Nielsen: Doing Well By Doing Good

3 07 2014

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55% of global respondents in Nielsen’s corporate social responsibility survey were willing to pay extra for products and services from companies committed to positive social and environmental impact—an increase from 45% in 2011.  However, people living in North America lag the global average, with only 42% saying they would be willing to pay extra – a 7% increase from three years ago.

As continued impactful climate change events and social consciousness raises people’s concern about companies’ impact on society, the importance of brand’s corporate responsibility reputations will continue to rise.  Brands which act responsibly and communicate those actions effectively will increasingly be the ones rewarded by consumers.

 

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Images:  Future Leaders in Philanthropy, Nielsen





Project Sunlight: Unilever’s Call To Action For Sustainable Living

21 11 2013

Unilever has launched  a worldwide new initiative to motivate millions of people to adopt more sustainable lifestyles.  Launched yesterday on Universal Children’s Day in Brazil, India, Indonesia, the UK and the US, Project Sunlight aims to make sustainable living desirable and achievable by inspiring people, and in particular parents, to join what Unilever sees as a growing community of people who want to make the world a better place for children and future generations.

Project Sunlight was launched with the four-minute film embedded here and created by DAVID Latin America and Ogilvy & Mather London at dawn on November 20th in Indonesia and then follow the sun to India, the UK, Brazil and the US. Additional information can be found at an online hub – www.projectsunlight.com – which brings together the social mission stories of Unilever’s brands across the world, and invites consumers to get involved in doing small things that help their own families, others around the world and the planet.

To mark the launch of Project Sunlight on Universal Children’s Day, Unilever will be helping 2 million children through its ongoing partnerships, providing school meals through the World Food Programme; supporting Save the Children to provide clean, safe drinking water; and improved hygiene through UNICEF.

Ogilvy & Mather Chairman and CEO Miles Young, explains: “Unilever asked us to find a new way to talk about sustainability that would make the benefits real for ordinary people. Project Sunlight is founded on the principle that even small actions can make a big difference and that together, we can create a brighter future.  We are honored to be a part of such a positive and significant movement for the good of our client and our communities.”  Famed film director Erroll Morris directed “Why bring a child into this world?” including moving interviews with expectant parents from around the world.

The project draws on the legacy of Unilever’s founder Lord Leverhulme, who believed that he could change the world with a brand of soap he called Sunlight.

Kudos to Unilever, Ogilvy, DAVID and everyone involved in this important initiative that hits at the heart of the matter: if we can’t work to improve living conditions on our precious planet, how dare you bring a child into this world.





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.





The Aspirational Consumer: 2.5 Billion People Redefining Responsible Consumption

8 10 2013

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A new global consumer study confirms the rise of nearly 2.5 billion consumers globally who are uniting style, social status and sustainability values to redefine consumption.

According to the report by BBMG, GlobeScan and SustainAbility : The 2013 Aspirational Consumer Index – more than one-third of consumers globally (36.4%) identify as Aspirationals, defined by their love of shopping (78%), desire for responsible consumption (92%) and their trust in brands to act in the best interest of society (58%). The study draws from a telephone and in-person survey of more than 21,000 consumers across 21 international markets conducted in April 2013.

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According to Eric Whan, Sustainability Director at GlobeScan, “Aspirationals are materialists who define themselves in part through brands and yet they believe they have a responsibility to purchase products that are good for the environment and society.  By engaging Aspirational consumers, brands can further the shift toward more sustainable consumption and influence behavior change at scale.”

Key characteristics of Aspirational consumers include:

  • Trust in Brands: Nearly six in ten Aspirational consumers globally say they “trust global companies to act in the best interest of society” (58%), compared with 52% of all consumers;
  • Seek Style and Status: Three-fourths of Aspirational consumers say “I want to stand out by the way I look, my style” (73%), compared to 53% of all consumers;
  • Positive Influencers: Nearly nine in ten Aspirational consumers say “I encourage others to buy from socially and environmentally responsible companies” (88%), compared to 63% of all consumers;
  • Empowered Shoppers: Nearly eight in ten Aspirational consumers say “shopping for new things excites me” (78%), compared to 48% of all consumers, and believe they “can change how a company behaves based on my purchase decisions” (78%), compared with 66% of all consumers;
  • Responsible Consumers: Nine in ten Aspirational consumers say “I believe we need to consume less to preserve the environment for future generations” (92%), compared to 75% of all consumers, and that they are “willing to pay more for products produced in a socially and environmentally responsible way” (91%) compared to 64% of all consumers;
  • Young and Urban: Demographically, Aspirational consumers make up the largest percentage of Millennial (40%) and GenX (37%) generations, compared to 32% and 33% in the general population, respectively, and nearly six and ten (59%) live in cities; and
  • Strength in Emerging Markets: Countries with the largest populations of Aspirational consumers include China (46%), Nigeria (45%), Pakistan (44%), India (42%), Australia (41%), Canada (40%), Indonesia (38%), Greece (37%), France (36%), USA (36%), Turkey (35%) and the UK (34%).

