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Journal of Cleaner Production: Articleinfo
Journal of Cleaner Production: Articleinfo
a r t i c l e i n f o a b s t r a c t
Article history: This article seeks to identify and analyze green marketing actions that can reduce food waste (FW) of
Received 25 November 2020 short shelf life (SSL) products by retailers and to propose effective FW mitigation strategies. The article is
Received in revised form based on a multiple case study of selected supermarkets that have enacted strategies that emphasize FW
27 January 2021
reduction. The findings unveil both conventional or digitized green marketing actions that should be
Accepted 23 February 2021
Available online 26 February 2021
implemented in the following sequence: product, place, price, and promotion. First, products need to be
grouped into categories based on retailers’ brand and suppliers’ brand. This help to prevent future
^as de
Handling editor: Cecilia Maria Villas Bo problems with the items that bear the supermarket’s brand. This categorization is also helpful in defining
Almeida the right place, price, and promotion for products with SSL. Besides, the pricing of items with SSL should
be dynamic. Lastly, careful attention paid to where offers are placed inside stores also can also help to
Keywords: leverage sales, leading to reduced food waste.
Marketing mix © 2021 Elsevier Ltd. All rights reserved.
Market segmentation
Digital marketing
Sustainability
Green marketing
1. Introduction Stores are pressured to discard products near the expiration date
to create shelf space to stock fresher ones. Fresh products generate
Supermarkets and consumers are some of the last tiers in a food sales at higher prices. However, items removed from a shelf may be
chain. Food waste (FW) at the final tiers of the food chain can be disposed of by supermarkets or their suppliers. Past studies have
responsible for approximately 60% of climate problems (Beretta considered FW resulting from the expiration date, but little is un-
et al., 2017). Around 10% of FW occur in retail activities and derstood about dealing with products nearing (but not yet hit) the
another 20% are caused by consumers (Wharton et al., 2021). The expiration date. To fill this gap, this study focuses only on processed
FW in supermarkets happens when perishable products are not foods close to the end of the shelf life but that has not yet passed
fully sold before the end of their shelf life or when products that are that date. It is supposed that overcoming the disposal of the items
nearing (but have not reached) their expiry date are shunned by near the expiration date might require different approaches and
consumers, especially if they are not able to consume them before actions from those applied to products past their expiration date.
the actual date of expiration. The FW in supermarkets may be related to the preferences of
customers (Gollnhofer, 2017), who may reject certain products
(Go€bel et al., 2015; Tromp et al., 2016). Supermarkets also face
problems associated with operational management or resupply of
* Corresponding author.
store chains. Operational management problems include the pref-
E-mail addresses: [email protected] (J.U. Gustavo), luiz.trento1963@
gmail.com (L.R. Trento), [email protected] (M. de Souza), [email protected] erential focus on commercial issues (Aschemann-Witzel et al.,
(G.M. Pereira), [email protected] (A.B. Lopes de Sousa Jabbour), 2017; de Hooge et al., 2018; Devin and Richards, 2018) in
[email protected] (N.O. Ndubisi), [email protected] reducing the costs of redirecting waste (Naidoo and Gasparatos,
(C.J. Chiappetta Jabbour), [email protected] (M. Borchardt), leandro.zvirtes@ 2018), or in the management of promotional campaigns
udesc.br (L. Zvirtes).
https://doi.org/10.1016/j.jclepro.2021.126531
0959-6526/© 2021 Elsevier Ltd. All rights reserved.
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
(Filimonau and Gherbin, 2018; Teller et al., 2018). In terms of Successful selling requires attention to marketing. Among the
resupply, the literature indicates that FW may be related to the marketing tools, GM presents itself as an alternative aligned with
purchase of items beyond the stores’ sales capacity (Arunraj and sustainable actions. Thus, this study investigates the following
Ahrens, 2015; Broekmeulen and van Donselaar, 2019; Teller et al., research question:
2018) or the use of retailers’ power over suppliers (Eriksson et al., RQ - “How can supermarkets use actions of the green marketing
2017; Ghosh and Eriksson, 2019), especially when there is sub- mix to reduce food waste?"
stantial power asymmetry in favor of the former (Matanda et al., The possibility of using GM to reduce FW can have a positive
2016). Suppliers can also cause retailer FW. Suppliers can pres- impact on the environment. This impact includes the reduction in
sure retailers to ensure that their products are very fresh and dis- the indiscriminate use of scarce natural resources (da Costa
played in large quantities on the shelves (Bilska et al., 2018). Maynard et al., 2020) and hunger (Fonseca et al., 2020), and to
The reduction in FW can be possible by reviewing the size of meet the UN’s sustainable development goals (SDGs) (B. F.
packaging (Ubirajara et al., 2018) or by raising consumer awareness Giannetti et al., 2020; Biagio F. Giannetti et al., 2020; Patala et al.,
about the benefits of eco-packaging (Zeng et al., 2020). Consumer 2020). The research question will be addressed through a multi-
awareness can be based on social pressures or media advertise- ple case study in six supermarket chains operating in Brazil.
ments (Septianto et al., 2020; Wakefield and Axon, 2020). These This article contributes value by highlighting that proactive
pressures can make use of messages that appeal to people’s reli- selling for the different companies in a supermarket chain can
giosity (Minton et al., 2020) or messages that raise consumers’ self- improve GM actions (Dangelico and Vocalelli, 2017), reduce FW
esteem. Some messages induce consumers to choose less attractive (Filimonau and Gherbin, 2018), and still generate some revenue
products (Grewal et al., 2019). The development of marketing from SSL items available in supermarkets or manufacturer’s in-
policies and strategies for products that have already passed the ventory (Dangelico and Vocalelli, 2017). This study also unveils the
expiration date may also be necessary - if the food is still fit for need to review strategies (Satyro et al., 2017) or practices to
human consumption (Li et al., 2020). leverage sustainability.
