One Year After Sandy: Companies Push White House On Climate Action Plan

29 10 2013

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20 leading corporations – including Starbucks, Levis, Unilever and Mars -call on President Obama to follow through on climate change preparedness efforts outlined in the Climate Action Plan announced by the President on June 25th.

The corporate signatories of the letter, which rely on the stability of global supply chains for growth and profitability, cited the economic impacts of severe weather events on company operations and called for ongoing and significant investments to be made in strengthening climate change resiliency both in the United States and the world’s most vulnerable countries. Many of the signatories are members of Business for Innovative Climate & Energy Policy – a group of businesses advocating for meaningful energy and climate legislation.

Critical components of President Obama’s Climate Action Plan included federal investments in climate science, and support for disaster planning and risk management in multiple sectors. On the anniversary of one of the most catastrophic weather events in history, the companies reiterated the need for federal funding of programs and projects that benefit the most vulnerable communities and the businesses they rely on for employment, products and services.

“Our businesses depend upon a resilient infrastructure, resilient communities, and resilient value chains,” the companies wrote in a letter to President Obama today. “In recent years, severe weather events, combined with rising temperatures, have devastated critical infrastructure, decreased crop yields, and threatened water supplies. These trends are being felt globally… We call upon your administration to follow through on commitments for robust support of climate change resilience efforts.”

“Public investment in climate resilience is critical to the economic viability of companies we invest in that rely on consumers, labor, raw materials, and operations located in regions susceptible to extreme weather,” said Bennett Freeman, SVP for Sustainability Research and Policy at Calvert Investments. “We applaud the U.S. government for making investments in resilience and hope to see this strengthened in future years.”

“Extreme weather trends pose challenges to managing reliable supply chains and business planning,” said Anna Walker, Senior Director, Government Affairs and Public Policy at Levi Strauss & Co. “While Levi Strauss & Co. is committed to addressing its climate impact, we believe U.S. government leadership is essential for widespread action on climate resilience to strengthen communities and minimize economic disruption.”

The signatories recognized the Obama Administration’s efforts thus far to address climate change, and expressed support for public and private sector collaboration to continue advancing the implementation of the Climate Action Plan.

“The human and economic costs of severe weather are escalating and it is increasingly important that business and communities integrate climate risk into their operational and decision-making processes,” said Mark Way, Head of Sustainability Americas at Swiss Re America. “As experts on risk, everything we see points to the fact that climate change is something we simply cannot ignore.”





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.





Stay or Stall? Great Lakes Oil Shipping On Hold….For Now.

24 09 2013

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This week it was announced that a proposed crude oil shipping terminal on Lake Superior has been put on hold.   The proposed terminal would have shipped crude oil from the Bakken fields in North Dakota to be loaded onto oil tankers to be shipped to the East Coast.  As preposterous as this idea was in the first place, public pressure needs to be raised and continued to ensure that this proposal never comes up again.  Be it feasible or not.

Adolph Ojard, executive director of the Duluth Seaway Port Authority, was quoted in an article in the Minneapolis Star Tribune:   “It was one of those things that was a trial balloon being floated out there.  Economically, I don’t know if it really makes sense to move crude oil on the Great Lakes given the current conditions. It’s more efficient to move it by rail and pipeline.”

Thank god.  But economic conditions change and this idea needs to be permanently put to bed through public pressure and legislation.  There is much more at stake than economics.

Consider the Facts:

The Great Lakes make up the largest body of fresh water on Earth.

The Great Lakes contain one fifth of the freshwater surface on the planet, some 6 quadrillion gallons and 5,500 cubic miles of water.

The United States draws more than 40 billion gallons of water from the Great Lakes every day.

More than 35 million people rely on the Great Lakes for drinking water.

The Great Lakes support a $7 billion fishery industry and $16 billion tourism industry.

More than 800 toxic contaminants have already been identified in the Great Lakes water and sediment.

Even with these facts in hand, oil thirsty prospectors would consider shipping oil across this precious freshwater resource.   Many, many people would be thirsty if this plan goes ahead and inevitably awry.

