86% of Americans Expect Food and Beverage Brands To Actively Help Recycle Their Packaging.

12 11 2013

Recycling-binsAn overwhelming majority of Americans want brands to get engaged in creating and implementing recycling programs, according to a new survey of 1000 adults by the Carton Council of North America (CCNA).

In a statement, Jason Pelz, VP of environment at Tetra Pak North America, and VP of recycling projects for the CCNA  said, “First and foremost, this survey reiterates the importance of including a recycling message on product packaging.  In an increasingly competitive and green‑minded climate, consumers are revealing they expect food and beverage brands to actively help increase the recycling of their packages.”

U.S. consumers also indicated that they look first to the products they purchase for environmental information, ahead of other resources, with the vast majority (76 percent) consulting a product’s packaging to learn if a package is recyclable, followed by the product’s company website (33 percent) and the consumer’s city website (26 percent).

Importantly, 45% say their loyalty to food and beverage brands would be impacted by that brand’s engagement with environmental causes.

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The Carton Council is leading a national effort to increase access to carton recycling in the U.S. In 2009, 21 million U.S. households had access to carton recycling in 26 states. Now, 52.5 million households in 45 states can recycle cartons, a 150 percent increase that includes 64 of the nation’s top 100 cities. Food and beverage brands that use cartons for their products are encouraged to join this effort, especially in helping promote carton recycling to their customers. CCNA can provide companies with tools to inform their customers — from the first step, which is adding the recycling logo to packages and recycling information on their websites, to an extensive list of possibilities beyond that.





Cone: Green Gap Shows Actions Don’t Align With Intent

6 04 2013

Green-Question-300x300In the release of its latest 2013 Cone Communications Green Gap Trend Tracker, a record-high 71 percent of Americans consider the environment when they shop, up from 66 percent in 2008*. However, Americans continue to struggle with their role in the life-cycle of products with an environmental benefit.

90% said they believe it’s their responsibility to properly use and dispose of these products, but action isn’t aligning with intent:

• Only 30% say they often use products in a way that achieves the intended environmental benefit

• 42% say they dispose of products in a way that fulfills the intended environmental benefit

• 45% of consumers actively seek out environmental information about the products they buy.

Despite the lack of consistent follow-through, consumers are showing an inclination to learn more.

• 71% of Americans report they regularly read and follow instructions on how to properly use or dispose (66%) of a product.

• 41% said they perform additional research to determine how best to utilize and discard a product for maximum benefit.

Responsible Brands Communicate and Facilitate Change

In a statement,  Liz Gorman, Cone Communications’ senior vice president of Sustainable Business Practices said “Consumers are ready to follow through on the intended use or disposal of environmentally preferred products, but they need companies’ help.  This is the next evolution of environmental marketing. Clear and candid communication can ensure consumers understand the important role they play in minimizing the impacts associated with the product’s lifecycle.  The new green gap is about consumers only taking the idea of responsibility so far, despite feeling responsible for proper use and disposal.  They’re buying with the environment in mind, but they rely on companies to provide access and education to truly ‘close the loop.”

Consumer understanding of environmental messages also presents an obstacle.

Although more than 60 percent of respondents say they understand the environmental terms companies use in their advertising, the majority continue to erroneously believe common expressions such as “green” or “environmentally friendly” mean a product has a positive (40%) or neutral (22%) impact on the environment. Fewer were able to correctly identify these terms as meaning the product has a lighter impact than other similar products (22%) or less than it used to (2%). Despite the attention given to product development and environmental marketing, consumer misunderstanding of “green” claims has remained flat at around 60 percent since 2008.

• 71% of consumers wish companies would do a better job helping them understand environmental terms. Although they feel overwhelmed by the volume of messages in the marketplace, consumers prioritize authenticity over perfection and will punish companies if they feel misled:

• 48% percent say they are overwhelmed by environmental messages

• 69% say it’s okay if a company is not environmentally perfect as long as it is honest

• 78% say they will boycott a product if they discover an environmental claim to be misleading

Abridged from a report on the research in a statement from Cone Communications.  Read the full press release here.

http://www.conecomm.com/stuff/contentmgr/files/0/a70891b83b6f1056074156e8b4646f42/files/2013_cone_communications_green_gap_trend_tracker_press_release_and_fact_sheet.pdf





WFA: Marketers Lag Consumers On Importance Of Responsible Brands

9 03 2013

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According to new research released this week by the World Federation of Advertisers, some 83% of marketers believe brands should have a “purpose”, but many shoppers have moved ahead of the industry in this area.  Some 56% of industry insiders thought consumers would prefer brands that supported “good causes at the same time as making money”, but Edelman’s consumer research pegged the actual total at 76%.

These figures stood at 40% and 47% respectively with regard to how many people bought caused-backing products at least once a month.

More broadly, only 38% of marketers had witnessed “consumer scepticism” when trying to position their products around a “purpose”, with shoppers in Europe, somewhat surprisingly, the least cynical.

The trade body polled 149 marketers from 58 firms controlling $70bn in adspend. It then compared the results with a global poll of 8,000 shoppers conducted by Edelman, the PR network.  The study was presented at the WFA’s Global Marketer Week, and features insights from organisations like Anheuser-Busch Inbev, the brewer, and Johnson & Johnson, the healthcare giant.

Fully 80% of the professionals polled agreed chief executives should help and be involved in shaping a purpose, a reading which stood at 74% for chief marketing officers, 64% for corporate communications and 53% for all staff.

While 49% of this panel agreed their brands had a purpose, only 38% felt it was communicated well. More positively, a 93% majority said the impact of purpose on reputation could be measured, as did 91% for consumer engagement.

Upon being asked to name the company which has best embraced purpose, Unilever, the FMCG firm, led the charts on 23%, buoyed by its goal to double sales and halve its environmental footprint by 2020.

Procter & Gamble, a rival to Unilever, took second on 15%, and has embraced the corporate mantra of “touching and improving” consumers. Soft drinks titan Coca-Cola was third on 14%.





Oxfam: How The Top Ten Food Companies Rank As Responsible Brands.

28 02 2013

“The social and environmental policies of the world’s ten biggest food and beverage giants are not fit for modern purpose and need a major shake-up.”

- Oxfam Statement

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Oxfam released results today ranking the world’s Top Ten food and beverage companies on responsible brand behaviors – evaluating their performance on key measures such as land and water use, response to climate change, treatment of workers, farmers and women, and transparency.

According to the Oxfam report – Behind The Brands – “all of the big ten companies have acknowledged the need for a more just food system and have made commitments to that end.  But the Behind the Brands scorecard shows these very same companies are currently failing to take the necessary steps in their policies to ensure the well-being of those working to produce their products.  Instead they continue to profit from a broken system they should be helping to fix.”

Among several areas the Behind The Brands study identifies as serious improvement:

  • None of the big ten companies have policies to protect local communities from land and water grabs along their supply chains.
  • Companies are not taking significant steps to reduce agricultural greenhouse gas emissions responsible for the climate change affect their supplier farmers.
  • Most do not provide small-scale farmers with equal access to their supply changes or ensure they are receiving a fair price for their goods
  • Companies are overly secretive about their agricultural supply chains, making it difficult to verify and monitor sustainability goals and claims.
  • Only few efforts are in place to address the exploitation of female small-scale producers and farmers in their supply chains.

“None of the 10 biggest food and beverage companies are moving fast enough to turn around a 100-year legacy of relying on cheap land and labor to make mass products at huge profits, with unacceptably high social and environmental costs,” said Jeremy Hobbs, executive director for Oxfam International, in a statement. “No company emerges with a good overall score. Across the board, all 10 companies need to do much more.”





Honda: Buy a new Honda and we’ll solar power your home.

20 02 2013

Honda-Solar-Panels

Honda and Acura are offering a pioneering new partnership with SolarCity that lets Honda customers install solar systems at home for little or no upfront cost.

Through a partnership with SolarCity, a residential and commercial installer, Honda and Acura will offer their customer’s home solar systems at little or no upfront cost, the companies said on Tuesday. The automaker will also offer its dealers preferential terms to lease or buy systems from SolarCity on a case-by-case basis, executives said.

The deal announced Tuesday by both companies will allow Honda will provide financing for $65 million worth of installations and will help the automaker promote its environmental aims and earn a modest return. It could also open the door for more corporate investment in solar leasing companies, which has largely been limited to a small cluster of banks to provide capital for their projects.

Honda approached SolarCity more than a year ago when it was looking for a partner to provide solar installation services for its hybrid and electric vehicle customers, said Ryan Harty, American Honda’s assistant manager for environmental business development. The company then decided to expand to all its customers — a group it is defining “very, very broadly,” Mr. Harty said, to include not just car owners but also those who have explored its Web sites. The offer will be available in 14 states: Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Maryland, Massachusetts, New York, New Jersey, Oregon, Pennsylvania, Texas and Washington, and the District of Columbia.

And SolarCity, one of the few clean-tech start-ups to find a market for an initial public offering of its stock last year, will potentially gain access to tens of millions of new customers through Honda’s vast lists of current and previous owners.

“When we partner with financial institutions, they aren’t promoting us to their customers, they’re essentially just providing us with capital,” said Lyndon R. Rive, SolarCity’s chief executive. But with Honda, he said, the company is gaining, “access to a broader customer base, and a customer base that is conscious of the environment.”

“I don’t think that by finding Honda buyers you’ve homed in on the perfect solar customer, but there’s enough overlapping between the demographics that you’re better off than the general population,” said Shayle Kann, vice president at GTM Research, adding that car buyers were more likely to own their homes and have the income and credit history to qualify for solar leasing.

While the American solar industry in general has been struggling in the face of declining government subsidies, overcapacity in production and a glut of inexpensive Chinese panels, interest and investment in solar leasing, or third-party ownership, has continued to grow. According to a recent report from GTM Research, a renewable energy consulting firm that is a unit of Greentech Media, third-party ownership accounts for more than 70 percent of all residential installations in developed markets like Arizona, California and Colorado and has generated at least $3.4 billion in private investment since 2008.

SolarCity and a rival, Sunrun, were among pioneers of the approach, but players like Clean Power Finance and Vivint, a home security company owned by the Blackstone Group, are also gaining momentum.

In a typical arrangement, a company provides a system at little or no cost in exchange for a long-term contract in which the customer pays a fixed fee for the electricity generated, set at less than the customer would pay for power from the local utility. The solar price often rises over the life of the agreement, which can last 20 years.

The two companies say they hope the joint venture leads to projects that integrate solar power and electric vehicle recharging for its customers.

The program will give Honda and Acura customers an extra $400 discount on top of SolarCity’s normal promotions, which they can use to sweeten the terms of the solar contract, like eliminating the escalation of the monthly payment. Honda projects the fund can finance as many as 3,000 systems on homes and 20 for its dealers. If the program catches on, Honda plans to expand it. Executives said they saw more immediate promise in cutting carbon emissions through solar power than the electric vehicles it would sell.

