Background Materials
Clorox Press Release, Jan. 14, 2008
" . . . Clorox today announced an
alliance with the Sierra Club. . . . 'Our
partnership
with the Sierra Club is significant
for Green Works but also for The Clorox
Company
as we continue the focus on our sustainability
efforts,' said [Don Knauss, chairman and CEO
of The Clorox Company]. 'Industry plays
an
important role in environmental conservation.
We are looking
forward to working with the Sierra Club so
that we can continue to be part of the solution.'
In April, Green Works labeling will feature the
Sierra Club's logo - just in time for Earth
Day
- marking the brand's commitment to supporting
the oldest and largest grassroots environmental
organization in the U.S."
Clorox Company Introduces New Brand
of Natural Cleaning Products; Establishes
Alliance With the Sierra Club, Jan. 14, 2008, http://investors.thecloroxcompany.com/releasedetail.cfm?ReleaseID=286938
San Francisco Chronicle, Jan. 14, 2008
"[Clorox's] new Green Works products will
carry the logo of the Sierra Club - a partnership
that may raise eyebrows among some of the
club's members. . . . Some environmental experts
questioned the Sierra Club's decision to
back Green Works without a standardized
review process that applies to other products,
too. 'It sounds risky both to Clorox
and the Sierra Club,' said Scot Case
of TerraChoice Environmental Marketing,
which runs a Canadian
program called EcoLogo that sets environmental
standards for products. 'I would want
to know exactly how the Sierra Club made
its determination. Unless they are going
to publish
the standard that products have to meet,
it sounds like a form of greenwashing.'"
Clorox introduces green line of cleaning
products, January 14, 2008, http://www.sfgate.com/cgi-bin/article.cgi?f=/ c/a/2008/01/14/MNN7UC1IQ.DTL#ixzz0QtwxuMK2
Club Publishes Timeline of Screening and
Approval Process, mid-Jan. 2008
July 2007: Sierra Club
and The Clorox Company make contact regarding
Green Works Natural
Cleaners. Sierra Club’s Cause-Related
Marketing (CRM) Department evaluates
and negotiates tentative deal and alerts
selected
Cabinet
and the Executive Director and other
internal stakeholders.
August 2007: Cause Related
Marketing Department (CRM) does research
on the Green Works products,
the company and all of the company’s
holdings and hires an outside researcher to
also do research including any environmental,
social, discrimination, or worker’s
rights issues for all of the company’s
holdings.
September 2007: CRM evaluates the research
and sends this information and an overview
of the deal to the Corporate Relations Committee
(CRC) for approval and copies the selected
Cabinet, ED, etc.
October 2007 through early November
2007:
The Corporate Relations Committee (CRC)
does their own research and sends this
and the
original CRM information out to the Toxics
Committee, Energy Committee, and the EQ
for questions, comments, and input on
Green Works
and the company. The Corporate Relations
Committee found no problem with either
the Green Works products
or with the Clorox Company. Questions lingered
regarding Clorox and their bleach. Ed Hopkins
(DC office), his associate (a chemical
engineer from Cornell), and a Clorox
scientist are
consulted and other research is done. Click
here for analyses of Clorox bleach findings.
All questions are answered satisfactorily
for all committees regarding the Clorox
bleach product, but the CRC did not approve
the association.
November 2007: The information
was sent to the Board of Directors by the
Executive Director.
The Executive Committee (ExCom) of the
Board of Directors received input from the
CRC,
reviewed and assessed the program and the
background information. An ExCom conference
call was held and the Green Works alliance/program
was unanimously
approved.
November through the middle of December
2007:
Final negotiations and the legal agreement
were completed. The agreement was signed.
Sierra Club Screening & Approval
Process,
http://clubhouse.sierraclub.org/conservation/partnerships/
greenworks/process.aspx
US PIRG on Clorox, June 2004
We reviewed the [Risk Management Plans]
submitted by facilities
using hazardous chemicals and found
that a
single company owning many facilities
or a single
facility in a large population center
can endanger
thousands and even millions of people.
Specifically, we found:
- The twelve companies
endangering the most people
are JCI Jones Chemical, The Clorox Company,
Kuehne
Chemical, KIK Corporation,
DuPont,
Pioneer Companies, Clean Harbors,
GATX Corporation, PVS Chemicals, Dow Chemical,
Ferro
Corporation and Occidental Petroleum.