Dangerous Waters

The combination of severe storms and unpredictable underwater topography make the Great Lakes on of the most dangerous bodies of water for navigation in the world.  The Great Lakes Shipwreck Museum approximates 6,000 ships have been lost – while historian and mariner Mark Thompson has estimated that the total number of wrecks is likely more than 25,000. In the modern period between 1816, when the Invincible was lost, to the sinking of the Fitzgerald in 1975, the Whitefish Point area alone has claimed at least 240 ships.  Proposed oil tankers necessarily would sail past Whitefish Point on Lake Superior from the terminal in Superior, Wisconsin to the Soo Locks.

What We Learned In Alaska

Wildlife, economies and people are still recovering from the devastating natural and economic disaster from a single wreck of the oil tanker Exxon Valdez in Prince William Sound in Alaska.  It is considered to be one of the most devastating human-caused environmental disasters. The Valdez spill was the largest ever in US waters until the 2010 Deepwater Horizon oil spill in terms of volume.  Prince William Sound’s remote location, accessible only by helicopter, plane, or boat, made government and industry response efforts difficult and severely taxed existing plans for response.   Many parts of the Great Lakes are equally inaccessible.

In 1991, following the collapse of the local marine population (particularly clams, herring, and seals) the Chugach Alaska Corporation, filed for bankruptcy protection. It has since recovered. According to several studies funded by the state of Alaska, the spill had both short-term and long-term economic effects. These included the loss of sports fisheries, reduced tourism, and an estimate of what economists call “existence value“, which is the value to the public of a pristine Prince William Sound.  The economy of the city of Cordova, Alaska was adversely affected after the spill damaged stocks of fish in the area. Several residents, including one former mayor, committed suicide after the spill.

But the disaster that was the Exxon Valdez happened in salt water.  People don’t drink salt water.

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 Share this article with any Great Lakes residents and lovers that you know.  Write your Congressman.  Start your own campaign.  If you are concerned about your future and the future of your family, please get engaged to prevent crude oil shipping on the Great Lakes.





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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Carbon Trust: 2/3 of public unable to name businesses that take sustainability seriously.

23 09 2013

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In a recent survey of more than 1,800 adults in the United Kingdom, The Carbon Trust Fund found that 68% of people were unable to name a company that is taking sustainability seriously.

In addition, just 5% of respondents see businesses as being most effective in helping the environment.  Despite the significant efforts many companies across the world are making to turn their business operations to more responsible and sustainable entities, the UK study underscores how poorly those companies are communicating their actions.

According to Tom Delay, the chief executive of Carbon Trust:

“While it’s clear that consumers still care about the environmental future, their perspective on where the responsibility falls is skewed. It cannot be solely down to environmental groups to shoulder the weight of protecting our planet’s natural resources. Businesses have an enormous role to play here and need to be seen to be doing their part.  As businesses look for more ways to grow, sustainability should become a golden opportunity for investment, allowing them to become more resilient to future environmental resource shocks and to cut their costs and grow their revenues. The smart companies will invest now and put sustainability inside their businesses.”

The same survey of UK adults did have some encouraging signs regarding concern for the environment.   The demand for green products appears to be increasing with only 6% saying they are less likely to buy a sustainable product and/or service than five years ago while almost three in ten (27%) said they are more likely.   Increased concern about the personal impact of what they buy on the environment was the most important reason for this (45%) and 43% of the public surveyed said they lead a more sustainable life than five years ago.





CDP Report: World’s Largest Companies Doing Little On Climate Change

17 09 2013

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“As countries around the world seek economic growth, strong employment and safe environments, corporations have a unique responsibility to deliver that growth in a way that uses natural resources wisely. The opportunity is enormous and it is the only growth worth having.” – Paul Simpson, Chief Executive Officer, CDP

Fifty of the 500 largest listed companies in the world are responsible for nearly three quarters of the group’s 3.6 billion metric tons of greenhouse gas emissions, so finds the CDP Global 500 Climate Change Report 2013 released this week. The carbon emitted by these 50 highest emitting companies, which primarily operate in the energy, materials and utilities sectors, has risen 1.65% to 2.54 billion metric tons over the past four years.

The report is co-written by CDP, formerly known as the Carbon Disclosure Project, and professional services firm PwC. It provides the most authoritative evaluation of corporate progress on climate change.

Inadequate momentum to mitigate climate change is also true of the biggest emitters found in each of the ten sectors covered in the report. Titled Sector insights: what is driving climate change action in the world’s largest companies, the new publication includes industry-specific analysis which shows that the five highest emitting companies from each sector have seen their emissions increase by an average of 2.3% since 2009.