Abridged from an article in The New York Times.  Link to the original below.




Aspirational Consumers: Balancing Style and Sustainability

5 02 2013

consumer_shopping

A new study by BBMG, GlobeScan and SustainAbility finds that a majority of consumers across six international markets are seeking to reconcile their desire for shopping and style with responsibility to the environment and society through their purchases. According to the report, Rethinking Consumption: Consumers and the Future of Sustainability, nearly two-thirds of consumers globally equate shopping with happiness (63%) while also feeling a sense of responsibility for society (65%). The study draws from an online survey of 6,224 consumers across Brazil, China, India, Germany, the United Kingdom and the United States conducted in September and October 2012.

In exploring the intersection of consumer values, motivations and behaviors, the study identifies four consumer segments on the sustainability spectrum: highly committed Advocates (14%); style and social status-seeking Aspirationals (37%); price and performance-minded Practicals (34%) and less engaged Indifferents (16%).

Aspirationals represent hundreds of millions of consumers globally, and are the largest consumer segment in Brazil, China and India. More than any other segment, Aspirationals care about style (65%) and social status (52%), and equate shopping with happiness (70%). Yet, they are also among the most likely to believe that we need to “consume a lot less to improve the environment for future generations” (73%), and feel “a sense of responsibility to society” (73%).

Aspirationals are looking for brands to provide solutions that both improve their lives and serve society as a whole,” said Pam Alabaster, Senior Vice President Corporate Communications, Sustainable Development & Public Affairs at L’Oréal USA, a sponsor of the study. “Understanding this dynamic tension provides the greatest opportunity for companies to create positive impact through consumers’ purchasing decisions and social actions.”

Aspirationals represent the persuadable mainstream on the path to more sustainable behavior. They love to shop, are influenced by brands, yet aspire to be sustainable in their purchases and actions,” said Raphael Bemporad, Co-Founder of brand and innovation consultancy BBMG. “This consumer segment represents a significant opportunity for forward-looking brands to unite consumerism with social and environmental values.”

“The ideals, influence and size of the Aspirationals segment — particularly in developing markets — is what makes them so compelling for sustainable brands,” said Mark Lee, Executive Director at think tank and strategic advisory firm SustainAbility. “But simply helping people to consume more products that are incrementally ‘better’ is not necessarily the answer. Leading companies will seek to meet the needs of the Aspirationals beyond just products by delivering value through services, sharing, expertise and purposeful engagement.”

Eric Whan, Sustainability Director at GlobeScan, added: “In our fifteen years of market analysis, we’ve never seen an opportunity like this. The Aspirationals will chart the future of sustainable consumption, as long as their favorite brands offer them what they want.”

Developed by BBMG, GlobeScan and SustainAbility, The Regeneration Consumer Study is an in-depth online survey of consumer attitudes, motivations and behaviors relating to sustainable consumption. The study is part of the The Regeneration Roadmap, a collaborative and multi-faceted thought leadership initiative designed to engage the private sector in advancing sustainable development by improving sustainability strategy, increasing credibility and delivering results at greater speed and scale.





Think. Eat. Save. Reduce Your Foodprint.

3 02 2013

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Simple actions by consumers and food retailers can dramatically cut the 1.3 billion tons of food lost or wasted each year and help shape a sustainable future, according to a new global campaign to cut food waste launched last month by the UN Environment Programme (UNEP), the Food and Agriculture Organization (FAO) and partners.

The Think.Eat.Save. Reduce Your Foodprint campaign is in support of the SAVE FOOD Initiative to reduce food loss and waste along the entire chain of food production and consumption – run by the FAO and trade fair organizer Messe Düsseldorf – and the UN Secretary General’s Zero Hunger Initiatives. The new campaign specifically targets food wasted by consumers, retailers and the hospitality industry.

The campaign harnesses the expertise of organizations such as WRAP (Waste and Resources Action Programme), Feeding the 5,000 and other partners, including national governments, who have considerable experience targeting and changing wasteful practices.

Think.Eat.Save. aims to accelerate action and provide a global vision and information-sharing portal (www.thinkeatsave.org) for the many and diverse initiatives currently underway around the world.

mainPR

Worldwide, about one-third of all food produced, worth around US$1 trillion, gets lost or wasted in food production and consumption systems, according to data released by FAO. Food loss occurs mostly at the production stages – harvesting, processing and distribution – while food waste typically takes place at the retailer and consumer end of the food-supply chain.

“In a world of seven billion people, set to grow to nine billion by 2050, wasting food makes no sense – economically, environmentally and ethically,” said UN Under-Secretary-General and UNEP Executive Director Achim Steiner.

“Aside from the cost implications, all the land, water, fertilizers and labour needed to grow that food is wasted – not to mention the generation of greenhouse gas emissions produced by food decomposing on landfill and the transport of food that is ultimately thrown away,” he added. “To bring about the vision of a truly sustainable world, we need a transformation in the way we produce and consume our natural resources.”

“Together, we can reverse this unacceptable trend and improve lives. In industrialized regions, almost half of the total food squandered, around 300 million tonnes annually, occurs because producers, retailers and consumers discard food that is still fit for consumption,” said José Graziano da Silva, FAO Director-General. “This is more than the total net food production of Sub-Saharan Africa, and would be sufficient to feed the estimated 870 million people hungry in the world.”

“If we can help food producers to reduce losses through better harvesting, processing, storage, transport and marketing methods, and combine this with profound and lasting changes in the way people consume food, then we can have a healthier and hunger-free world,” Graziano da Silva added.

The global food system has profound implications for the environment, and producing more food than is consumed only exacerbates the pressures, some of which follow:

  • More than 20 per cent of all cultivated land, 30 per cent of forests and 10 per cent of grasslands are undergoing degradation;
  • Globally 9 per cent of the freshwater resources are withdrawn, 70 per cent of this by irrigated agriculture;
  • Agriculture and land use changes like deforestation contribute to more than 30 per cent of total global greenhouse gas emissions;
  • Globally, the agri-food system accounts for nearly 30 per cent of end-user available energy;
  • Overfishing and poor management contribute to declining numbers of fish, some 30 per cent of marine fish stocks are now considered overexploited.

Part of the trigger for the campaign was the outcome of the Rio+20 Summit in June 2012, in which Heads of State and governments gave the go-ahead for a 10-Year Framework of Programmes for Sustainable Consumption and Production (SCP) Patterns. Developing an SCP programme for the food sector must be a vital element of this framework, given the need to sustain the world’s food production base, reduce associated environmental impacts, and feed a growing human population.

“There can be no other area that is perhaps so emblematic of the opportunities for a far more resource-efficient and sustainable world – and there is no other issue that can unite North and South and consumers and producers everywhere in common cause,” said Mr. Steiner.

According to FAO, roughly 95 per cent of food loss and waste in developing countries are unintentional losses at early stages of the food supply chain due to financial, managerial and technical limitations in harvesting techniques; storage and cooling facilities in difficult climatic conditions; infrastructure; packaging and marketing systems.

However, in the developed world the end of the chain is far more significant. At the food manufacturing and retail level in the developed world, large quantities of food are wasted due to inefficient practices, quality standards that over-emphasize appearance, confusion over date labels and consumers being quick to throw away edible food due to over-buying, inappropriate storage and preparing meals that are too large.

Per-capita waste by consumers is between 95 and 115 kg a year in Europe and North America/Oceania, while consumers in sub-Saharan Africa, south and south-eastern Asia each throw away only 6 to 11 kg a year.

According to WRAP, the average UK family could save £680 per year (US$1,090) and the UK hospitality sector could save £724 million (US$1.2 billion) per year by tackling food waste.

For the campaign to reach its huge potential, everyone has to be involved – families, supermarkets, hotel chains, schools, sports and social clubs, company CEOs, city Mayors, national and world leaders.

The campaign website, www.thinkeatsave.org, provides simple tips to consumers and retailers, will allow users to make food waste pledges, and provides a platform for those running campaigns to exchange ideas and create a truly global culture of sustainable consumption of food.

For example, the website provides the following advice, which will help consumers, retailers and the hospitality industry reduce waste – thus reducing their environmental impact and saving money.

Consumers

  • Shop Smart: Plan meals, use shopping lists, avoid impulse buys and don’t succumb to marketing tricks that lead you to buy more food than you need.
  • Buy Funny Fruit: Many fruits and vegetables are thrown out because their size, shape, or colour are deemed not “right”. Buying these perfectly good fruit, at the farmer’s market or elsewhere, utilizes food that might otherwise go to waste.
  • Understand Expiry Dates: “Best-before” dates are generally manufacturer suggestions for peak quality. Most foods can be safely consumed well after these dates. The important date is “use by” – eat food by that date or check if you can freeze it.
  • Zero Down Your Fridge: Websites such as WRAP’s www.lovefoodhatewaste.com can help consumers get creative with recipes to use up anything that might go bad soon.
  • Other actions include: freezing food; following storage guidance to keep food at its best, requesting smaller portions at restaurants; eating leftovers – whether home-cooked, from restaurants or takeaway; composting food; and donating spare food to local food banks, soup kitchens, pantries, and shelters.

Retailers and the Hospitality Industry

  • Retailers can carry out waste audits and product loss analysis for high-waste areas, work with their suppliers to reduce waste, offer discounts for near-expiration items, redesign product displays with less excess, standardize labelling and increase food donations, among other actions.
  • Restaurants, pubs and hotels can limit menu choices and introduce flexible portioning, carry out waste audits and create staff engagement programmes, among many other measures.
  • Supermarkets, hotels, restaurants, companies, cities and countries will be able to use the website to pledge to measure the food they waste and put in place targets to reduce it.




Climate Counts: 15 Companies “Soaring” With Climate and Energy Strategy

8 12 2012

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In its 6th annual report, Climate Counts (CC) has released it scorecard of 145 companies’ performance of publicly available information regarding their efforts to reduce green house emissions, support the need for a comprehensive climate policy and report its progress.  15 of those companies have received a score of “soaring” by CC for their leadership and innovation in reducing their impact on the environment.

Unilever leads the pack with an amazing score of 91 (out of 100).  Here are the rest of the “soaring” companies:

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In the report, Mike Bellamente, Director of the non-profit Climate Counts, said, “Business leaders are making remarkably innovative progress to minimize waste, employ renewable energy, and design products with a lower carbon impact – all while turning a profit and growing their business. As the economy shows limited signs of improvement, top performers on our scorecard are demonstrating that economic prosperity and environmental sustainability can be achieved simultaneously. We would call that a win-win if it weren’t for the great distance we still have to go in squaring up human consumption with the true carrying capacity of our planet.”

