact, there are likely to be tensions and, in some cases, contradictions between the outcomes desired by the various participants in ecotourism as well as between those directly involved and those indirectly affected by its introduction and operation.10 Namely, ecotourism is not automatically sustainable. However, if it is to be sustained and if it is to contribute to sustainable development, it must be economically viable, environmentally appropriate, and socioculturally acceptable. If positive experiences are not available, then tourists will cease to come — there will be no tourism! If ecotourism is not economically viable, then the facilities and services required by most ecotourists will not be provided and the 8
Cox, J., The resort concept: the good, the bad and the ugly, Keynote paper presented to the National Conference on Tourist Resort Development, Kuring-gai College of Advanced Education, Sydney, November 1985, p. 6. 9 http://www.ecotourism.org/site/c.orLQKXPCLmF/b.4835303/k.BEB9/What_is_Ecotourism_The_ International_Ecotourism_Society.htm (accessed 17.10.2011.) 10 Wall, G., ―Is Ecotourism Sustainable?‖, Environmental Management, Vol. 21, No. 4, 1997, p. 484.
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potential economic benefits of ecotourism for both industry providers and local residents will not be achieved. If the environment and its treasures are not maintained, then the resource base for ecotourism is destroyed — if tourism continues, it is unlikely to be ecotourism unless one can persuade visitors to come to restore a severely degraded environment. If the ecotourism is not culturally acceptable and local people do not benefit from its existence, they will be hostile toward and may work to undermine it. Thus, economy, environment, and culture are all involved. One is not more important than the other — they are all vital to the successful introduction, operation, and perpetuation of ecotourism. Additionally, ecotourism may be understood in a broader or in a narrower sense. In a narrower sense, it represents a tourism industry pertaining to the sojourn in the nature itself or directly adjacent to the natural activities. In a broader sense, it pertains to a tourism industry within any of the tourist destinations that selfconsciously and responsibly protects the destination‘s environment, incorporating the completely ecologically healthy and functional products in a tourist product. Rural tourism could be the best example of the best ecotourism‘s operationalization in a broader and a narrower sense. The presuppositions for the existence of ecotourism in a narrower sense predominantly pertain to the natural environment and its characteristics, which needs to be ecologically clean, tranquil, not overpopulated, unbuilt and ecologically protected and preserved. In a broader sense, ecotourism has to be the result of the overall ecosystem‘s protection, as well as of the classic tourism industry proceeding herein. It is important to know that destination resorts are beginning to realize that the ―green‖ operation is fast becoming a business imperative. Ecotourism will be a chief purpose for international leisure travel in the first part of the 21st century. Traditional sun-and-sand and sightseeing resorts can be part of a destination‘s ecotourism effort by developing plans to manage a guest‘s experience with interpretive activities and programs to conserve a destination‘s natural and cultural heritage. 11
4.
GREEN TOURISM
The notion of ‗green‘, or ecological, tourism, in which people are encouraged to pursue rural leisure activities in a manner that will benefit, rather than harm, the countryside, is gaining popularity. ‗What is green tourism?‘ — the phenomenon of people away from their usual habitat in pursuit of leisure activities in the countryside, excluding such areas as the urbanized coast and ski resorts. As far as the tourist industry is concerned, it is that segment of the industry and of government agencies that responds to the needs of tourists in such areas. It also includes the impact that the tourist industry and public sector organizations have upon host rural communities and their social, cultural, economic and physical environments. ‗Why have green tourism?‘ The reasons are both positive and negative — as part of the response to new agricultural policies, to meet the changing economic needs of rural communities, to promote better rural conservation, to entertain and inform urban dwellers about the countryside and to respond to market demands for new tourism products and experiences. Who benefits? If thoughtfully implemented, green tourism could represent an important step forward in terms of coherent land management and ecological sanity, as well as contributing towards a sound economic base for rural areas. 12 It should be noted that a widely but loosely used and much debated term, ‘green tourism‘ is seldom defined and may be used to refer to any tourism activity which is undertaken in a natural area, on which the primary focus is a natural resource, or tourism which is considered to be ‗environmentally responsible‘ in nature.13 This means that a vital function of green tourism is to ensure the conservation of areas, large and small, and their associated wildlife for future generations. The attraction of the country(side), quiet holidays with a content, with attention to the environment, health and art cities are predominant trends. In the United Kingdom, the term ‗green tourism‘ is a perfectly integrated concept, which goes beyond ‗rural tourism‘.14 Being rooted in Europe, green tourism is often used interchangeably with rural tourism in general. Green tourism shares the same features as rural tourism, however, it incorporates different behaviours of tourists, when taking into account Jones‘s definition. While green tourism takes place in rural areas, the 11
Ayala, H., "Resort Ecotourism: A Paradigm for the 21st Century", Cornell Hotel and Restaurant Administration Quarterly, Vol. 37, No. 5, Ithaca, Oct. 1996, p. 46. 12 Jones, A., Green tourism, Tourism Management , 26, 1987, p. 354. 13 Middleton, V. T. C. and Hawkins, R., Sustainable Tourism: A Marketing Perspective, Butterworth- Heinemann, Oxford 1998, p. 242. 14 Green, S., "The future for green tourism", Insights, September 1990. p. 58.