“Driven by young, optimistic consumers in emerging markets and amplified by technology and social media’s influence, Aspirationals represent a powerful shift in sustainable consumption from obligation to desire,” said Raphael Bemporad, co-founder and chief strategy officer at brand innovation consultancy BBMG. “With Aspirationals, the sustainability proposition has changed from being the ‘right thing to do’ to being the ‘cool thing to do,’ and brands have a profound opportunity to harness sustainable design and societal values to inspire the next generation of commerce and create positive impact in the world.”

“For decades, green marketers have been speaking to the wrong consumers, assuming that by engaging the most committed ‘advocates’ we would create significant business growth, cultural relevance and change at scale,” Bemporad added. “What makes Aspirationals so compelling is that they combine an authentic commitment to sustainability with a love of shopping, design and social status, aligning economic, cultural and social forces to shift the way we shop.”

“With 2.5 billion consumers worldwide, Aspirationals offer an important opportunity to redefine sustainable consumption,” said Mark Lee, Executive Director at SustainAbility. “Like never before, brands can engage Aspirationals to pioneer new models and practices that can deliver economic growth while reducing negative impacts on the environment.”

 

Read the original press release on CSR Wire.





United Nations: CEOs say sustainability less important.

24 09 2013

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In a massive new study which interviewed 1,000 CEOs around the world, The United Nations and Accenture report that only 32% of CEOs believe the global economy is on track to meet the demands of a growing population within global environmental and resource constraints.  Alarmingly, the number of CEOs of saying that sustainability is “very important” to their business success dropped to 45%, a decline from 54% just three years ago.

The third United Nations Global Compact – Accenture CEO Study On Sustainability 2013 points to CEOs concern about an uncertain global economic climate as directly impacting the urgency of addressing sustainable business operations.  Despite the report that 63% of CEOs expect sustainability to transform their business within five years – and 76% believe that embedding sustainability into core business will drive revenue growth and new opportunities – many struggle with market expectations, investor pressure and the difficulty of measuring the business value of sustainability.

The report demonstrates how the world’s CEOs are conflicted on the extent to which they believe that business is making sufficient efforts to address sustainability. with 33% agreeing business is making the acceptable effort, while 38% disagree.  See the report chart below:

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In an executive summary of the CEO survey, the authors conclude:

“CEOs clearly recognize the scale of the global challenge—but may not yet see the urgency or the incentive for their own businesses to do more and to have a greater impact. This disconnect suggests that a gap persists between the approach to sustainability of the majority of companies globally—an approach centered on philanthropy, compliance, mitigation and the license to operate—and the approach being adopted by leading companies, focused on innovation, growth and new sources of value.”

Other key findings in the report include:

  • 83% of CEOs see an increase in efforts by governments and policy makers to provide an enabling environment for the private sector as integral to advancing sustainability.
  • 85% of CEOs demand clearer policy and market signals to support green growth.
  • Only 29% of CEOs regard climate change as one of the most important sustainability challenges for the future of their business
  • And just 14% regard water sanitation as an important issue for their business to address.

Clearly the lack of progress on the global economy and the failure of governments and regulators to provide consistent sustainability frameworks are holding back CEOs from focusing their full attention on the long-term issues of sustainability and threatened natural resources.  As the report highlights, more urgency is needed:

“As business leaders across the world come together this year to set out an architecture to align business action with global priorities, there is a clear and unequivocal call for greater ambition, greater speed and greater impact.”

- United Nations Global Compact

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Levi’s: 501 WasteLess Jeans Made With Recycled Plastic.

14 05 2013

For 140 years, the Levi’s® brand has made its 501® jean with the same care, craftsmanship and attention to detail.  To that, they’ve added recycled plastic.

The Levi’s® 501® Waste<less™  jean is limited-edition and made exclusively for EKOCYCLE™. That’s the social movement founded by legendary musician and producer will.i.am in partnership with Coca-Cola.  The goal of this jean and EKOCYCLE™ is to change the way we think about recycling choices and waste.

Each 501® Waste<Less™ jean is made with 29% post-consumer recycled content, using an average of eight recycled plastic bottles.  This year, you might be wearing one of the plastic bottles you drank from – and recycled – last year.

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Levi Strauss isn’t the first clothing manufacturer to create a new product line from recycled plastic. In 1993, Patagonia became the first outdoor clothing manufacturer to create fleece made from post consumer recycled plastic soda bottles, and the company’s support of recycling via their manufacturing continues. According to Patagonia’s website, the company has saved some 86 million soda bottles from the trash heap over the past thirteen years.