However, some companies are “stuck” according to the CC report.  Among the least improved companies are some household brand names that people should re-consider their patronage based on their lack of progress in assessing and responding to their impact on the environment.  The fast food sector  is particularly guilty of ignoring its impact on climate change as McDonald’s, Burger King, and Wendy’s all squarely in the bottom six companies that rank as least improved over the six years of the Climate Counts reports.

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Cheers to the “soaring” companies and jeers to those that are “stuck”. according to Climate Counts.

Read the Climate Counts Report here.





Re-Thinking Consumption: 66% of consumers agree we need to consume less to improve the environment.

29 11 2012

 

According to the newly released The Regeneration Consumer Study, two-thirds of consumers in six countries say that “as a society, we need to consume a lot less to improve the environment for future generations” and that they feel “a sense of responsibility to purchase products that are good for the environment and society”.

In a statement, Mark Lee, Executive Director at SustainAbility said, “Our economy and natural environment are facing unprecedented stresses as scarce resources are stretched to meet growing needs.  Through the Regeneration Consumer Study, we are revealing how consumer attitudes, behaviors and collaboration can help enterprising brands as they work to innovate smarter, safer, cleaner and greener solutions.”

The findings are based on an online survey of 6,224 consumers across Brazil, China, India, Germany, the United Kingdom and the United States conducted in September and October 2012.

Among other key insights in the global consumer research:

  • Nine in ten consumers believe it is extremely or very important for companies to address safe drinking water.
  • 67% are interested in sharing their ideas with companies to help them develop better products or create new solutions.
  • 75% of consumers globally agree they would purchase products that are environmentally or socially responsible if they didn’t cost more.

The study also draws five key implications for marketers to connect with these consumers who are demonstrating strong desire for responsible brands.  In summary, they are:

1.  Deliver total value.

2. Connect back story to brand story

3. Embrace sustainable brand innovation.

4. Harness consumer collaboration.

5. Unleash the power of tribes.

 

Read a copy of the research report here.

 

Congratulations to the drivers behind the research and their sponsors.  Learn about the developers and their sponsors below:

Developed by BBMGGlobeScan and SustainAbilityThe Regeneration Consumer Study is an in-depth online survey of consumer attitudes, motivations and behaviors relating to sustainable consumption among 6,224 respondents across six major international markets (Brazil, China, Germany, India, the United Kingdom and the United States) conducted in September and October 2012. Drawn from consumer research panels, global data are comparable to having a margin of error of +/- 1.3 percent. Analysis of country-level data reflects a margin of error of +/- 3.1 percent.

The study is part of the The Regeneration Roadmap, a collaborative and multi-faceted thought leadership initiative designed to engage the private sector in advancing sustainable development by improving sustainability strategy, increasing credibility and delivering results at greater speed and scale.

Presenting Sponsors of The Regeneration Roadmap are BMW Group and SC Johnson. Sponsors include Cisco, DuPont, Interface and Pfizer. The Regeneration Consumer Study is sponsored by Brown-FormanCampbell Soup CompanyItauL’OréalShell and Starbucks.

 

 

 





Cone: Americans more than twice as likely to buy from companies that promote CSR progress and results.

9 11 2012

Cone Communications has released the results of its new Corporate Social Return Trend Tracker showing that 86% of consumers are more likely to trust a company that reports its corporate social responsibility results.

In a statement, Cone Communications’ Executive Vice President Craig Bida said, “Stakeholders play more powerful roles than ever in a brand’s overall success or failure and they must be consistently engaged in a company’s CSR efforts and results from the outset.  They need to feel a benefit. This mutual return will become the new table stakes for differentiating CSR efforts.”

Some of the other interesting insights from the research include:

  • 84 percent of Americans hold companies accountable for producing and communicating the results of CSR commitments by going beyond the mission to robustly communicate progress against well-defined purpose.
  • 82 percent say they are more likely to purchase a product that clearly demonstrates the results of the company’s CSR initiatives than one that does not.
  • 84 percent recognize that for a company to make societal impact, it must also realize a business return, such as increased revenue or reduced costs

Importantly, the study also underscores continued consumer confusion regarding CSR and where to find the results and reports on CSR efforts.  And documents how CSR efforts need to be communicated and more core to any company’s brand marketing efforts.

  • 63 percent say they don’t know where to find information about a company’s CSR efforts and results
  • 55 percent don’t understand the impact they are having when buying a product from a company that says it is socially responsible.
  • 40 percent say they will not purchase a company’s products or services if CSR results are not communicated

“This shift in stakeholder expectations carries significant implications for companies engaged in CSR,” says Cone Communications’ Executive Vice President Jonathan Yohannan. “Purpose is no longer enough, and successful campaigns must demonstrate return for business, brand and society. ‘Proving purpose’ is the new mantra for effective CSR.” “Companies need to build customized output and outcome measurement components and identify projected stakeholder return at the outset of campaign development, and then track progress along the critical CSR pillars of business, brand and society,” adds Yohannan. “With the stakes so high, measurement can’t be an afterthought or add-on.”

Read the press release from Cone on the research here





Puma Again: Launching biodegradable shoes and apparel.

11 10 2012

The amazing German footwear and apparel manufacturer Puma is at it again.  This week they announced the launch of a new line of biodegradable shoes, shirts, backpacks and recyclable track jackets.  The products will be available for sale in 2013.  This adds to Puma’s track record of sustainability leadership that has led to it being named “the world’s most sustainable corporation” by EIRIS and has drawn praise as a corporate leader in environmental responsibility by the United Nations.

In an interview with Reuters, chief executive Franz Koch said, “We have decided that sustainability is a mega-trend.  We want to contribute to a better world. At the same time, we also want to carve out our competitive advantage.”

The new collection, going on sale in 2013, includes biodegradable sneakers and shirts and recyclable plastic track jackets and backpacks. At the end of their useful life, the products can be returned to stores for processing.

The sole of the new sneaker is made of biodegradable plastic and the upper of organic cotton and linen. After being shredded, it could become compost in six to nine months.  Puma has demonstrated that 100,000 pairs of biodegradable sneakers would fill 12 trucks of waste during production and disposal against 31 trucks-worth for the same number of normal Puma suede shoes.

A new biodegradable T-shirt would have environmental costs of 2.36 euros in terms of greenhouse gases, water, waste, air pollution, and land use associated with its production, compared to 3.42 euros for a conventional T-shirt.

The company also said it was starting to rate the environmental impact of individual products, narrowing the focus from a study last year that estimated the entire company caused 145 million euros in damage to nature in 2010.

In another interview with Reuters, Jochen Zeitz, chairman of Puma said, “In the long run I think all of this should be standardised, just like we are used to seeing calories on our food products.” , told Reuters. Zeitz conceded that “a lot of people call it a risk” to mention pollution when trying to sell a product. “I think it’s a risk not to talk about it,” he said. “It’s our opportunity as businesses to be transparent.”

In 2010, Puma and Yves Behar of Fuse Project, a global leader in design, announced the launch of its Clever Little Bag, reinventing the typical cardboard shoe box with a much more environmentally responsible package design.  You can see the design and appreciate its reduction in environmental impacts here.

Read the Reuters article here.





GfK Green Gauge®: Green is going mainstream, but don’t expect a premium.

24 09 2012

In their new Green Gauge research released today, GfK reports significant progress in the developing green culture in the United States, but also highlight findings that many consumers are increasingly resistant to pay more for “green products”.

In a statement, Timothy Kenyon–Director for the Green Gauge survey–said, “Green awareness is indeed pervasive – but consumers can perceive ‘green’ claims as a negative in some contexts.  For example, while terms like organic and recyclable have strong positive resonance, they are often associated with higher prices. Understanding consumers’ triggers and the limits of their commitment to green action is essential for marketers and researchers alike.”

The study shows that 73% of US consumers have purchased a product made from organic materials in the past 12 months. Categories that have seen notable increases since 2007 in organic buying include food, household cleaning, apparel, and pet food and supplies.

In addition, 93% of Americans say they have done something to conserve energy in their households in the past year, and 77% have done something to save household water during the same timeframe.

The study also reports that digital media are helping to amplify this green awareness:

29% of smartphone users have turned to an app in the past year to help reduce their environmental impact – a figure that jumps to 44% for Generation Z (ages 18 to 22) and 38% for Generation Y (ages 23 to 32).  Most-cited types of apps used include public transportation timetables and home energy monitors.

In addition, 18% of consumers say that social networking sites are a “major source” of green information for them (up four points from 2011), with another 33% citing it as a “minor source.”

GfK points out that green awareness and engagement do not necessarily translate to green purchase. Compared to 2008, the proportion of US consumers willing to pay more for environmentally friendly alternatives has gone down in a variety of key areas — from cars that are less polluting to the air (down from 62% to 49%) to energy efficient lightbulbs (down from 70% to 60%).  (examples are cited below in this infographic from the Advertising Age article linked below).

According to GFK, The Green Gauge® Report is the only nationwide, long-term syndicated study of consumer attitudes and behaviors towards the environment. Green Gauge gives marketers an exclusive look at how America’s concern for environmental issues can affect brands and organizations.

Read a related article to the research in Advertising Age here.





Method: Progress On Ocean Plastic

24 08 2012

It has been almost a year since innovative and inventive household cleaning products manufacturer Method announced its campaign to utilize reclaimed ocean plastic for its packaging.  In a recent article on Greenbiz,com, Drummond Lawson, the director of sustainability at Method, provides a progress report on the sustainability initiative.

.Commercializing the rising tide of ocean plastic

Lawson writes:  “Method has participated in, alongside partners Sustainable Coastlines Hawaii and Kahuku Hawai’i Foundation, several beach cleanup days that resulted in collecting several thousand pounds of beach debris. The primary challenge encountered in these cleanups, aside from hauling hundreds of pounds of plastic from remote beach locations, has been retrieving the plastics before they degrade to tiny particles that are effectively impossible to collect in large quantities.

The range and quantity of plastic in the oceans is astounding. The debris collected from these beaches has varied from fishing baskets made of polypropylene to Russian shampoo bottles and Japanese bleach bottles made from HDPE, to car bumpers, ropes, water bottles, and buoys.”

Method product engineers are exploring ways to enhance the durability of their ocean plastic packaging.

“Method’s team of People Against Dirty love our work on the Ocean Plastic project because it brings together three things that characterize our company and how we work,” says Lawson.  “First, it addresses a real and material environmental problem — in this case, the accumulation of persistent plastics in the environment. Second, it relies on solid science and creativity to generate a solution. And third, it integrates sustainability into an innovative, effective, and engaging product design.”

Kudos to Method for this creative commitment to sustainability that enriches both the planet and people by repurposing plastic which represents so much damage to the environment and danger for ocean habitat.

Read the full article here.