Guardian Sustainable Business offered a biting analysis of the report, concluding companies are making little progress in addressing climate change.

“For all the talk of companies taking the threat of climate change seriously, the latest evidence shows the corporate sector is failing to respond in a meaningful way to the threat of environmental catastrophe,” wrote GSB’s Jo Confino.

Paul Simpson, CEO at CDP says: “Many countries are demonstrating signs of recovery following the global economic downturn. However, clear scientific evidence and increasingly severe weather events are sending strong signals that we must pursue routes to economic prosperity whilst reducing emissions of greenhouse gases. It is imperative that big emitters improve their performance in this regard and governments provide more incentives to make this happen.” 

While the biggest emitters present the greatest opportunity for large-scale change, the report identifies opportunities for all Global 500 companies to help build resilience to climate and policy shocks by significantly reducing the amount of carbon dioxide they produce each year. For example, the emissions from nearly half (47%) of the most carbon intensive activities that companies identify across their value chains are yet to be measured. The lack of detailed reporting and information of GHGs from sources related to company activities (Scope 3 emissions), as opposed to those from sources owned or directly controlled by them, may lead companies to underestimate their full carbon impact.

Malcolm Preston, global lead, sustainability and climate change, PwC says: “The report underlines how customers, suppliers, employees, governments and society in general are becoming more demanding of business. It raises questions for some organizations about whether they are focused on sustaining growth in the long term, or just doing enough to recover growth until the next issue arises. With the initial IPCC report only weeks away corporate emissions are still rising. Either business action increases, or the risk is regulation overtakes them.”

Companies that demonstrate a strong commitment to managing their impact on the environment are generating improved financial and environmental results. Analysis of the corporations leading on climate progress, as based on CDP’s acclaimed methodology and including BMW, Nestlé and Cisco Systems, suggests that they generate superior stock performance. Further, the businesses that offer employees monetary incentives related to energy consumption and carbon emissions are 18% more successful at accomplishing reductions.

The CDP Global 500 Climate Change Report 2013 is available to download free. It launches this week at CDP’s annual Global Climate Forum which is broadcast live online. The public disclosures of climate change information from Global 500 companies taking part in CDP this year are also available on the CDP website. Over 4,500 businesses in markets around the world have disclosed through CDP this year. Their data will be disseminated to investors via various channels, such as Bloomberg terminals, where it is downloaded an average of 1 million times every six weeks.

Read the CDP Report here

Adapted from an original article at Sustainable Industries blog here





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/





Gallup: 58% of Americans worry about global warming.

2 05 2013

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A new Gallup survey of American adults shows rising belief and continued concern about global warming, with 58% say they worry about it.

More specifically, 33% of Americans worry about global warming “a great deal,” 25% worry “a fair amount,” 20% “only a little,” and 23% “not at all.”

Public concern about global warming has waxed and waned over the past two decades, ranging between 50% and 72%. The average percentage over time for “worrying a great deal/fair amount” comes in at just under 60%, similar to the March 7-10 reading from Gallup’s 2013 Environment poll.

The same poll finds 54% of Americans saying the effects of global warming have already begun. This also matches the average in Gallup trends on this measure since 1997. The low points were recorded in 1997 and 2011, when less than half thought global warming’s effects were already manifest. The high point was recorded in 2008, at 61%. This year’s percentage represents a slight increase from the lows reached just a couple of years ago.

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Gallup trends throughout the past decade — and some stretching back to 1989 — have shown generally consistent majority support for the idea that global warming is real, that human activities cause it, and that news reports on it are correct, if not underestimated. However, those views have shown significant variability.

Americans’ concerns about global warming peaked at points in the late 1980s and the late 1990s, and again between 2006 and 2008, possibly related to strong environmentalist campaigns to raise awareness of the issue at those times — including the release of Al Gore’s “An Inconvenient Truth” in 2006.

Conversely, concerns receded in 2009 and 2010, particularly among Republicans and conservatives, corresponding with a flurry of publicity about scientists who doubt global warming is caused by human activities, as well as some controversy about global warming research. With all of this dying down somewhat in the last few years, attitudes are returning to previous levels, putting them near the long-term averages.

In contrast to majority acceptance of global warming as real, Gallup finds Americans less than alarmed. One-third worry “a great deal,” and 34% expect it to threaten their way of life. These could be the attitudes that matter most when it comes to Americans’ support for public policies designed to address the issue.





