the ftc green guides made simple: a companion guide for achieving green marketing compliance
DESCRIPTION
The new Federal Trade Commission Green Guides are out, and tougher than ever. Is your company compliant? In this engaging report, we first explore the purpose of the Green Guides and how they affect your business. We then explain the “reasons why” behind the FTC’s guidelines, so you can quickly recognize whether – and how – your messaging needs to change. When you read "The FTC Green Guides Made Simple" you’ll get: - Our exclusive Q.U.I.E.T. method for achieving greater transparency – the heart of green marketing compliance - A printable reminder card to help you stay on track - A special section on eco-labels – what to look for and what to avoid - An extensive list of additional resources to help you stay compliantDon't miss this must-read resource for anyone who manufactures or retails eco-friendly products.TRANSCRIPT
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 1/18
The FTC Green Guides...
Made Simple
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 2/18
Introduction
On October 1, 2012, the Federal Trade Commissio
released its long-pending revisions to the Guides the Use of Environmental Marketing Claims (more
commonly known as the Green Guides.)
These revisions – the rst in 14 years – reect the profound change
that have taken place in the production and marketing of green
sustainable products and services. They underscore the increasing
importance of sustainability in our society, along with a growing
intolerance of misleading environmental claims (greenwashing.)
Will the release of the revised Green Guides result in increased
enforcement on the part of the FTC?
At the time of this writing, it’s too soon to tell – but FTC experts beli
will. Clearly, immediate compliance with the latest version of the G
Guides is in order for any company that values its reputation.
This report is intended to help you navigate the tricky waters of FTC gmarketing compliance. This is not a point-by-point explanation of th
guidelines, as the FTC itself provides a very nice summary of the Guid
(we’ve included the link to it in Appendix D.) Rather, we will focus on
the “reasons why” behind the Green Guides, especially the “heart o
green marketing,” transparency. We will examine the risks and bene
making green claims for your products, and introduce you to our Q
method for achieving transparency and compliance in your marke
At the end of this report you will nd additional tools and information
help you maintain FTC compliance. These include a printable remin
card outlining the main points of the Q.U.I.E.T. method; a special sec
on eco-labels; a link to an interactive quiz to test your knowledge of
updated Green Guides; and an extensive list of additional resource
But rst, let’s take a look at how the Green Guides can affect you
business.
“The release of the revised Green
Guides will likely lead to more
enforcement by the FTC... and
an increase in actions between
competitors to force compliance
with the guidelines.”
Mary Ann Mullin and Daniel J. Deeb,
environmental attorneys with national law rm
Schiff Hardin LLP
Contents
Introdcution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
Part 1: The Green Guides and YouWhat are the Green Guides and why are they important? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Beware the Lurking Tiger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Examples of FTC and other enforcement action* on green claims. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Befriending the Tiger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Taming the Tiger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Transparency: the Heart of Green Compliance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Part 2: The Q.U.I.E.T. Method for Transparency in Environmental Messaging. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10
Quantify & Qualify . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Understand Sustainability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Practice Integrity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Empathize . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Third Party Certify . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
The Q.U.I.E.T. Advantage in Compliance and Beyond. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20
Appendices. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Appendix A: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Appendix B: Interactive Quiz. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
Appendix C: More Information on Eco Labels . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
Appendix D: Additional Resources. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 3/18
What are the Green Guide
and why are they importan
The Federal Trade Commission’s Green Guides are
group of guidelines contained within Title 16 of the
Government’s Code of Federal Regulations. They a
self-described as “a series of general principles an
specic guidance on the use of environmental cla
The Green Guides are not laws; rather they are administrative
interpretations of existing law. Specically, they are meant to cl
and elaborate on Section 5 of the FTC Act, which prohibits ‘‘un
deceptive acts or practices in or affecting commerce.’’ Legally
Green Guides are considered ‘persuasive authority,’ and may b
used in court to back up complaints of deceptive advertising a
unfair business practices.
As we shall see, the Green Guides do have clout and can be use
court actions involving environmental marketing.
“Conduct inconsistent with the positions
articulated in these guides may result in
corrective action by the Commission…
if, after investigation, the Commission
has reason to believe that the behavior
falls within the scope of conduct
declared unlawful by the statute.”
– Federal Trade Commission
Part 1: The Green Guides and You
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 4/18
Beware the Lurking TigerSo…what is the likelihood of getting smacked by t
FTC should you violate the principles laid out in the
Guides?
Honestly, slim — but real. And now that the new revisions have b
made ofcial, the FTC is much more likely to go on the offensive.
In their 2010 Greenwashing Report, sustainability consulting rm
TerraChoice revealed a shocking statistic. They found that 98% of
green marketing claims analyzed in 2009 violated at least one of t
“Seven Sins of Greenwashing.”
Clearly, almost no one is 100% compliant – and in the vast majority
cases, no one has come to task.
But times are changing. Due in part to TerraChoice’s report, tolera
for misleading environmental claims has plummeted. Although le
action by the FTC has been scant to date, enough instances hav
already occurred to prompt one commentator to dub the agenc
a “lurking tiger.”1 The FTC is capable of unleashing a major wave o
enforcement at any time – a scenario made even more likely by t
agency’s ofcial adoption of the revised Guides.