Ekocycle: will.i.am and Coke inspire sustainable behaviors

1 08 2012

Coca-Cola is collaborating with musician and producer will.i.am along with other iconic brands to inspire a global movement with the launch of Ekocycle, a brand initiative dedicated to help encourage recycling behavior and sustainability among consumers through aspirational, yet attainable lifestyle products made in part from recycled material.

The Ekocycle brand initiative was developed to educate consumers about everyday recycling choices and empower their purchasing decisions as part of a social change movement, The Coca-Cola Co. says. The initiative supports recycling by helping consumers recognize that items they consider waste today can be part of a lifestyle product that they can use tomorrow. The Ekocycle brand initiative will identify products, such as assorted plastic bottles and aluminum cans, that can be repurposed into recycled content for fashionable and valuable lifestyle products. It also will encourage demand and use of recycled materials, and reinforce the importance of recycling finished products, the company says.

“With the Ekocycle brand, I’m on a mission to educate and inspire consumers around the globe to seek out more sustainable lifestyle choices that will ultimately play a part in the movement toward a world with zero waste,” will.i.am said in a statement. “By making products that contain recycled materials more attractive to both businesses and consumers, everyone can do their part to keep the cycle going to turn discarded waste into cool, new items. The Coca-Cola Co. shares this vision and together working with local communities worldwide we will showcase the greater value of recycling, as well as selecting products that feature recycled materials.”

Beats by Dr. Dre and New Era are the first brand partners to join the Ekocycle brand initiative. As a part of the partnership, these collaborative efforts will produce on-trend products made partially from recycled materials. Consumers can purchase Beats by Dr. Dre headphones this fall. New Era hats and other yet-to-be-announced Ekocycle products will be available in early 2013.

“The Ekocycle brand initiative is a platform that aligns with our vision of zero waste and our focus on sustainability,” said Bea Perez, vice president and chief sustainability officer for The Coca-Cola Co., in a statement. “Together with will.i.am, we will promote recycling in a unique way with other well-known brands to create lifestyle products that consumers worldwide desire. Today’s generation of young consumers represents an active force and the Ekocycle brand aims to be a driver in rallying their support and efforts around a global sustainability movement.”

The Coca-Cola Co. will donate its portion of licensing profits from the Ekocycle brand initiative to support additional recycling and community improvement organizations. It also will make a minimum $1 million financial commitment in the next five years. This donation is in addition to, and separate from, the charitable commitments of 1 percent of operating profits made through The Coca-Cola Foundation, the company says.

Earth911, host of the one of the largest recycling directories in the United States with more than 1.5 million ways to recycle, will provide an interactive and searchable recycling directory for consumers accessible at ekocycle.com.

“Recycling is one of the easiest sustainable actions consumers can take, but without real-time access to local options, people are often left confused and frustrated,” said Raquel Fagan, vice president of media for Earth911, in a statement. “The Ekocycle brand initiative takes a forward-thinking approach and demonstrates how companies can play a role in eliminating this confusion and empowering consumers.”

On Aug. 1, the Ekocycle brand will premiere its first 60-second TV commercial that will air in the U.S. market during the telecast of the Summer Olympic Games. A full-scale marketing, advertising and online campaign will follow.

To learn more about the Ekocycle brand initiative, visit ekocycle.com.

Original article in Beverage Industry





Interbrand: Toyota is world’s best green brand.

8 07 2012

Interbrand has crowned Toyota as the number one green brand in the world.

In a statement, Interbrand reports:  “Automotive and technology brands dominate the ranking. Toyota maintains the number one spot, continuing to make environmental sustainability a core management priority. The original Prius model — the primary launchpad for Toyota’s green image — has recently been expanded to encompass an entire family of sustainable automobiles, including the company’s first plug-in model. This year, Toyota also achieved near zero-landfill status at all of its North American manufacturing plants, and continues its commitment to build LEED certified buildings and dealerships.”

Here are the rest of the top green brands as ranked by Interbrand.

Learn more about the Best Green Brands from Interbrand.





Puma: Bring It Back. Old Shoes RIP.

7 06 2012

Kudos once again to the folks at Puma – who IRIS named the most sustainable corporation in the world.

Puma has just launched Bring It Back – a new athletic shoe and sporting apparel recycling program.

In a statement, Franz Koch, CEO of Puma said, “On our mission to become the most desirable and sustainable sport lifestyle company in the world, we are constantly working on solutions that aim at reducing the environmental impact that PUMA as a company leaves behind on our planet. With our Bring Me Back Program, we are pleased to target, for the first time ever, the massive amounts of waste sport lifestyle products leave behind at their end-of-life phase when consumers dispose of them and they end up on landfills or in waste incineration plants.”

In a new twist, PUMA is encouraging people who return their non-longer desirable shoes and apparel to write and post their product’s obituary together with a picture of the shoes on its website. The company hopes its obituary option will finally get people excited about recycling their shoes.  May these shoes RIP.

Now that is smart sustainable branding.




Edelman Good Purpose Study: 87% of people believe business should place equal weight on business and society.

29 05 2012

In a massive global study surveying more than 8,000 adults in 16 countries, Edelman’s 2012 Good Purpose Study tracks people’s increasing belief that business bears a weight to contribute to society.

  • 76% of people believe it is ok for brands to support causes and make money at the same time (up 33% from 2008).
  • Yet only 28% of people believe business is performing well in addressing societal issues.
  • 53% of people believe Social Purpose is the most important decision criteria in buying a brand when price and quality are the same (up 26% from 2008).
  • 51% believe business should donate a portion of profits or products/services to address societal issues.
  • 80% of people believe it is critical for businesses to make the public aware of the efforts they are making to address societal issues.
  • 52% of people believe its equally important to address issues “that impact me personally and society overall”.
  • 89% of people worldwide report that they take part in activities to address social issues.

You can access a slide show summary of the survey here.





Gfk MRI: Falling Behind On Buying Green.

16 04 2012

In new research issued by Gfk MRI, people’s interest in making small sacrifices for environmentally responsible products continues to slip away.  No doubt the punishing impact of the recession and stagnant employment market have forced many consumers to make a Sophie’s Choice over green products.  But the research further underscores the lack of inspiration that marketers have been able to generate for sustainable brands.

Data from the last five years reports that consumers are now less likely to give up convenience or pay more for green products.

  • The percentage of adults who report “I am willing to pay more for a product that is environmentally safe” declined 13%, from 60% to 52%, in the last five years.
  • The percentage of U.S. adults who agreed with the statement “I am willing to give up convenience in return for a product that is environmentally safe” declined 16% in the past five years, from 56% in 2007 to 47% in 2011.

Only Millennials (people aged 18-24) are the only adult age group whose willingness to give up convenience or pay more for green products has held steady over the past five years. In addition, 53% of consumers aged 18-24 recycle products and 4% participated in environmental groups/causes in the past 12 months.  At least there is some hope from this audience of young adults to accept responsibility for sustainable behavior moving forward.

While 65% of American adults agree with the statement “preserving the environment is very important,” according to the Survey of the American Consumer, evidently the job of preserving is for someone else.  Only 22% of consumers who remodeled their homes in the last 12 months said they used environmentally friendly/”green” products for their renovation.

The top three environmentally friendly products purchased by U.S. adults are light bulbs (18%), paper towels (12%) and laundry detergent (11%).  Big deal.

As more and more leading global companies invest in sustainable strategies and are adopting practices with long-term environmental health in mind, it is incumbent on marketers in those organizations to create consumer awareness, appreciation and adoption of these strategies.  This data suggests we are falling behind instead of moving forward.

Original post on Sustainable Brands





Nielsen: The Global, Socially Conscious Consumer

28 03 2012

In a new global research report, Nielsen has identified a segment of the population they call the Global Socially Conscious Consumer.  

  • Two thirds (66%) of consumers around the world say they prefer to buy products and services from companies that have implemented programs to give back to society. 
  • They prefer to work for these companies (62%), and invest in these companies (59%). 
  • Still nearly half (46%) say they are willing to pay extra for products and services from these companies. 

In the study, respondents were asked if they prefer to buy products and services from companies that implement programs that give back to society. Anticipating a positive response bias, respondents were also asked whether they would be willing to pay extra for those services. For the purposes of this study, Nielsen defines the “socially conscious consumer” as those who say they would be willing to pay the extra.

According to Nielsen, “Cause marketing won’t work with all customer segments—some simply don’t care—but the research suggests that there is a segment of socially conscious consumers that cause marketers should pay attention to.”

New findings from a Nielsen survey of more than 28,000 online respondents from 56 countries around the world provide fresh insights to help businesses better understand the right audience for cause marketers, which programs resonate most strongly with this audience, and what marketing methods may be most effective in reaching these consumers.

Thanks to a tweet from our friend John Gerzema for pointing us to this research which he believes is in line with the findings in his book Spend Shift.

 

 





Ogilvy Earth. Mainstream Green. Bridging the Green Gap.

27 03 2012

A major new research report was issued this week from marketing agency Ogilvy Earth studying the barriers to mainstream consumers acceptance of sustainability behaviors and enlightened brands.

The focus of the study was both in the United States and in China, two of the most populated and carbon intensive countries in the world.  In the chart below, the report shows that the majority of people surveyed recognize the importance of living a sustainable lifestyle, a gap exists between knowledge of its importance and actual behavior.  The gap is 14% in China, and more than double that – 30% – in the United States.

In analysis of the research, Ogilvy Earth observed what this blogger has believed for 3+ years:

“The marketing communications industry knows how to do this. We popularize things; that’s what we do best.  But we need to embrace the simple fact that if we want green behaviors to be widespread, then we need to treat them as mass ideas with mass communications, not elite ideas with niche communications.”

In their analysis, the researchers found that “82% of Americans have good green intentions, but of those 82%, only 16% are dedicated to fulfilling those intentions, putting 66% firmly in this middle ground.”  As indicated in the chart about.

In their conclusions, the report’s authors identify 12 key ways they believe the Green Gap can be bridged.  They conclude:

1. Make it normal.

2. Make it personal.

3. Create better defaults.

4. Eliminate the sustainability tax.

5. Bribe shamelessly.

6. Punish wisely.

7. Don’t stop innovating.  Make better stuff.

8. Lose the crunch.

9.  Turn eco-friendly into male ego-friendly.

10. Make it tangible.

11. Make it easy to navigate.

12. Tap into hedonism over altruism.

For more detail and explanation on these intriguing and provocative gap bridging strategies, read the entire research report here.

Mainstream Green Report from Ogilvy Earth





Conference Board: What Board Members Should Know About Communicating CSR.

23 03 2012

In a significant white paper directed to corporate board members, The Conference Board has challenged directors to be aware of the benefits of corporate social responsibility (CSR) strategies and the challenges of communicating those actions to key stakeholders in the enterprise.