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purposes of tourists who engage in green tourism go beyond merely enjoying the natural environment. Green tourists have critical attitudes towards environmentally unsound consumption practices and wish to incorporate this awareness into the way they travel. The term ―green‖ implies ―environmentally sound‖ behaviour, as used in terms like ―Green party‖ or ―green consumer.‖ The term green tourism, therefore, could be understood as a form of tourism which places a strong emphasis on practicing tourism in environmentally sound manners.15 However, many authors suggest that there is no commonly agreed definition of green tourism.16 But, it is clear that this green tourism emphasizes the preservation of the environment, which is intended for the type of tourists who have a strong sense of responsibility of the environment where they visit. However, as already mentioned, the term green tourism is not necessarily consistently used throughout the world when referring to such form of tourism. The central features of green tourism are similar to those of eco tourism, such as it is nature-based. However, while eco tourism seems to be targeted at the certain group of population who are keen on learning about natural environment through travelling experience, green tourism seems to be targeted specifically at urban dwellers by suggesting a style of spending one‘s holiday in country sides, placing an emphasis on recovering from the daily stress by staying close to the nature. 17 Moreover, it is important to note the difference between green tourism and rural tourism. Lane 18 points out that in addition to the fact that rurality is the central feature of rural tourism; green tourism entails small-scaled, individually owned tourism facilities and interactions between visitors and the population of the host community. Such features are distinct from resort tourism, which is also a form of rural tourism. However, resort tourism entails large physical developments and modern tourism facilities such as ski resorts and golf courses. The more critical issue is whether or not introducing green tourism will increase the number of tourists enough to ultimately contribute to a rise in incomes for rural households. One way to address this issue is to apply marketing techniques. However, since potential tourists have different needs, they all cannot be satisfied simultaneously. It is essential to segment them into target markets and match their needs with the skills and resources of green tourism operators. The latter should then offer attribute levels within destinations that are expected by these potential target markets in order to attract and increase the probability of repeat visitation. 19 If the providers of green tourism, namely, various tourism operators, local, regional and municipal governments, wish to retain the name ―green tourism,‖ it needs to integrate the environmental aspects. In order to realize the true ―green‖ tourism, it is essential that the concept of sustainable development is incorporated in its tourism policy, and the cases in Europe should provide practical inspirations to develop more environmentally sound tourism practices.
5.