- The
facilities owned by JCI Jones
Chemical, The Clorox Company, and Kuehne
Chemical
put
more than 20 million, 14 million,
and 12 million
people at risk, respectively.
- Between 1990 and 2003, companies,
employees and concerned citizens
reported more
than 8,400 accidents involving
oil or chemicals at
facilities owned by these 12
parent companies to
the National Response Center (NRC).
The Dangerous Dozen: A Look at How
12 Chemical Companies Jeopardize Millions
of Americans,
U.S. PIRG Education Fund,
June 2004, http://static.uspirg.org/reports/DangerousDozen2004.pdf
American Public Media, Jan. 21, 2008
Let's start our journey in 2007 when Clorox
and the American Red Cross crossed historically
strict legal boundaries on using third-party
endorsements on pesticides. Clorox bleach
is a registered pesticide, and EPA prohibits
third-party claims on pesticides ...
except this time where the familiar Red
Cross label
was used on Clorox bleach which is only
supposed to have "use and safety" instructions.
EPA is considering making their limited
exception permanent (ye gads and hello litigation).
This story didn't make mainstream press but
state pesticide regulators found EPA's exception
to its own rules not only contrary to law
but a dangerous precedent. The story is also
routinely discussed in my happy circles of
toxics and hazardous waste compatriots here
in the Pacific NW.
Next enter Clorox once again who purchased
the ubiquitously loved Burt's Bees in November
2007 for $913 million: a small, environmentally-dedicated
company swallowed by a mega-corporation in
trade for purchasing intact land (Ms. Quimby,
one of the original Burt's Bees founders was
able to purchase and restore 100,000 acres),
helping the successor company green its practice
and image, and just plain money. Clorox is
a fairly traditional mainstream company which
has more recently dedicated itself to improving
its environmental performance. Joel Makower
met with Clorox officials and wrote beautifully
about Clorox's evolution as a company. I hope
that Clorox's purchase of Burt's Bees will
inform product reformulation of their Formula
409, which contains 2-butoxyethanol, readily
absorbed through the skin and which is routinely
screened out by cities, states and companies
with environmentally preferable purchasing
screens on their cleaning products.
Finally, enter The Sierra Club, which will
now have its logo on Clorox's GreenWorks line
of green cleaners. This is where I have a
problem. In fact, the bad actors here in my
estimation are EPA (for permitting Red Cross
labels in violation of its own rules), The
American Red Cross (which made a goodly amount
of money in an exclusive licensing arrangement
with Clorox) and The Sierra Club.
When you look at a product label, what would
you think if you saw your favorite environmental
non-profit logo? Wouldn't you think, hey,
this product is probably better, safer or
greener than its competitors? Well, more than
17 state attorneys general thought so in a
killer report on the pitfalls of cause-marketing
(that's when corporations or other private
interests financially support non-profit work).
The problem is that the non-profit and corporation
typically have an exclusive licensing agreement
which raises issues about product endorsement
and the extent to which your purchase really
helps the non-profit and its mission.
GreenWorks will also bear EPA's Design for
the Environment label which signals to me
that the product really is superior from an
environmental standpoint. I'd rather have
EPA's label on this product than The Sierra
Club's. If we decide to go this cliff-hanging
route, then we may start to see non-profit
logos on all sorts of products -- and the
last thing we need is more product labeling
confusion.
Be prepared, state consumer protection agencies,
because you are going to need some cash infusion
soon as well... to help you sort out these
implied claims. This is a prime example of
what can happen when we let cash-strapped
non-profits use corporate money to help fill
the cookie jar. Remember how junk food made
its way into the public school system?
The Greenwash Brigade: The dubious
road to Clorox's new GreenWorks product
line, Heidi Siegelbaum, Jan. 21,
2008, http://www.publicradio.org/columns/sustainability/greenwash/2008/01/the_dubious_road_to_cloroxs_ne.html
Corporate Crime Reporter, March 26,
2008
Sierra Club used to be an environmental
group.
Now, it’s just another corporate
front.
Sierra Club formally joined the ranks
of corporate front groups earlier this
year when it inked a deal with The Clorox
Company.