U.S. Business Leaders Urge Strong Policy Action on Climate Change

11 04 2013

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As the President unveils his budget for the coming year, 33 major U.S. companies, including eBay Inc., Nike and Limited Brands signed a “Climate Declaration,” urging federal policymakers to take action on climate change, asserting that a bold response to the climate challenge is one of the greatest American economic opportunities of the 21st century.

“The signers of the Climate Declaration have a clear message for Washington: Act on climate change. We are, and it’s good for our businesses.  The cost of inaction is too high. Policymakers should see climate change policy for what it is: an economic opportunity.” said Anne Kelly, Director of BICEP (Business for Innovative Climate & Energy Policy) coalition. 

Together, the Declaration signatories provide approximately 475,000 U.S. jobs and generate a combined annual revenue of approximately $450 billion. Extreme weather events like Hurricane Sandy have affected several Climate Declaration signatories and exposed the United States’ economic vulnerability to climate change.  Signatories of the Climate Declaration are among the country’s best-known consumer brands, including Starbucks, Levis EMC Corporation, IKEA, Jones Lang LaSalle, L’Oréal, the North Face, the Portland Trail Blazers, Timberland and Unilever, among others.

“From droughts that affect cotton crops to Hurricane Sandy, which caused extensive damage to our operations, climate affects all aspects of our business,” said Eileen Fisher, CEO of New York-based apparel firm Eileen Fisher, which suffered severe damage and business interruption during the 2012 storm. “As a socially and environmentally responsible company, we are trying to affect positive change, but business can’t do it alone. We need the support of strong climate legislation.”

The signatories of the Climate Declaration are calling for Congress to address climate change by promoting clean energy, boosting efficiency and limiting carbon emissions – strategies that these businesses already employ within their own operations.

“Businesses understand that planning for a successful future takes investment today. One of the most important things Congress can do to grow our economy and protect our planet is to pass smart climate change legislation this year. Our workforce, supply chain and consumers are counting on us to lead the way,” said Anna Walker, Director, Government Affairs and Public Policy at Levi Strauss & Co.

BICEP members have supported several climate-driven policies, including historic automotive fuel economy standards signed into law in 2012 and the extension of the Production Tax Credit for wind power. Innovation within the transportation, electric power sectors and IT sectors, among others, will be essential to meeting the climate challenge.

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“eBay Inc. is committed to driving a future for commerce that embraces clean energy innovation and is ultimately more sustainable,” said Lori Duvall, Global Director, Green at eBay Inc. “Our efforts extend across our data, employee and distribution center portfolios, our shipping and logistics infrastructure, as well as the actions of buyers, sellers, and merchants on our platforms. We see our participation in this coalition as a key element in bringing to life our vision for enabling greener forms of commerce over the long term.”

The Climate Declaration comes on the heels of the President’s renewed commitment to combat the threat of climate change and a recent study from Ceres, Calvert Investments and WWF indicating that a strong majority of Fortune 100 companies have set renewable energy or greenhouse gas reduction goals. Recent polls conducted by Gallup and Yale University, respectively, indicate that a majority of Americans believe climate change is happening and that corporations, as well as government officials, should be doing more to address the issue.





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.

Click to access 2013_cone_communications_green_gap_trend_tracker_press_release_and_fact_sheet.pdf





PwC: Businesses need to be prepared for unpredictability – whether that’s policy, climate or consumer change.

13 03 2013

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PricewaterhouseCoopers, the world’s largest professional services firm, points to a catastrophic future unless radical action is taken now to combat climate change.

“The new normal for businesses is a period of high uncertainty, subdued growth and volatile commodity prices. If regulatory certainty doesn’t come soon, businesses’ ability to plan and act – particularly around energy, supply chain and risk – could be anything but ‘normal’.” said Malcom Preston, PwC’s global lead, sustainability and climate change. 

PwC says any investors in long-term assets or infrastructure — particularly in coastal or low-lying regions — need to consider more pessimistic scenarios. Sectors dependent on food, water, energy or ecosystem services need to scrutinise the resilience and viability of their supply chains. More carbon-intensive sectors need to anticipate more invasive regulation and the possibility of stranded assets.