While the business benefits of CSR activities are now well-documented, the report says, “…communicating these activities are far from simple. If stakeholders perceive a lack of clarity regarding the company’s commitment to CSR, doubt the effectiveness of its CSR initiative, or miss the connection of a certain sociality activity to the core business, a backlash can occur.  CSR communication must overcome stakeholder skepticism to generate favorable CSR attributions.”

The report identified 6 key recommendations for board members to provide guidance for communicating CSR strategies:

1.  Seek CSR activities that fit into the business strategy.

2.  Emphasize CSR commitment and impact to foster consumer advocacy.

3. Seek credibility through the support of independent, external communication sources.

4.  Encourage employee and consumer word-of-mouth.

5.  Select social initiatives with high issue support.

6. Be mindful of stakeholder perception of business industry.

Here is a chart demonstrating how companies are

currently communicating CSR activities.

We are still surprised how passive and latent the CSR communications activities are.  The Conference Board recommends in their research that more consumer engagement is a critical next step to elevate CSR attribution and success.

The report says “a company’s CSR positioning can significantly amplify the effectiveness of CSR communication.  Stakeholders are likely to pay more attention to a comprehensive and coherent CSR message and believe in the authenticity of the social commitment.”

In other words, CSR should become a cornerstone asset in the brand’s equity and marketing focus.

The Conference Board Report Is Here.





KPMG: Expect the Unexpected. Building business value in a changing world.

21 02 2012

In a massive report, KPMG’s study, Expect the Unexpected: Building Business Value in a Changing World, identifies 10 “megaforces” that will significantly affect corporate growth globally over the next two decades. It explores issues such as climate change, energy and fuel volatility, water availability and cost and resource availability, as well as population growth spawning new urban centers. The analysis examines how these global forces may impact business and industry, and calculates the environmental costs to business.

Michael Andrew, Chairman of KPMG International, said: “We are living in a resource-constrained world. The rapid growth of developing markets, climate change, and issues of energy and water security are among the forces that will exert tremendous pressure on both business and society.”

“We know that governments alone cannot address these challenges. Business must take a leadership role in the development of solutions that will help to create a more sustainable future. By leveraging its ability to enhance processes, create efficiencies, manage risk, and drive innovation, business will contribute to society and long-term economic growth.”

The study also highlights that up to one third of the world’s population now live in persistent deprivation.  With 72% of the world’s poor now residing in middle income countries.  The report declares that “persistent inequality is not only wrong, it’s bad for business – it prevents huge swathes of the population from being workers and customers and it increases the risks to business from the type of instability seen in the Middle East and North Africa in 2011.”

Yvo de Boer, KPMG’s Special Global Adviser on Climate Change and Sustainability, said global sustainability megaforces will significantly increase the complexity of the business environment. “Without action and strategic planning, risks will multiply and opportunities will be lost. Corporations are recognizing that there is value and opportunity in responsibility beyond the next quarter’s results; that what is good for people and the planet can also be good for the long term bottom line and shareholder value,” De Boer said.

The report was released last week during KPMG’s business leader summit in New York City in cooperation with the UN Global Compact (UNGC), the World Business Council for Sustainable Development (WBCSD) and the United Nations Environment Programme (UNEP).





Hertz Living Journey: Global Sustainability Initiative

13 02 2012

Hertz — the world’s largest general use car rental brand—introduced “Living Journey” last week… the Company’s corporate sustainability strategy. Living Journey positions Hertz to be the leader in Sustainable Mobility and Equipment Solutions through various strategic initiatives that integrate sustainability best practices throughout the Company including:

  • Smart Mobility—Hertz is committed to providing customers vehicle rental options that are fuel efficient and use clean, low-emissions technology such as Electric Vehicles (EVs) and hybrids.
  • Environment—Hertz’s goal is to minimize its environmental footprint and operating costs through efficiency improvements, resource management and renewable energy production.
  • Community—Hertz is dedicated to creating a positive impact and enhancing the communities it serves by giving back through philanthropic and volunteer efforts.

“We have a long-standing tradition of innovation and leadership that includes managing the environmental performance and social impacts of the Company alongside our fiscal responsibilities,” said Mark P. Frissora, Chairman and CEO of Hertz. “In 2011, we made tremendous progress on Hertz’s industry-leading solar generation and Electric Vehicle initiatives in addition to ongoing efforts to operate in an environmentally responsible manner at our corporate offices and rental facilities. As a continuation of our success, we are excited to introduce Living Journey which encompasses all of our efforts as an organization through partnerships, employee education and investments to reduce our impact on the environment, provide customer value, and manage our business sustainably.”

Through Hertz’s sustainability efforts, the Company has:

  • Recycled over 50,000 IT units since 2005 which diverted 2 million tons of e-waste from landfills,
  • Recycled approximately 680,000 gallons of used oil in 2011, and
  • Reduced paper use by 2.8 million pounds since 2006.

In addition, more than 80% of the water used at Hertz car washes is recycled. The Company is currently implementing energy audits and lighting upgrades across many of its facilities. Estimated results from recent lighting upgrades include 1.1 million kilowatt-hours and 776 tonnes of CO2 emissions saved annually (across 20 Hertz locations).

To communicate Living Journey to its stakeholders, Hertz has launched a sustainability website (http://www.hertzlivingjourney.com) which is the first of its kind for the Company. The site highlights Hertz’s achievements and plans in the sustainability arena, which includes energy-efficiency improvements such as lighting and HVAC upgrades, utilizing LEED certification standards for Hertz buildings, solar energy production, global recycling efforts, and delivering fuel-efficient fleet choices to consumers.

Last year, Hertz was recognized by the Global Business Travel Association for Sustainable Practice through Hertz On Demand, Hertz’s hourly car rental program.





U.N.: “Resilient People, Resilient Planet: A Future Worth Choosing.”

1 02 2012

The UN High-Level Panel Global Sustainability released its report in Addis Ababa yesterday entitled “Resilient People, Resilient Planet: A Future Worth Choosing.” The panel’s 99-page report, which will serve as an input to the UN Conference on Sustainable Development in June, (otherwise known as the Rio+20 Summit) is a call to action, “to address the sustainable development challenge in a fresh and operational way.”

The executive secretary of the panel, Janos Pasztor said:

We cannot go into sustainable development without making a radical transformation of the economy.”

The long-term vision of the Panel is to eradicate poverty, reduce inequality and make growth inclusive, and production and consumption more sustainable, while combating climate change and respecting a range of other planetary boundaries. In light of this, the report makes a range of recommendations to take forward the Panel’s vision for a sustainable planet, a just society and a growing economy.

 In their summary report, the panel reminded us of the sober reality of the world today.
  • 27 per cent of the world’s population lives in absolute poverty (down from 46 per cent in 1990)
  • Global economic growth is up 75 per cent since 1992 but inequality is still high
  • An increase of 20 million undernourished people since 2000
  • 5.2 million hectares net forest loss per year
  • Ozone layer will recover to pre-1980 levels in 50 years plus
  • Two thirds of the services provided by nature to humankind are in decline
  • 85 per cent of all fish stocks are over-exploited, depleted, recovering or fully exploited
  • 38 per cent increase in annual global carbon dioxide emissions between 1990 and 2009
  • 20 per cent of the world’s population lack access to electricity
  • 884 million people lack access to clean water
  • 2.6 billion people are without access to basic sanitation
  • 67 million children of primary school age are out of school
  • 3.5-year increase in life expectancy between 1990 and 2010

The report says:

“The signposts are clear: We need to change dramatically, beginning with how we think about our relationship to each other, to future generations, and to the eco-systems that support us. Our mission as a Panel was to reflect on and formulate a new vision for sustainable growth and prosperity, along with mechanisms for achieving it.

With seven billion of us now inhabiting our planet, it is time to reflect on our current path. Today we stand at a crossroads. Continuing on the same path will put people and our planet at greatly heightened risk.”

Article originally posted on Triplepundit.com





American Sustainable Business Council: Reject Keystone XL Pipeline

16 01 2012

The American Sustainable Business Council (ASBC), a coalition of 45 business organizations, urged President Obama to reject the Keystone XL Pipeline.

“Contrary to the claims of the U.S. Chamber of Commerce, American Petroleum Institute and other pipeline advocates who threaten political retaliation if the pipeline is not approved, Keystone XL would not deliver on jobs, energy, safety or economic competitiveness,” said ASBC Executive Director David Levine.

  • Most of the oil that Keystone XL would carry from Canada to the Gulf Coast of Texas is destined for export, and the jobs the pipeline would create would be just as fleeting. The State Department estimated the pipeline construction workforce at 5,000 to 6,000 workers and as the Vice President of Keystone Pipeline for TransCanada told CNN, long-term jobs would be in the “hundreds, certainly not in the thousands.”
  • Keystone would deliver far less bang for the buck when it comes to job creation than alternative energy. A dollar of spending in clean energy generates three times as many jobs as a dollar spent on oil and gas, according to U.S. Commerce Department data.
  • Keystone is a boondoggle for oil companies, not an investment in our nation’s economic competitiveness. Keystone will leave us even further behind Germany, China and other countries that are dominating the rapidly growing global clean technology market.
  • Keystone would increase the kind of catastrophic environmental risk the World Economic Forum warns about in its just released Global Risks 2012. Keystone oil will be extracted from tar sands and its carbon emissions are 82% greater than the average crude refined in the United States, according to the Environmental Protection Agency. Keystone will increase carbon emissions and environmental risk. The pipeline would threaten the Ogallala aquifer, a large and irreplaceable supply of drinking water and irrigation in the Great Plains.

“Keystone is a sneak attack on American’s wallets,” said Frank Knapp, Vice Chairman of ASBC and CEO of the South Carolina Small Business Chamber of Commerce.” Its real aim is to import oil from Canada, refine it, and then export it to foreign buyers. For most businesses and consumers in the mid-west, the pipeline will serve up higher energy prices and higher food prices, since food prices include the price of energy and oil-based fertilizer needed to grow crops. That’s the last thing we need for real economic recovery.”

“The Keystone pipeline endangers the Ogallala aquifer — the only clean and reliable water source for drinking and agriculture for much of the Great Plains,” said Fran Teplitz, ASBC board member. “If this supply were contaminated by an oil spill, the costs to the public and business would be incalculable, and some of America’s most productive farmland would be lost.”

“Keystone makes no economic sense for America,” said ASBC co-founder and Director David Brodwin.  “Once we take into account the true cost of oil including subsidies, environmental damage, and military costs, oil is far more expensive than the alternatives.  The best thing we can do for the American economy and for American businesses as a whole is to wean ourselves from oil as quickly as possible.”

About The American Sustainable Business Council

The American Sustainable Business Council is a growing coalition of businesses and business networks representing over 100,000 businesses and more than 200,000 entrepreneurs, owners, executives, investors and others committed to advancing policies that support a vibrant and sustainable economy. www.asbcouncil.org.





