In the business each sector is under pressure to show major improvement in its environmental performance. Consumers are now more informed and careful for buying products based on environmental issues as well as price, quality and service. People are showing interest on protecting the environment and this increases day by day. Today, a seven year old child knows the problems about environment and fighting against to minimise those effects. In 1992, the agency Mc Cann Erickson and the Harris Research Centre undertook research into the consumer care about the environment. It is found that in Germany, France and the UK many consumers were more concerned about the environment than economy, jobs and crime. (Welford,1993,p.149)
In order to gain a competitive advantage and increase market shares, companies must establish their own environmental policies and develop strategies. This will also improve their environmental performance. Apart from everything the media and the public put lots of pressure on companies taking environmental concern and preventions.
The Body Shop began in Brighton in 1976. By September 1989 the business had grown to include some 422 shops with 127 branches in the UK and the Channel Islands. Now The Body Shop is an international company rapidly expanding around the world trades more than 40 countries and employs around 6000 people. When Anita Roddick, the founder of The Body Shop, opened her first shop on Saturday 27 March 1976 at 22 Kensington Gardens, Brighton she was thrilled because first day they had taken exactly £130. (Roddick,1991,p.77) From that small shop to a global business in the last two decades. But it is a business unlike any other because they have no marketing department and no advertising department. They operate according to criteria which place more emphasis on human values than on strictly commercial considerations.
The world-wide cosmetics and toiletries market has a turnover in excess of $80 billion, dominated by major companies like Procter and Gamble, Unilever, Shiseido, L’Oreal, Avon and Revlon. It is said that the average cost of launching an up-market fragrance is now over £5 million. For example Calvin Klein spent £17 million in a single year promotion Obsession. Advertising and packaging account nearly half the retail price of a bottle of perfume. And the founder of Revlon, Charles Revlon, remarks that; ‘ In factory we make cosmetics, in the store we sell hope’. (Roddick,1991,p.12)
The aim of The Body Shop is to establish a new work ethic that will enable business to thrive without causing adverse to the environment, at both local and global level. Anita Roddick has a clear message: ‘’Our products reflect our philosophy. They are formulated with care and respect. Respect for other cultures, the past, the natural world, our customers. It is a partnership of profits with principles’’. (The Body Shop Promotional Literature cited in Welford,1993,p.148)
The major task of The Body Shop is to define and satisfy the needs and expectations of the customers more effectively and efficiently than its competitors. Marketing is the key part for identifying, anticipating and satisfying the wants of those targets. When you establish a business first thing is; you set up the marketing department but The Body Shop has a different view. They don’t have a traditional marketing department but Anita Roddick spends most of her time in marketing activities such as campaigns and conferences. As Roddick (1991,p.21) tells us: ‘’A great advantage I had when I started The Body Shop was that I had never been to business school... Skill is not the answer, neither money. What you need is optimism, humanism, enthusiasm, intuition, curiosity, love, humour, magic and fun and that secret ingredient euphoria. None of this appears on the curriculum of any business school.’’ The above points which are noted by Anita Roddick exactly explains the marketing strategy of The Body Shop.
During the 1990’s consumers started to buy more environmentally goods. And companies have been developing new market strategies about the environmental issues of their products. This is also known as ‘green marketing’ which is more about changing the type of advertising. Green marketing becomes a whole company approach and philosophy for the business. The following table (Forrester,1990,p.48) shows the estimated proportion of investment to the environment within some company’s total community programme:
Companies and their proportion of total programme spent on the environment
British Gas: 3% Low. Likely to rise in few years
IBM: 4% Low in view of its image of interest in sustainable development
Argyll / Safeway: 5-10% Major schemes are marketing related; organic farming, food and drink
Shell: 20% Sponsorship, grants, secondments. Major scheme ‘Shell Better Britain Campaign’
Ibstock Johnsen: 70% A high proportion of sponsorships related to its products
The Body Shop: 90% Company imbued with environmental concern. Selects own campaigns and campaign partners. Illustrates aspects of sustainable development
According to The Body Shop’s company policy; they never advertised in newspapers or on television. The reason for this is; that type of advertising will increase costs hence price of the products. Also they didn’t want to give an image like; their products make people younger, healthier and more attractive. This could be resulted as false belief to the company and losing customer loyalty. But they always aimed to sell quality products at reasonable prices. For The Body Shop, the most effective and useful way of advertising is to use its shops and its staff. By using the shop windows they run posters and by using the staff they inform their customers and sometimes collecting thousands of signatures. They spread their messages by both those ways. Probably the campaigns made them this successful in the business. Such as; campaigns to encourage customers to fill their containers cheaper again or fill larger bottles. Many people have a strong trust that The Body Shop’s products have not been tested on animals and those products have less impact on environment. And the benefits of using products are printed on labels to an explanation of using it. These sort of things increased the confidence to the company. Also the programmes and actions such as improvement in energy efficiency, reduce, re-use and recycle of waste management, reduce the packaging waste were perceived by the consumers in a very positive way for the benefit of the company.
For the last few years quite a lot companies have been started to sell natural products. One of the biggest is Nectar which is an Irish company. Most of the things are similar to The Body Shop. To freshen up the customer loyalty and confidence to the company, The Body Shop published and distributed its environmental audit reports to any interested parties like consumers, employees, the media, local residents etc. Although very few companies have published their environmental audits such as Norwegian firm Norsk Hydro, Noranda of Canada and British Airways, it is certain that they gained from this. Especially the environment reports of the Norwegian firm Norsk Hydro are published and distributed to every household and organisation in one of their sites. (Welford,1993,p.116)
The Body Shop doesn’t give advertisements directly to the media because of economic reasons but they know how to use media and how to advertise themselves very well. Since 1985, the company works together with environmental organisations and Friends of Earth campaigning on major environmental issues such as Acid Rain, Tropical Rain Forests, The Ozone Layer etc. All these actions and campaigns were effective, which were strongly supported by the media and press. Not only in UK they had campaigns but also they had some in international levels. For example they supported Boy’s and Girl’s Towns in Southern India where street children receives homes, education and food. Also they had some activities in Bangladesh, Nepal and in Brazil for forest people. The Body Shop has controlled its own destiny by using public relations rather than to have it controlled for them.
The Body Shop succeeded to come this position by believing on sustainable development. It requires a new approach to business and Anita Roddick has proved that we can bring our expectations into reality by reshaping the way we do business. The company has won many awards; Company of the Year 1985, Anita Roddick: Business Woman of the Year 1985, Retailer of the Year 1989 and United Nations Global 500 Award 1989. (Forrester,1990,p.59)
Their message is clear and easy to understand: ‘’Environmental management is not a pipe-dream, it is not an added extra, it is not a luxury, it is fundamental to the future of our planet’’.
References
FORRESTER, S. (1990) Business and Environmental Groups - a natural partnership? North Yorkshire: Directory of Social Change Publication
PEATTIE, K. (1995) Environmental Marketing Management: Meeting the Green Challenge Kent: Pitman Publishing
RODDICK, A. (1991) Body And Soul London: Ebury Press
WELFORD, R. and GOULDSON, A. (1993) Environmental Management & Business Strategy Glasgow: Pitman Publishing
WELFORD, R. (n.d.) Pushing forward the frontiers: environmental strategies at The Body Shop International Student Handout p.92-110