Under the agreement, Sierra Club puts
its stamp of approval on Clorox’s
Green Works brand of cleaners.
And in return, Clorox gives Sierra Club
a portion of the sales.
Sierra Club won’t say how much
money it will be getting from Clorox.
For years, under the leadership of Carl
Pope, Sierra Club has been edging away
from hard nosed environmental defense
into the open arms of inside the beltway
corporate lobbyists.
Now, Pope has made it official by signing
on with the giant corporate miscreant.
In December 2007, the Environmental
Protection Agency (EPA) fined Clorox
$95,000 for distributing an unregistered
and mislabeled Chinese version of Clorox
Disinfectant Bleach, in violation of
federal pesticide law.
The EPA said that Clorox’s Los
Angeles production facility donated
the illegal disinfectants to Los Angeles
charities in 2005 and 2006.
The EPA said the products were intended
for Asian export, so the labels lacked
adequate English-language directions
for use, hazard and precautionary statements,
and the required statement “Not
Registered for Use in the United States
of America.”
“The Sierra Club has become little
more than another corporate front group,” said
Tim Hermach of Native Forest Council
in Eugene, Oregon. “Carl Pope
has sold out the Sierra Club's mission
of
saving nature and now seems proud of
his role as an obsequious and professional
Uriah Heep. As a result, Sierra Club
is getting lots of corporate appreciation,
cash and favors.”
Sierra Club activist Karyn Strickler
told Corporate Crime Reporter that “Sierra
Club is more concerned about being
an arm of the corporate Democratic
Party
than protecting the environment.”
“The Clorox deal is a classic,” Strickler
said.
Strickler and Hermach were part of an
active group of Sierra Club members who
a couple of years ago sought to bring
the Club back to its mission of protecting
the environment.
But Strickler said that the effort at
reforming the Sierra Club obviously failed.
“The corporate status quo forces
led by Carl Pope didn’t want a
grassroots force to make sure that Sierra
Club was fulfilling its mission by protecting
the environment,” Strickler said.
Pope touts Green Works as the first
new line that Clorox has launched in
20 years.
“Green Works is 99 percent natural
and made from ingredients derived from
coconuts and lemon oil, and contains
no phosphorus or bleach,” Sierra
Club says in its press release announcing
the deal. “The products are formulated
to be biodegradable, non-allergenic,
packaged in bottles that can be recycled
and not tested on animals. Starting in
April, the product packaging will contain
the Sierra Club’s name and logo
and a statement about Green Works’ support
for Sierra Club’s efforts to
preserve and protect the environment.”
Sierra Club, with Clorox Deal,
Becomes Just Another Corporate Front,
22 Corporate Crime Reporter 13, March 26, 2008,
http://www.corporatecrimereporter.com/cloroxsierraclub032608.htm
Ethical Corporation, Sept. 1, 2008
The Clorox partnership fiasco demonstrates
poor levels of transparency and weak
corporate governance at the Sierra Club,
argues Jon Entine
Transparency and accountability are
double-edged. Embedded in an organisation’s
culture they can burnish credibility
and encourage progressive innovation.
But if the promise does not match
the practice, the greenwashing backlash
can
cause considerable brand damage.
Oddly, companies are absorbing this
new reality faster than many non-governmental
organisations. Look no further than the
Clorox saga at the Sierra Club.
Earlier this year, Sierra Club, the
world’s largest environmental group,
with more than 700,000 paid members,
announced a deal to sell, for an undisclosed
sum, the rights to use its brand label
on Clorox’s line of Green Works
cleaners produced without chlorine. The
agreement went relatively unnoticed for
months – even by the group’s
own US-based volunteers. But now the
proverbial dung is hitting the fan.
“It’s taking money from
the devil,” says Peggy Fry, one
of the volunteer leaders of the northern
Michigan Sierra Club who resigned en
masse in July. She discovered the partnership
while surfing the internet. “No
one asked for our feedback, that’s
for sure. As far as the membership
was concerned, it was cloaked in secrecy.”
The club’s national leadership
has rebuffed requests by members and
the media to release financial details
of the agreement, further enraging members
across the US. “I’m shocked
and devastated that we don’t meet
the standards for open accountability
and transparency that we demand of corporations,” says
one prominent staff member in another
part of the country. Sounding like
a classic corporate whistleblower fearful
of retaliation, the staffer asks for
anonymity.