GREEN MARKETING
As a discipline, marketing always runs parallel to socio-economic development, and it reflects existing socio-economic relations. Accordingly, green marketing has emerged in conditions of growing environmental awareness across all levels of society and of the rise of the segment of green consumers. In terms of time, green marketing can be placed in the period from the 1970s up to date, while conceptually it belongs to socially responsible marketing. Seen as a strategy, green marketing implies cooperation between suppliers and sellers, partners as well as rivals, in order to achieve environmentally sustainable development throughout the entire value chain, while at the same time, it internally calls for the cooperation of all business functions in finding the best possible solutions for two major guiding principles: profit and long-term, positive contributions to the environment (society and the natural surrounding). Hence, green marketing has emerged as a natural result of the social marketing concept20 15
Yokoyama, H., Practices and issues concerning green tourism in Japan, Kyushu Sangyo University Review of Commerce and Business, Vol. 39, 1998, No. 1., p. 83. 16 Mitani, S., Green Tourism, environmentally sound rural tourism in Japan: Recommendations for improvement of Japanese green tourism practices, Maastricht Graduate School of Governance, Master of Science in Public Policy and Human Development, Sustainable Development Track, Thesis, pp. 6-7, http://arno.unimaas.nl/show.cgi?fid=15252 (accessed 21 October 2011) 17 Idem. 18 Lane, B., "What is Rural Tourism?", Journal of Sustainable Tourism, Volume 2, Issue 1-2, 1994, p. 7. 19 Hong, S., Kim, J., Kim, S., Implications of potential green tourism development, Annals of Tourism Research, Vol. 30, No. 2, 2003, p. 325. 20 Kapelanis D, Strachan, S., The price premium of an environmentally friendly product, South African Journal of Business Management, 1996, Vol. 4, p. 89.
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In the extensive literature arising from marketing theory and practice over the last four decades, we can find several terms synonymous to nowadays widely accepted term: green marketing (Ottman, 1998, Wasik, 1996, Grant, 2007, Dahlstrom, 2010). Most often used is sustainable marketing (Fuller, 1999) or sustainability marketing (Belz and Peattie, 2009). Furthermore, often used terms are: environmental marketing (Polonsky and Mintu-Wimsatt, 1997) and ecological marketing (Henion, 1976) and its abbreviated version: ecomarketing. Different authors use different terms on arbitrary basis and there is no clear evolution of the term. The increase of environmental issues and the resulting awareness of the need for environmental conservation and sustainable development have, among other things, lead to a rethinking of the basic principles of marketing. The conventional marketing concept contains three major elements that pertain to consumer orientation, the integration of marketing principles within the entire business entity, and profit maximisation. The new environmental paradigm, however, has called in question the focus on meeting only consumer wants, if, in doing so, the interests of society and the environmental are neglected in the long range. This reconsideration has led to the rise of a social marketing concept, in which social well-being has been added as the fourth marketing principle. According to Ottman21, conventional marketing refers to developing products to meet customer needs at acceptable prices, and communicating the advantages of these products in a convincing way. Green marketing is far more complex and serves two purposes: 1. To develop products which strike a balance between the requirements of consumers for quality, practicality, performance and affordable prices, and ecological acceptability in terms of minimum environmental impact. 2. To create an image of high quality, including environment friendliness, which relates to the properties of the product, as well as to the manufacturer and its achievements in the field of environmental protection. We can conclude that there is no generally accepted definition of green marketing which is often the case when it comes to subject matters that have a wide coverage and interdisciplinary approach. A number of authors and institutions contribute to the attempt to define the idea and meaning of the concept and its components. Some are thereby concentrating on the differences in relation to classical marketing, while others use the basic principles of the concept of sustainable development, which is in the basis of the idea. The first definition by the American Marketing Association comes from their workshop on the topic of environmental marketing in 1975, namely as: The study of positive and negative aspects of marketing activities on pollution, energy depletion, and depletion of non-energy resources.22 Polonsky23 highlights three key determinants of this definition: (1) green marketing is a part of the overall marketing activities, (2) both positive and negative activities are taken into account, (3) the relatively narrow range of environmental issues is taken into account. Although this definition is a useful starting point, the author argues that green marketing should be defined more widely and suggests the following definition: Green or environmental marketing is a set of activities designed to generate and facilitate any exchange intended to satisfy human needs or desires in a way that meeting those needs and desires causes minimal negative impact on the natural environment. For green marketing to be applied in practise, it is necessary to meet certain preconditions. Langerak et al.24 point out two groups of considerations to implementing green marketing: internal and external considerations. External considerations include the sensitivity of consumers to environmental issues, the intensity of competition, and the level of legislation. Internal considerations refer to the conscientiousness of marketers in respect to the environment, and the sensitivity of companies to environmental movements. The results of their research show that the degree to which green marketing is applied depends, foremost, on the legal regulations prescribing the procedures businesses must adhere to that are ultimately aimed at environmental protection. Research results also suggest that those businesses that voluntarily embrace green marketing have a