Despite the actions listed above, FW still occurs in the food The remainder of this article is structured as follows. The next
chains’ final tiers (Beretta et al., 2017; Wharton et al., 2021). Mar- section describes the theoretical foundations of the study in terms
keting can boost sales by inducing customers to buy products from of GM’s mix (Product, Price, Place, and Promotion). The research
sellers (Kim and Oh, 2020). A marketing strategy entails four method is then described concerning framing, explaining, and
distinct steps: segmentation & targeting (identification of the analyzing information related to actual practices and mechanisms.
group or groups of consumers that an organization wishes to The findings are structured in terms of how supermarkets can use
serve), and positioning and differentiation (competitive perception GM to reduce food waste. Finally, the study’s theoretical and
of the product or the brand by the desired customer target) (Kotler managerial implications are considered, along with limitations and
and Armstrong, 2014). suggestions for future research.
Green Marketing (GM) is “concerned with all marketing activ-
ities that have served to help cause environmental problems, and 2. Literature review
that may serve to provide a remedy for environmental problems”
(Hennion and Kinnear, 1976, p. 1). Over the years, GM has evolved 2.1. Product
and structured itself into a broader concept: sustainable marketing.
This concept combines ecological issues with customer satisfaction GM in food retail demands attention to the products displayed
and associated developments (Fuller, 1999). Furthermore, GM ad- to avoid customer rejection of these items. This rejection may be
dresses other related concepts such as “Eco Marketing” (see related to consumers’ preference for foods with perfect shape and
Dangelico and Vocalelli, 2017). GM can influence customer pur- appearance (Aschemann-Witzel et al., 2015; de Moraes et al., 2020;
chase intention (Ko et al., 2013; Li et al., 2017) since consumers are Loebnitz et al., 2015), products with a high degree of freshness
concerned with firms’ role in society, and sustainable activities (Principato et al., 2015; Stangherlin and de Barcellos, 2018), items
positively affect organizational performance, brand image and that have a long shelf life (Cicatiello et al., 2017; Teller et al., 2018;
loyalty (Fonseca et al., 2016; Nagar, 2013). GM can also help to Tromp et al., 2016), and agricultural products from outside the
leverage the sustainability of supply chains (Sharma et al., 2010) station (Mena et al., 2011).
and enhance organizations’ performance and competitiveness Retail product management also requires attention to the de-
(Mukonza and Swarts, 2020). mand for these items to mitigate financial and environmental
Product, Price, Place, and Promotion are the components of GM problems resulting from reduction in sales (Buisman et al., 2019; Lu
mix. This mix helps to implement the desired marketing strategy. It et al., 2020). Analysis of this scenario suggests that product man-
also helps to position products - once green consumers have been agement can reduce FW and also expand retailer’s earnings
identified (Rex and Baumann, 2007). Therefore, the GM should be (Palacios-Argüello et al., 2020). The literature also presents alter-
aligned with the overall organizational strategy. Such alignment natives for the destination of products near the end of validity that
seems to be mandatory since there can be different consumer retailers were unable to sell . An example is the use of these
segments, e.g., active green activists and passive green activists products in the manufacture of other fast-selling products. For
(Modi and Patel, 2013), that respond differently to the marketing example, a ham package near the end of its shelf life can be used to
mix. In summary, an organization’s strategy and its consumer make stuffed bread. In addition to the economic benefits, alterna-
segmentation can be relevant to the success of its GM actions. tives such as the one described can improve the retailer’s image
However, the studies on GM have focused on communicating the before its customers (Cicatiello et al., 2017; Coderoni and Perito,
ecological benefits of a product (Liao et al., 2020), consumer per- 2020). Product management also encompasses team engagement.
ceptions about “greenwashing” (Martínez et al., 2020), the drivers To this end, the retailer can grant bonuses linked to reductions in
of customers’ purchase intention (Goh and Balaji, 2016), and the use the FW. Therefore, it is necessary to collect data on FW reductions
of communication through social networks (Gonzalez-Lafaysse and (Coderoni and Perito, 2020; Teller et al., 2018).
Lapassouse-Madrid, 2016). The literature also recommends that retailers interact with their
The literature analysis indicates the need for the reduction of suppliers to improve product packaging (Ubirajara et al., 2018). This
FW, and the need for selling items near the end of the expiry date. improvement can reduce the costs of materials used in packaging
2
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
or the costs of transporting the product, thereby mitigating the premium pricing also has its limits. These limits are related to the
impacts of eventual reverse logistics (Alamsyah et al, 2020a, 2021; perception of the operational risk of remanufactured, recycled, or
Alhamdi, 2020; Coderoni and Perito, 2020; Khan et al., 2020). reused products. Such perceptions negatively affect the willingness
Table 1 summarizes the studies on the causes and mitigators of FW to pay a premium price (Bittar, 2018; Michaud and Llerena, 2011).
