Strategizing green marketing in times of uncertainty: does it pay off?

Purpose This study aims to investigate the impact of green marketing strategy (GMS) and firms’ decision to invest in or divest from green marketing activities during a crisis on business performance. Design/methodology/approach The study collected survey data from 245 Greek firms during the 2015 Eurozone crisis to investigate the impact of GMS and green marketing investments on firm resilience during crisis. Time-lagged, objective performance data for a subset of these firms helped examine the impact of GMS on postcrisis financial performance. Findings Pursuing a GMS builds resilience, especially for companies that decided not to reduce resources allocated to green marketing activities during a recession. Beyond resilience, firms investing in GMS during the crisis experienced improved financial performance in the long run. Finally, this research proposes a typology of GMS responses during a crisis. Research limitations/implications This study does not specify which types of green marketing activities lead to more investment or divestment during a crisis. Practical implications The study offers insights for allocating resources to green marketing during recessions. Supporting GMSs during unpredictable times is important to successfully navigate performance both during and after a crisis. Six crisis response profiles are offered: green-nonbelievers, dis-investors, reluctants and cautious-, opportunistic- and strategic-green investors. Social implications The study proposes a balanced approach to environmental sustainability, marketing strategy and firm performance during a crisis. Originality/value The study argues that GMSs enable firms to survive a crisis and recover from financial shocks.