And the FTC is not the only tiger in the bush. The Green Guides are th
ultimate guidelines for settling environmental marketing disputes of
all kinds. They serve as the template for green marketing regulations
in several states, including California, Maine, Minnesota and Rhode
Island. They are also referenced by the National Advertising Division
advertising industry’s self-regulatory organization) when settling dispu
regarding green claims.
As Annie Mullin and Dan Deeb of law rm Schiff Hardin put it, “We
believe there will be an increase in private party actions because
marketers have more ammunition to bring actions against a
competitor if the competitor is making a deceptive green claim.”
Attorney Thomas Cohn, former director of the FTC’s Northeast reg
agrees. “With the FTC closely scrutinizing green claims,” he says, “
particularly important that marketers’ enthusiasm be balanced ag
compliance ofcers’ concerns.”
1 Cole, Christopher, Regulation of Green Marketing: The State of Play in Summer 2011, En
mentalLeader.com,August 18, 2011.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 5/18
Befriending the Tiger
It would be a mistake, however, to view the Green
Guides as nothing but an annoying obstacle to
effective marketing.
The Federal Trade Commission crafted the Green Guides in respo
deep-seated changes in society itself, and in consumer attitudes
preferences. They are meant to help ease the transition for all invo
As the agency itself proclaims, “guidance from the FTC can bene
both businesses and consumers alike.”
Like it or not, today’s consumer is a completely different animal th
(s)he was in the heyday of Madison Avenue. Today’s consumers
are highly informed. They have the world’s wealth of information
available to them at the press of a thumb – including detailed, int
information about your company, your products, your supply cha
and the experiences of their fellow consumers.
They’re also more apt to care about social and environmental issu
than past generations of consumers, and of course they are high
connected through social media, email, mobile phones and othetechnologies. That means there’s no hiding mistakes, or brushing
consumer inquiries or complaints under the rug. The rug no longe
The good news? Becoming compliant doesn’t have to undermine
protability. In fact, it may even increase your ROI.
“Our purpose is to make sure consumers
that want to buy green products are
getting truthful information. There are
two kinds of companies; those thatlive over the line and those that step
over the line. The guides are written for
companies that are trying to get it right.”
James Kohn, associate director of enforcement for
the FTC’s bureau of consumer protection
Examples of FTC and other enforcement action* on green claims:
* The FTC is by no means the only entity to regulate (and enforce) green marketing claims. At the federal level, environmen-
tal claims are addressed under Section 43a of the Lanham Act. Several states, including California, Indiana, Wisconsin and
Michigan, have also developed laws that specically address green marketing claims (see Appendix B).
• October, 2012: The FTC takes action against two paint companies for making
untruthful “Zero VOC” claims.
• February, 2012: The FTC settles charges against 5 window manufacturers for
deceptive energy and cost savings claims.
• February, 2012: Honda Motor Company loses small claims suit over
misrepresentation of hybrid fuel economy. Honda also came under attack for the
same issue in a separate class action suit.
• July, 2011: S.C. Johnson settles two class action suits brought against the company
by consumers feeling misled by S.C. Johnson’s green labeling on its Windex
products.
• January, 2011: FTC sues eco-labeling company Tested Green under the FTC Act
and bans them from doing business. The company had been selling fraudulent
eco-certication labels to businesses.
• February, 2010: FTC warns 78 retailers, including Wal-Mart, against misleading
claims on “bamboo” clothing.
• June, 2009: FTC charges Kmart and two other companies with making false and
unsubstantiated biodegradability claims.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 6/18
8
Transparency: the Heart o
Green Compliance
The Green Guides exist for one reason only: toprotect consumers from deception in environment
marketing. The FTC doesn’t care what you sell or fo
what purpose, as long as your claims are truthful a
easy for the average Joe to interpret. Despite the
complexity of the Green Guides, there’s really only
one way to achieve this goal: transparency.
If you’re not familiar with the term, transparency means full disclo
It means being open and honest about the methods, materials
and procedures your company uses. For instance, if your website
packaging or Facebook page asserts that the tennis shoes you
manufacture are made with organically grown cotton canvas us
fair labor practices, be prepared to prove your claims, preferably
third-party verication.
Transparency itself is a relatively simple idea. What’s not always so
simple is integrating it into your marketing, especially when you’re
juggling multiple projects and goals. To help you with this task, we
developed a system we call the Q.U.I.E.T. Method for Transparenc
Environmental Marketing.
Q.U.I.E.T. stands for:
Q - Quantify & qualify
U - Understanding sustainability
I - Integrity
E - Empathy, and
T - Third-party certication
Together, these 5 key elements can help you achieve greater
transparency and compliance in your environmental marketing.
take a look at each one in turn.
The concept of transparency is so ultra
critical that when the question “What’s
the most important element in a Green
marketing campaign?” popped upduring a small-group discussion at
a Green marketing conference we
attended in 2009, all eight of us at the
table practically shouted in unison,
“Transparency!”