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Another apparel company who incorporates sustainability throughout their business model is Puma. InCycle is the company’s first 100 percent biodegradable or recyclable clothing, accessory, and footwear collection. Puma’s efforts towards creating InCycle recently earned them Cradle to Cradle Products Innovation Institute’s product certification.

For an update on the Cradle to Cradle progress, check out The Upcycle:  Beyond Sustainability – Designing for Abundance, the new best selling book from pioneers William McDonough and Michael Braungart.

When it comes to plastic use and its impact on human health and the environment, the various statistics are nothing short of disturbing: plastic takes up to 1000 years to degrade in a landfill; 92 percent of Americans age six or older test positive for BPA; Americans use 2,500,000 plastic bottles every hour.

Check out this video, which features will.i.am, along with Levi’s® James “JC” Curleigh and Jonathan Kirby.

Read more at the original post at http://www.triplepundit.com/2013/05/levi-strauss-creates-sustainable-jeans/





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

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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

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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.

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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.




A4S REPORT: Future Proofed Decision Making

3 01 2013

“There was a time when we could say that there was either a complete lack of knowledge, or at least room for doubt, about the consequences for our planet of our actions.

That time has gone.

We now know all too clearly what we are actually doing and that we need to do something about it urgently. Better accounting must be part of that process.”

Prince Charles, His Royal Highness The Prince of Wales

The Prince’s Accounting for Sustainability Project (A4S) commissioned research into which types of information may be most effective in driving the integration of environmental and social factors into Board level decision-making.  The A4S research indicated that:

1. There is a growing recognition of the changing business landscape and a potential need for changes to decision-making processes and strategic objectives to reflect new risks and opportunities.

2. The business case for the inclusion of environmental and social factors at Board level is not yet clear, particularly for many CFOs, due to uncertainty around the relevance of these issues to their organization.

3. Environmental and social information is often assumed to have been formally considered by the CSR / Sustainability team (with sometimes limited impact on the wider business) before decisions reach Board level. Information is typically presented as traditional sustainability data e.g. tonnes of carbon — with little alignment to strategic objectives or financial information.

4. Scepticism over the quality and robustness of many types of environmental and social data is preventing more widespread use.

5. A belief among respondents that expressing many environmental and social factors in financial terms can be counter-productive as data can be viewed as unreliable, spurious or unethical.

6. A perception that action can be left to successors who will understand these issues more fully.

The A4S research highlights that there are a number of barriers to overcome before the majority of organizations truly integrate environmental and social factors into decision making, including:

Demonstrate the business case

There is a need to articulate more clearly the commercial rationale for incorporating social and environmental factors into decision making to help ensure that organizations are aware of the risks to mitigate and the opportunities to grasp over the short, medium and long term.

Speak the right language

Narratives that are aligned with the needs and ‘language’ of business need to be developed. These need to be focussed at a sector and organizational level and grounded in commercial understanding.

Develop more robust information

Organizations should work with existing collaborations to develop commonly agreed methodologies to value environmental and social inputs and impacts in financial terms. These should clearly demonstrate the link to an organization’s strategic objectives and financial performance, either directly or via reputational impact. They should work with others to develop a wider set of tools that enable future risk, opportunity and uncertainty to be incorporated into decision making processes.

Bridge the knowledge gap

The need for skills expansion at Board level and within the finance and accounting community should be recognized and addressed.

Create an enabling environment

Organizations need to be given clear signals to drive more sustainable behaviour, including the need to align national and global frameworks with business incentives and performance measurement systems.

Access the full report below.

Prince Charles Photo Credit:  The Guardian





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

8 12 2012

Screen shot 2012-12-08 at 9.32.06 AM

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:

Screen shot 2012-12-08 at 9.40.02 AM

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.

Screen shot 2012-12-08 at 9.46.33 AM

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





Unilever: Partnership to help African Hand Washing Initiative

30 10 2012

Unilever and the Earth Institute have announced a new initiative to bring hand washing with soap – a lifesaving habit – to the Millennium Villages, a project that works with nearly 500,000 people in rural villages, across 10 countries in sub-Saharan Africa. 

”The big issues the world is facing require new approaches, new business models and new partnerships. Responsible businesses must take a more active leadership role.” said Paul Polman, Unilever CEO, “The memo of understanding with the Earth Institute partnering Lifebuoy with the Millennium Villages Project is one such example where working together will enhance our expertise of addressing hygiene in deep rural Africa and enable us to develop more effective solutions to reduce child mortality.”

The partnership supports Unilever’s goal to deliver on one of its commitment under its Sustainable Living Plan – to help more than one billion people take action to improve their health and well-being. Over the past two years, Unilever has successfully changed the hand washing behaviour of 50 million people in Africa and South-Asia, through its leading soap brand Lifebuoy and partnerships with Population Services International (PSI) and UNICEF established through the Unilever Foundation.