related to the “Product”. As noted, GM recognizes that prices can be reduced or increased
Product-related studies have focused on the causes and miti- by sellers. This finding opens space for analyzing the role of retail
gators of FW. Other studies have investigated actions related to the managers. Some supermarket managers usually set weekly and
Product in various business sectors. A summary of these studies is monthly FW goals (Ranjan and Jha, 2019). The definition of these
presented in Appendix B. goals needs to consider the economic motivation of consumers who
frequent the store (de Hooge et al., 2018). As found, some con-
2.2. Price sumers demand discounts and prizes (Zhou, 2018). These con-
sumers would accept lower grade items (due to the lower family
Retail FW can be reduced by offering lower prices (Amoako income). It should be noted that the sale of lower grade products at
et al., 2020; Buisman et al., 2019; Filimonau and Gherbin, 2018). reduced prices can benefit a portion of the population, including
These price reductions may be restricted to products that are consumers with low purchasing power. The sale of items suitable
approaching the expiration date (Aschemann-Witzel et al., 2017; for consumption but not top-grade allows these people to have
Cicatiello et al., 2017; Symmank et al., 2018; Vittuari et al., 2020) or access to food. This access contributes simultaneously to social and
products with low freshness (Aschemann-Witzel et al., 2015; environmental causes (Aschemann-Witzel et al., 2017). Table 2
Symmank et al., 2018). The GM pricing must also consider the presents an analysis of the focus of the other studies on the
quantity in stock and the items’ remaining shelf file. (Kronrod et al., “Price” dimension of the GM.
2012; Ranjan and Jha, 2019; Vittuari et al., 2020). Also, it is neces- Price-related studies have investigated the conditions for
sary to consider the appearance and functionality of the product, as reducing or increasing the price of perishable items. Attention to
well as the costs associated with incorporating higher quality ma- these indicators can reduce FW. Other studies have investigated
terials, production in compliance with environmental re- actions related to price in various business sectors. A summary of
quirements, and the impacts of taxation (Peattie and Crane, 2005; these studies is presented in Appendix B.
Sana, 2020; Yue et al., 2020). The setting of prices in the GM
must also consider aspects such as people, the planet, and profit 2.3. Place
(Co^rtes and Moretti, 2013; Nguyen et al., 2019; Pícha and Navra til,
2019), referring to the interests of the triad of stakeholders The Place dimension of GM includes analyzing the stores’
including society, environment, and firm (Borchardt et al., 2019; geographic location where the product will be sold. Attention to
Ndubisi et al., 2020). According to Ndubisi et al. (2020), managing these places can reduce FW (Mishra and Sharma, 2012). The anal-
the triple bottom line effectively ends in a positive-sum game (þ, þ ysis of “Green Place” involves the entire distribution of green
& þ) for the triad (of stakeholders). Further, Borchardt et al., 2019) products. This analysis starts at the point of production and goes to
underscored the need for enabling value cocreation and delivery the point of consumption of the product. Also, there is a need to
across all stakeholders within the network. define a store location that is convenient for the target audience,
However, GM pricing is not just about price reductions. Some because of the high level of the perishability of these products
consumers may be willing to pay a higher price for differentiated (Matanda et al., 2016). This location should also help improve the
items (Pham et al., 2019). This provision opens space for the anal- supply chain (Davari and Strutton, 2012). The location of a retail
ysis of the “Premium price”. This is an additional amount that the outlet should also contribute to the generation of jobs and the
consumer accepts to pay for a green product (Canavari and development of the local community and consider partners who
Coderoni, 2019; Drozdenko et al., 2011; Galati et al., 2019; Peattie, are involved in the reuse or disposal of waste products (Madeira,
2001). Studies show that the willingness to pay more for green 2019).
products is increasing in developed countries (Essoussi and Linton, The definitions of “where” and “how” to make green products
2010; European Commission, 2014; Shao and Ünal, 2019). The available inside the stores also demand attention. Attention to
definition of this additional amount needs to consider the benefits stores’ interior allows the retailer to influence consumers’ purchase
related to the product (Freestone and McGoldrick, 2008; Grimmer intentions (Guyader et al., 2017). Ensuring the availability and vis-
and Bingham, 2013). Among these benefits are charitable actions ibility of the green products allow consumers to perceive its
(Elfenbein and McManus, 2010), the product’s ethical differentials availability and increase their awareness, interest, and identifica-
(Freestone and McGoldrick, 2008; Kushwah et al., 2019; Lago et al., tion with these products (Kumar, 2014). Thus, products must be
2020), or the benefits for future generations or the environment displayed in places where consumers can easily see and buy them
(Chan et al., 2012; Chen et al., 2019; Nguyen et al., 2019). In contrast, (Mishra and Sharma, 2012). The internal location may also consider
Table 1
Causes and Mitigators of FW related to the Product.
Causes of FW Customers demand products with perfect shape and appearance, (Aschemann-Witzel et al., 2015; Cicatiello et al., 2017; de Moraes et al., 2020; Evans,
- Products with a high degree of freshness or long shelf life. 2011; Gjerris and Gaiani, 2013; Gokarn and Kuthambalayan, 2017; Lago et al., 2020;
Loebnitz et al., 2015; Mena et al., 2011; Principato et al., 2015; Stangherlin and de
Barcellos, 2018; Teller et al., 2018; Tromp et al., 2016).
FW Alignment between supply and demand for products. (Buisman et al., 2019; Lu et al., 2020; Palacios-Argüello et al., 2020)
Mitigators Use of items near the end of validity in the production of other (Cicatiello et al., 2017; Coderoni and Perito, 2020).