Inbound marketing uses content and
information to attract customers by
quietly building relationships with them
rather than aggressively “pushing”messages out at the consumer. This
type of marketing tends to be very
compatible with green compliance,
since it provides ample opportunity to
qualify and explain.
A 2012 survey by Hubspot found that
companies relying heavily on inbound
marketing channels such as blogging,
content publishing, SEO and social
media enjoyed a 61% lower cost
per lead than organizations whose
marketing is dominated by outbound
methods like telemarketing, direct mail,
ads and trade shows.
Taming the Tiger
Because the FTC’s guidelines are ultimately a
reection of consumer concerns and thought patterns,
following them can help you reach your prospects
more effectively. Many companies are already turning
to practices that are highly compatible with Green
Guide suggestions in response to the consumer trends
mentioned above. As a result, they are enjoying
increased customer trust, loyalty, social sharing, and,
ultimately, sales.
Once you’re comfortable with the Green Guides you may even begin
to see them as a friendly ally. Green Guide compliance can:
• Assist you in making truthful claims and avoiding consumer complaints
about greenwashing
• Level the playing eld by sheltering you from FTC action and leaving
non-compliant competitors open to disciplinary action, and
• Improve your bottom line by reducing consumer confusion and
disillusionment, and encouraging consumer interest in green products
Moving forward with Green Guide compliance
We’ve just discussed what the Green Guides are and how they
can affect your company. Now it’s time to develop a deeper
understanding of the principles behind the Guides, to help you more
easily achieve compliance.
Let’s start by exploring the heart of the matter: transparency.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 7/18
Quantify & Qualify.Whenever you make any sort of environmental benet statement
sure to take the time to explain exactly what it means, and what
numbers are. This will help clarify your message and prevent consu
from jumping to incorrect conclusions.
Here are some pointers:
• Avoid vague or unsubstantiated claims. Be sure to qualify and
explain your environmental statements. If you have a new, m
environmentally friendly package, don’t just say, “New eco-
friendlier box.” Qualify and quantify it by saying “Uses 25% less
cardboard than our old box and printed with soy ink on 35%
recycled paperboard.”
Doing it this way explains exactly why and by how much it’s e
friendlier, and what it’s being compared to.
• Especially, avoid general environmental claims, such as “gre
choice,” “eco-friendly,” “good for the earth,” etc. General cl
are way too vague and open to misinterpretation. For examp
27% of consumers in an FTC study interpreted “green” to mea
the product had no negative environmental impact – clearly
almost impossible achievement!
If you must use a general environmental claim, be sure to qua
it by directing the consumer’s attention to specic, veriable
environmental benets. For example, “Eco-friendly constructi
made with 95% recycled materials.”
• Be as specic as possible. Give lots of details. Leave little mar
for error. Include any relevant statistics, and be sure to explain
special circumstances that apply to your claim.
• Use clear language. Avoid overly complex sentence structure
statements that can be interpreted in multiple ways.
“Quantify and Qualify” is the easiest of the ve elements to achiev
also illustrated over and over again in the Green Guides’ example
However, it’s also important to have at least a basic level of familia
with sustainability issues, as we’ll see in the next section.
Remember: The Green Guides require
you to be able to prove beyond doubt
any environmental claim you make. It’s
very important to have access to hard,
scientic data about your products.
You don’t necessarily have to disclose it
(although that’s not a bad idea), but be
sure you can provide proof if needed.
Research – including the FTC’s own –
has shown that general environmental
claims lead to all kinds of assumptions.
Consumers may interpret them to
mean your product is recycled, made
from renewable energy, or possesses
any of dozens of other benecial
attributes. This leaves your “eco-
friendly” claim dangerously vulnerable
to misinterpretation.
If you truly don’t have room to include
all the information you would like to,
you can always include a web address
where people can read more about your
product, service or company. But be
careful – in some cases you may need
to place a disclosure in close proximity to
the claim. Check the Guides!
Part 2: The Q.U.I.E.T. Method for
Transparency in Environmental Messaging
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 8/18
12
The Business Case for Sustainability
“Nobody’s asked me to talk about the business case (for sustainab
for several years. From our point of view it’s proven. It’s a done d
Let’s get on with it.” - Peter White, Director of Global Sustainab
Proctor & Gamble
The link between sustainable practices and protability is no longer in do
No wonder so many of America’s largest and most successful brands (
Mart, Nike, FedEx and HP, to name just a few) are embracing sustaina
measures throughout their operations. Many of these were suggeste
their own employees.
If sustainability is important to you, and your company is not yet explo
sustainable options, why not suggest a few ways to save resources
money in your own department? Who knows, you may become a he
your company — and it’ll certainly give you lots to blog about!
Understand Sustainability.The Green Guides are all about protecting consumers from deception
in environmental marketing. “Deception” is a harsh word. Most
marketers “guilty” of greenwashing aren’t intentionally trying to mislead
consumers. Many are honestly trying to help build a friendlier, moresustainable world while making a prot.2 It can come as a real shock
when honest efforts are rewarded with accusations of greenwashing —
or even litigation.