“It is unacceptable that two million children die every year from infectious diseases when we have easy and cheap lifesaving solutions, such as hand washing with soap, readily available. Innovative partnerships between governments, civil society and business have a critical role to play in promoting better hygiene practices and in tackling the world’s deadliest diseases.” said Polman.

Millions around the world are asked to pledge on www.facebook.com/lifebuoy. With every pledge, Lifebuoy and its partners will help more children receive hygiene education through their dedicated handwashing behavior change programs.

In a statement, Jeffrey Sachs, Director of the Earth Institute at Columbia University said: “Diarrhoea and pneumonia are the two leading causes of under-5 deaths, accounting for around 30% of children’s deaths globally – more than two million lives lost each year. More than 80% of these deaths occur in sub-Saharan Africa and South Asia. Addressing these challenges through improved hygiene is a vital and effective step towards saving lives and achieving the global Millennium Development Goal to reduce the child mortality rate by two-thirds by 2015.”

Consistent evidence shows that hand washing with soap at critical times – before eating or preparing food and after using the toilet – can reduce diarrhoeal risk by 45%  and acute respiratory infections such as pneumonia, by 23%.  Studies also reveal that primary school absenteeism due to diarrhoea and respiratory infections dropped between 20% and 50% as a result of better hand washing practices .

“We are looking forward to working with Unilever to ensure that straightforward solutions like hand washing reach the people that need them the most,” said Sachs who leads the Millennium Villages Project.  “The poor need solutions that are affordable, products that are highly effective, and information that is practical and accessible.  The benefits can be enormous.”

The partnership will be focusing on villages in Ethiopia, Ghana, Kenya, Malawi, Mali, Nigeria, Rwanda, Senegal, Tanzania and Uganda, and aims to: decrease incidence in diarrhoeal diseases, promote gender equality, increase school attendance, enhance productivity and well-being for all community members. The partnership will also focus on governments. Governments should integrate hand washing with soap into national health and education policy frameworks. Governments and aid donors should ensure adequate finance for hygiene facilities and water availabilities. Business must act too, ensuring their products are even more affordable, and varied so that handwashing with soap is done everywhere and by all. Public-private partnerships have role to play and can help governments harness the power of business for the benefit of their population’s health.

Looking to the UN’s post-2015 agenda, Polman said, “It will be important to ensure that hygiene takes its place alongside targets on water and sanitation. This partnership with Millennium Villages Project will provide further evidence to demonstrate to policymakers how hygiene public policy can be improved, and help bring to an end the scandal of children dying from preventable diseases.





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.





Climate Vulnerable Forum: Climate Change Cost 1.7% of Global GDP in 2010.

2 10 2012

“A HUNDRED YEARS from now, looking back, the only question that will appear important about the historical moment in which we now live is the question of whether or not we did anything to arrest climate change.”

THE ECONOMIST December 2011

In the 2nd edition, The Climate Vulnerability Monitor (A Guide to the Cold Calculus of a Hot Planet) reports on the economic and social impact of climate change.  Among the highlights of this scientific report, 1.7% of global GDP losses are attributed to climate change and the carbon economy in 2010.  The report projects that by 2030, global GDP losses will rise to 3.2% by climate change and carbon emissions.  This includes a projection of a loss of 2% of the United States GDP by 2030.

But as important as the economic impact of climate change is the human toll.  The Climate Vulnerability Monitor reports:  “Continuing today’s patterns of carbon-intensive energy use is estimated, together with climate change, to cause 6 million deaths per year by 2030, close to 700,000 of which would be due to climate change. This implies that a combined climate-carbon crisis is estimated to claim 100 million lives between now and the end of the next decade.”

Here is a chart from the report that highlights the vulnerability based on regions in the world  to climate and carbon dependence.

Access an executive summary of the Monitor report here.

 

About CVF:

The Climate Vulnerable Forum (CVF) is an international cooperation group for coordination, advocacy and knowledge-building among countries that face significant insecurity due to climate change. The Forum has distinguished itself through a determination to catalyze more effective and broad-based action for tackling the global climate challenge, internationally and nationally. Founded in 2009 by the Maldives, it now includes 20 governments and is a major foreign policy initiative of its current chair, Bangladesh. The Climate Vulnerability Monitor’s second edition was commissioned at the November 2011 Ministerial Meeting of the Forum at Dhaka, Bangladesh.





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.





Vestas Survey: 85% of consumers want more renewable energy.

