The MIM:AGENCY team conducted a comprehensive study of green initiatives in Ukraine and prepared conclusions on how they have influenced business development, the trends they are following, and the prospects that await in the future.

What is the importance of green marketing?

  • Green marketing is an approach to promoting goods and services that emphasizes their environmental value and minimal impact on the environment. It was first discussed in the late 1980s, and today, against the backdrop of climate change, it is experiencing a new surge in popularity.
  • Modern consumers are increasingly concerned about the environment: they want not only a quality product, but also the assurance that their choice does not harm nature. Accordingly, companies that demonstrate concern for the environment gain a competitive advantage. For example, more than 79% of shoppers worldwide are shifting their priorities toward brands with high social and environmental responsibility.
  • What’s more, over half of consumers (52%) admit to having an emotional connection with “sustainable” brands, and 53% are willing to give up well-known brands in favor of eco-friendly alternatives. Ukraine is not standing aside from these trends—according to surveys, 72% of Ukrainian citizens already feel the impact of climate change in their daily lives, and a significant proportion of consumers are willing to support “green” initiatives with their hryvnia.

Green marketing in the 2020s has become not just a trend, but a pressing business need – it helps win customer loyalty, strengthen reputation, and contribute to solving global environmental challenges.

Basic principles and strategies of green marketing

Green marketing is based on the real environmental benefits of a product and the company’s genuine concern for the environment. It is not just a catchy slogan, but a comprehensive strategy that encompasses all aspects of the business.

Eco-friendly product design. The product must be truly eco-friendly. This may mean using safe, toxin-free materials, energy efficiency, minimal waste in production, or the possibility of reusing or recycling the product. For example, LEGO invests in biodegradable and recycled plastics, and car brands are developing electric vehicles instead of internal combustion engines.

Sustainable supply chain and packaging. Attention is paid to every stage of the product’s journey to the consumer. Companies are optimizing logistics to reduce their carbon footprint (for example, switching to electric transport or local suppliers). Packaging is being rethought: instead of plastic, biodegradable materials or reusable containers are being used. A good example is IKEA, which has set a goal of using only renewable or recycled materials in its products and packaging by 2030. The company already reports that 85% of the material in one of IKEA’s popular plastic bag series is made from renewable raw materials, and single-use plastic was eliminated from several products in 2020.

Transparent communication and authenticity. One of the cornerstones is “walk the walk.” Marketing should honestly reflect the company’s environmental efforts. Any “green” claims must be backed up by facts: certificates, emission reduction figures, and sustainability reports. Radical transparency increases trust: for example, since 2007, the Patagonia brand has publicly displayed the entire production cycle of its products in the Footprint Chronicles project, with all the pros and cons, from environmental impact to working conditions. Such openness builds long-term customer loyalty. It is also important to match statements with real actions: if a company has announced a commitment to the environment, it must implement changes in production and internal processes, otherwise it risks being accused of insincerity (we will discuss so-called “greenwashing” later).

Social responsibility and education. Green marketing goes beyond ecology alone – it often overlaps with broader corporate social responsibility (CSR) initiatives. This includes supporting eco-friendly projects, investing part of profits in greening initiatives, or running educational campaigns for the public. For example, The Body Shop and Lush finance animal and environmental protection programs, while Patagonia is famous for donating 1% of its sales to environmental organizations. At the same time, companies strive to involve consumers in their shared mission through charity events, volunteer activities, and information campaigns. Consumer education is extremely important; when people know more about environmental issues and solutions, they are more willing to support green brands.

Long-term perspective. The transition to green marketing is a long-distance race. Companies set strategic goals: to reduce CO₂ emissions by a certain year, achieve carbon neutrality, switch to 100% renewable energy, etc. Investments in environmental solutions often do not yield immediate returns, but are seen as an investment in the future. When planning green campaigns, marketers should align them with their global sustainable business strategy.

Statistics and analytics: How Ukraine is implementing green marketing

Despite the global nature of the trend, the level of green marketing implementation in Ukraine still lags behind Western Europe. However, in recent years, there has been noticeable progress, reinforced by both growing consumer awareness and legislative changes on the path to European integration.

  • Eco-consciousness of Ukrainian consumers. According to a PwC study (2024), about 72% of Ukrainians are concerned about climate change and note its impact on their lives. Moreover, approximately 31% of Ukrainian consumers have started to consciously buy more environmentally friendly products and reduce their overall consumption in order to lower their own impact on the climate.
  • Business initiatives and CSR levels. Ukrainian companies are gradually implementing environmental initiatives, but a systematic “green” approach has not yet become the norm. Research shows that more than half of Ukrainian companies do not have a corporate social and environmental responsibility strategy and have not set clear CSR priorities. In other words, many businesses operate on a case-by-case basis.
  • According to the ESG Transparency Index 2020, the average level of disclosure of environmental and social performance information by Ukrainian companies was only 32%, while the top 10 companies achieved over 60% transparency according to ESG criteria
  • Ukraine’s state policy is aimed at bringing the country closer to European environmental standards, which indirectly stimulates green marketing. In 2023, the Waste Management Framework Law came into force, launching a “waste reform” and introducing the concept of extended producer responsibility, i.e., the obligation of companies to collect and recycle their packaging. Despite the war, Ukraine is implementing the principles of the European Green Deal: the share of renewable energy is increasing, an emissions trading system is planned, and environmental reporting requirements for large enterprises are being tightened. It is already noticeable how large retailers are implementing waste sorting and recycling programs even before the mandatory requirements come into force: for example, the Silpo, Metro, and Novus supermarket chains have installed waste sorting stations in their stores and are encouraging customers to handle packaging correctly.