The trigger for its dire warning comes from the failure of the global community to reduce carbon emissions by anywhere near the amount needed to restrict temperature rises.

“Business leaders have been asking for clarity in political ambition on climate change,” says partner Leo Johnson. “Now one thing is clear: businesses, governments and communities across the world need to plan for a warming world – not just 2C, but 4C or even 6C.”

PwC’s latest report shows the required improvement in global carbon intensity to meet a 2C warming target has risen to 5.1% every year from now to 2050. The improvement in 2011 was just 0.7% despite the global economic slowdown, and since the turn of the century the rate of decarbonisation has averaged 0.8%.

“It’s the boy scout motto – be prepared,” says Jonathan Grant, PwC’s director for sustainability and climate change. “Businesses need to be prepared for unpredictability – whether that’s policy, climate or consumer change. Extreme weather events have become more common, and unpredictability looks set to increase. Businesses that have failed to prepare will find it difficult to keep their operations running smoothly as the risk of disruption increases.

PwC, the largest of the big four accounting firms, points out that even if the 5.1% improvement might be achievable in the longer term, it is unrealistic to expect that decarbonisation could be stepped up immediately – which means that the reduction required in future years is likely to be far greater.

“We have passed a critical threshold – not once since the second world war has the world achieved that rate of decarbonisation, but the task now confronting us is to achieve it for 39 consecutive years,” says the report.

It adds: “Even doubling our current rate of decarbonisation would still lead to emissions consistent with 6 degrees [C] of warming by the end of the century. To give ourselves a more than 50% chance of avoiding 2 degrees [C] will require a six-fold improvement in our rate of decarbonisation.

“Governments’ ambitions to limit warming to 2C now appear highly unrealistic. This new reality means that we must contemplate a much more challenging future. Whilst the negotiators continue to focus on 2C, a growing number of scientists and other expert organisations are now projecting much more pessimistic scenarios for global temperatures. The International Energy Agency, for example, now considers 4C and 6C scenarios as well as 2C in their latest analysis.”

Grant add: “Tools like real options analysis, developed as part of the investment decision-making process in the oil industry for example, analyse the impact of significant uncertainty on a decision.

“Working with our clients, the reality is we will have to advise on a much wider range of climate scenarios. Resilience is the watch word. Businesses need to get engaged on the areas materially relevant to their business. For example if you’re a consumer goods company you need to consider the longer-term security of supply of the resources you need, where you will source them from, and the more day-to-day issues of how you deal with the potential for disruption to their supply or delivery caused by extreme weather events.”

PwC’s report says there will need to be radical transformations in the ways the global economy currently functions, a rapid uptake of renewable energy, sharp falls in fossil fuel use or massive deployment of carbon capture and storage, removal of industrial emissions and halting deforestation.

It also warns against seeing the dash for gas as a long-term panacea. While the boom of shale gas in the United States may buy some time to help limit emissions growth, low prices may also reduce the incentive for investment in lower-carbon nuclear power and renewable energy.

This post is adapted from an original article in The Guardian.  

http://www.guardian.co.uk/sustainable-business/blog/pwc-climate-change-reduction-business-investments





GlobalScan: Environmental Concerns At 20 Year Lows

12 03 2013

Cloud formation in the shape of a map of the world, over a green field

Environmental concerns among citizens around the world have been falling since 2009 and have now reached twenty-year lows, according to a multi-country GlobeScan poll.  Asked how serious they consider each of six environmental problems to be — air pollution, water pollution, species loss, automobile emissions, fresh water shortages and climate change — fewer people now consider them “very serious” than at any time since tracking began twenty years ago.

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A total of 22,812 people from 22 countries were interviewed face-to-face or by telephone as part of the GlobeScan Radar annual tracking poll during the second half of 2012. Twelve of the represented countries have been regularly polled on environmental issues since 1992.

“Scientists report that evidence of environmental damage is stronger than ever—but our data shows that economic crisis and a lack of political leadership mean that the public are starting to tune out,” says GlobeScan Chairman Doug Miller. “Those who care about mobilizing public opinion on the environment need to find new messages in order to reinvigorate a stalled debate.”

Climate change is the only exception, where concern was lower from 1998 to 2003 than it is now. Concern about air and water pollution, as well as biodiversity, is significantly below where it was even in the 1990s. Many of the sharpest falls have taken place in the past two years.