MIT & BCG: Sustainability “Embracers” Seize Advantage.

29 12 2011

24% of companies surveyed answered positively to three questions –

indicating they were fully embracing the business benefits of sustainability.

In their new report, MIT’s Sloan Management Review – nearly 49% of executives reported that “improving brand reputation” was the greatest benefit to their organization in addressing sustainability.  Brand reputation was the number one drive selected by all companies.

Other key findings in the survey included:

  • 68% of companies plan to increase sustainability commitments in 2012.
  • 57% say that sustainability related strategies are necessary to be competitive.
  • 34% believe that sustainability related activities have added to their organization’s profitability.
  • 45% report that top management responsible for overall business strategy are responsible for sustainability decision-making.

Even Cautious Adopters of sustainability initiatives report significant increases in

attention and investment over the past two years.

According to the report,”Companies that are moving most aggressively on the sustainability agenda are doing more than reducing their environmental impact. And yet by heading down one path – by taking the leap of faith – they are finding many unexpected benefits emerge.  Employees are more engaged in meeting environmental goals than had been anticipated.  Brand value is enhanced, often in unexpected ways.  Partnerships generate unanticipated sources of innovation.  In short, sustainability is revealing new paths that will enhance companies’ long-term ability to compete.”

The survey was conducted with more than 3000 business executives from around the world.  You can download a copy of the report here.

Sustainability- The ‘Embracers’ Seize Advantage





Asda UK: The new weird is to do nothing.

14 12 2011

The retailer Asda has 500 stores across the United Kingdom, serves more than 18 million customers a week, and has a home shopping busienss that serves over 98% of UK homes.

Adsa just released the results of research it did with over 6,000 Asda customers – who they affectionately have labeled Everyday Experts.

Results from the research are encouraging and revealing.  One of the most compelling findings is that levels of caring about sustainability issues did not vary among high, middle or low income participants.

Other key findings in the report included:

  • 80% said they plan to continue or increase the number of green products they buy.
  • 80% said they buy green products because they think it’s just the right thing to do.
  • 70% said they care about being green—no matter what their gender, age, location or income level, with more than a quarter (28%) saying they care very much indeed.

You can access the Asda research here.





Consumer Environmental Behaviors Have Shifted For Good.

30 11 2011

In a recent survey revisiting consumer attitudes toward environmental issues vs. 20 years ago, GfK Roper and S.C. Johnson demonstrate how much progress has been made.

 

The research study reports that 73 percent say they know a lot or a fair amount about environmental issues and problems, up from 50 percent earlier. Compared to 20 years ago, twice as many Americans are taking proactive steps to help the environment. Today, 58 percent of Americans recycle, 29 percent buy green products regularly and 18 percent commute in an environmentally friendly manner.

And the impact can be dramatic.  According to Kelly M. Semrau, Senior Vice President of Global Corporate Affairs, Communication and Sustainability at SC Johnson, “Simply recycling one aluminum soda can yields enough energy to power my laptop for five hours or light up my office for 20 hours using a 60-watt energy-saving light bulb. These individual steps are made possible because individuals have a desire to modify their behavior, but also because businesses and governments have taken a leadership role in facilitating these changes by providing the right tools, products and processes.”

 

Three-in-four respondents agree that “a manufacturer that reduces the environmental impact of its production process and products is making a smart business decision.” Those are much higher marks than Americans gave business in 1990. Individuals place themselves higher at 38 percent and rank businesses lower at 29 percent when asked who should take the lead in addressing environmental problems and issues.

Said Semrau, “We all have a role to play to protect our earth, and 75 percent of American consumers say they feel good when taking steps to help the environment. That’s huge. Through increased environmental knowledge and with the right products and tools, we can all appeal to that sentiment to make smarter choices for a greener lifestyle.”

Green shopping photo via Shutterstock.





Don’t Buy This Jacket: Patagonia’s Common Threads Initiative

29 11 2011

In a daring and unprecedented move, the long respected Patagonia brand decries consumerism run amok and pledges to improve its own sustainability performance and asks for the same commitment from its customers.  

For a brand inspired by and dependent on the environment, Patagonia is asking customers to pledge to reduce the products they buy and only buy what they need.  It also is asking consumers to repair what’s broken, pass the product onto someone else, and keep it out of landfills or incinerators.

In exchange for the pledge, Patagonia’s pledge is to make products that last a long time, help repair gear that needs it, find home for products you no longer need and will take back Patagonia products that are worn out.

In advertising placed on Black Friday in The New York Times and on-line on Cyber Monday, Patagonia calls itself on the carpet for the environmental impact of the products they manufacture.

“The environmental cost of everything we make is astonishing,” the ad reads. “Consider the R2 Jacket shown, one of our best sellers. To make it required 135 liters of water, enough to meet the daily needs (three glasses a day) of 45 people. Its journey from its origin as 60% recycled polyester to our Reno warehouse generated nearly 20 pounds of carbon dioxide, 24 times the weight of the finished product. This jacket left behind, on its way to Reno, two-thirds its weight in waste.

“And this is a 60% recycled polyester jacket, knit and sewn to a high standard; it is exceptionally durable, so you won’t have to replace it as often. And when it comes to the end of its useful life we’ll take it back to recycle into a product of equal value. But, as is true of all the things we can make and you can buy, this jacket comes with an environmental cost higher than its price.”

The ad concludes: “There is much to be done and plenty for us all to do. Don’t buy what you don’t need. Think twice before you buy anything. Go to patagonia.com/CommonThreads, take the Common Threads Initiative pledge and join us in the fifth R, to reimagine a world where we take only what nature can replace.”

Cheers to Patagonia for honest and authentic communication and for its call for balance and collaboration in a world of too much self-interest and scary levels of divisiveness.

This is world class sustainable branding.

Read more about the campaign on Patagonia’s blog





newSKY: Shoes that re-imagine recycling from New Balance.

28 11 2011

New Balance has introduced newSKY sneakers—which are made from 95% recycled PET plastic bottles and developed a partnership with Coca-Cola’s bottled water brand Dasani.  Great example of companies who can collaborate to achieve mutually beneficial sustainability objectives.

newSKY shoes are available in both men and women’s styles in many different colors.  An interesting holiday gift for the eco-minded family member and friends.

Since its cyber Monday – shop on-line for newSKY here,





Fruitwash: Organic Soap Label for Fruit

26 11 2011

Here’s a bright idea from New York based electrical engineer and designer Scott Amron.  He has designed a fruit label that contains organic soap.  Just as the name suggests, the new label dissolves into organic fruit soap that helps remove water-resistant wax, pesticides and fungicides.

Amron Experimental is currently selling a 10 percent stake in the Fruitwash Label Intellectual Property (patents) and hopes to bring the labels to market within the next 6-9 months.

 “I’ve always been discontent with fruit labels and felt they could do more than just display product info and be difficult to peel off,” Amron told Gizmag. “We buy, wash and eat fruit. So, the wash step was the next thing the label should help with.”

Whilst the labels ingredients are currently being kept secret, they are designed to “outlast the fruit they label,” says Amron. The process of adding water and rubbing the label triggers the dissolving action, which transforms the label into a fruit wash. Alternatively, the stickers can be peeled off and thrown away.

“[The] best thing is the labels help make the fruit cleaner,” says Amron. “And, there’s no label to peel off and throw away unless you choose to peel the label off and throw it away.”

Original article at gizmag

photo credit: Amron Experimental

 

 





WindMade: First Consumer Label Attracts Leading Global Brands

26 11 2011

Major global companies including Motorola Mobility, Deutsche Bank, Bloomberg, Method and BD (Becton, Dickinson and Co.) have produced or have pledged to procure at least 25 percent of their operations’ power consumption from wind energy. They announced their commitment to become certified under the new WindMade consumer label at a Global Launch event in New York.

The companies pioneering the use of the world’s first wind power consumer label were unveiled today at an event hosted by WindMade and the UN Global Compact in New York.

The label allows participating companies to communicate the share of wind power and other renewable sources as part of the overall power demand of their operations. The objective behind WindMade is to drive demand in wind power, thereby boosting investment and growing the renewable energy market.

Here is a video that tells the story of the WindMade label.

“These companies are at the forefront of the global sustainability movement,” said Henrik Kuffner, WindMade’s CEO. “We are delighted to have them on board the unique WindMadeTM initiative, and are confident that many others will follow suit in the coming weeks and months.”

“Consumers are ready to act. 67 percent of 31,000 consumers globally have told us they would favor WindMade products, even at a premium,” said Morten Albæk, SVP Global Marketing and Customer Insight at Vestas Wind Systems, the company spearheading the WindMade initiative. “WindMade empowers people to choose brands that choose wind.”

“We believe clean growth is good economics,” said Sabine Miltner, Group Sustainability Officer for Deutsche Bank. “We are committed to leveraging our core business expertise towards a cleaner and more energy efficient global economy. We believe in leading by example and have increased our use of clean electricity from seven percent to 65 percent over the last four years. WindMade is an important step toward more market transparency and we are pleased to join this new partnership.”

“It is Motorola Mobility’s intent through our participation in the WindMade initiative to encourage greater use of renewable energy sources like wind and solar around the globe,” said Bill Olson, director office of sustainability and stewardship, Motorola Mobility.

“The supply side of the clean energy sector can clearly deliver, but now it is time to galvanize demand. Government has done their part, and it is now up to the corporate community to demonstrate leadership by committing to clean energy development. WindMade provides us with a roadmap for achieving this,” said Curtis Ravenel, head of sustainability, Bloomberg.”Corporations investing in wind energy technology need a global set of standards if they are to provide the transparency that’s critical to their stakeholders as well as gain the competitive advantage that such investments can mean for their businesses,” said Kathy Nieland, U.S. sustainable business solutions leader, PwC.

”Using wind power helps BD become a more sustainable organization, and the WindMade label sends a message to our customers and the industry that supporting clean sources of electricity is a sound business decision and an important choice in reducing a corporation’s environmental footprint,” said Glenn Barbi, vice president, Global Sustainability, BD.

For more information on the founders and pioneers, see http://www.windmade.org.

According to the WindMade requirements, companies using the label must source a minimum of 25 percent of the electricity consumed from wind power. The wind energy share can be procured through a company-owned wind power generation facility, a long-term power purchase agreement for wind power, or the purchase of high quality Renewable Energy Certificates approved by WindMadeTM. The exact percentage of the wind energy share will be stated on the label. Companies can choose to certify global, regional or facility level operations, a distinction that will be clearly communicated on the label itself.

WindMade, which was introduced to the world at this past year’s World Economic Forum in Davos, is backed by the UN Global Compact, Vestas Wind Systems, World Wildlife Fund, Global Wind Energy Council, Bloomberg (as the official data provider), and the LEGO Group. PwC is the official verification partner.

A separate label for products is in development and will be released during 2012.