- Products items for quick sale (e.g. use of hams in stuffed bread).
Bonus for employees who reduce the FW. (Coderoni and Perito, 2020; Teller et al., 2018).
Interaction between retailers and suppliers to improve (Alamsyah et al, 2020b, 2021; Coderoni and Perito, 2020; Khan et al., 2020; Polonsky and
packaging. Rosenberger, 2001).
3
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
Table 2
Focus of studies on the Price dimension.
Price reductions Applicable to products approaching the expiration date or with low (Aschemann-Witzel et al, 2015, 2017; Cicatiello et al., 2017; Peattie and
freshness. Crane, 2005; Raak et al., 2017; Sana, 2020; Symmank et al., 2018;
Vittuari et al., 2020; Yue et al., 2020).
Demanded by consumers with less purchasing power. (Aschemann-Witzel et al., 2017; de Hooge et al., 2018; Zhou, 2018).
Demand analysis of quantities in stock and/or the remaining shelf life. (Kronrod et al., 2012; Ranjan and Jha, 2019; Vittuari et al., 2020).
Premium Price Applicable to consumers willing to pay a higher price for differentiated (Canavari and Coderoni, 2019; Drozdenko et al., 2011; Essoussi and
products. Linton, 2010; European Commission, 2014; Galati et al., 2019; Peattie,
2001; Pham et al., 2019; Shao and Ünal, 2019).
The increment is more readily accepted if the seller carries out (Chan et al., 2012; Chang et al., 2019; Elfenbein and McManus, 2010;
charitable actions or actions to benefit future generations. Freestone and McGoldrick, 2008; Kushwah et al., 2019; Lago et al.,
2020; T. T. M. Nguyen et al., 2019).
The increments face problems if the product presents risks to the (Bittar, 2018; Michaud and Llerena, 2011).
consumer.
the store’s ecological appeal, the existence of exclusive structures and Avlonitis, 2015), and provide accurate information about the
designed for green products, ecologically correct tones, and colors. sustainability of the supply chain (Saari et al., 2020). The format of
Attention to these elements contributes to increasing environ- the messages is another critical factor. Studies indicate that adver-
mentally conscious consumers (Nguyen et al., 2019; Paço et al., tising messages must be clear (Borin et al., 2011; Prane, 2012), easy to
2019). Table 3 presents an analysis of the other studies’ focus on remember, and personalized for the target audience (Bickart and
the “Place” dimension of the GM. Ruth, 2012). These messages should also generate an emotional
A line of studies related to the Place focused on the point of sale commitment of the target audience (Hartmann et al., 2013). The style
(geographic location). The second line of studies analyzed the of the message is also essential. Assertive messages are more effec-
product’s location inside the store. Other studies have investigated tive in raising customers’ awareness of the importance of the prob-
actions related to Place in various business sectors. A summary of lems addressed (Fowler and Close, 2012; Kronrod et al., 2012).
these studies is presented in Appendix B. Also, companies need to evaluate their ads’ effectiveness (Smith,
Sergio; Molina-Murillo, 2005). The lack of consistency between
actions and messages can compromise the effectiveness of adver-
2.4. Promotion tising. Studies indicate that sales can be negatively affected if
consumers notice an inconsistency in the message (Rademaker
Promotion through advertising is one of the drivers of envi- et al., 2015; Raska, 2015). Another study indicates that “green-
ronmental businesses (Papadas and Avlonitis, 2015). Studies indi- washing” negatively affects the company’s business (Raska, 2015).
cate that advertising can positively influence consumers (Alamsyah Damage to the company’s image can negatively affect customers’
et al., 2020a, 2020c; Paço et al., 2019) by helping to improve the purchase intentions (Ahmad and Zhang, 2020; Chen et al., 2020).
environmental awareness of people (Alamsyah et al., 2020b) or Such a reduction in purchase intention can be attributed to damage
inducing these consumers to adopt a more sustainable lifestyle to the consumer’s feeling of happiness (Szabo and Webster, 2020).
(Kemper and Ballantine, 2019). Analysis of advertising actions This information analysis suggests that advertising should only be
points to an increase in the number of green advertisements over used when the company does not present environmental problems
time (Kemper and Ballantine, 2019; Leonidou, 2011). This infor- (Nyilasy et al., 2012). Table 4 presents an analysis of the focus of
mation presentation can make use of signs, white papers, websites, studies on the “Promotion” dimension of the GM.
videos, and presentations. Combining these resources helps to keep The reviewed studies’ analysis indicates that the literature
people, the planet, and profits in focus (Chang et al., 2019; Co ^ rtes presents contributions related to the definition of the objectives of
and Moretti, 2013). Labeling is another advertising action indi- advertising, its alternatives for delivery, and the requirements of
cated in the literature. Good labeling can increase the intention to the messages aimed at reducing FW. Other studies have investi-
purchase environmentally safe products (Liao et al., 2020; Liu and gated actions related to Promotion in various business sectors. A
Liu, 2020; Prihandono et al., 2020; Purohit, 2012). summary of these studies is presented in Appendix B.
The messages conveyed in advertising can influence consumers
(Zubair et al., 2020). A good message demands attention to the
content, format, and style. Concerning content, messages can high- 2.5. Research framework
light product performance or the company’s environmental history
(Leonidou, 2011; Testa et al, 2011, 2015). The contents of the mes- For this work, GM actions are understood using its components,
sages also need to be perceived as reliable by the customers. To that the mix of marketing, namely product, price, promotion, and
end, messages must be honest, transparent, and credible (Papadas location. The research framework of this study is shown in Fig. 1.
