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Home Depot Ups the Ante on Green Labeling April 17, 2007

Posted by Jordi in environment, Retail, sustainable development.

Does the success of deep environment-human change hinge on winning the hearts (do they have nay?) and minds of the Fortune 500?   Here is another example of corporations finding two kinds of green.

Home Depot to Display an Environmental Label – New York Times
The initiative — which is expected to include 6,000 products by 2009, representing 12 percent of the chain’s sales — would become the largest green labeling program in American retailing and could persuade competitors to speed up their own plans.

I am curious to see what this does to pricing and also cost structure for Home Depot.



1. Kira - April 17, 2007

Home Depot, 1 of the largest existing companies besides Wal-Mart, is setting a great example for other companies in the environmental campaign. If smaller companies that aspire to be like Home Depot see what they are doing for the environment, other companies may feel compelled to start taking action as well.
I think that Home Depot is pursuing a new labeling program for competitive reasons. Home Depot is the supplier of many products that has a direct impact on the environment, such as construction materials. As the campaign for environmentalism grows, consumers may not want to purchase from Home Depot. At first Home Depot may take a hit since consumers are hesitant to spend more money on products that they think do not work as well; however, I think that ultimately consumers will remain brand loyal to Home Depot.
How much is Home Depot spending on the new labels?

2. Elaine - April 17, 2007

It is great to see large companies partaking in these benevolent actions. Wal-mart is also a company trying to be more environmental friendly. They carry florescent light bulbs even though it does not generate high profits. I’m glad Home Depot is doing so as well. If I had a choice between going to Home Depot and another company (not environmentally friendly), I would definitely choose Home Depot for that reason alone. Perhaps it’s a marketing strategy, but it’s a step in the right direction.

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