Wide impact
The agreement has shaken other mainstream
environmental NGOs, including ones
that regularly engage in dialogue
with business.
Clorox has long been a pariah because
of the alleged dangers in making
chlorine-based products.
“We certainly wouldn’t have
done it,” Rick Hind, legislative
director for Greenpeace, told Ethical
Corporation. Greenpeace has a strict
policy banning product or company endorsements
and a written “dirty business” clause
preventing it from being aligned with
companies whose core products are,
by its judgment, harmful to the environment.
“It’s not as if Clorox has
agreed to change the inherently dangerous
process it uses for making its signature
product,” Hind says. He notes that
the Sierra Club’s executive director,
Carl Pope, told him in March that he
would make use of his new relationship
with Clorox to discuss converting to
safer processes or chemicals to replace
chlorine gas. Hind is yet to hear back
from Pope.
The Environmental Defense Fund pioneered
partnerships in the early 1990s, working
with MacDonald’s to alter its packaging,
including switching from Styrofoam to
paper. Head of corporate partnerships
Gwen Ruta says the fund wants companies “to
benefit financially from environmental
innovations we help develop”. She
adds: “But we don’t endorse
a company or a particular product and
we don’t take payment from our
partner companies – the environment
is our only client.”
The Sierra Club executive committee’s
move to endorse the Clorox cleaner appears
to directly circumvent its own corporate
financial acceptance policy, which baldly
states: “The club will not endorse
products.”
Activists have expressed, privately,
as much concern with how the Sierra Club
handled its corporate governance and
decision-making processes as the decision
to partner with Clorox itself.
Sierra Club officials refused to be
interviewed for this column, but there
is scant evidence to support spokesman
David Willett’s assertion that
the decision to “make the really
big changes we need to protect the environment”,
which is how he has characterised the
partnership with Clorox, was widely
vetted internally.
There is rebellion at the highest
levels. “We
have a national corporate accountability
committee that’s empowered to deal
with these kinds of alliances and they
were not even told that this was in the
works,” says the anonymous staff
member. “It was rammed through
by a faction on the board.”
The club’s toxics committee
pointedly noted that it was not consulted
before
the deal was signed. The national
agriculture committee has reiterated
that it considered
Clorox a major violator of environmental
laws and requested that the national
board of directors rescind the partnership
and return royalties.
The confronting corporate powertask
force wrote: “We not only oppose
the substantive decision itself, but
condemn the undemocratic and autocratic
nature of the decision. The process
used to make this decision demonstrates
a
flagrant disregard for the basic democratic
values, history and tradition of the
Sierra Club.”
NGOs take brand risks in forging partnerships
that are absolutely necessary in an ultra-competitive
global marketplace. The stick of messy
public criticism and litigation can only
work if there are carrots. But key are
transparency and internal democracy,
which are doubly important for groups
that depend on a network of volunteers
and paid members.
“Sierra Club prides itself on
its membership democracy,” the
whistleblower told Ethical Corporation. “It
would be helpful if we practise what
we preach.”
The contrarian – Sell-out at the
Sierra Club, Jon Entine, 1 September
2008, http://www.ethicalcorp.com/content.asp?ContentID=6055
Fast Company, Aug. 7, 2008
Since Clorox enlisted the Sierra Club to
hype a new green product line, sales are booming.
But the club is dealing with a nasty little
stain.
"We're exposed to an almost $3 billion
market. If we got just a 5% market share,
you're talking about a $150 million business." Don
Knauss, the CEO of Clorox, may be laid up
in Houston recovering from rotator-cuff surgery,
but he can't help getting exercised about
his company's breakout new product line. Late
last year, the former Coca-Cola exec launched
Clorox's first new brand in 20 years, a collection
of natural-cleaning products called Green
Works. "You're always trying to figure
out what megatrends are going on," says
Knauss, 57, who took over less than two years
ago. "From day one," he says, he
focused on the "explosive growth" opportunity
in sustainability.
Green Works is one of the most successful
launches of a new cleaning brand in recent
memory. But it also has wider implications
for anyone interested in the movement of the
mainstream marketplace toward greener products.