Ukrainian companies practicing green marketing

Ukrainian businesses are increasingly implementing green projects, even in difficult conditions. Even the energy giant DTEK is developing renewable energy: the Tiligul wind farm, one of the largest in the country, has been launched in southern Ukraine.

  • Danone Ukraine. Food manufacturer Danone, in partnership with the Waste Management Center, has launched an innovative project: expired dairy products and baby food are no longer thrown away but recycled into biogas.
  • ATB chain. One of Ukraine’s largest retailers, ATB, is setting an example of environmental responsibility in the field of hazardous waste management. Special boxes for used batteries have been installed in the chain’s stores, where consumers can dispose of them instead of throwing them in the trash. In 2023 alone, ATB collected and sent 211.6 tons of batteries for recycling (and more than 300 tons in total since the project began).
  • Zero Cup and coffee shops. Small businesses are also getting involved in green marketing through creative initiatives. In several cities, independent coffee shops have introduced discounts for visitors who bring their own reusable cups instead of using disposable cups. In Lviv, the startup Zero Cup launched a reusable cup service in 2021: customers can get their coffee in a special cup by leaving a deposit, then return it to any partner coffee shop and get their money back.
  • Renewable energy for manufacturing: Mebel-Service (furniture) and GreenCool. Ukrainian manufacturing companies are also beginning to invest in green energy. In 2022, the Lviv-based factory Mebel-Service launched its own bio-thermal power plant powered by wood waste (wood chips) with a capacity of 8 MW of heat and 2.2 MW of electricity.

Challenges and criticisms of green marketing

The risk of greenwashing (green camouflage). The biggest criticism is that some companies may only pretend to be environmentally friendly for the sake of a positive image.

  • Greenwashing is when a brand loudly proclaims “green” initiatives that are actually insignificant or untrue. For example, releasing a limited edition “eco-friendly” product while continuing to use harmful production methods is a classic example of greenwashing.

Implementing eco-friendly practices often requires significant investment: installing solar panels, re-equipping production facilities, purchasing more expensive but eco-friendly materials, and obtaining international certification. In the short term, going green can indeed be more expensive. Companies are forced to balance their desire to be environmentally friendly with the need to maintain competitive prices. However, in the long term, sustainable development often increases efficiency: energy savings save money, less packaging means lower material costs, and recycling generates new sources of income.

Green marketing requires certain competencies from both businesses and consumers. It can be difficult for companies to understand which measures will have a real environmental impact, how to measure them, and how to present them to the public. The concepts of carbon footprint, LCA (life cycle assessment) methodology, and ESG standards are all new and complex for many managers. Consumers, for their part, are not always well informed either: studies show that 49% of shoppers do not have enough information to verify the accuracy of environmental claims on products, and 44% openly distrust such claims.

Conclusions

Green marketing in the 2020s is no longer something exotic – it is becoming the new standard for doing business. For Ukraine, this trend opens up significant opportunities: from increasing the competitiveness of our brands in global markets to improving the environment in our own country. Marketers and students studying this field are at the forefront of change, shaping a new culture of consumption and business ethics. Ukrainian companies already have positive case studies that prove that even small steps, such as waste sorting, resource conservation, and environmental collaborations, can benefit both the planet and the brand. At the same time, Europe’s experience teaches us that the “greening” of the economy is inevitable, and those who start early and do so convincingly will gain a leading position.

On the threshold of post-war reconstruction, Ukraine has a unique opportunity to integrate sustainable development principles into all sectors and build an economy of the future that is both profitable and environmentally friendly. Green marketing will be an important tool in this transformation, uniting business and society around a common goal. Surveys show that customer loyalty really does increase when they perceive a brand as ethical – 77% of companies reported increased loyalty thanks to sustainable initiatives. 

So, green marketing is not just a fad or a tick box exercise, it is about long-term value for business.

Sources:

  1. PwC Ukraine. (2024). Consumer survey: Attitudes towards climate change and sustainable products in Ukraine.
  2. European Commission. (2020). Report on the verification of environmental claims in marketing: Green Claims Initiative.
  3. Unilever. (2018). Sustainable Living Brands outperform.
  4. Center for CSR Development. (2022). The state of CSR in Ukraine: trends, challenges, prospects. Kyiv: CSR Ukraine.
  5. NGO “Batteries, surrender!”. (2023). Report on collected batteries and disposal.
  6. Bioenergy Association of Ukraine. (2023). Overview of the biogas market in Ukraine.
  7. YouGov. (2022). Consumers’ Trust in Green Marketing Claims.
  8. Forbes Ukraine. (2023). How businesses in Ukraine are implementing green initiatives during wartime.
  9. DTEK. (2024). ESG Report and Tiligul Wind Farm.
  10. Zero Cup. (2022). Reusable cup return service.