As companies jump on the eco-friendly wagon, a few of them stumble into some serious pitfalls. Here’s how brands can avoid face-planting on their eco-journey.
According to a McKinsey & Company report, 85% of CEOs believe in the importance of sustainability in their long-term strategy. Consumers being aware of the planet getting warmer seems to have contributed to the rising demand for organizations to align with environmental values. Governmental regulations are also encouraging or pushing retailers to adopt sustainable practices.
There is clearly a shift, and going green isn’t just a passing fad. But as companies jump on the eco-friendly bandwagon, a few of them stumble into some serious pitfalls.
Let’s dive into how brands can avoid face-planting on their eco-journey.
“Green-Washing” Your Way to PR Disaster
First things first: don’t fake it ’til you make it. In our age, consumers can identify insincerity really quick, and nothing tanks brand trust faster than a hollow claim of eco-friendliness. It may not come as a surprise to discover that many organizations display eco-friendly credentials but do not follow any tangible practices. This trend severely hampers the progress of sustainability adoption. Business organizations and retailers should demonstrate rather than claim, through transparent reports about their environmental and social impact.
To dodge this pitfall:
- Be honest about where you’re at
- Set realistic goals
- Communicate progress transparently
The Costly “All or Nothing” Approach
Businesses must realize that sustainability is not a destination they can reach in a matter of days with significant investment. Many businesses pump a lot of money to quickly rebrand themselves as eco-friendly, and most of them end up with half-baked initiatives and big financial burnouts. This approach could be due to a notion that the faster they brand themselves as eco-friendly, the higher the profit. It doesn’t really boil down to sales growth honestly. The business may find itself in a bad place financially, which can disrupt their services and cost them a lot more than their sustainability investments.
To dodge this pitfall:
- Start small and scale up
- Set incremental wins as goals
- Move forward or take a step back whenever necessary
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Neglecting the “People” in “Planet, People, Profit”
The common vision is to do the planet a favor and create a better future in the process. But brands often end up focusing solely on environmental impact, ignoring their social responsibilities. Eco-consciousness is the keyword. That means the environment should benefit, and so should society. Another way this can go wrong is in brands failing to consider how consumers will perceive their initiative. Displaying every sustainability certification and labels might actually trigger skepticism in consumers, stopping them from making informed choices. At the very least, consumers should know what each label signifies.
To dodge this pitfall:
- Optimize your entire supply chain to complement sustainability efforts
- Prioritize fair labor practices
- Invest in your local community
All Sustainability, No Swag?
Do you know there are organizations that took the sustainability route and still hand out plastic pens? Makes anyone wonder why the company swag items were overlooked. The promo products industry is massive. Thousands of American businesses use promo items regularly to boost their campaigns or as company swag. The reality is these products are also a major source of waste. But sustainability is a thing there as well. There are more eco-friendly promo items now, and quite a lot of variety at that. This little overlooked pitfall can be easily avoided. Apparel made of organic cotton or recycled polyester is one option. This demand also catapulted many sustainable wholesale brands like Allmade into the mainstream. Allmade shirts are among the leading sustainable swag items in the USA.
Becoming Unreasonable After Sustainable
The elephant in the room when it comes to sustainability is the higher investment and upfront costs. Brands that invest in sustainability may often expect bigger returns from their customers. So they may demand a higher cost for their products or services now that they are certified for eco-friendliness. This can get unreasonable after a point, particularly when the cost of obtaining sustainable items is too high for the average consumer even if the business has enough certifications and eco-labels to justify their asking price. For instance, if a retailer sells Next Level hoodies (Next Level Apparel is known for their acclaimed recycling program) but prices them at $70 each simply because of the sustainability angle, the strategy might backfire. Particularly if the manufacturing brand itself doesn’t charge that much for their eco-friendly products. To dodge this pitfall, simply be reasonable to your customers. With your investment in sustainability, you are already getting:
- High-quality eco-friendly items and a great rep
- A significant brand loyalty boost from ethical practices
- Potentially high cost savings in the long run
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Measuring The Impact
How do you know if your sustainability efforts are actually making a difference? Because it may take more than adding a recycling symbol on your packaging.
There are a few metrics worth considering:
- Track your carbon footprint
- Monitor water usage and waste reduction
- Conduct regular life cycle assessments
The Bottom Line
Embracing sustainability isn’t just good for the planet – it’s, evidently, good for business. Brands that successfully navigate the eco-landscape will find themselves ahead of the curve, winning customer loyalty and future-proofing their operations.
If you are ready to give your brand a “sustainability” edge, make sure you know the challenges, roadblocks and pitfalls ahead. Starting small and staying authentic can be your first steps. Good luck.