Table 3
Focus of studies on the place dimension.
Outdoor It considers the location of the product’s origin and consumption points and the target audience’s access. Davari and Strutton (2012).
location It aims to contribute to the generation of employment and the development of the local community and consider the Madeira (2019).
partners that deal with the destination of the waste.
Indoor Products must be displayed in places where consumers can easily see and buy them. (Guyader et al., 2017; Kumar, 2014;
location Mishra and Sharma, 2012).
4
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
Table 4
Focus of studies on the Promotion dimension.
Promotion Positively influence consumers or improve their ecological awareness. (Alamsyah et al, 2020a, 2020b, 2021; Kemper and Ballantine, 2019;
objectives Paço et al., 2019).
Promotion actions Signs, white papers, websites, videos, and presentations. (Chang et al., 2019; Co ^ rtes and Moretti, 2013).
Differentiated labeling of sustainable products. (Liao et al., 2020; Liu and Liu, 2020; Prihandono et al., 2020; Purohit,
2012).
Message Highlight product performance or the company’s environmental history. (Leonidou, 2011; Testa et al, 2011, 2015).
requirements Present honesty and transparency. (Papadas and Avlonitis, 2015; Saari et al., 2020).
Present clarity, be easy to understand and remember, or personalized for the (Bickart and Ruth, 2012; Borin et al., 2011).
target audience.
Present assertiveness. (Fowler and Close, 2012; Kronrod et al., 2012).
Present consistency between actions and messages. (Nyilasy et al., 2012; Rademaker et al., 2015; Raska, 2015).
Table 5
Profile of supermarkets surveyed.
Supermarket Region of operation Nature of Ownership Revenue (USD) Food Retail Ranking
at the store where they are stored (this requires a price review e see supermarket’s chain performance. The big challenge is to reduce
details on the analysis of actions related to Price). Another option is the FW through sales prices that also mitigate the seller’s losses.
to sell SSL items at the wholesale chain or at other chain stores that However, not all price reductions produce losses for the retailer. In
serve customers with less purchasing power. A final alternative is to some cases, these reductions can leverage the sales and profits of
sell these items to other, smaller merchants. These smaller mer- other non-perishable items for sale at the supermarket (or on its
chants are known as “discount hunters” and have their stores in partners). Success in this approach demands attention to the type
regions inhabited by people with less purchasing power. As it turns of SSL product sold. Regardless of the brand of the product with SSL
out, consumers with less purchasing power are eager to purchase (own or manufacturer’s), the discount amount is tied to the
items with SSL because any penny saved can be used to buy other remaining life and sales potential of the item.
food. Furthermore, close to the expiry date is not a serious problem Products with the manufacturer’s brand are sold at discounts. In
for consumers with less purchasing power in emerging countries. the wholesale of the supermarket network, these discounts can
These consumers consume SSL items quickly (often on the same reach 70% of the original price. These items are purchased by
day of purchase). The supermarket chain can also sell products smaller retailers known as “discount hunters”. This type of mer-
under the manufacturer’s brand to bars and restaurants, as these chant serves consumers with lower purchasing power. This is a
establishments can use SSL items in a few days. win-win relationship that develops between small retailers and
As our network has a wholesale, we sell part of the SSL with the supermarkets. On the one hand, supermarkets can sell part of their
manufacturer’s brand to “discount hunters” (Store Manager at the SSL items (thus reducing the FW and generating revenue from
Supermarket 5). them). On the other hand, the hunter buys items at lower prices.
SSL products are very well accepted in bars and restaurants, as These lower prices are then transferred to the hunter’s customers.
consumption is fast (almost immediately) (Store Manager at the Often this is done with a low-profit margin. Such transfers at lower
Supermarket 3). margins aim to attract customers with lower purchasing power to
Products with the retailer’s brand have fewer options in terms of the hunters’ shops. In an emerging country, actions like this can
place (considering the possibility of damage to the retailer’s brand). profit small retailers (given many people with lower purchasing
Thus, the FW of products with the retailer’s brand is limited to bars, power). This profit will be generated by selling other products to
restaurants, and event houses (since such customers consume the these consumers.
SSL item quickly). Selling to these small traders needs to be pro- Discount hunters buy many items with SSL. For this type of
active. Success in proactive sales requires structuring a specific merchant, a low-price SSL item is very important. (Store Manager at
sales team for this activity (details in the Promotion dimension). the Supermarket 1).
Supermarket E archive data indicates that the sale of SSL items with Discount hunters fill their shops when they pass on products
the retailer’s brand on the retailer’s channels can guarantee gains with SSL at reduced prices (Store Manager at the Supermarket 2).
up to 20%, higher than those obtained from the sale of items from Products with the retailer’s brand are also sold at massive dis-
the manufacturer’s branded items. counts (up to 50% off the original price). However, these discounts
We reduced the FW by sending frozen products with SSL and are smaller than the ones offered in wholesale. File data and in-
private labels to other business units in the chain (Regional Man- terviews indicate that these discounts can be as much as 50% off
ager at the Supermarket 5). wholesale at the supermarket chain. Other progressive discounts
Our proactive sales channel leveraged the sale of perishables are offered in the chain’s stores or other retailers’ sales channels
with SSL (Regional Manager at the Supermarket 4). (see Promotion). Bars, restaurants, and event venues are the big
In addition to the external locations (External Place), GM needs to buyers of the items with the manufacturer’s brand.
consider the internal location (Internal Place) of perishable items. Markdown policy depends on the type of shop and varies be-
The findings reveal a kind of mantra in retail, namely: retail is detail. tween 3 markdowns of 10, 15, and 50% of the original sale value.