GREENPEACE: HP Leads Greener Electronics Race. Research in Motion in the cellar.

17 11 2011

In releasing its latest guide to Greener Electronics, Greenpeace has ranked 15 leading technology companies and how they are performing on key measures around sustainability.  The guide is intended to help consumers make better informed decisions when purchasing technology products and help businesses evaluate the performance of their technology vendors in helping them achieve their own sustainability objectives.

Download the Greenpeace Guide here

The comprehensive analysis will help consumers understand the impact of specific products, as well as the sustainability performance of the overall corporation. New criteria added to this edition of the Guide are based on the creation of truly sustainable electronics industry, Greenpeace said, and include a holistic examination of key supply chain issues.

“Right now, HP takes the top spot because it is scoring strongly by measuring and reducing carbon emissions from its supply chain, reducing its own emissions and advocating for strong climate legislation. However all companies we included in the Guide have an opportunity to show more leadership in reducing their climate impact”, Tom Dowdall of Greenpeace said in a statement.

Blackberry manufacturer Research in Motion (RIM) is ranked for the first time and scored well on conflict minerals and sustainable paper policy. But the company ranked bottom of the table because it needs to improve reporting and disclosure of its environmental performance, Greenpeace said.  It is interesting to note that failure to communicate progress – the opposite of the idea of sustainable branding – was a key factor in RIM receiving such a low ranking.





Congrats Honest Tea. Will report sustainability progress on Tumblr.

10 11 2011

Honest Tea’s decision to expand to this new communication channel reflects a trend among sustainable brands to find the most effective way to leverage corporate social responsibility (CSR) reporting to increase dialogue and engagement with consumers.

The organic bottled tea company released the second edition of its annual Mission Report in combination with a new Tumblr site that will update regularly with posts about the company’s progress on social and environmental initiatives.

Honest Tea released a digital version of the report, which is becoming standard practice, and some companies – led by outdoor companyPatagonia’s example - are building entire microsites dedicated to tracking the sustainability of products and services. Others are choosing to incorporate CSR reporting into the traditional annual report, as Clorox did this year, indicating that sustainability performance is reaching the same level of importance as other corporate disclosures.

Honest Tea’s report, called Keeping It Honest, details the company’s initiatives related to products, packaging, people and partners. It highlights achievements, such as the conversion of all teas to Fair Trade Certified, the company’s first annual service day, and the launch of a new product, Honest CocoaNova.

The report also addresses sustainability challenges, such as packaging, providing consumers with an introspective look at how the company strives to scale a mission-driven business.

Acquired by Coca-Cola earlier this year, Honest Tea also will utilize its Facebook page to host a Keeping It Honest tab, during Honest’s “Mission Month”, where Honest fans can choose a personal mission each week, creating their own agenda for change, the company says.

Go to the Keeping it HONEST site here.

Since Honest Tea was founded in Bethesda, Maryland in 1998, the company has sustained an impressive double-digit annual growth rate. The company was listed as one of PlanetGreen.com’s Top 7 Green Corporations of 2010. It also received Greenopia.com’s coveted 4-Leaf Rating as “the greenest beverage company” for the third year in a row and was recently ranked by The Huffington Post as one of the leading “8 Revolutionary Socially Responsible Companies.”



Original article published at Sustainable Brands Weekly





Havas Media: Only 20% of global brands contribute to a sense of wellbeing and quality of life.

8 11 2011

In releasing their latest results, Havas Media underscores how few brands are contributing meaningful experiences to people – with most people saying they would not care if 70% of brands ceased to exist.

In a press release, Sara de Dios, Global Head of Meaningful Brands at Havas Media said.  “We believe that it is likely that the next generation of brands will flourish in emerging economies – they can, from the onset, create the context that promotes the growth of meaningful brands. Companies and brands operating in emerging economies can become active in transforming their roles; they are creating new lifestyles for millions of people and their communities while contributing to the overall progress of their societies. This will continue in the future with a growing middle class emerging within these markets.”

This innovative global undertaking is able, for the first time, to connect brands with our quality of life and wellbeing. It does this by measuring the perceived impact of brands on our personal wellbeing – their influence on factors such as our health, fitness, happiness, values, social relationships, financial security, lifestyles and habits – and our collective wellbeing, that is, how brands help to improve communities, societies and the environment.

The analysis includes a measurement called The Meaningful Brand Index (MBi) that uses consumer perception to compare and track the impact brands have on our lives. Based on the views of 50,000 people in 14 countries, the results show a direct relationship between a brand’s MBi score and the level of consumer attachment. That is, the greater the contribution the brand has to our wellbeing – measured by the value it creates for individuals, communities and the environment – the larger role it will have in people’s lives and the more meaningful it becomes.

Meaningful Brand Index results:

Ikea, Google, Nestlé, Danone, Leroy Merlin, Samsung, Microsoft, Sony, Unilever and Bimbo are the top 10 global brands. These brands systematically improve our personal and collective wellbeing and are rewarded by stronger brand equity and attachment. Furthermore, the results show that we really care that these brands exist as we see that they are making a significant contribution to our lives and communities. Havas Media argues that many of the top 20 brands are helping us create a new lifestyle that’s more consistent with today’s challenges and consumer trends.

Top 20 global brands according to Havas Media’s Meaningful Brand Index:

  1. Ikea
  2. Google
  3. Nestlé
  4. Danone
  5. Leroy Merlin
  6. Samsung
  7. Microsoft
  8. Sony
  9. Unilever
  10. Bimbo
  11. LG
  12. Philips
  13. Apple
  14. P&G
  15. Mars
  16. Volkswagen
  17. L’Oreal
  18. Wal-Mart
  19. Carrefour
  20. Coca-Cola

Detailed analysis on what makes each brand meaningful

Meaningful Brands also explains what makes things meaningful to us as consumers when it comes to specific brands and sectors. For instance, 65% registered a very strong attachment to Coca-Cola worldwide. However, only 35% think the brand improves our quality of life. In fact, some consumers worldwide think it is contributing negatively to our lives, mostly due to health concerns. However, Coca-Cola has, as with many other brands in the beverage sector, been a pioneer in connecting its brand to other personal issues such as happiness and positivity which has enabled it to successfully build a positive link to our emotional wellbeing.

Sector trends

When looking into brands’ impact on our sense of collective wellbeing (communities/ societies/environment), there is a general improvement. This is the case with the automotive and public transport sectors, driven by greater environmental and product innovation (such as the hybrid and electric cars and energy efficiency). Compared to last year, brands such as Volkswagen, BMW, Toyota and Peugeot have, according to consumers, improved the most in this area.

Personal and individual wellbeing

When it comes to our expectations of improving our personal wellbeing and quality of life, the results are not so good. A staggering 80% of brands across 14 countries are underperforming. This reveals a huge opportunity for brands. To some extent this is being realised by brands in sectors such as FMCG, retail, IT and consumer electronics. According to consumers, most brands in the financial, utilities and telecommunications sectors, underperform in helping us improve our daily lives and individual wellbeing.

Despite these trends, the analysis shows that some brands have been able to break free from these industry limitations. There are brands with exceptionally high MBi scores in low scoring industries that are learning to reconnect with consumers. This is the case for Fidelity Investments in the USA, the energy brand Petrobras in Brazil, EDF in France and the telco brands 02 in the UK and Free in France. All of these register significantly higher than average MBi scores for both their sectors and countries.

Worldwide and regional comparisons:

The analysis suggests that the next generation of brands will come from emerging economies. People in fast growing economies, such as Asian and Latin American markets, record a stronger and healthier relationship with brands. The proportion of brands making a notable positive contribution to our lives increases to around 30% in Latin America, compared to 8% in European markets, where people tend to be more sceptical and less engaged with brands. In the US it’s 5%.

By contrast, the situation in developed economies is the opposite. Brands in these regions are no longer seen to improve people’s quality of life. There is an aging and increasingly poorer middle class who are demanding that brands help them to lead and create new lifestyles that fit in to their new expectations and values. In order to survive, these brands must re evaluate their definitions of success and take up the challenge to make meaningful contributions to these people’s lives.”

Hernan Sanchez Neira, CEO Havas Media Intelligence, adds:
“It’s clear from our analysis that we need to take a new look at the relationship between brands and consumers. Nowadays we want so much more from brands than just promises or stories. Brands that manage to create better relationships dominate the marketplace.”

Meaningful Brands helps us to develop this type of relationship by understanding exactly what people expect from brands. It also helps us track how successful companies are responding to these needs by understanding how these companies are contributing to our wellbeing, both as citizens and individuals, and how they communicate these values to us. It also shows us that there’s a big business opportunity for brands who are able to satisfy consumers by creating wellbeing in the context of their new values, expectations and local market realities.”

Consumer sentiment continues to shift:

  • For the 4th year running consumer expectations of companies’ responsible behaviour continues to rise
  • Nearly 85% of consumers worldwide expect companies to become actively involved in solving these issues (an increase of 15% from 2010)
  • Those prepared to reward responsible companies by choosing to buy their products is up 11% from last year to more than half of all consumers (51%)
  • Those who would pay a 10% premium for a product produced in a responsible way is up once again – from 44% last year to 53% in 2011
  • The percentage of us who would punish irresponsible companies has also increased to 44% (from 36% in 2010)
  • Only 28% of consumers worldwide think that companies today are working hard enough to solve our social and environmental challenges.
  • Only 20% trust companies when they communicate about their social/environmental commitments and initiatives

About the research:

The research was carried out from March to June 2011 across 14 markets – France, Spain, UK, Germany, Italy, USA, Mexico, Brazil, Colombia, Chile, Argentina, China, Japan and India. The research took into account the views of 50,000 consumers via online panels.

About Havas Media

Havas Media is the global media network of Havas.

Havas Media represents one of the world’s fastest growing media networks and its agencies have grown from 10 markets in 1999 to 119 markets in 2011.

Havas Media services its clients through a portfolio of specialist global networks and agencies. The group is organised to maximise local market dynamics whilst leveraging the extensive global insight and strategic support within Havas Media. The range of companies within Havas Media include: MPG (Havas Media’s global media network), Arena Media (Havas Media’s network for tailor-made communication services), Havas Digital (Havas Media’s global interactive network) and Havas Sports & Entertainment (Havas Media’s global sports and entertainment communication network).

Further information can be found at www.havasmedia.com or follow us on twitter @HavasMedia





Men Unmoved By Green Marketing: Radius Research

14 10 2011

New research from global research firm Radius Global Market Research indicates that increased spending on product development and marketing aimed at environmentally conscious consumers may not be getting through to men.

Managing Director of Radius Chip Lister observed “More and more dollars are being dedicated to green marketing initiatives built to associate brands with environmental responsibility but our survey results show that in spite of this increase in spending, the majority of men are not significantly influenced by environmental responsibility when they make a purchase.”