For Earth Day 2008, Knauss rang the opening
bell at the New York Stock Exchange -- a first
for a Clorox chief -- and at his side stood
a most unlikely partner: Carl Pope, the executive
director of the Sierra Club, the country's
first -- and largest -- national environmental
organization. Just a few weeks earlier, Clorox
had announced that the Sierra Club logo would
appear on all Green Works labels. In return,
the Sierra Club would receive an undisclosed
fee based partly on Green Works sales. It
sounded like a win-win for everybody. What
could go wrong?
Depends who you ask. Knauss couldn't be happier.
He has seen Green Works' momentum continue
to build, with Wal-Mart and other major retailers
increasingly devoting shelf space to the hot-selling
line. But within the Sierra Club, the reaction
to the deal has been contentious, with emails
flying back and forth and charges that Pope's
executive committee has sold out -- and is
retaliating against dissident members. The
Sierra Club is now trying to pacify its troops,
but the awkward pairing with Clorox underlines
both the huge potential upside for major brands
discovering green and the danger for nonprofit
environmental groups plunging headlong into
the for-profit world. It's the sort of thorny
situation we're likely to see more often as
saving the planet becomes less a cause than
an industry.
. . .
Jessica Frohman, the volunteer cochair
of the club's toxics committee, says her
panel
never took the standard vote on the Clorox
products: "The Green Works proposal said
CONFIDENTIAL all over it. My committee never
saw it. My cochair and I did ask [Clorox]
a lot of questions -- we wanted to know what
was in the product." They reviewed the
EPA's report on the Green Works ingredients
and asked about the environmental effects
of other Clorox products such as bleach. But,
Frohman says, "the people who serve
on these committees are more policy wonks
than
chemists. There isn't anyone in the Sierra
Club who's going to guarantee anything
about those products. If it were up to me,
I would
have done a lot more investigation down
that path... . It doesn't make me thrilled,
to
be perfectly honest. "
The club's volunteer corporate-relations
committee did vote on the Green Works
deal -- and rejected it. One member, Stuart
Auchincloss,
a retired environmental lawyer, says
he felt strongly that "we shouldn't be in the
business of taking money for endorsing products." But
Pope and the national board of directors
rejected the rejection, and the executive
committee
promptly signed off on the Clorox proposal.
The Sierra Club brass further rankled the
base by taking the unprecedented step of removing
the heads of its 35,000-member Florida chapter
on March 25, and suspending the chapter for
four years. That chapter's leadership, which
had publicly and vocally rejected the Clorox
deal, accused the national leaders of exacting
revenge. Sierra Club president Robert Cox
has publicly stated that the suspension resulted
from long-standing complaints by members and
had nothing to do with Green Works.
Still, environmental blogs and the club's
own Clubhouse Web site have been burning
up for months with comments from angry members,
some asking for a national referendum
on the
Clorox decision. In May, chapter leaders
in northern Michigan resigned over the deal.
Emails exchanged by a list of past members
of the club's board of directors, obtained
by Fast Company, voice dismay at the
decision
and the way it was handled internally. "It
is not the club we have known in the past
-- it is sad to see some leaders tired with
it all and leaving," wrote one committee
leader. A past director wrote: "They
are destroying the club's credibility. They
should all be ashamed of themselves." Another
former director: "[Sierra Club founder]
John Muir's birthday will be a sad one
this year."
Further fueling the controversy, the club
has refused to release financial details
of its arrangement with Clorox to the public
or its members, citing the terms of its
contract
with Clorox as well as its own rules. "The
Sierra Club has a long-standing policy of
not giving specific details about individual
sources of funds from donors," says spokesperson
Orli Cotel. "Our supporters can be
assured that it is a significant contribution
and
is not restricted, which means that we
can use the funds for any branch of our
work."
With no independent scientific assessment
of Green Works products, and with an undisclosed
amount of money changing hands, what does
that Sierra Club seal on the back of the bottle
really mean?