This mantra demands continuous attention to the path taken by Our business sells to bars and restaurants around the supermarket
different consumers of perishable products inside the store. The end (Store Manager at the Supermarket 3).
of the aisle (corners of the corridor) constitutes places where there is The discount is related to the remaining shelf life of each
more significant traffic of customers. Exposing products with SSL in branded supermarket product. Larger discounts are offered by the
such places increases the chance of a promotion, thus leveraging alternative channels or wholesale of the network (Regional Man-
sales and reducing FW. Observations inside the stores indicate that ager at the Supermarket 6).
the same product may have a different shelf-life items (long and The price reduction demands actions that minimize the finan-
short). So, attention to the position in the shelf is mandatory to cial losses of supermarkets. Some actions are based on sharing
reduce FW. Items with longer shelf-life should be placed in the losses with suppliers. Data obtained in interviews and documents
bottom part of the shelf, while SSL items should be exposed in the provided revealed formal contracts between suppliers and super-
middle of the shelf. The surroundings of the exhibition site should markets. These contracts oblige suppliers to lower the prices of
also be analyzed in detail. Internal documents about internal loca- items with SSL. These discounts are offered by the manufacturer
tion indicate that perishables should be exposed close to colder considering the final validity of the product. Supermarkets and
environments. Such a location can increase the durability of the wholesalers use these discounts to leverage the sale of SSL items. To
products. This increase in durability leverages in-store sales, helping slightly increase the gains from SSL price reduction by the supplier,
to reduce FW. These benefits are related to the extension of the time supermarkets delegate authority to store managers. These man-
that an item remains attractive to the consumer. agers can change the price throughout the day. As found, such a
Exposing products near environments with lower temperatures change slightly increases the supermarket’s earnings when selling
expands the image of quality perceived by the consumer (Regional SSL.
Manager at the Supermarket 2). The contract obliges the supplier to reduce the price of the item
with SSL held in our inventory (Store Manager at the Supermarket
4.3. Price 1).
The unit manager has the autonomy to lower the price of
The price reduction of products with SSL is the best alternative products with SSL. This reduction according to store demand helps
to leverage sales. However, reductions can compromise a to reduce FW (Store Manager at the Supermarket 5).
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J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
Table 7
How supermarkets can use GM to reduce FW.
Product To divide the SSL items into two groups: those bearing the manufacturer’s To avoid risks sanitary and preserve the image of the supermarket.
brand and items bearing the retailer’s brand.
Place To sell SSL products bearing the manufacturers’ brand in all places that To rapidly leverage sales and consumption of items with SSL.
serve customers with less purchasing power.
To sell SSL products bearing the retailers’ brand only to bars, restaurants, To simultaneously leverage sales and preserve products brand.
and events’ houses.
To place items with SSL at the end of corridors (at the corner of aisles). To catch consumer’s attention to the inside of stores.
To place items with SSL at the middle of shelves, while items with longer To sell items with SSL earlier than the items with longer shelf life.
shelf-life are placed at shelves bottom side.
To place perishable products, close to cold environments. To extend the shelf-life of perishable items in tropical countries.
Price To sell SSL products at huge discounts. To attract the discount hunters.
To offer the highest discounts only to items with manufacturers’ brand. To preserve the image of the products bearing the supermarket’s brand.
To share losses resulting from the lower prices with suppliers. To reduce the supermarket’s losses and subsidize the items in the promotion.
To allow store managers to change the price throughout the day. To rapidly adapt offers to local demand or conditions.
Promotion To promote tasting campaigns and visual advertising for products with To induce customers to buy items with SSL.
SSL.
To create a sales team to sell items with SSL for discount hunters. Increase sales to hundreds of small stores or establishments in peripheral regions
(increased SSL items’ sales to the most impoverished).
Use teams of sales and digital marketing (e.g., social media) to help To induce suppliers to get engaged in supermarkets’ promotions.
supermarkets reduce their FW.
2019). For that, it would be necessary to consider the other di- consumers or bars, restaurants, and event houses). These proactive
mensions of the GM, namely Product, Place, and Promotion. This actions are also of interest to manufacturers, as these manufacturers
consideration would help to reduce financial losses and FW. sell products with SSLs in their warehouses through supermarkets.
Another contribution is related to the pricing of items displayed This conclusion contributes to knowledge and practice by indicating
inside the store. In this case, the findings suggest that efficient that prospecting and proactive selling can improve GM actions. The
management can be improved by considering the possible miti- findings also indicate that this win-win relationship reduces FW
gating actions resulting from the GM. (Filimonau and Gherbin, 2018), and avoids legal problems related to
the correct disposal of food (Drozdenko et al., 2011). Another finding
5.4. Promotion indicates that supermarkets use their market knowledge to bargain
for further price reductions with these manufacturers. This is an ac-
Success in Promotions demands proactive prospecting and selling tion to reduce losses in the retailer’s earnings. The discounts granted
actions for small merchants (small markets that serve low-income by the manufacturers are then passed on by the supermarket chain or
9
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
wholesaler to small retailers, thus, facilitating the sale of items to out several contributions on “how” to manage perishable products
consumers who have less purchasing power. These findings indicate with SSL to avoid such losses. The research also suggests a sequence
how retailers can use their proactivity to reduce FW in the chain and of actions related to GM mix. Attention to this sequence can boost
still generate some revenue from SSL items (Dangelico and Vocalelli, sales of products with SSL, thus helping to reduce FW.
