Friday 27 July 2007

Why should I buy eco?

A new brand of carbon neutral car insurance has been launched on the UK market. Ibuyeco joins the likes of CIS and Climatesure in providing car insurance policies with carbon offsets. It’s a positive sign that public interest is now sufficient to justify the creation of another brand and it will hopefully increase the demand in the category.

However, it is a shame that with their name and product offering, they are clearly still targeting their services at the environmentally conscious minority.

Look below the surface and ibuyeco is simply an online insurance broker, who find you a competitive quote from a third party provider and add on some carbon offsetting, provided by the Carbon Neutral Company.

The trouble is, that as ibuyeco is basically selling two separate things – insurance and carbon offsets, it’s not clear what their brand really offers. With no background information or product innovation, the brand has no real value in itself, other than the benefit of combining two transactions in one and allowing those who wish to claim, “I buy eco!” Personally, if I don’t buy into the organisation itself and there is no clear service benefit, I would rather shop around for the best insurance quote, and then offset the emissions from a provider of my choice as a separate transaction.

What the market really needs is for an insurance company to use carbon offsetting as an integral part of its package, included in the price, and with the benefits clearly communicated. The offering would have more integrity and appeal to a wider audience. If the difference in price between two trusted suppliers is small, and one includes carbon offsetting as standard and the other doesn’t, many customers would happily choose the carbon neutral option and feel good that they had done something positive for the environment. However, it’s unrealistic to expect many people to be interested in paying extra to offset their carbon emissions unless you can clearly show how it benefits to them.


This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy

Car rental not Abel to live up to its brand promise

We recently came across an excellent example of how businesses can erode their brand value chasing short-term profits.

Abel is Queensland’s low cost car rental company, promising great value and exceptional customer service. And they do a fairly good job at delivering their promise. On one condition - That you bring the car exactly as it was when you rented it.

When we returned our rental car recently in Brisbane, the staff found a tiny car park dent on the front wing that we had not even noticed. Well, it shouldn’t have been the end of the world because we had paid for the most comprehensive damage liability waiver, limiting our liability to $275 AUD.

But what we didn’t know was that Abel has a $330 dollar accident-processing fee written into their small print. That’s more than the liability itself!

On top of this, they charged $53 demurrage for the car being taken off the road for repair, and $277 for our liability, which is $2 more than agreed in the rental agreement.

Whether it was in their small print or not, the marketing was clearly framed to deceive the customer and when the charges were questioned, the illusion of customer service quickly evaporated. If we didn’t settle in full on the spot, they would continue charging us for the car rental until we paid. And it wasn’t just us, another customer got stung for the same thing while we were still in the store.

The core of any successful brand is telling an authentic story, and we would have happily have told others of our positive experience if Abel had lived up to their brand promise. Instead, we quickly told everyone we know in the area to avoid Abel like a plague.

We subsequently rented a couple of cars from Thrifty, who provided genuinely friendly and honest customer service, did not have any horrors in small print, and seemed to have a very reasonable attitude when assessing the cars on return. On one occasion, they didn’t even check the car telling is that as long as we haven’t crashed it, a few nicks and scratches don’t matter, and that they trust us when we say we’ve filled it with fuel. Now that’s service that we’ll recommend.

Thrifty have won themselves a long term customer by projecting a very positive brand image that cares for and trusts their customers, whereas Abel’s pursuit of short term profits has cost them more than the extra charges incurred.

The message is simple, if you want to build a valuable and sustainable brand, your service must live up to your promise. If it doesn’t, you’re digging your brand an early grave.


This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy

Tuesday 10 July 2007

Virgin Blue going Virgin Green

The aviation industry is often criticised for its contribution to global warming. Increasingly low airfares encourage more air travel for both holidays and business. Concerned travelers are now taking action by offsetting their own carbon emissions through companies like Climate Care. But many are now asking whether the airlines themselves should take responsibility for their emissions rather than leaving it to the consumer to deal with.


Virgin Blue, Australia’s low cost internal airline, implied that this was going to happen in a recent campaign that renamed the airline as Virgin Green and stated that Virgin Blue is going Carbon Neutral. Closer inspection reveals that this is sadly not the case, but it is also clear that it is more than just a publicity stunt as the airline is pursuing a number of strong strategies to reduce its environmental impact.
  • Virgin Blue is the first airline in Australia to offer customers the opportunity to neutralise their emissions. The money earned through this will be contributed towards projects dealing with forest activities, energy efficiency measures, waste diversion and renewable energy.
  • The carbon emissions generated by the crew and the staff on business travel will be offset.
  • The airline has joined 800 other companies in the Australian Greenhouse Challenge Plus Program to measure, monitor and report on overall emissions with the goal of reducing them every year.
  • Virgin blue has decided to apply special “green” paint on 70 aircrafts, as part of a major new investment in environmentally friendly cleaning and maintenance technology.
  • Virgin Blue also claim to have the most fuel efficient airline fleet in Australia.
Although not perfect, Virgin’s approach is clearly a step in the right direction and a milestone in the aviation industry. However, it is disappointing that the airlines are still not prepared to take responsibility for the carbon emissions of their aircraft by offsetting the emissions for all passengers. Considering that it only costs about AUS$1.50 to offset a passengers flight from Brisbane to Sydney, it could surely be included as part of the ticket price.

Virgin Blue have clearly recognised the growing level of public concern about environmental issues and the value that taking a lead on these issues can add to their brand, but they need to show firmer commitment to tackling carbon emissions before they can justify calling themselves Virgin Green.

This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy

Yoghurt on a Mission

A new brand of organic yoghurt has recently hit supermarket shelves in the UK. The McCracken family farm in Northern Ireland has developed a quirky and fun brand for their organic yoghurt called Stony (not to be confused with Stonyfield Farm, the US based organic yoghurt company).

Featuring a family of Stonies with the slogan 'Yoghurt on a Mission' the brand is a clever attempt to stand apart from more conventional brands like Rachel's Organic and Yeo Valley, appearing to borrow a certain amount of inspiration from popular ethical brands like Innocent Drinks.


Unfortunately, the concept of the stony characters doesn't communicate its message as clearly as it could and is in some cases a little bit freaky. However, its early days and with some careful development we hope Stony can become a successful brand and help to grow the market for organic food.

This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy

Renault Eco 2 good to be true?

Amid rising concerns about climate change, car manufacturers are starting to jump on the green bandwagon and promote their environmental credentials.

Notably Renault recently launched its Eco 2 brand, which is applied to its more efficient cars and means that they:

• Have CO2 emissions of less than 140g/km

• Are produced in an ISO14001 certified factory

• Are 95% recyclable

Its true that Renault have made some significant improvements in recent years, but schemes like Eco 2 are misleading and confusing. After all, how much is 140g/km CO2, and why does the claim of 95% recyclable include incineration as a form of recycling?

Its good that manufacturers like Renault are taking notice of public concerns about climate change, but there is a major risk that if manufacturers like Renault continue trying to portray fairly ordinary cars as environmentally friendly, they will in the long term simply fuel skepticism towards 'green' brands and towards their company's own green credentials.

This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy

Friday 6 July 2007

LeMans 24hour Cycle Challenge

Tom Greenwood, Scamper co-founder and Brand Strategist is taking part in the LeMans 24hour Cycle Challenge in September and will be cycling 170miles from Leatherhead, Surrey to LeMans, France to raise money for SeeAbility. To find out more and to donate to the sponsorship fund, visit:


http://www.justgiving.com/tomgreenwood


This blog is supported by Scamper - The pioneers in Sustainable Brand Strategy