For Clorox, it's nothing but upside. For
the Sierra Club, it's risking -- if not
undermining -- its most valuable asset:
its independent
reputation. In exchange for the use of
its name, the Sierra Club applied precious
little
leverage. For example, it made no demands
for Clorox to offer recycled packaging
or change the environmental profile of other
products. Not only did the club withhold
financial
information, but it also agreed not to
lend its name to any other natural cleaning
products,
even if they're 100% organic and packaged
in a coconut shell. Adviser Makower,
who originally encouraged Clorox to reach
out to nonprofits,
is dismayed by the deal the Sierra Club
struck: "To
be tied directly to sales and not reveal [the
details], and to be flacking the products,
is, in any world, borderline unethical," he
says. "It
soils the living room for everybody."
The take-home message for the Sierra Club
and other nonprofits may be that they
need to draw a careful distinction between
two
types of nonprofit/for-profit relationships:
cause-related marketing and endorsements.
Historically, in cause-related marketing
campaigns, a group such as the Sierra Club
would collect
proceeds from the sale of a non-mission-related
product, such as a calendar. There are
no special environmental claims being made
about
the calendar itself -- the organization's
name is simply a sign of support. "It's
like the Easter Seal," Pope says. "You're
getting money from a candy. It isn't
that the candy is better for polio."
In endorsement relationships, on the other
hand, a group such as the Forest Stewardship
Council or the Sustainable Fishery Advocates
puts its seal of approval on a product that
claims some mission-related benefits. No money
should be involved, or that seal isn't going
to be worth much.
In the Green Works situation, the distinction
seems to have collapsed, which Pope himself
admits. He says the Sierra Club has started
a task force to reexamine its corporate
policies in the wake of the experience. "Because
we insist that these products meet our
mission standards, the distinction for us
between
cause-related marketing and product endorsement
is a little fuzzy. It's pretty clear
that we're having a hard time keeping the
distinction
clear in our minds, so how can we possibly
expect the consumer to keep it clear?"
Consumers, of course, may not care either
way, and ultimately, Pope, as the leader
of a grassroots organization, must strike
a balance
between keeping the club members happy
and reaching a much broader audience.
The club
is facing challenges recruiting younger
enviros, who increasingly choose to engage
online rather
than become lifetime contributing members,
even as the activist volunteer core ages
and shrinks. Of the 1.3 million Sierra
Club contributors,
only 800,000 have made the commitment
to become members. Being exposed to millions
of shoppers
at Wal-Mart, Target, and elsewhere has
to be a plus. "Many more people are buying
Clorox Green Works than know what the Sierra
Club is. It's like getting an advertisement
on the back of the Clorox bottle," says
Adam Werbach, a former president of the Sierra
Club who is now a sustainability consultant
with Saatchi & Saatchi S, working for
Wal-Mart. "That's much more valuable
than whatever dollars they got paid for it. "
In the meantime, the unlikely partnership
continues to grow despite its fraught
beginnings. Green Works sales forecasts
have already been
boosted six times, and each product now
leads its category within the natural-products
universe
-- and not through cannibalization. Green
Works has actually grown the overall
size of the naturals market by 300% in
the categories
it competes in, and more products are
in the pipeline, all stamped with the
Sierra Club
seal. What's more, both Pope and Knauss
say they're talking about a new effort
to promote
a green rebranding of Clorox's Brita
water filters as an environmentally friendly
alternative
to bottled water. "When I got on board
21 months ago, the question was, How quickly
can we sell this thing?" Knauss says
of the Brita business. "In the last
9 to 12 months, as people have been educated
about the sustainability issue, Brita
has
seen its strongest growth in over a decade."
Sounds like a win-win for everybody. What
could go wrong?
Clorox Goes Green, Anya
Kamenetz, Aug 7, 2008, http://www.fastcompany.com/magazine/128/cleaning-solution.html?page=0%2C0
Greener Design, January 19, 2009
Clorox has added
biodegradable wipes to its line of Green
Works cleaners and announced how much
it is giving
the Sierra Club as part of their marketing
relationship. On the one-year anniversary
of the launch of Green Works – a product
line that now include eight different cleaners,
all
made with plant-based ingredients – Clorox
has announced its new Green Works cleaning
wipes. The wipes are made with 100 percent
cellulose fibers harvested from forests
that are certified
by the Forest Stewardship Council or Program
for the Endorsement of Forestry Certification.
Their packaging – HDPE, or #2 plastic
- contains at least 25 percent post-consumer
recycled content. They are also biodegradable,
but only in compost conditions, based
on the ASTM Standard
5338 for biodegradability.