You can reduce your likelihood of committing unintentional
greenwashing by learning – and implementing – as much as you can
about sustainable practices. For instance, the Green Guides now
require marketers to analyze any environmental trade-offs resulting
from a claimed benet. This is impossible to do without at least a basic
understanding of sustainability principles.
Keep in mind that sustainability is a very complex topic. Learning
about it is a process rather than a task to be completed. The more you
know the more layers of complexity you are likely to discover. Don’t be
surprised if you nd yourself changing the way you think about virtually
everything!
We’ve included a list of books and other resources in Appendix A tohelp you and/or your staff learn more about sustainable thinking.
If you are not sure of your ability to communicate clearly about
environmental topics, enlist the help of someone who can. When
hiring a writer, editor or designer, look for someone wh o has a deep
understanding of sustainability and has experience in green product
promotion. Above all, be sure they understand how both mainstream
and eco-conscious consumers are likely to interpret green messaging.
As your understanding of sustainability improves, so will your insight into
consumer motivation and confusion when purchasing green products.
A deep understanding of sustainability – whether your own or an outside
expert’s – will help you avoid statements that may be misleading. It will
also assist you with the next part of the Q.U.I.E.T. method: environmental
Integrity.
2 This is known as the “Triple Bottom Line” – business that supports People, Planet and Prots.
It is a key element of today’s sustainability movement.
Supercial improvements (such as
switching to recycled paper) may not
be good enough anymore. You need
to know how that change might
affect the planet in hidden ways. (For
instance, recycled paper that has to
be shipped long distances may have
a worse impact on the planet than
locally-sourced virgin paper.) Analyze
the impact of any action before
claiming environmental benets.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 9/18
14
• Avoid hype. If your branding includes “high-testosterone” 3 c
— whether B2B or B2C — be careful about making green clai
It’s easy for this kind of copy to get prospects so excited abou
a product that they jump to conclusions – which may lead to
accusations of deception once the spell has worn off.
It’s quite possible to cut hype successfully – even in B2C camp- without sacricing response. Try focusing more on involveme
contests, and social proof. Make yourself an invaluable resou
by providing lots of useful content. You may nd that you enjo
higher level of customer trust and referrals.
• Don’t twist the truth. A common (and effective) tactic in sales
copywriting is to tell the literal truth…but in such a way as to m
it seem much better than it is. Unfortunately, this approach is
proposition in green marketing.
Save the logic twisting for getting your kids to eat their veggie
Stay straight when you’re making green product claims.
• Be open. Of course you don’t want to disclose trade secrets o
give away the details of your next launch. But companies wi
integrity have little to hide. And being open and transparent
your policies and operations can be a protable move. (See
page for a real world example.)
• Be honest. Your deep knowledgeable about sustainability ca
help your company avoid unsavory situations in the rst place
it’s awfully hard to be in business and not “cut a few trees” –
if by accident.
Remember that old story about George Washington and the
cherry tree? If you make a mistake and someone calls you o
pull a George and fess up. Then go a step further and do wha
takes to correct the situation.
Don’t hide controversial facts thinking no one will notice. They
If someone is upset, respond promptly and truthfully, and do
everything possible to make amends. This will help defuse the
situation. As will the next element of the Q.U.I.E.T. Method, em
3 Experts on marketing to women agree that hype-ridden copy (developed during
early and mid-20th century when men made a greater percentage of purchasing
sions) tends to turn women off. In our personal experience, more environmentally
consumers (as well as engineering types) also tend to react negatively to a loud, e
overly hyped tone.
Practice Integrity. Like race, gender or politics, sustainability can be a loaded topic. It
can elicit strong emotions and involve a deep level of personal identity.
The worst mistake you can make for your company is to start making
green claims for the sole purpose of increasing market share, withoutconsidering how they will impact your brand.
The following tips offer specic things you can do to maintain integrity in
your messaging:
• Dene your company’s environmental policy. Be aware that
by simply mentioning the words “sustainable” or “green” in
conjunction with your company or product, you’ve already begun
to dene, or redene, your brand in terms of sustainability.
Rather than allowing this process to develop haphazardly, it’s a
good idea to take control of it and put some thought into your
company’s environmental philosophy. A good place to start, if
you haven’t already, is with a Corporate Sustainability Statement.
This is a short document dening what sustainability means to your
company and some of the measures you are taking to support it.
Once this is in place, an annual Sustainability Report can help youstay aligned with your goals, as well as letting stakeholders know
what you’re doing to meet them.
• Be consistent. Once you’re clear on your position in regards to
sustainability, it’s imperative to keep your green messaging – along
with your company’s other actions – consistently aligned with it.
This includes supply chain and sourcing, CEO statements, HR policy
and operations. Be aware, too, of your company’s charitable
giving.
It may not always be possible to completely avoid inconsistency,
especially if you are not an upper level decision maker. But the
closer you can keep your company’s green messaging aligned
with its actual practices, the better for your brand, and the more
likely you are to earn continued loyalty from your customers.
Don’t put yourself in the situation
General Electric did when they
earned bad press by simultaneously
claiming to be “part of the solution”
to climate change, while donating
to a think tank promoting climate
change skepticism.