18 09 2012

Vestas has released this year’s Global Consumer Wind Study, surveying 24,000 consumers worldwide about their attitude toward renewable energy.  The study shows that 79% per cent of consumers prefer renewable energy, that 62% are more willing to buy products produced with renewable energy, and not least that consumers indicate a willingness to pay a premium price for such products.

Other key findings in the research include:

  • 74% would get a more positive perception of a brand if wind energy were the primary energy source used in its production.
  • 49% of respondents express willingness to pay more for products made with renewable energy.
  • 62% of respondents say they would be more willing to buy products from brands that use wind energy production.
  • 52% of consumers believe that the transparency of the energy mix used in product production is too low.
  • 45% of consumers surveyed perceive climate change as one of the top 3 challenges facing the world today.

Importantly for brand marketers, the research also studied the impact of renewable energy use on brand perceptions.  28% of people surveyed indicated they would get a “much more positive perception” of the brand if the brand used wind energy as its primary source.

According to the research report, “This year’s Global Consumer Wind Study indicates that brands need their core business to be green in order to reap the full benefits of consumers’ preferences. The research suggests that consumers have raised the threshold for being “green,” and that consumers are more likely to choose brands that integrate sustainability into their core business operations by sourcing renewable energy, and to recommend those brands to other potential purchasers.”

You can read the full summary of the Global Consumer Wind Study here.





World Water Week: The Relationship Between Water and Food.

28 08 2012

If the wars of the 20thcentury were fought over oil,

the wars of this century will be fought over water.

 The World Bank

World Water Week is sponsored by the Stockholm International Water Institute and is being conducted this week in Stockholm.  World Water Week provides a unique forum for the exchange of views, experiences and practices between the scientific, business, policy and civic communities. It focuses on new thinking and positive action toward water-related challenges and their impact on the world’s environment, health, climate, economic and poverty reduction agendas.

This year’s program is focused on Water and Food Security.  According to the SIWI, water interventions for food security, at production and household levels, need to focus on improved nutrition, better health, critical bio-diversity and sustainable livelihoods, achieving co-benefits for environmental as well as human health.

Says SIWI, “The food production in the world is more than enough to feed all its inhabitants properly. Yet, a billion are undernourished, around two billion are overeating, and staggering amounts of food are lost or wasted. In addition, food alone will not eradicate hunger as up to 50% of malnutrition is related to unclean water, inadequate sanitation or poor hygiene.”

Wonderwater:  An initiative to educate and inspire.

One group that is pioneering the campaign to raise awareness about the relationship between water and food production is the U.K. based Wonderwater.They have created public awareness campaigns and interactive learning opportunities to help educate people about the food and water.

How much water do you eat? This is the question posed by Wonderwater to consumers, businesses, politicians and NGOs around the world, as the pressures of population growth, climate change and water scarcity continue to pose serious challenges to our future food security. The group uses creative, thought-provoking design exhibitions and striking café installations to stimulate conversations relating to the water footprint of food, prompting visitors to consider how much of the world’s scarce fresh water (which represents just 3% of Earth’s water) are required to produce the food we consume.

Wonderwater’s latest project is another of its Wonderwater Cafe’s.  In September 2012 Wonderwater Cafe will arrive in London at Leila’s Shop in Shoreditch. Leila McAlister’s responsibly sourced and seasonal menu will be utilized to illustrate how much water it takes to produce our favorite foods, and highlight the importance of considering water consumption when making culinary decisions.

Learn more about Wonderwater Cafe London here

Read more about Wonderwater at 2degrees with blogger Katharine Earley





Adidas DryDye: T-shirts made with less water.

9 08 2012

Adidas is rolling out an initial production run of 50,000 DryDye t-shirts – demonstrating their leadership in the production of apparel with less use of water.

The sportswear company has released a line of T-shirts made of fabric dyed with compressed carbon dioxide (CO2) rather than water.

Adidas says the DryDye technology – developed over the last five years with Thailand’s Yeh Group – uses zero water for dyeing, compared to 25 liters for a typical shirt. In addition, the process reduces chemical use by 50 percent, the company said.  In a commercial, Adidas claims the apparel industry uses the equivalent of the amount of water in the Mediterranean Sea each year.

For the summer season, Adidas has produced 50,000 DryDye tees with designs promoting the innovation. Using a traditional dyeing process would have required roughly 1,200,000 liters of water.

Adidas said it will begin using the DryDye process for more apparel pieces over the next few seasons.

Besides saving water, DryDye also uses 50 percent less energy and 50 percent fewer chemicals, according to DyeCoo, the Netherlands-based company that built the first commercial waterless textile-dyeing machine.  Adidas expects to save 1.2 million liters of water by using DryDye technology over conventional methods.

Together with Thailand’s Yeh Group, one of the first textile mills to implement the technology, Adidas will be rolling out 50,000 DryDye T-shirts over the summer. Because a single tee can require up to 25 liters of water during the dyeing stage, Adidas expects to save an estimated 1.2 million liters of agua over the usual route.