21
Ottman, J. A.: Green marketing: Opportunity for Innovation, J. Ottman Consulting Inc., 1998, p. 45. Borš, V., Ekološki marketing kao koncept suvremenog poslovanja – stupanj implementacije u turističko-ugostiteljskim poduzećima hrvatskog primorja, Acta Turistica, Ekonomski fakultet Zagreb, 2004, Vol. 16, No. 1, p. 65. 23 Polonsky, M. J., "An introduction to green marketing", Electronic Green Journal, 1994, http://escholarship.org/ uc/item/49n325b7 (accessed 16 March 2011) 24 Langerak, F., Peelen, E., van der Veen, M., Exploratory results of the antecedents and consequences of green marketing, International Journal of Marketing Research, Vol. 40, No. 4, 1998, p. 331. 22
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better opportunity of making the most of the advantages to be derived from green marketing and enhancing their performance. When it comes to services in green marketing, we can distinguish between the application of green marketing in the service industries, on the one hand, and, on the other hand, services linked to products that businesses offer as a complement to, or substitute for, certain tangible products within the context of reducing the consumption of material products and, in turn, reducing the use of resources and the generation of waste. Regardless of the fact that services are basically a process, are intangible and cannot be stored, the service industries can nevertheless have a great impact on the environment. This results from the fact that the provision of most services involves physical components, uses resources and generates waste. If we add to this the fact that the service industry accounts for a very large share of the GDP of advanced economies, it becomes evident that green marketing deserves a special place in the service trades, tourism included. In addition to tourism, in recent times, more and more service activities in the fields of finance, health care, sports and education are beginning to apply green marketing strategies. Numerous professionals agree that there is no doubt in the growing acceptance of green initiatives in the service sector, as more and more service businesses are beginning to see how costeffective such initiatives are in terms of cost control, greater profitability and investment in building customer loyalty. Green marketing is implemented in practice through the application of environmentally acceptable strategies, the key components of which are:25 1. Creating and developing environmentally sensitive market segments; 2. Systematically monitoring, evaluating and auditing all market activities and all product lines, based on the latest environmental requirements and standards; 3. Redefining quality strategies and product packaging; 4. Redefining strategies of promotional activities and communication with market and the public at large, with environmental groups and organisations, with individual countries, etc.; 5. Creating new environmental standards and launching new environmental initiatives; 6. Embracing environmental forms of product labelling. For the most part, the above strategies can also be applied to tourism, that is, to tourism-supply providers, as can the three major effects of green marketing on businesses as reported by Polonsky and Rosenberg:26 1. Cutting back costs – The greening of production processes often results in the more effective use of resources and, through this, to changes in cost patterns. 2. Differentiation relative to rivals – By offering new products on new markets and/or creating value added for existing products, a business may gain access to new market segments, enhance customer loyalty, and increase profitability – in other words, improve its relative position on the market. 3. Revitalisation of a business – A business can use the greening process as an opportunity to revitalise its product, as well as its overall corporate strategy, culture, mission, vision, etc. by applying the guidelines and rules of green marketing. The application of green marketing calls for a pro-active approach towards both customers and other stakeholders in tourism, as well as towards the legislator. To gain all the strategic advantages that green marketing has to offer requires the willingness to rethink the very foundations on which the mission, vision, strategy and goals of a business are based. This entails commitment and focus not only from top management but also from each individual within a business. This applies equally to all businesses within the aggregate that comprises tourism supply, considering that the tourism product offering is based on the principle of aggregate supply referring to individual partial products with regard to both material and immaterial integral tourism products, thus implying the level of a spatially encompassed tourist destination, i.e., a locality, place, area or a region. To achieve the objectives of green marketing it is necessary to encourage changes with a wide range of Bošković, D., Štoković, I., Total Consumer Satisfaction as a Means to Marketing Globalisation, Proceedings of the 17th CROMAR Congress, “State Marketing – Croatian State Marketing”, CROMAR Zagreb, CROMAR – Pula, CEMA – Center for Marketing, Zagreb, 2001, p. 286. 26 Polonsky, M. J. and Rosenberger P. J.: Re-evaluating Green Marketing: A Strategic Approach, Business Horizons, September/October 2001, p. 28. 25