Clorox also said that is it giving the Sierra
Club $470,000 as part of the relationship
for the product line. When Green Works was
first announced, the Sierra Club endorsed
the product, letting the cleaners carry its
logo for, at the time, an undisclosed amount.
The contribution is based on sales of Green
Works products from April to December 2008.
Clorox Expands Green Works Line,
Gives $470K to Sierra Club, January
19, 2009, http://www.greenerdesign.com/news/2009/01/19/clorox-expands-green-works-line-gives-470k-sierra-club
Seventh Generation, January 26, 2009
I have to tip my hat to Clorox. From purely
a marketing point of view, Clorox's promotional
deal with the Sierra Club has proved to be
a clever tactical move.
You might recall that a year ago, Clorox
won--for an undisclosed sum--the Sierra Club's
endorsement for the bleachmaker's GreenWorks
line of products. Rather than put in years
of effort trying to gain the marketplace's
approval by competing solely on the merits
of its cleaners, Clorox basically bought itself
some instant credibility with Sierra's seal
of approval. The deal proved to be a boon
for Clorox; the same cannot said for the Sierra
Club.
For many months, thousands of Sierra Club
members requested greater transparency in
regard to the organization's financial relationship
with Clorox. Sierra Club officers in northern
Michigan quit in protest over the deal, while
state chapters in New York, Florida, New Jersey,
and Tennessee criticized it. But it wasn't
until last week that Clorox, according to
GreenBiz.com, announced it was giving $470,000
to Sierra "as part of the relationship
for the product line."
I can't help but wonder why the Sierra Club
gave away so much for so little. Fortune magazine
once calculated that intangible assets--all
of the customer/community relationships that
ultimately enhance a brand's reputation--represent
as much as 75% of the total value of the average
US business. I suspect that the same rule-of-thumb
applies to the average US non-profit. And
the 116-year old Sierra Club, with its more
than 700,000 members, is not your average
not-for-profit. It's doubtful whether the
payout will ever cover the true cost to the
Sierra Club's reputation.
For Clorox, the Sierra deal has certainly
proven to be a smart bit of business. I have
yet to be convinced that it's good business.
Clorox Finally Comes Clean,
January 26, 2009
http://www.seventhgeneration.com/learn/inspiredprotagonist/clorox-finally-comes-clean
Toxic Culture, Aug. 7, 2009
We were in the grocery store the other
day looking at toilet cleaners . . .
We were
confronted with two choices: the obviously
Clorox-branded one and something
called Green Works. The latter was also
a Clorox product, only the “Clorox” labeling
was less conspicuous and blended in with
the usual Good For The Earth type packaging.
[Photos of bottles, including photo at
top of this page.] The Sierra Club has
long since stopped being anything
close to the
cutting
edge
of environmentalism,
retiring into a kind of Clintonesque
triangulation/
accomodationist senescence in its old
age, so we weren’t
that surprised by this. But still, it’s
kind of jarring to see the Sierra Club
logo on the back of something that you’re
not supposed to get in your eyes or inhale
the fumes of.
Turns out that we’re a little behind
the curve on this one. Green Works was launched
in 2008 (Clorox CEO Don Knauss rang the NYSE
bell on Earth Day last year, if you can imagine
it) after considerable wrangling to cash in
on the sustainability trend. From the Clorox
end of things, you can read about the product
line here (best part of their site is the “Our
story” section: Desire! Develop! Discover!
Dissemble!)
Playing Gallant to Clorox’s Goofus
is John Muir’s venerable Sierra Club
(like I said earlier, the Clinton of
the environmental movement – everyone
thinks it’s
good, although most people can’t name
any specific thing it’s done). The
advertisement for Clorox FAQ on their
site is defensive forthright about the
partnership, and the “perfect
is the enemy of the good” line that
runs through all their answers should
be familiar to readers (and critics)
of Toxic Culture.
About a year ago, the business magazine
Fast Company published this article exploring
the
Green Works phenomenon. It makes the
relationship seem a touch more ‘Bobby and Whitney’ than ‘Goofus
and Gallant.’ You can read it for yourself
(and decide who’s Bobby and who’s
Whitney), but warning signs started appearing
for me when Clorox said they viewed the Sierra
Club as the “Good Housekeeping seal
of environmental groups.” As we’ve
noted before on Toxic Culture, most people
believe that you have to pass some vetting
process or test to earn the GH seal,
when actually it is just something you get
if you
have been an advertiser in Good Housekeeping.