2017; Kumar et al., 2020). Hundreds of small businesses help in avoiding the disposal of
The promotion of tasting inside stores is a lever for sales of items perishable foods and in feeding lower-income consumers. To
with SSL. As determined, tasting allows the consumer to ensure the improve these benefits, policymakers could develop actions to
safety and reliability of the food. This finding adds value by indi- leverage sales of items with SSL. One alternative is to ask big re-
cating an alternative means to reinforce consumer credibility tailers to develop and maintain an up-to-date database of SSL
(Papadas and Avlonitis, 2015), in ways that positively influence items, places, and prices. This database could be accessed by small
these consumers’ purchase intentions (Raska, 2015). This finding businesses or charities (using the internet) interested in leveraging
also indicates how tasting helps avoid product information asym- sales of items close to the expiration date.
metry (Rademaker et al., 2015), and how retailers can avoid
damaging their image when selling SSLs (Testa et al, 2011, 2015).
6.3. Limitations and future studies
The findings related to tasting also indicate an alternative to the
content usually focused on in GM advertising (Prane, 2012).
Like any study, this research has some limitations, which can
serve as opportunities for future studies. First, this is a qualitative
6. Conclusions and multiple case study, with results from a limited number of
supermarkets. Its exploratory nature suggests the need for further
6.1. Academic contributions studies on the subject. Also, despite operating in the same region,
one of the investigated companies belongs to the group that
Perishable products will be thrown away if they are not sold in operates globally, while the other five companies operate region-
time. Therefore, an urgent need exists to identify actions to reduce ally. These limitations suggests that other supermarkets of different
FW in retail stores. The first contribution of this study resides in the sizes also need to be investigated. Therefore, the generalization of
examination of green marketing mix practices, considering the these results should be treated with caution due to the limitations.
evolution of the business environment. We advance the green Future studies may investigate how to improve proactive sales
marketing literature by exploring segmentation and targeting ap- in small supermarket chain stores or supermarket wholesale dis-
proaches through supermarkets’ use of GM mix to mitigate FW tributors; how to use green marketing to improve online sales of
(Dangelico and Vocalelli, 2017). Specifically, we offer a novel items close to the expiration date to consumers with lower-income;
perspective on global actions in favor of reducing FW by reducing what is the impact of the shelf space and position on the sale of
its financial losses through lower-priced sales of SSL items. We items with different expiration dates; how firms can improve the
investigated six supermarket companies that act strongly to reduce granting of discounts based on Big Data management and analytics;
FW. Given the dynamic nature of the study context (perishables what mechanisms can be applied to improve the earnings of re-
retail), our study provides useful insights on how coordinated ac- tailers who help manufacturers to sell items with SSL; and what
tions in the 4Ps of marketing can positively impact FW reduction, as impact would the strengthening of relations between manufac-
well as increase the circular economy by avoiding financial losses of turers, supermarkets and discount hunters have on FW reduction.
the investigated organizations.
The study also focuses on green marketing strategies for FW
CRediT authorship contribution statement
reduction, an empirical context that has not received sufficient
attention from the literature. Most studies of green marketing
Jorge Ubirajara Gustavo: Conceptualization, Investigation. Luiz
models/stories focus on strategies for production, pricing, avail-
Reni Trento: Supervision, Software, Writing e original draft,
ability, and promotion of green products (see Appendix B). Inter-
Investigation. Michele de Souza: Writing e original draft, Investi-
estingly, many of the findings corroborate the findings of previous
gation. Giancarlo Medeiros Pereira: Writing e original draft, Data
studies that marketing strategies in supermarkets may contribute
curation, Methodology. Ana Beatriz Lopes de Sousa Jabbour:
to FW reduction (Filimonau and Gherbin, 2018; Teller et al., 2018;
Methodology, Writing e review & editing. Nelson Oly Ndubisi:
Young et al., 2018). This suggests that green marketing strategies
Writing e review & editing, Visualization. Charbel Jose Chiappetta
can make a strong contribution in the expansion of the circular
Jabbour: Writing e review & editing, Visualization. Miriam
economy and the reduction of the impact of FW by coordinated and
Borchardt: Writing e original draft, Data curation, Methodology.
sequential actions of the members of the supply chain. The iden-
Leandro Zvirtes: Writing e original draft, Investigation.
tified actions should be implemented in the following sequence:
product, location, price, and promotion. First, the products should
be categorized into items with the retailer’s brand and products Declaration of competing interest
with the manufacturer’s brand. Such grouping aims to avoid future
problems with the items that bear the brand of the supermarkets. The authors declare the following financial interests/personal
This effort also helps to define suitable locations, prices, and pro- relationships which may be considered as potential competing
motions of products with SSL. Also, the pricing of SSL-branded interests: The authors would like to thank the Conselho Nacional de
items needs to be dynamic. Careful attention to where offers are Desenvolvimento Científico e Tecnolo gico e CNPq (edital 23/2018)
placed inside stores are also helpful in leveraging sales. and the PQ grant Process: 306785/2019-6 for financial support for
research.