This is only the beginning, according to Adidas. The manufacturer expects to use the DryDye process with more apparel pieces over the next few seasons.





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.





Ha Ha Yes Men: Shell Arctic Ready Hoax Was Masterful.

17 06 2012

The elaborate hoax that the Yes Men created – a faux ad campaign and official looking website for a supposed Shell Arctic Drilling campaign – fooled this blogger…and thousands of others.  We congratulate the Yes Men for their energy and creativity in coming up with a public relations approach that seemed all too plausible.  But Shell’s response may be just as stupid as if the campaign was real.

The campaign was created by Greenpeace and the Yes Men.

go behind the scenes at the Greenpeace website.

According to Wikipedia, The Yes Men operate under the mission statement of telling the truth and exposing lies. They create and maintain fake websites similar to ones they intend to spoof, which have led to numerous interview, conference, and TV talk show invitations. They espouse the belief that corporations and governmental organizations often act in dehumanizing ways toward the public.

In this highly provocative and realistic campaign they created against Shell, they certainly got a lot of attention to the issue of oil drilling in the fragile Arctic environment.  One of our favorite “ads” follows:

However, what may be even more perplexing than the hoax was the lack of any detectable response from the victim – Shell.

Are any of their PR wags on-line?  Are they tone-deaf to the internet?  Silence is golden?  Any brand under such devious assault needs a plan to respond.  From now to years to come, the assets created by this Yes Men hoax will be circulating with apparently a “mums the word”  response from Shell.  I stand behind the original post:  a most stupid brand is Shell.





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.





Gibbs & Soell: Only 21% of Americans Believe Business Is Committed To Going Green.

2 05 2012

In their 2012 Gibbs & Soell Sense & Sustainability study, the research demonstrates that public doubt that corporations are making a sincere commitment to going green continues to run high.

Despite their skepticism, the majority (71 percent) of consumers wants to know more about what companies are doing to become sustainable and green, and 75% feel the media are more likely to report on green business when the news is bad rather than good.

Read the summary report and news release announcing the results of 2012 Gibbs & Soell Sense & Sustainability Study at these links.

Key Findings:

  •  The general public and business leaders remain skeptical of corporate America’s commitment to sustainability. Only 21 percent of U.S. adults and 25 percent of executives believe that a majority of businesses (“most,” “almost all,” or “all”) are committed to “going green” – defined as “improving the health of the environment by implementing more sustainable business practices and/or offering environmentally-friendly products or services.”
  • While one-third of executives report having no green steward, up from years past, there is a trend toward dedicated teams for those who do. This year’s results show that 34 percent of executives indicate there is no one at their company who is responsible for sustainability or “going green” initiatives, up from 25 percent in 2011. More than one out of five (21 percent) corporate leaders report there is a team of individuals whose jobs are specifically and solely dedicated to sustainability, up from 17 percent in 2011 and 13 percent in 2010.
  • Most consumers and business executives also believe corporate sustainability activities are more likely to be covered by the media when the news is bad than good. The number is comparatively higher among consumers who are confident in corporate America’s commitment to “going green.” Three-quarters (75 percent) of U.S. adults and 69 percent of executives feel the media are more likely to report on “bad news” than “good news” when covering how companies are addressing efforts to “go green.” Specifically among the 21 percent of consumers who believe “most,” “almost all,” or “all” companies are committed to “going green,” 83 percent feel there is a bias for bad news in the media.

 Said Ron Loch, senior vice president and managing director, sustainability consulting, Gibbs & Soell. “The results reveal growing efforts by business communicators in relating their corporate responsibility stories, but also underscore a deficit in general understanding and trust.  It’s clear much more needs to be achieved in terms of relevant engagement with consumers and the media around corporate sustainability.”





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.





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.





UC Davis Study: Carbon Disclosure Boosts Stock Price.

9 02 2012

Companies that disclose information about their greenhouse gas emissions and carbon reduction strategies see their stock values rise.

“Companies should not be as reluctant as they have been to provide this information because we show that it can be shareholder-positive. Our message is that it pays to be green.” said Graduate School of Management Professor Paul Griffin.  Along with his co-author, Yuan Sun of UC Berkeley, Griffin tracked stock prices of firms around the time these companies voluntarily issued press releases disclosing carbon emission information. In the days after the press releases were issued, the companies saw their stock prices increase, Griffin and Sun found.

“When a company makes a voluntary disclosure of this kind, it signals to the investment community that this is a firm that is environmentally responsible,” Griffin said. “Investors are saying they would prefer to invest in an environmentally responsible firm.”