It seems clear that Sierra Club head Carl
Pope rammed the endorsement through and
then misrepresented the group’s internal
vetting process to partner Clorox. And the
Sierra Club is getting some amount of money
for the use of their name and logo, though
nobody will say how much it is. Must be a
good sum – the two are looking into
another co-branding opportunity with Brita
filters, which may be spun as the “environmentally
friendly alternative to bottled water.” Yes.
Except we already have one of those. It’s
called tap water.
No matter. We’re well through the looking
glass now, as evidenced by this quote from
the Clorox CEO: “Both Carl and I start
with one foundational belief: Corporate America
and environmental groups must start working
together. We really do have the best interests
of the consumer and the planet at heart.” Anyone
who believes this is either hopelessly naive
or a sociopath. Legally speaking, corporations
have only one function – to make money
for their shareholders. Any action that deviates
from this can be a cause of action. But it’s
good for business to say things and to get
the warm and fuzzy CEO out in front, and to
make nice with the environmentalists, because
that’s how you will get people to
buy your stuff. And when people buy your
stuff,
you make money.
I don’t feel sorry for Carl Pope. And
I don’t begrudge people buying Green
Works. Just like I don’t mind (and maybe
even like some of the projects put on display
by) the group Global Inheritance (who I recently
learned about when I saw they were opening
Environmentaland, “the world’s
first eco theme park.” I had no response
to this. Or more to the point, I had a lot
of responses to that, some involving consideration
of “alternative energy golf carts.” No
need to hate on water-guzzling landscape-destroying
bourgeois playground golf courses. Better
to make the golf carts solar.).
Global Inheritance creates spectacles like “Global
Warming Chess” (which made “One
Night in Bangkok” run through my head
for at least 24 hours). The concept: a life-size
chess board of “cause” vs. “cure.” Team “Cause” contains
such puzzling choices as “Lobbyists.” Um,
don’t environmental groups also hire
lobbyists? Team “Cure” features “Scientists” (as
if science never in any way contributed to
global warming) and “Polar Bears” (maybe
because they’re white and reflect heat?).
These “teams face off in un-rigged
matches to illustrate the unpredictable
reality of
the battle between environmental violators,
like carbon producing fuels and corporate
lobbyists, and options that improve the
possibility of sustaining human life for
at least a few
more generations.”
Where do you even start with something
like this? The fact is that the fight against
global
warming is totally rigged, and is completely
predictable. Momentum doesn’t get turned
around easily, especially when there’s
so much capital invested in the carbon economy.
And it’s NOTHING LIKE CHESS, where
there are rules, defined consequences, predictable
outcomes, and reliable models, and defined
roles for the actors, and no real stakes,
and, and, and (sputters, exasperated).
Look, I’m a big fan of creating spectacles.
The more, the bigger, the merrier. We don’t
have enough public art projects. But I think
it’s a mistake to confuse Global Inheritance’s
work with “a new variety of activism.” The
Los Angeles Times said this about GI’s
Executive Director Eric Ritz: “What
makes Ritz’s brand of activism different — and
what fuels his efforts — is that unlike
earlier generations of social advocates, Ritz
said he and his Generation Y audience don’t
see big business as the enemy.”
Because that was really the problem before.
Too many people were seeing big business
as the enemy. That’s why we are facing
extinction level impacts due to industrialization.
Because too many people were hostile
to corporate interests.
Suddenly it’s clear that, far from
retrenching, Pope has positioned the Sierra
Club on the cutting edge of environmentalism,
which happens also to be the cutting edge
of corporate marketing. Clorox is the Sierra
Club is Environmentaland – institutions
striving toward green to capture your consumption
dollars, miseducate you about the causes of
environmental catastrophe, and relieve any
nascent or nagging guilt about your role in
said catastrophe. We’re all on Team
Cure now, which is to say that we’re
all on Team Cause.
Buying in: Green Works and
the Sierra Club, Kate, August 7,
2009, http://toxicculture.wordpress.com/2009/08/07/buying-in-green-works-and-the-sierra-club/