“The introduction of environmentally
friendly products into the marketplace
is a win for consumers who want to
purchase greener products and for
producers who want to sell them. But
this win-win can only occur if marketers’
claims are truthful and substantiated.
The FTC’s changes to the Green Guides
will level the playing eld for honest
business people and it is one reason
why we had such broad support.”
- FTC Chairman Jon Leibowitz
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 10/18
Empathize.Having empathy with your prospect is nothing new. Successful
marketing campaigns depend heavily on thinking like the prospe
keying in to his deepest emotions.
Maintaining Green Guide compliance, however, requires that you
empathize with his intellect.
This means realizing that:
• Your prospect may be confused or ill-informed about the mea
of common environmental terms.
• He may be distracted or in a hurry when he sees your message
• He is likely to make assumptions or jump to conclusions about
message, especially if it looks or sounds similar to other messag
he’s been exposed to.
Whenever you make a green claim for a product, the rst thing yo
should do is take off your marketer’s hat and think like a consumer
Keep in mind that consumers vary widely in their understanding
of environmental issues. Be aware of your target market’s levelof environmental interest and knowledge.4 Custom tailoring your
messages is likely to improve response as well as assisting with
compliance. (See “Green Consumer Demographics” in Appendix
more information on green consumers.)
You may need to alter your approachdepending on the sophistic
of your target demographic. A simple approach is often best –
especially one that both educates and entertains. (Remember th
simple isn’t synonymous with vague. Always communicate clearly
be sure to quantify and qualify!)
Above all, empathy means the willingness and ability to listen.Be
accessible. Give your customers ample opportunity to be heard.
Respond to them timely and with respect. It’s a great way to mak
them part of your team!
If you knew nothing about your com-
pany or your product, how would
you interpret the messaging sur-
rounding it? Is it believable? Confus-
ing? Does it encourage you to jump
to conclusions? Is there adequate
information to meet your needs?
Do you know where to go for more
information?
4 For excellent insights on marketing green products to mainstream consumers, we h
recommend following The Shelton Group’s blog, The Main stream (See Appendix D f
Case Study in Success through Transparency
How Icebreaker turned transparency into a powerful marketing device.
Icebreaker is a wool sportswear company based in New Zealand.
Each Icebreaker garment comes with a unique “baacode,” which
can be typed into a search bar on their website (there is a demo code
available in case you don’t have an Icebreaker garment.)
Doing so allows you to “visit” the farm and “meet” the farmers who
produced the wool. Information is also available about other parts
of their supply chain and about the company’s environmental and
animal welfare standards.
Due to this and other innovative approaches to sustainability and
marketing, Icebreaker has enjoyed tremendous success. Incorporated in
1994, the small New Zealand company has grown to be an international
brand, opening its ninth North American retail outlet in August of 2012.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 11/18
Third Party Certify.Nothing establishes transparency and credibility more thoroughly
earning third party approval from a recognized certifying organiz
It’s easy to nd opportunities for environmental certication. TheEcolabel Index, an eco-label directory, has identied over 400 suc
labels worldwide. There are various types and levels of eco labels
Some will be more appropriate than others for your needs; others
best left alone.
If you wish to pursue eco-labeling on behalf of your company, do
due diligence. Verify that the certifying organization is legitimate,
choose a label that is well-recognized and respected.
It’s important to remember that most eco-labels and seals are
considered endorsements. You will want to be sure you’re in
compliance with the FTC Endorsement Guides. The major points
remember are:
• You need to disclose any connecti on to the endorsing organi
that could affect credibility. For instance, if you are a dues-pa
member of a trade organization that issues certication, you’
want to make that relationship clear.
• Many seals or certications imply general environmental ben
which are frowned upon by the FTC. You’ll want to clearly
identify exactly which benets (biodegradability, sustainable
growing methods, etc.) the seal addresses. If the benets are
very comprehensive, it’s ok to direct consumers to a website
for more information, but don’t imply that your product has n
environmental impact.
• Also, certication doesn’t take the place of substantiati on. Yo
need to be able to provide solid scientic evidence to back y
environmental claims.
Please see Appendix C for more information on eco-labels, includ
an explanation of the four main types of eco-certication and a p
list of legitimate eco labels you might want to consider using.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 12/18
20
About the Author
Anne Michelsen is a freelance copywriter and
principal of Green Ink Copywriting. Anne helps
companies get sales and leads for their sustaina
products and services, while remaining complia
with green marketing regulations. Her extensive
experience in eco-friendly living, renewable
energy and green construction allows her to wri
insightfully about sustainability, while her on-time
guarantee helps take the hassle out of content
marketing for her clients. Anne’s articles have
appeared in a number of publications including
GreenBiz.com, Down to Business Magazine, and
Padosa.com.
To nd out more about how Green Ink Copywriting c
help you promote your company’s sustainable prod
and initiatives, or to inquire about Green Guides
compliance training, contact Anne today .
The Q.U.I.E.T. Advantage in
Compliance and Beyond“Speak softly and carry a big stick; you will go far.”
-Theodore Roosevelt
Quantify & qualify, Understanding sustainability, Integrity, Empathy,
and Third party certication. Together, these ve elements make up
the Q.U.I.E.T. method for greater transparency and green messaging
compliance.