Radius asked U.S. consumers to rate brand attributes across a broad range of products and services in terms of the amount of influence they had on their decision to purchase.

According to the survey, women place importance on a wider range of brand values than do men. Both men and women ranked the same three issues as having the most influence over purchases: (1) Value; (2) Quality; and (3) Trust. After that, however, men appear to be influenced little by any other brand values.

“We found that the value men and women place on environmental responsibility is part of a much broader pattern,” says Lister. “Men are influenced by a much smaller set of brand attributes when they make purchase decisions. Marketers that stray too far from these core attributes run the risk of not being heard. By contrast women seem readily affected in their brand decisions by issues that could almost be considered ‘bigger’, certainly well outside the more direct or tangible deliverables offered by the brand/product.”

Radius’s study was conducted in the third quarter of 2011 and surveyed U.S. households. The firm’s proprietary Know More(TM) panel represents over 3.4 million households, with over 6 million consumers in the U.S. and over 1.5 million consumers in Canada, the U.K. and Europe, Australia and Scandinavia.





Back to the Start: Inspiration from Chipotle

31 08 2011

Willie Nelson sings Coldplay’s riveting “The Scientist” as Chipotle and film-maker Johnny Kelly dramatically depicit how our food and farming system has spun out of control.  

 

Great effort of sustainable branding from this rare thought leader in the quick service restaurant industry.





Timberland & VF Corporation: New heights or swift decline?

15 06 2011

This week, VF Corporation (the mega holding company for apparel and active lifestyle brands such as Northface, Wrangler, Lee, EastPak) purchased the venerable Timberland brand of sporting footwear for $2 billion.

Of course, Timberland put this positive spin on the news.  Timberland Chief Jeff Swartz said in a statement:   “Timberland is proud of its rich heritage, its track record of success and its reputation as a responsible and environmentally-conscious global citizen, all of which will be preserved and enhanced by becoming part of the VF family of brands.  VF is known for its ability to acquire and grow authentic outdoor brands, while protecting a brand’s unique culture and DNA.”

The jury will be out but many eyes will be watching as the sustainable darling Timberland (ranked number 2 out of 150 companies for sustainability performance by the nonprofit group Climate Counts) will be inspiring to VF. or in the pursuit of stated 10% annual revenue growth – Timberland starts a rocky slide down from sustainability heights of greatness.

According to CSRHUB.com, VF Corporations current performance on sustainability and overall corporate social responsibility measures is hardly a pace-setter.

VF’s overall CSR ranking is 44 – below the averages for other apparel companies, the average U.S. company and all companies ranked.  Its performance on the environment was 20% below the average for U.S. companies.

Contrary to VF’s rather uninspiring CSR performance, CSRHUB.com gives Timberland an overall ranking of 63 – and a sterling 65 on environment performance measures (vs. 48 for the average U.S. Company).

Timberland’s track record of integrating socially responsible practices and community outreach into their brand marketing efforts make them a poster child for positive sustainable branding.  We worry VF’s leadership won’t cherish the vision and values that has made Timberland special and uniquely sustainable.  Stay tuned.

CSRHUB.com is a great resource for evaluating CSR performance of companies – go here.





ImagePower Survey: 60+% of consumers globally want to buy from environmentally responsible companies.

10 06 2011

Monterey, CA – June 8, 2011- Consumer appetite for green products has increased significantly in the past year, according to findings from the annualImagePower® Global Green Brands Survey, one of the largest global consumer surveys of green brands and corporate environmental responsibility. This year’s survey, which polled more than 9,000 people in eight countries, reveals that consumers worldwide intend to purchase more environmental products in the auto, energy and technology sectors compared to last year. Now more savvy about how green choices in personal care, food and household products directly affect them and their families, global consumers are expanding their green purchase interest to higher-ticket items such as cars and technology.

Industries protecting the environment

Consumers are divided on which industry currently does the best job of protecting the environment. 18 percent of American and 20 percent of Australian consumers say the energy industry does the best job of protecting the environment. By comparison, most of respondents in Germany (19 percent), India (22 percent), China (33 percent) and Brazil (22 percent) cite the technology sector. In the UK, more than 21 percent of consumers say the grocery store industry is the top protector of the environment.

Where consumers are spending

While personal care, grocery and household products are the industries with the greatest representation among the top ten brands list, consumers in the US indicate that they intend to spend more money on green technology, energy and automotive products or services in the next year. When it comes to current usage of green products or services, the 2011 study reveals that the household products and grocery categories have the highest consumer adoption rates in all countries except China, where packaged goods/beverages and personal care are the most used categories, and in Brazil, where household products and personal care dominate. In all countries, consumers indicate that in the coming year they are less likely to buy green packaged goods and beverages, grocery and household products.

“We’re seeing a shift in the ‘In Me, On Me, Around Me’ mentality when it comes to purchasing green products,” said Russ Meyer, Chief Strategy Officer of Landor Associates. “Consumers have a good understanding of how green choices in personal care, food and household products directly affect their families, and they are now seeing benefits like costs savings that attract them to higher cost items like cars and technology.”

Greater perceived value in developing countries

Consistent with last year’s study, more than 60 percent of consumers globally want to buy from environmentally responsible companies. Respondents in all eight countries surveyed indicate that they are willing to spend more on green products. In developed countries such as the US and the UK, roughly 20 percent of those surveyed would spend more than 10 percent extra on a green product.

In developing countries, however, consumers say that green products have a higher inherent value. Ninety-five percent of Chinese consumers say they are willing to spend more on a product because it’s green—with 55 percent of them willing to spend between 11-30 percent more. Similarly 29 percent of Indian consumers and 48 percent of Brazilians say they are willing to spend between 11 – 30 percent more on green products.

“Consumers in developing countries express greater concern over the state of the environment in their countries, which may contribute to their greater willingness to pay more for green products,” said Paul Andrepont, Senior Vice President of Penn Schoen Berland. “Consumers in these markets also differ from their developed-nation counterparts in believing that selection, rather than cost, is the greatest barrier to buying green products. Brands that address these consumers’ very real concern – over air pollution in India or deforestation in Brazil – have the ability to position themselves as premium in the market, a possible competitive advantage.”

Packaging is critical

Packaging continues to be a matter of great concern for US consumers. Seventy-one percent believe companies use too much material in product packaging – though only 34 percent of US consumers say they consciously purchase products that use less packaging. Almost half of American consumers feel that packaging that can be recycled is more important than packaging made from recycled or biodegradable materials.

Packaging also plays a critical role in communicating product benefits to US consumers. More than 50 percent of American consumers say on-pack information helps them understand how green a product is. Additionally, 40 percent say that packaging is their primary source for information on environmental issues regarding products.

“Other than price, the two biggest influences on purchase decisions are on-package messaging and prior experience with the product, both of which satisfy the consumer need to understand a benefit beyond ‘saving the world,’” said Annie Longsworth, global sustainability practice leader for Cohn & Wolfe. “It’s critical for green brands to communicate the real and tangible benefits of their products in addition to being green, which still feels like luxury to many consumers.”

2011 US rankings
For the first time since the inception of the ImagePower® Green Brands Study in 2006, the four brands perceived to be the greenest are “born green” companies. The full list includes:

  1. Seventh Generation
  2. Whole Foods
  3. Tom’s of Maine
  4. Burt’s Bees
  5. Trader Joe’s
  6. The Walt Disney Company
  7. S.C. Johnson
  8. Dove
  9. Apple
  10. Starbucks, Microsoft (tied)

“When we analyzed the approach of the top ten brands companies, using our Esty Environmental Scorecard™, it was clear that the winners achieve a product-value-information trifecta,” said Amy Longsworth, partner at Esty Environmental Partners. “The top brands offer clear price value through co-benefits: a great innovative product that meets my functional needs plus green attributes that meet my values needs. These companies also tend to have robust life-cycle insight and complete sustainability strategies across their value chains, which enable them to draw from rich experience and data for their consumer communications.”

Methodology

The seventh annual Green Brands study polled more than 9,000 people in eight countries —including the United States, the United Kingdom, China, Brazil, India, Germany, France and Australia—and was conducted by WPP agencies (NASDAQ: WPPGY) Cohn & Wolfe, Landor Associates and Penn Schoen Berland Associates (PSB), as well as independent sustainability strategy consulting firm Esty Environmental Partners. The Green Brands Study identifies emerging trends related to consumer perception and purchasing behavior of “green” products. The study was conducted online among the general adult population between April 2, 2011 and May 3, 2011. It has a margin of error of +/- 3.0%. In China, India, and Brazil, respondents were from tier-one cities.

To view 2011 global findings, click here. For US findings, click here.





Kudos to Coke: Appoints Global Chief Sustainability Officer

30 05 2011

Congratulations to Coca-Cola with its appointment of former Chief Marketing Officer Beatriz Perez to Chief Sustainability Officer.

Under the vision of CEO Muhtar Kent, Perez will be responsibile for integrating sustainability initiatives into brand and marketing efforts and further demonstrate its monitoring and improving the commitment to the moderate impact of its products and operations on the environment.

We also find it notable that the new office of sustainability at Coca-Cola will include leaders responsible for corporate social responsibility, environment and water, external affairs and sustainability strategy and communication.

Read the news release below.

May 23, 2011 - The Coca-Cola Company (NYSE: KO) has appointed it first Chief Sustainability Officer (CSO) and created a new global Office of Sustainability in an effort to better integrate ongoing initiatives.

Beatriz Perez, who is currently Chief Marketing Officer for Coca-Cola North America, will serve as CSO beginning July 1. She will work to integrate Coca-Cola’s sustainability initiatives in the areas of water, climate protection, packaging and recycling.

“We have made significant progress with our sustainability initiatives, but our current approach needs focus and better integration to further accelerate our system sustainability agenda and meet our 2020 Vision goals,” said Muhtar Kent, Chairman and CEO, The Coca-Cola Company. “We are realigning this important work to create a unified team, strategy and business plan that connects our sustainability work and actions.”

Under Perez’s leadership, the Office of Sustainability will create and oversee Coca-Cola’s integrated global sustainability strategy; set goals and commitments; assess and drive scaled investments; and steward and track all global partnerships and key sustainability projects.

Reporting to Perez, the new team will include John Reid, Vice President, Corporate Social Responsibility; Charlotte Oades, Global Director, Women’s Economic Empowerment; Abby Rodgers, Vice President, Sustainability Strategy and Communication; Jeff Seabright, Vice President, Environment and Water; and Lisa Manley, Group Director, Corporate External Affairs.

Perez will report to Executive Vice President and Chief Administrative Officer Alex Cummings.

Kent said Perez is uniquely qualified for the role based on her passion for sustainability and deep experience at the Company, including the incorporation of sustainability initiatives into Coca-Cola’s North American marketing programs.








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