The perceived seriousness of climate change has fallen particularly sharply since the unsuccessful UN Climate Summit in Copenhagen in December 2009. Climate concern dropped first in industrialized countries, but this year’s figures show that concern has now fallen in major developing economies such as Brazil and China as well.

Despite the steep fall in environmental concern over the past three years, majorities still consider most of these environmental problems to be “very serious.” Water pollution is viewed as the most serious environmental problem among those tested, rated by 58 percent as very serious. Climate change is rated second least serious out of the six, with one in two (49%) viewing it as “very serious.”





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.




World Bank: Bleak Future Without Action

2 02 2013

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World Bank President Jim Yong Kim was interviewed recently in The Washington Post about Climate Change and its impact  on populations of people around the world.

“If there is no action soon, the future will become bleak. The World Bank Group released a report in November that concluded that the world could warm by 7.2 degrees Fahrenheit (4 degrees Celsius) by the end of this century if concerted action is not taken now.” said Yong Kim.

Especially vulnerable will be the largest population centers around the world who live near the oceans – who are expected to rise with melting polar ice.

He continued, “A world that warm means seas would rise 1.5 to 3 feet, putting at risk hundreds of millions of city dwellers globally. It would mean that storms once dubbed “once in a century” would become common, perhaps occurring every year. And it would mean that much of the United States, from Los Angeles to Kansas to the nation’s capital, would feel like an unbearable oven in the summer.”

Among the long-range scientific forecasts cited in the report, significant climate change is expected in key regions in the world.

• Drier conditions are projected for southern Europe, Africa(except some areas in the northeast), large parts of North America and South America, and southern Australia, among others.

• Wetter conditions are projected in particular for the northern high latitudes—that is, northern North America, northern Europe, and Siberia—and in some monsoon regions. Some regions may experience reduced water stress compared to a case without climate change.

• Sub-seasonal and sub-regional changes to the hydrological cycle are associated with severe risks, such as flooding and drought, which may increase significantly even if annual averages change little.





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

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

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

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

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

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

Read the Climate Counts Report here.





SIF Foundation: Sustainable and Responsible Investing Up 22%

27 11 2012

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Sustainable and responsible investing (SRI) accounts for 11.23 percent of all assets under professional management in the United States at year end 2011. According to the report, $3.74 trillion out of $33.3 trillion of investment assets is held by individuals, institutions, investment companies or money managers that practice SRI strategies.

This total, an increase of 22 percent since year end 2009, reflects growing investor interest in considering environmental, community, other societal or corporate governance (ESG) issues to refine how they make decisions as they select and manage their portfolios or raise their voices as shareholders.

The new 2012 Report on Sustainable and Responsible Investing Trends in the United States, released today by the US SIF Foundation, found that the total net assets of both mutual funds and alternative investment funds that consider ESG criteria increased significantly:

Mutual Funds: $641 billion, a doubling from 2010.

Alternative Investment Funds: $132 billion, a 250 percent increase from the corresponding assets identified at year-end 2009.

The report also found sizable growth in financial institutions that have a mission of serving low and middle-income communities:

Community Development Banks: $30.1 billion, a 74 percent increase since 2010.

Credit Unions: $17.1 billion, a 54 percent increase from 2010.

Importantly, the report found a significant increase of institutional investor assets involved ESG criteria related to environmental issues since the last report published in 2010.  It now represents $636 billion, 43 percent increase from 2010. Climate change is now considered by 23 percent of institutional asset owners incorporating ESG criteria.

In a statement, Lisa Woll, CEO of US SIF said, “The 2012 Trends report demonstrates that we are moving closer to a sustainable and equitable economy.  From the growth in mutual funds that consider ESG criteria and increased investment in community development banks and credit unions to increasingly large votes on shareholder proposals and the availability of sustainable investment options across asset classes, SRI strategies are on the rise in the United States. We are pleased that this report details many important and interrelated trends that indicate that sustainable and responsible investing will continue its impressive growth and impact.”

About US SIF:

The Forum for Sustainable and Responsible Investment is the US membership association for professionals, firms, institutions and organizations engaged in sustainable and responsible investing. The 2012 Report on Sustainable and Responsible Investing Trends in the United States is a publication of the US SIF Foundation, a 501c3 organization that undertakes educational, research and programmatic activities to advance the mission of US SIF.

