Commentary: Gift Packaging in Duty‐free Markets – Environmentalism and Brand Equity

Pages5-7
Published date01 September 1994
Date01 September 1994
DOIhttps://doi.org/10.1108/10610429410067379
AuthorVicky Louchran,Peter Kangis
Subject MatterMarketing
VOLUME 3 NUMBER 3
1994
5
The “greening” of society is well
documented. For several years environmental
issues have been growing in importance for
governments, industry and consumers alike.
Consequently, companies are devoting
increasing attention to this topic. In fast
moving consumer goods (FMCG) marketing,
everyone is familiar with on-pack claims and
statements about the environmental
compatibility of products – they are recycled,
recyclable, biodegradable and ozone-friendly!
These claims are used as one tool, among
others, for differentiating and promoting
products and brands; for some companies
they have been a means for building a
competitive advantage. In particular, the
highly visible nature of packaging and of its
waste has meant that it has become a locus
for action. Within the European Union
packaging of household goods is the focus of
diverse legislative actions by individual
member states where requirements are aimed
at reducing packaging at source and, in
addition, set specific goals for
environmentally safe disposal of waste. At
European Union level, a Directive has been
drafted to standardize the measures taken by
individual member states, thus facilitating the
free movement of goods while also meeting
its environmental goals.
However, there is increasing skepticism
among both consumers and industry about the
validity of many claims on packaging. This is
probably due to the apparent absence of
credible “cradle to grave” lifecycle analyses,
evaluating the impact of each stage of the
packaging cycle on total waste. This
realization calls into doubt the efficacy of
legislative measures taken.
Packaging and package design are
recognized more and more by marketers as
important tools for brand differentiation and
promotion in FMCG markets, particularly
where the proliferation of brands makes for
fierce competition. In this context
organizations strive to build and maintain
strong brands since these generally attain high
market shares. It is worth noting that the
Commentary: Gift Packaging
in Duty-free Markets –
Environmentalism
and Brand Equity
Vicky Louchran and Peter Kangis
Journal of Product & Brand Management, Vol. 3 No. 3, 1994, pp. 5-7
© MCB University Press, 1061-0421

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