6.2. Contributions to retailers and policymakers
Appendix A. Focuses of the FW studies
Losses related to products with SSL in retail stores are estimated
at the US $ 90 million per year in Brazil. This study’s findings point
10
J.U. Gustavo Jr., L.R. Trento, M. de Souza et al. Journal of Cleaner Production 296 (2021) 126531
Focus References
Product (Aitken et al., 2020; Alamsyah et al., 2020b; Aschemann-Witzel et al., 2015; Buisman et al., 2019; Cicatiello et al., 2017; Coderoni and Perito, 2020; de Moraes
et al., 2020; Evans, 2011; Gjerris and Gaiani, 2013; Gokarn and Kuthambalayan, 2017; Khan et al., 2020; Kuah and Wang, 2020; Lago et al., 2020; Lee et al.,
2020; Loebnitz et al., 2015; Lu et al., 2020; Mena et al., 2011; Pahlevi and Suhartanto, 2020; Palacios-Argüello et al., 2020; Polonsky and Rosenberger, 2001;
Principato et al., 2015; Shahsavar et al., 2020; Stangherlin and de Barcellos, 2018; Teller et al., 2018; Tromp et al., 2016; Waris and Ahmed, 2020; Zhang et al.,
2020).
Price (Aschemann-Witzel et al., 2017; 2015; Bittar, 2018; Canavari and Coderoni, 2019; Chan et al., 2012; Chang et al., 2019; Cicatiello et al., 2017; de Hooge et al.,
2018; Drozdenko et al., 2011; Elfenbein and McManus, 2010; Essoussi and Linton, 2010; European Commission, 2014; Freestone and McGoldrick, 2008; Galati
et al., 2019; Issock et al., 2018; Kronrod et al., 2012; Kushwah et al., 2019; Lago et al., 2020; Michaud and Llerena, 2011; Mkhize and Ellis, 2020; T. T. M.
Nguyen et al., 2019; Peattie, 2001; Peattie and Crane, 2005; Pham et al., 2019; Raak et al., 2017; Ranjan and Jha, 2019; Sana, 2020; Shao and Ünal, 2019;
Symmank et al., 2018; Vittuari et al., 2020; Yue et al., 2020).
Place (Davari and Strutton, 2012; Guyader et al., 2017; Kumar, 2014; Madeira, 2019; Mishra and Sharma, 2012; Yasir et al., 2020).
Promotion (Alamsyah et al, 2020a, 2020b, 2021; Arroyo and Carrete, 2019; Bickart and Ruth, 2012; Borin et al., 2011; Chang et al., 2019; Co ^rtes and Moretti, 2013; Fowler
and Close, 2012; Kemper and Ballantine, 2019; Kim et al., 2020; Kronrod et al., 2012; Leonidou, 2011; Liao et al., 2020; Liu and Liu, 2020; Mkhize and Ellis,
2020; Mydock et al., 2018; Nyilasy et al., 2012; Paço et al., 2019; Papadas and Avlonitis, 2015; Prihandono et al., 2020; Purohit, 2012; Rademaker et al., 2015;
Raska, 2015; Rihn et al., 2019; Saari et al., 2020; Setyawati et al., 2020; Testa et al., 2015).
Product Design Elements that can influence consumers to purchase energy- efficient home appliances (Waris and Ahmed, 2020), fashion products that bear a
green logo (Lee et al., 2020), eco-friendly furniture (Shahsavar et al., 2020), or organic products (Aitken et al., 2020).
Drivers of loyalty towards eco-friendly plastic products (Pahlevi and Suhartanto, 2020).
Technology Barriers to consumer acceptance of recycled and remanufactured products (Kuah and Wang, 2020)
Retailer incentives to the manufacturer(s) that adopt green technology (Zhang et al., 2020).
Price Influence Influence on consumer trust in energy-efficiency labels (Issock et al., 2018).
Influence on buying intention of organic meat (Nguyen et al., 2019), organic products (Mkhize and Ellis, 2020), milk with lower carbon footprint
(Canavari and Coderoni, 2019), remanufactured goods (Bittar, 2018), or natural wine (Galati et al., 2019).
Place Requirement Manufacturing industries should improve environmental performance when formulating a green business strategy (Yasir et al., 2020).
Promotion Benefits Green advertising affects the individual’s attitude (Kim et al., 2019)
Green promotion creates customer awareness about the companies’ commitment to environmentally friendly products (Setyawati et al., 2020).
Well-designed logos increase respondents’ bids (Rihn et al., 2019) and may influence the consumer purchase decision (Prihandono et al., 2020).
Management Presentation of environmental information on operations or supply chain (Saari et al., 2020), on the use of renewable energy (Mydock et al.,
2018), or product sustainability and quality (Mkhize and Ellis, 2020).
Attention to the socioeconomic level of the segment (Arroyo and Carrete, 2019)
Codes Questions
Product How do you assess the possibility of reducing FW through the management of products displayed in the supermarket?
How could the results of this management be improved?
Price How do you evaluate the possibility of reducing FW by managing the prices of products displayed in the supermarket?
How could the results of this management be improved?
Place How do you evaluate the possibility of reducing the FW through the product exhibition square?
How could the results of this management be improved?
Promotion How do you evaluate the possibility of reducing FW by promoting products in the supermarket?
How could the results of this management be improved?
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