Eco-Branding Strategies and Their Impact on Consumer Buying Behavior: Evidence from SMEs in Bangladesh

Md Saiful Islam; Reynaldo Gacho Segumpan

doi:10.70716/pjmr.v1i6.311

Authors

Md Saiful Islam Faculty of Business, City University Malaysia, Petaling Jaya
Reynaldo Gacho Segumpan City Graduate School, City University, Petaling Jaya, Malaysia

DOI:

https://doi.org/10.70716/pjmr.v1i6.311

Keywords:

Bangladesh, SMEs, Eco-branding, Eco-labeling, Eco-friendly advertising, Green Marketing, Consumer Behavior

Abstract

This study aims to analyze the impact of green marketing strategies, namely eco-branding, eco-labeling, and eco-friendly advertising, on consumer buying behavior in the Small and Medium Enterprises (SMEs) sector in Bangladesh. While awareness of sustainability is on the rise, the adoption of green marketing in Bangladesh’s SMEs is still hindered by various internal factors, such as limited resources and knowledge. Using a qualitative approach through in-depth interviews with ten respondents from sectors including textiles, apparel, and agriculture, the study reveals that eco-labeling plays a significant role in enhancing consumer trust in eco-friendly products and strengthening brand image. Eco-branding has been found to effectively foster customer loyalty by creating deeper emotional connections, while environmental advertising raises consumer awareness of sustainability, despite concerns regarding the potential for greenwashing. The study also identifies key barriers to the implementation of green marketing, including high costs, limited resources, and a lack of understanding among SME owners. It is recommended that SMEs receive further support in the form of training and government incentives to enhance the effectiveness of green marketing strategies. These findings offer valuable insights for SMEs in developing countries and policymakers, and emphasize the need for further research with larger samples and mixed methods to enrich the understanding of green marketing’s influence on consumer behavior.

Downloads

Download data is not yet available.

References

Alam, M. (2021). An in-depth analysis of the approach towards “Environmental sustainability” and “Green marketing” from the SME restaurant perspective in Sweden. Diva Portal. https://www.diva-portal.org/smash/record.jsf?pid=diva2:1587605

Andriani, A. D. (2025). The future of digital content: AI-generated texts, images, videos, and real-time production. In Impacts of AI-generated content on brand reputation (pp. 149-176). IGI Global Scientific Publishing. https://doi.org/10.4018/978-1-6684-9859-3.ch008

Ateş, H. (2021). Understanding students’ and science educators’ eco-labelled food purchase behaviours: Extension of the theory of planned behaviour with self-identity, personal norm, willingness to pay, and eco-label knowledge. Ecology of Food and Nutrition, 60(4), 454-472. https://www.tandfonline.com/doi/abs/10.1080/03670244.2020.1865339

Ateş, M. A. (2021). The role of eco-labels in sustainable consumption: Consumer perceptions and challenges. Journal of Cleaner Production, 290, 125715. https://doi.org/10.1016/j.jclepro.2020.125715

Bhardwaj, N., Sharma, P., Guo, L., Dagdag, O., & Kumar, V. (2022). Molecular dynamic simulation, quantum chemical calculation and electrochemical behaviour of Punica granatum peel extract as an eco-friendly corrosion inhibitor for stainless steel (SS-410) in acidic medium. Journal of Molecular Liquids, 346, 118237. https://doi.org/10.1016/j.molliq.2021.118237

Freeman, R. E. (1984). Strategic management: A stakeholder approach. Pitman Publishing.

Gao, J. (2020). Sources of mathematics self-efficacy in Chinese students: A mixed-method study with Q-sorting procedure. International Journal of Science and Mathematics Education, 18(4), 713-732. https://link.springer.com/article/10.1007/s10763-019-09984-1

Haque, R., Senathirajah, A. R. B. S., Khalil, M. I., Qazi, S. Z., & Ahmed, S. (2024). A structural path analysis of Bangladeshi SMEs’ sustainability through social media marketing. Sustainability, 16(13), 5433. https://www.mdpi.com/2071-1050/16/13/5433

Imam, M. S., & Abdelrahman, M. M. (2023). How environmentally friendly is the analytical process? A paradigm overview of ten greenness assessment metric approaches for analytical methods. Trends in Environmental Analytical Chemistry, 38, e00202. https://doi.org/10.1016/j.teac.2023.e00202

Kamalanon, P. (2023). Eco-label credibility and consumer trust in green products: Evidence from emerging markets. Sustainability, 15(2), 834. https://doi.org/10.3390/su15020834

Kamalanon, P., Chen, J. S., & Le, T. T. Y. (2022). “Why do we buy green products?” An extended theory of the planned behavior model for green product purchase behavior. Sustainability, 14(2), 689. https://www.mdpi.com/2071-1050/14/2/689

