Growing customer demands across all aspects of sustainability are placing scrutiny on the standards brands maintain, even among companies who thoroughly considered themselves ‘green’.
As business leaders look ahead to 2022, I discuss some of the benchmarks that businesses now need to meet to keep up with the pace of fast-growing sustainability demands from today’s customers.
Here are three sustainability benchmarks brands need to aim for.
1. Certification vs marketing
Over the past few years, we have certainly seen a proliferation of companies staking claim over terms such as sustainable, eco-friendly, environmentally responsible, planet positive, clean, natural, organic – the list goes on. A quick glance at many company websites will uncover a host of these buzzwords, however, what do they really mean? The reality is: not much.
These terms are largely self-constructed, with no regulation and parameters, so companies have abused use of these keywords over the years. However, consumers are now pushing for clarity and the industry has become much better at implementing standards, testing and certification to help companies who are making a real difference to cut through all the noise.
Organizations such as those at B Lab (who are behind B Corporation certification), the Sustainable Agriculture Network and Rainforest Alliance (who are behind Rainforest Alliance Certified status), and the Forest Stewardship Council (who are behind Forest Stewardship Council Certified status) provide some of the most rigorous assessment and testing for companies wanting to communicate meaningfully.
Being able to provide such certifications shows a company’s genuine commitment to the cause and importantly, also provides consumers with clarity and claims they can trust.
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2. Business transparency and verification
Whilst certifications provide all-important meaning to claims, consumers are also demanding business transparency and proof of provenance.
It isn’t only marketing claims consumers are critiquing. Everything from sourcing and manufacturing to supply chains and worker conditions are in question. Not only are consumers concerned with the full product lifecycle, but they are also very much aware of misleading aka ‘greenwashing’ practices. Stress-testing brands and asking for proof in the form of documentation before exercising their purchasing power has become standard procedure for some customers.
Bold marketing slogans no longer hold the weight they once did. In fact, they only draw greater scrutiny, especially if the only ‘proof’ available is that provided by the brand’s marketing department.
Independent verification and documentation through blockchain technology – the gold standard in verifiable information, has now become the norm for many product-based companies who have multiple layers within their supply and distribution chains. If you haven’t already incorporated blockchain technology, or considered implementing it, you will fall back in the eyes of the consumer.
Even a thoroughly sustainable company such as ours at Sprout World has started to implement blockchain technology to offer full transparency and documentation behind every aspect of our production. Saying it is no longer as good as being able to show it.
Read also: Quick tips for boosting brand sustainability whilst preserving your bottom line
3. Investing in sustainability
While some companies see sustainability as an exciting marketing opportunity, others see it as intrinsic to their purpose, and essential to how they conduct business in the long-term.
For those who are serious about implementing and inspiring real change, the only way to build a business that is commercially sustainable, is to actually invest in sustainability. This is where so many companies fall short, because they are not willing to invest in what is necessary to create real impact. This is a red flag. It demonstrates short-termism and shows that consumers where brands stand when it comes to putting their money where their mouths are.
Investing in sustainability takes shape in many ways – it’s not just about using recyclable packaging and reducing single use plastics in the office. It is about looking into every aspect of not only how you get your product or service into your customers’ hands, but what happens to your product or service beyond that. Does it becomes another piece of unnecessary waste, or can it contribute something positive to the planet once customers are finished with it?
Other questions to ask include:
- How do your workers, suppliers and partners conduct business, are you aware of their carbon impact in contributing to how your products are made and distributed?
- How does your brand proactively give back to the planet, or your local community after you have used its resources?
- What do you invest your profits in?
These are questions that require investment - from a personnel, financial and time perspective. Only once your brand is genuinely willing to invest in these areas can you truly earn the claim that you are investing in sustainability.
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