 





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





Method: Progress On Ocean Plastic

24 08 2012

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

.Commercializing the rising tide of ocean plastic

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

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

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

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

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

Read the full article here.





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.





Project Earth: School kids worldwide unite to solve environmental problems.

21 06 2012

In advance of the Rio+20 summit this week, winners were announced in the Project Earth competition recognizing the best school projects addressing environmental problems from around the world.  More than 2,400 schools and clubs from 117 countries are currently participating in Project Earth, creating real projects to improve our global environment. All winners are featured on the Project Earth (www.projectearth.net) website.  

Congratulations to all the winners and kudos to the kids who are stepping up to protect the planet even while their leaders debate and deny.

Highlights of a press release announcing the winners are featured below.

Whether or not their countries agree to move forward, thousands of schools representing 117 countries are collaborating to solve the world’s biggest environmental problems. As today’s world leaders gather at the RIO+20 Conference to define pathways toward a more resilient and sustainable world, tomorrow’s world leaders were also recognized. The best school projects from around the world were announced at the conference today.

Project Earth is an online forum created to foster environmental and cultural exchange, networking schools and clubs around the world. Recognizing that environmental issues are global, that tomorrow’s leaders must be prepared to work across borders and cultures, and that technology makes connecting on a global scale more accessible than ever, Project Earth is a space where classes and clubs can post environmental projects of all kinds and begin to network with like-minded students around the world.

Partner countries like Chile, Russia, Brazil, and the United Arab Emirates have embraced Project Earth on a country-wide scale and global outreach efforts have contributed to Project Earth’s swift growth — from ten participating countries 18 months ago to 117 countries today.

Maurice Strong, the first executive director of the UN Environment Programme and Secretary General of the first Rio Earth Summit, congratulated this year’s Project Earth World Environment Day project winners at the RIO+20 conference. “In embracing Project Earth’s power to foster global collaboration and understanding, these students and educators assume a leadership role in our collective future,” said Strong. “These projects are pioneering examples of the kind of environmental stewardship that can and will make a difference.”

Project Earth was launched in late 2010 by Ecology and Environment, Inc. (E & E). E & E president and CEO Kevin Neumaier is encouraged by the quality of this year’s contest entries. “These are meaningful projects, like keeping grease out of the sewers, reclaiming biodiversity by harnessing community involvement, and creating gardens out of what once went to the landfill,” he said. “The students go energetically and quickly toward solutions and work in creative and innovative ways — their enthusiasm illustrates that collectively we can all have a genuine impact.”





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.





EIRIS: Puma Is The World’s Most Sustainable Corporation.

3 05 2012

In researching more than 2,000 large global corporations, EIRIS has ranked the top ten global companies when it comes to sustainable practices.  No U.S. based companies were ranked in the top ten.

Puma was ranked first based on its exceptional environmental management systems and reporting practices.  It also has comprehensive policies for equal opportunity employment, workplace health and safety, and workforce training and development.

The rest of the most highly ranked sustainable companies included:

  1. Puma (Germany)
  2. First Group (UK)
  3. National Australia Bank
  4. GlaxoSmithKline (UK)
  5. Roche (Switzerland)
  6. Novartis (Switzerland)
  7. Phillips Electronics (Netherlands)
  8. Deutsche Boerse (Germany)
  9. NovoNordisk (Denmark)
  10. The GoAhead Group (UK)

The EIRIS research also ranked corporate sustainability performance by geographic region, with companies from the United Kingdom getting the greatest number of A grades, while only 2% of U.S. companies received an A.  The vast majority (91%) of U.S. based companies received a C or lower grade.

You can read the EIRIS report here.





Gfk MRI: Falling Behind On Buying Green.

16 04 2012

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

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

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

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

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

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

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

Original post on Sustainable Brands





Nielsen: The Global, Socially Conscious Consumer

28 03 2012

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

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

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

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

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

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

 

 





Ogilvy Earth. Mainstream Green. Bridging the Green Gap.

27 03 2012

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

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

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

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

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

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

1. Make it normal.

2. Make it personal.

3. Create better defaults.

4. Eliminate the sustainability tax.

5. Bribe shamelessly.

6. Punish wisely.

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

8. Lose the crunch.

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

10. Make it tangible.

11. Make it easy to navigate.

12. Tap into hedonism over altruism.

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

Mainstream Green Report from Ogilvy Earth