Khan, I. (2019). Energy-saving behaviour as a demand-side management strategy in the developing world: The case of Bangladesh. International Journal of Energy and Environmental Engineering, 10(4), 493-510. https://link.springer.com/article/10.1007/s40095-019-0302-3

Khan, M. I., Khalid, S., Zaman, U., José, A. E., & Ferreira, P. (2021). Green paradox in emerging tourism supply chains: Achieving green consumption behavior through strategic green marketing orientation, brand social responsibility, and green image. International Journal of Environmental Research and Public Health, 18(18), 9626. https://doi.org/10.3390/ijerph18189626

Khan, M. S., Saengon, P., Alganad, A. M. N., Chongcharoen, D., & Farrukh, M. (2020). Consumer green behaviour: An approach towards environmental sustainability. Sustainable Development, 28(5), 1168-1180. https://onlinelibrary.wiley.com/doi/abs/10.1002/sd.2066

Kivuva, S. N. (2022). Influence of marketing mix elements on consumer purchase behaviour of smart home appliances in Kenyan retail outlets (Doctoral dissertation, University of Nairobi). University of Nairobi. http://erepository.uonbi.ac.ke/handle/11295/161611

Muhammad, M., & Al-Amin, S. (2022). Green Management in SMEs of Bangladesh: Present Scenario, Implementation Obstacles and Policy Options. American Scientific Research Journal for Engineering, Technology, and Sciences, 85(1), 278-286. https://asrjetsjournal.org/American_Scientific_Journal/article/view/7248

Nauman, S., Javed, B., & Saeed, M. (2020). Eco-branding and consumer buying behavior: The role of environmental concern. Environmental Science and Pollution Research, 27, 34562–34574. https://doi.org/10.1007/s11356-020-09580-9

Nauman, Z., Shahid, S., Jawad, L., & Ayyaz, I. (2024). The relationship between green advertising receptivity and consumer intention to purchase eco-labeled product: Role of trust as a mediator. Journal of Excellence in Management Sciences, 3(1), 58-79. https://journals.smarcons.com/index.php/jems/article/view/167

Polas, M. R. H., Kabir, A. I., Jahanshahi, A. A., Sohel-Uz-Zaman, A. S. M., Karim, R., & Tabash, M. I. (2023). Rural entrepreneurs’ behaviors towards green innovation. Journal of Open Innovation: Technology, Market, and Complexity, 9(4), 100020. https://doi.org/10.1016/j.joitmc.2023.100020

Rosário, A. T., & Dias, J. C. (2025). The Role of Digital Marketing in Shaping Sustainable Consumption: Insights from a Systematic Literature Review. Sustainability, 17(17), 7784. https://doi.org/10.3390/su17177784

Salviulo, E. (2021). The power of language in communication with a focus on the new paradigm of sustainability. UniTesi. https://unitesi.unive.it/handle/20.500.14247/10023

Salviulo, S. (2021). Eco-branding strategies and consumer trust: A European perspective. International Journal of Marketing Studies, 13(4), 45–59. https://doi.org/10.5539/ijms.v13n4p45

Siddique, Z. R., & Hossain, A. (2018). Sources of consumers' awareness toward green products and its impact on purchasing decision in Bangladesh. Journal of Sustainable Development, 11(3), 9-22. https://www.researchgate.net/publication/325229008_Sources_of_Consumers_Awareness_toward_Green_Products_and_Its_Impact_on_Purchasing_Decision_in_Bangladesh

Sun, Q., Chen, Y., & Li, H. (2020). Green advertising effectiveness: The role of environmental concern and product type. Journal of Business Ethics, 161(2), 333–350. https://doi.org/10.1007/s10551-018-3936-9

Sun, Y., Luo, B., Wang, S., & Fang, W. (2021). What you see is meaningful: Does green advertising change the intentions of consumers to purchase eco-labeled products? Business Strategy and the Environment, 30(1), 694-704. https://onlinelibrary.wiley.com/doi/abs/10.1002/bse.2648

Tian, H., Wang, L., Zhu, X., Zhang, M., Li, L., Liu, Z., & Abolfathi, S. (2024). Biodegradation of microplastics derived from controlled-release fertilizer coating: Selective microbial colonization and metabolism in plastisphere. Science of The Total Environment, 920, 170978. https://doi.org/10.21776/ub.jam.2023.021.02.22

Valle, I., & Borm, K. (2021). Using a laddering approach to understand consumers opinions on corporate CSR and sustainability activities (Master's thesis). NHH Open Access. https://openaccess.nhh.no/nhh-xmlui/bitstream/handle/11250/2773671/masterthesis.pdf?sequence=1