The study, “Going Green: Market Reaction to CSR Newswire Releases,” uses the archives of CSR Newswire to identify climate change related press releases issued by companies between 2000 and 2010. The researchers tracked the stock changes of the companies from two days before a press release was issued to two days after.

For the 172 companies identified as making voluntary disclosures, average stock prices increased just under a half percent in the five-day span around the disclosures, according to the study.

“This is evidence that managers’ voluntary climate change disclosures generate positive returns for shareholders,” Griffin said.

The study looked at voluntary disclosures only, so the authors could not definitively determine if required disclosures by all such companies would have yielded similarly favorable stock value increases.

However, to test their findings, the researchers compared stock movements of these companies to stock shifts of similar firms that did not disclose carbon emission information during the same time periods. The companies that did not disclose climate change information did not see a statistically significant increase in values, the study found.

“The matched sample companies do not behave the same way as the companies that disclose,” Griffin said. “If anything, in the matched sample, the price runs in the opposite direction.”

While much of the concern about greenhouse gas emissions has focused on energy and utility companies, the study by Griffin and Sun examined carbon emission strategies across a broad range of industries, including information technology, health care, telecommunications, and financial services, as well as energy and utilities.

The researchers analyzed separately the stock changes for smaller firms that disclosed carbon emission information. These firms saw an even greater effect on their stock values, with prices increasing 2.32 percent.

Compared with large firms, small firms are not followed as closely by analysts, and investors know less about them, so it makes sense that the release of climate change information would have a more pronounced effect, according to Griffin and Sun.

In recent years, companies have faced increased pressure from environmental activists and concerned shareholders to disclose their greenhouse gas emissions and to develop strategies to reduce them. Many firms have taken up the challenge, examining the environmental impacts of all aspects of their businesses, from supply chains to manufacturing processes to heating and air conditioning in office buildings.

Original post at Sustainable Brands





50 Fastest Growing Brands Serve a ‘Higher Purpose’

8 02 2012

 

New research on the world’s 50 fastest growing brands found a cause-and-effect relationship between a brand’s ability to serve a higher purpose and its financial performance.

Brand consultants Millward Brown and former Proctor & Gamble marketing officer Jim Stengel developed the list of 50 brands, which they say built the deepest relationships with customers while achieving the greatest financial growth from 2001-2011. Furthermore, investment in these companies – the Stengel 50 – over the past decade would have been 400% more profitable than an investment in the S&P 500.

The list includes numerous brands with strong reputations for sustainability, such as Method, Seventh Generation, Stonyfield Farm and Chipotle.

The study forms the backbone of Stengel’s book GROW: How Ideals Power Growth and Profit at the World’s Greatest Companies (Crown Business; December 27, 2011).

“We wanted to uncover which brands grew the most over the past decade, both in terms of customer bonding and shareholder value,” said Millward Brown Optimor VP Benoit Garbe, who led the study. “Once we identified these brands, our burning question was what, if any, were the common principles that sparked and sustained their growth.”

To arrive at the Stengel 50, Millward Brown Optimor valued thousands of brands across 30+ countries. The list included both B2B and B2C businesses in 28 categories ranging in size from $100 million in revenues to well over $100 billion:

Ideals – The Ultimate Growth Driver

A research team – comprising Millward Brown Optimor brand strategists, Jim Stengel, Professor Sanjay Sood and MBA students at UCLA Anderson Graduate School of Management – uncovered that the most successful brands were built on an ideal of improving lives in some way, irrespective of size and category.

“We define ideal as the higher-order benefit a brand or a business gives to the world,” said Stengel. “Some companies are very explicit about their ideals, like Zappos – their ideal of delivering happiness is on their boxes, all over their offices, even on t-shirts employees wear. Other brands, like Louis Vuitton, are more implicit about it. But all their actions – throughout their products, stores and communications – amplify their ideal to luxuriously accentuate the journey of life.”

Added Garbe, “We found that this ideal is both a source of inspiration externally among customers, as well as a compass for internal decision making. So whether it’s Red Bull which seeks to Uplift Mind and Body or Pampers which is all about Caring for Happy Healthy Development of Babies, an ideal influences all facets of the business from HR and Marketing to R&D and Finance.”

Through case studies, GROW demonstrates how brand ideals aren’t simply about altruism or corporate social responsibility but a fundamental human value that is authentic to the brand and ultimately a driver for extraordinary growth. In fact, Millward Brown Optimor’s analysis discovered that those who centered their businesses on ideals had a growth rate triple that of competitors in their categories.