Being Q.U.I.E.T. is a softer approach to marketing than you may be
used to, especially if you are a B2C marketer. It doesn’t allow for
exaggeration, hype or twisting the truth. But like Roosevelt’s big stick,
what it does offer can be far more powerful in the long run.
Integrity and empathy can help you nurture and grow your customers’
trust. Trust and loyalty you can use to support your company’s
continued protability and growth.
When you quantify, qualify and certify you’re developing solid support
in the form of veriable data you can lean on to build credibility and
use to fend off accusations.
And deepening your understanding of sustainability helps you
strengthen your grasp on the logic behind the environmental guidelines
supplied by the FTC and other organizations. This enables you to quickly
and easily adapt your messaging to the ever-changing technological
and social climate surrounding environmental issues – without risking
your brand.
Put together, the Q.U.I.E.T. method is not just about compliance with
the FTC’s Green Guides and other environmental marketing regulations
— it’s a formula for long term success.
See the Appendix section of this report for additional tools and suggestions for
improving and simplifying your FTC Green Guide compliance. Included is a
printable Q.U.I.E.T. reminder card, link to an interactive quiz to test your knowledge
of Green Guide compliance, a special section on Eco-Labels, and an extensive
list of additional resources.BuildingSustainable Connectionsto Your Customers
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 13/18
Appendices
Appendix A:
Printable Q.U.I.E.T. Reminder Card
Appendix B:Interactive Quiz
Appendix C:More Information on Eco Labels
Appendix D:Additional Resources
Appendix A:
Printable Q.U.I.E.T. Reminder Card
Post the reminder card on the next page in your work space to h
you stay FTC compliant. You can download and print a copy he
http://www.thegreeninkwell.com/quiet/
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 14/18
Q.U.I.E.T.The Q.U.I.E.T. Method for Transparency in Environmental Marketing
Q - Qualify and QuantifyAvoid vague statements and general claims.
U - Understand Sustainability
Know how your product affects the environment as a whole;
this can help you avoid misleading statements or errors due
to ignorance.
I - Practice Integrity
Dene your position on sustainability and be sure your
actions are consistent with it.
E - EmpathizeUnderstand and communicate with your customers and
stakeholders to prevent misunderstandings and defuse
animosity.
T - Third Party Certify
Certication helps you stay on track with your sustainability
goals and boost your credibility.
©2012 Green Ink Copywriting
GreenInkCopywriting.com
Appendix B:
Interactive Quiz
Test your FTC compliance knowledge! Click the link below to take
20-question Green Guide quiz.
Take the quiz! http://www.thegreeninkwell.com/ftc-green-guide
http://www.thegreeninkwell.com/quiet/
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 15/18
26
Appendix C:
More Information on Eco Labels
Four Types of Eco Labels: Which Should You Use?Eco labels are a great way to give creditability to your company
and products. However some will be more suitable for your company
than others. Here we’ve identied four types of eco labels and their
potential impact on your brand.
Proprietary green labeling
A few years ago, when “green” suddenly became popular, a number
of companies developed their own environmental labeling systems.
Typically, companies develop internal green labels to assist in the
development of more sustainable products, and/or to help consumers
identify greener options within a company’s product line.
Unfortunately, internal labeling has pitfalls as well as benets (see
sidebar.) That’s because most consumers automatically assume that
the presence of a seal means the product or company has been
approved by an outside organization . Misleading? You bet.
To be honest, we’re on the fence about proprietary green labeling. Wecertainly don’t recommend doing it without making absolutely clear
that it is your own internal system. You should also be sure that you
carefully dene which environmental benets your proprietary eco-
seal addresses (such as recycled content, or presence of VOC’s.) This
will make it less likely for it to be interpreted as a general environmental
benet claim, which would be a violation of FTC guidelines.
Eco labels from trade organizations
The next category includes certications awarded by trade
organizations. These carry some weight because they generally
require a company or product to meet certain denable sustainability
standards. However, the economic interest involved when a company
is a dues-paying member of the organization granting the seal may
compromise the seal’s integrity in the eyes of some consumers.
Lawsuit Targets Internal Green Label
A series of consumer-initiated lawsuits
was recently brought against S.C. John-son & Son, Inc. for putting green certi-
cation seals on package labels without
clarifying that the logo stood for the
company’s own rating system. The
consumers assumed the seal meant
that the product had been vetted
as eco-safe by an independent third
party organization. Their assumption
was judged valid in court. The take-
away point? Be very clear about the
exact meaning of any seal or symbol
you use.
“If the FTC follows up with enforcement
on certications and seals of approval,
there will be a shakeout in which the
bad operators go out of business andthe legitimate ones differentiate them-
selves and prosper. This clear roadmap
of what you should and should not do
could translate into a real opportunity.”
Thomas A. Cohn, attorney and former Director of
the Federal Trade Commission’s Northeast Region
If trade certications are available in your industry, it’s not a bad
idea to participate. If nothing else, they can help dene sustaina
standards within the industry. If you do use them, though, be sure
adequately disclose your relationship to the certifying organizatio
ensure Green Guide compliance.