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people that is, to create a critical mass, because it‘s mainly about the small individual contribution that, with creating a synergistic effect, leads to major changes. Carefully designed and credible environmentally oriented marketing communication has the key role therein. In view of the specific issues that are at the core of green marketing, as well as specific goals, strategies and characteristics of the primary target segment that its activities are oriented at, we can state that green marketing represents a variant of marketing that should be implemented in green tourism. The role of green marketing in green tourism is primarily derived from the fact that green marketing has at its disposal the knowledge referring to environmental awareness, ways of enticing and raising this awareness, as well as its operationalization in terms of relevant environmentally oriented behaviour. Such environmentally oriented behaviour refers both to the choice of destination and type of tourism, and the behaviour during one's stay and travel to the tourist destination. Green marketing should ensure that decision makers at the national, regional and local level, but also at the level of individual supplier of ecotourism products, are systematically and continuously provided with information, guidelines and tools based on the latest research, especially in the area of market segmentation and segment profiling according to the level of environmental awareness and environmental actions taken in reality. As with any other market segment, there is a need to identify target consumers, so that they may be effectively approached and their needs satisfied based on specially designed marketing programs. Furthermore, it has an important role to ensure the accessibility of such information via optimal communication channels depending on different information needs of identified market segments as well as to educate all participants in green tourism and the general public. Another important role of green marketing is finding new approaches and mechanisms to finance conservation activities as well as training programmes from the revenues generated by green tourism. As a business philosophy, green marketing thus represents a specific way of devising marketing activities and implementation of adequate marketing strategies, tools and models for achieving the objectives of green tourism. The very title of this paper intends to highlight the fact that green marketing is a necessary prerequisite for the functioning of green tourism. Green marketing and green tourism are indeed interdependent, having a reciprocal and correspondent mutual impact. Another important fact to note here is that green marketing and green tourism are still markedly underdeveloped in Croatia. If one accepts the above stated claim, it then follows that the best option would be to develop them in parallel, with concerted efforts of all the stakeholders. Making strategic decisions and plans in this sense implies joint strategic marketing efforts at the level of ecotourism destination and at the national level alike.
INSTEAD OF A CONCLUSION There are very few ecological oases, not only in Europe but around the world as well. It is in this very area that Croatia could gain a competitive advantage on the international market through a strategic commitment to green marketing at the national level. Through systematic investment and collaboration between businesses, the sciences and government bodies, Croatia is capable of creating a strong and convincing global green brand in tourism. Thanks to the fact that the environment in the Republic of Croatia is still relatively ecologically preserved with regard to the competitive tourist countries and equally to the fact that the Republic of Croatia still constitutes a sort of an oasis for the production of ecologically healthy food in Europe, the Republic of Croatia‘s tourism industry may achieve a sustainable competitive advantage predominantly thanks to the fact that it obviously satisfies almost all preconditions for an environmentally healthy tourism industry. In any case, positioning the Republic of Croatia as a European green oasis, i.e., may indeed be one of the objectively most efficacious variants of the Republic of Croatia‘s tourism industry development in the foreseeable future whereby an indubitable competitive advantage in the globalized present conditions may be achieved. With significant assistance of green marketing, green tourism in Croatia clearly has the potential of becoming a sustainable form of tourism through its managed protection of the natural and cultural heritage on one side, while providing economic benefits and enhancing the well-being of the local population on the other. The latter should predominantly result from the focused entrepreneurial activities of local, mostly rural population.
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The role of green marketing in green tourism is of a special importance at least for two reasons: firstly, as to identify the target consumer, i.e., user groups, and secondly, to subsequently strategically determine the modalities for the satisfaction of needs and desires of such identified target groups in a green marketing sense. Hereby, implied are especially the unified strategic marketing efforts of spatially encompassed green tourism destinations as well as the unified strategic marketing efforts at the entire national level.
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