How Ideals Impact the Consumer Mind

Millward Brown’s team also determined that the 50 brands touch on five fundamental human values:

  • Eliciting Joy: Activating experiences of happiness, wonder, and limitless possibility
  • Enabling Connection: Enhancing the ability of people to connect with each other and the world in meaningful ways
  • Inspiring Exploration: Helping people explore new horizons and new experiences
  • Evoking Pride: Giving people increased confidence, strength, security, and vitality
  • Impacting Society: Affecting society broadly, from challenging the status quo to redefining categories

The list of companies is as follows:

Accenture, management and enterprise consulting services

Airtel, mobile communications

Amazon.com, e-commerce

Apple, personal computing technology and mobile devices

Aquarel, bottled water

BlackBerry, mobile communications

Calvin Klein, luxury apparel and accessories

Chipotle, fast food

Coca-Cola, soft drinks

Diesel, youth- targeted fashion apparel and accessories

Discovery Communications, media

Dove, personal care

Emirates, air travel

FedEx, delivery services

Google, Internet information

Heineken, beer

Hennessy, spirits

Hermès, luxury apparel and leather goods

HP, information technology products and services

Hugo Boss, luxury apparel and accessories

IBM, information technology products and services

Innocent, food and beverages

Jack Daniel’s, spirits

Johnnie Walker, spirits

L’Occitane, personal care

Lindt, chocolate

Louis Vuitton, luxury apparel and leather goods

MasterCard, electronic payments

Mercedes-Benz, automobiles

Method, household cleaners and personal care

Moët & Chandon, champagne

Natura, personal care

Pampers, baby care

Petrobras, energy

Rakuten Ichiba, e-commerce

Red Bull, energy drinks

Royal Canin, pet food

Samsung, electronics

Sedmoy Kontinent (“Seventh Continent”), retail grocery

Sensodyne, oral care

Seventh Generation, household cleaners and personal care

Snow, beer

Starbucks, coffee and fast food retailer

Stonyfield Farm, organic dairy products

Tsingtao, beer

Vente-Privee.com, e-commerce

Visa, electronic payments

Wegmans, retail grocery

Zappos, e-commerce

Zara, affordable apparel

Original post at Sustainable Brands





Portfolio 21 Investments: PEAK > Investing at the edge of ecological limits.

16 01 2012

Congratulations to Portfolio 21 Investments in Portland for a remarkably blunt, clear and inspiring strategic approach to managing investments in “the age of volatility.”

In one of the most compelling presentations regarding the need to re-think investment criteria in a world of ecological crises, Portfolio 21 Investments calls for re-thinking traditional criteria for investment and puts forward a unique pov to navigate a new landscape.  They are making a commitment to factor in new levels ecological risks and to seek the rewards from those that are bringing forward innovation and new ways to confront new realities.

By evaluating companies’ energy and resource efficiencies as well developing new strategies for operating in an ecologically limited world, Portfolio 21 is bringing timely and refreshingly enlightened thinking to the investment sector.

Portfolio 21’s report cautions:  “Investors must be aware of a stark and fairly recent truth:  Our economic system has become so large that is is overpowering and threatening the natural systems that support it.  Our failure to anchor the economy within the earth and its systems facilitates a fallacy:  the belief that the economy can grow infinitely, regardless of the planet’s physical limits.”

Kudos to Portfolio’s 21 fresh and importantly provocative pov.  Let’s hope investors listen and companies heed the wisdom.

Get the PEAK report here.





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





KPMG: U.S. companies “scratching the surface” in Corporate Responsibility reporting.

2 12 2011

In its 18th year of tracking the reporting of Corporate Responsibility, KPMG has issued its latest annual CR Reporting survey.  KPMG analyzed the reports of 3400 companies in 34 different countries.  Among the findings, companies based in the U.S. are lagging behind other regions of the world in terms of the walking the walk vs. talking the talk on corporate responsibility.

According to KPMG, “Companies that can be seen as ‘Scratching the Surface’ are those that have the highest risk of failing to deliver on the promises they make in their CR report and/or targets they have set. These companies have chosen to focus more heavily on communicating their CR achievements effectively by choosing multiple channels and integrating CR in the regular annual reporting without focusing equally on the CR systems and processes. As a result, they may reach their audiences more effectively than the group that ‘is getting it right.’ However, they could also risk increasing feedback and pressure from their stakeholders, including their investors.”

Among other interesting insights and facts in the report include:

  • Of the 250 largest global companies, fully 95 percent now report on their CR activities. This represents a jump of more than 14 percent over the 2008 survey.
  • With almost half of the largest companies already demonstrating financial gains from their CR initiatives, and with the increasing importance of innovation and learning as key drivers for reporting, it is clear that CR has moved from being a moral imperative to a critical business issue.
  • Companies that continue to utilize only one channel of communication (such as an annual report) for their CR reporting will quickly find that they are losing ground to competitors who offer their data across multiple forms of media that appeal to a wider variety of stakeholder groups. However, the design of the specific systems and processes to facilitate this level of communication and specificity may prove complex for many organizations.

Download a copy of the KPMG Survey 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.








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