Vanity eco sealsOne general rule when dealing with eco seals is to avoid anythin
that’s too easy to get.
Unfortunately, the increased demand for green certication has
resulted in the proliferation of “vanity seals.” These ofcial-looking
green seals and labels are very easy to procure. They are sometim
available for nothing more than a sum of money. However they a
not backed by adequate data or enforcement.
Remember that the Green Guides require you to back up any cl
with good, solid data. Vanity seals have little or no real meaning.
makes them a clear violation of FTC policy. Use them at your own
Legitimate third party eco-certication
The cream of the eco label crop is the veried third party certica
from an organization well known and respected for its certifying
process.
Proper third-party eco-certication is not an easy process. If the
organization is legitimate, it will require your company to meet rig
sustainability standards. You will need to consider the costs involv
which can include the cost of record-keeping and changes to yo
production and operations. However, it will lend you a great amo
of credibility virtually unobtainable any other way.
It’s important to make sure any label you use is well-regulated, wi
clear standards and a transparent operation. It’s also a good ide
research your market before investing in certication. It won’t inc
your credibility if your target market doesn’t recognize and respo
the proposed label.
Appendix C: More Information on Eco
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 16/18
28
Some respectable third-party eco labels include:
• Green Seal (Greenseal.org)- general environmental seal for products
and services
• EcoLogo(EcoLogo.org) – general environmental seal for products
and services
• USDA Organic (U.S. Department of Agriculture)- organically
produced agricultural products
• Fair Trade Certified (Fair Trade USA)- fair trade
• Certified Humane (Humane Farm Animal Care)- animal welfare
• Forest Stewardship Council – forest products
• Global Organic Textile Standard (GOTS)- organic certication for
the textile industry
• Water Sense (U.S. Environmental Protection Agency)- water-efcient
products such as appliances
• Energy Star (U.S. EPA and Department of Energy)- energy-efcient
products
• EPEAT (Green Electronics Council)- electronics
• Green-e (Center for Resource Solutions)- certication and verication
of renewable energy and greenhouse gas mitigation products
This list is not comprehensive, and may not include eco certication for your particular industry.
Additional eco-label resources:
International Organization for Standardization (ISO) - ISO has
identied three types of eco labels under their 14000 series of
environmental standards:
• Type I is a multi-attribute label developed by a third party;
• Type II is a single-attribute label developed by the producer;
• Type III is an eco-label whose awarding is based on a full life-cycle
assessment.
Visit the ISO’s website for more information on ISO 14020 (eco-
labeling.)
Global Ecolabelling Network - A non-prot association of Type-1
ecolabelling organizations as dened by the ISO 14024 standard.
Appendix C: More Information on Eco Labels
Appendix D:
Additional Resources
Federal Trade Commission Publications
Current (2012) Green Guides
Summary of the Green Guides The “Cliff’s Notes” version; very
handy!
Green Guides Proposed Revisions (2010) This document include
a considerable amount of commentary submitted during the
formulation of the current guides. We can’t guarantee that it w
remain available; should the FTC remove it from their website co
us at [email protected] to request a copy.
FTC Legal Actions: Environmental Marketing Links to case high
of recent FTC environmental action; reports and workshops off
by the FTC on environmental topics; laws, rules and guides spe
to environmental topics; and compliance documents, includi
warning letters.
Endorsement Guides Green seals and logos are technically
endorsements. If you use them you should f amiliarize yourself this document.
FTC Policy Statement on Deception
Federal Trade Commission Act, Section 5: Unfair or Deceptive
or Practices.
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 17/18
30
Other Environmental Marketing Enforcement Regulationsand Guidelines (state and international)
International: International Organization for Standardization (ISO):
The ISO 14000 guidelines address sustainability in business, including
marketing guidelines.
Australia: Green Marketing and the Australian Consumer Law
Canada: Environmental Claims: A Guide for Industry and Advertisers
(Canadian Standards Association)
Individual states: Some states, including California, Indiana, Minnesota
and Rhode Island have incorporated green marketing regulations into
their commerce law. This appears to be a growing trend, so keep an
eye on your state’s regulations. Fortunately, most states seem to be
using the Green Guides as a model, so as long as you’re compliant
with the FTC you’re unlikely to run into trouble. If you’re unsure, though,
it wouldn’t hurt to double check or to consult a attorney familiar with
advertising law.
Green marketing information
Government Websites
Bureau of Consumer Protection environmental marketing
information
Small Business Administration green marketing information
Green Marketing Books
Grant, John, The Green Marketing Manifesto
Horowitz, Shel & Jay Conrad Levinson, Guerilla Marketing Goes Green
Ottman, Jacqueline, Green Marketing: Opportunity for Innovation
Ottman, Jacqueline, The New Rules of Green Marketing
Green Marketing Blogs
Frugal Marketing: Written primarily for small business and startups,
but offers an extensive archive of excellent articles on sustainable
business.
GreenBiz.com: The premier green business news site.
GreenMarketing.TV: Green Marketing TV covers the art of
green and social entrepreneurship, through insightful articles on
successful businesses, interviews with visionary entrepreneurs,
down-to-earth marketing tips, hands on tutorials, and more.
