When I was younger, it was fairly common to go grocery shopping and have the clerk ask if you wanted paper or plastic. Anyone who took their own bags to the grocery store was looked at a little funny—but today, that’s the norm! Most of today’s youth culture—known as Generation Y or the Millennials—grew up with recycling, reusing and renewing in order to help save our planet and everything that lives on it.
Those demographic groups are quickly becoming the most sought-after consumer group, and so it’s crucial for marketers to understand them as a “green” generation. Direct-to-consumer business practices like eliminating unnecessary packaging, offering discounts for recycling, and even making snack chip bags that can be composted are great, but it’s equally important that your company have a green attitude—which means using sustainable or recycled materials, supporting environmental causes, and eliminating excessive energy consumption in the office.
What does this have to do with customer relationship management? Well, as the name would imply, customer relationship management is all about building relationships; as businesses and customers get to know one another, especially through platforms that enable easy two-way communication and feedback, such as social networks, the businesses that will survive are those that pay attention to what customers tell them. Since environmental issues are important to today’s young people, it only makes sense that companies care about them too, and integrate these issues into their strategies.
One way that companies are going green is through the use of cloud computing. Cloud computing, which is a fancy name for using business software and application that run on the Internet, allows companies to save on energy costs, installation costs, server costs, and more. More importantly, companies that save on energy costs are saving the environment, which is attractive to this particular generation. Since cloud computing apps are run solely on the Web, they don’t require the use of a physical CD-rom, which cuts down on packaging. And the HVAC and storage costs needed to support a server-based system are also eliminated.
Another way companies are appealing to this generation is by eliminating paper costs. This is evident by the increase in eReaders, paperless statements, and paperless receipts. Most items that were previously provided in paper, may now be obtained only in digital format. E-readers such as the Kindle, for instance, was designed in an effort to reduce trees. The iPad also reduces the amount of paper used, as well as creating a more mobile office environment. Stanford students implemented a paperless receipt system that delivers receipts via email. Utilities have for years provided customers with the option of having paperless bill statements. And more and more people are using debit cards or online bill paying, rather than writing a paper check.
Armed with the concerns and preferences of Generation Y and the Millennials, companies may develop products through the use of social collaboration and networking that will appeal to this group of individuals. Customer relationship management tools will assist companies in compiling this information and using it to develop new products. Recently, companies have employed the use of Facebook, Twitter and blogs to gather ideas useful in creating new products that are more green and more appealing. Online social networking also reduces the need for business cards.
Many Universities have reported an increase in students enrolling in environmental studies programs. It’s clear that going green is not just a fad, but the direction in which life is headed. Companies that want to be forward thinking need to understand that customer relationship management, these days, is all about environmental initiatives.