Appendix D: Additional Resources
The Mainstream – Insights on selling sustainability to mainstre
consumers from marketing agency The Shelton Group. Highly
recommended.
Sustainability Information
(Special thanks to members of LinkedIn’s Chief Sustainability Ofc
Network group for many of these suggested titles.)
Books
Anderson, Ray, Business Lessons from a Radical Industrialist
Boyd, Doug, Rolling Thunder
Carson, Rachel, Silent Spring
Dunn, Steven and Richard Young, The Green Baron: A Business Parable on E
Friend, Gil, The Truth About Green Business,
Fuller, Buckminster, Critical Path
Fuller, Buckminster, Operating Manual for Spaceship Earth
Hawkin, Paul, The Ecology of Commerce
Hawken, Paul, Natural Capitalism: Creating the Next Industrial Revolution
Iannuzzi, Al, Greener Products: The Making and Marketing of Sustainable Bra
Nattrass, Brian, et.al., The Natural Step for Business
Neihardt, John G., Black Elk Speaks
Senge, Peter, et. al., The Necessary Revolution
Sitarz, Daniel, Greening Your Business
Hutchins, Giles, The Nature of Business
Videos
Earthsayers.comIndigenous Voices Speaker Series
Call of Life: Through interviews with leading scientists, psycholo
anthropologists, philosophers, and indigenous and religious lea
the lm looks beyond the immediate causes of the crisis to co
how our cultural and economic systems, along with deep-sea
psychological and behavioral patterns, have allowed this situ
to develop, continue to reinforce it, and even determine our
response to it.
Appendix D: Additional Re
7/16/2019 The FTC Green Guides Made Simple: A Companion Guide for Achieving Green Marketing Compliance
http://slidepdf.com/reader/full/the-ftc-green-guides-made-simple-a-companion-guide-for-achieving-green-marketing 18/18
32
Websites and Blogs
Biominicry for Creative Innovation (BCI): A network of creative
innovators, professional change agents, biologists and design
professionals who work in creative collaboration with each other to
apply ecological thinking for radical transformation. At the heart of
BCI’s work is a shared passion for creating brilliant, resilient, values-led human systems that are aligned with nature’s ecosystems
(business inspired by nature.)
Earthsayers.tv – Video interviews with and about sustainability
advocates. Especially notable are the viewpoints of indigenous
peoples.
Green America (formerly Co-Op America) - A not-for-prot
membership organization whose mission is to harness economic
power—the strength of consumers, investors, businesses, and
the marketplace—to create a socially just and environmentally
sustainable society. Offers green business certication.
International Institute for Sustainable Development: “This site
explains the strategies and tools that companies can use to
translate an aspiration for sustainability into practical, effective
solutions. Case studies from around the world are provided.”
The Nature of Business – This blog explores how we can help
ensure our organizations become rms of the future by redesigningfor resilience. It explores how the answers to many of our pressing
business challenges lie all around us in nature.
The Natural Step: A non-prot environmental education
organization working to build an ecologically and economically
sustainable society.
Security and Sustainability Forum: A forum for industry,
government, academics and others interested in the
environmental impacts that threaten national security. Offers
webinars, videos and other educational opportunities. Check out
their Archive tab for a series of excellent recorded webinars and
audio interviews on a variety of sustainability topics.
Sustainable Brands: A global learning, collaboration, and
commerce community of forward-thinking sustainability, business
and brand strategy, and innovation professionals who are leading
the way to a better future.
Appendix D: Additional Resources
Sustainable Business Institute – A nonprot whose mission is to
benet the public by encouraging business leaders to adopt
communicate sustainable business practices.
SustainabilityAdvantage.com: Resources for Sustainability
Champions from speaker and author Bob Willard
World Business Council for Sustainable Development - a CEO
led organization of forward-thinking companies that galvani
the global business community to create a sustainable future
business, society and the environment.
Green Consumer Demographics
The International Institute for Sustainable Development’s “Wh
the Green Consumers?” page offers some good insights on
consumers.
The GfK Roper Consulting Green Gauge Report U.S. is the on
nationwide, long-term syndicated study of consumer attitude
and behaviors towards the environment. GfK Roper also offe
global Green Gauge report.
The National Marketing Institute has been tracking environm
consumerism since the 1990’s. Their LOHAS (Lifestyles of Heal
and Sustainability) Consumer Trends Database covers ftee
market sectors and includes a proprietary method for greenconsumer segmentation, which you can read about here.
Research and consulting rm The Hartman Group provides a
number of reports tracking consumer trends on various topic
including Sustainability, Health & Wellness, and Organic & Na
The Shelton Group’s annual EcoPulse survey identies import
trends regarding marketing sustainable products and service
consumers. A free preview is available.
Appendix D: Additional Re
©2012 Green Ink Copywriting. All rights reserved. Distribution of this unmodied report is encouraged. Th
author respectfully requests that any references to this report be accompanied by a link to http://green
copywriting.com. Please submit inquiries to [email protected]
Graphic Design by Carl-Designs