Entrepreneurs and seasoned business owners alike tend to associate a negative connotation with the idea of eco-friendly business practices. When faced with an eco-friendly sales pitch, these professionals may shudder or even abruptly end the call. But why? It’s not unjustified to assume products that are good for the earth cost more but that assumption begs the question: if the cost of product goes up, does ROI go down? The simple answer: not necessarily. There are tons of reasons to opt for eco-friendly products and business practices beyond their benefits to the environment; studies show they may even drive an increase in sales and demand. In this post, we’ll…
- Dispel the myths
- Explore the unlikely invention of the ECO Score
- Demonstrate the eco edge against the competition
- Examine the positive consumer response
- Consider employee satisfaction impact
1. Let’s Dispel the Myths
It’s time to set the record straight about sustainability.
- It’s too expensive: Yes, some aspects of sustainable product manufacturing and sourcing can cost more than alternatives on the market, but that doesn’t guarantee a hit to your bottom line. Both intended and unintended benefits from a successful sustainability initiative have the ability to offset any additional costs… and then some!
- We’re already doing that: Your consumers are more perceptive than ever. While you may have integrated sustainability efforts into your business, it may not be what they’re looking for or you simply may not be talking about it enough. The vast majority (68%) of U.S. consumers say that in order to feel comfortable buying from a brand, they expect it to clearly take a stance on major social and environmental issues that align with its values1.
Read on for the benefits of doing business with sustainability in mind but first, a quick history lesson.
2. How a Mining Company Revolutionized Eco-Conscious Business
The year is 2015. The company is Hochschild Mining, a preeminent mining company that specializes in gold and silver mineral deposits. Hochschild wanted to contribute to a sustainable future by conducting business with responsibility and environmental concern in mind. Like many companies at the time, it was not able to tangibly express its environmental performance. So, the company came up with a new way to understand and manage its environmental footprint. Hothschild brought about what is now known as the ECO score, a single numeric value that allows companies to identify their environmental impact using the Product Environmental Footprint (PEF) method2. Not only did this score help the company drive its own footprint down, its development led to stellar public relations opportunities and a boost in positive public perception.
3. Triumph Over the Competition
Goldman Sachs recently conducted a study that revealed companies from six different industries, all of which are regarded as leaders in the ethos of sustainability, have beaten stock market numbers of non-eco-friendly competitors by 25%3. Think about it on a micro level. With sustainability incorporated in your business practices, you can make up to 25% percent more than the other guys on each and every sale you make. Sustainability delivers greater financial success for those who go green versus those who don’t.
4. Increased Brand Awareness
Consumers who report their preference of shopping green made it clear that they would spend 20% more on environmentally-friendly products and services3. These numbers are more than a mere indication that going green helps earn you more green. Sustainability efforts not only provide great public relations and social media content, they also translate well through word of mouth. Customer A tells a friend (Customer B) about your company’s stance, and they buy from you. Customer B shares your environmental policies with a co-worker (Customer C). Customers B and C say wonderful things about you, and your brand spreads organically. The awareness is driven up exponentially, as are your long-term profits.
5. New Employees, Longer Lasting Employees
There’s an old adage that your customers should be your top priority. However, entrepreneur and the host of the TV show The Profit, Marcus Lemonis, does not echo that sentiment. For him, employees are the top asset to a company. As he puts it, a customer’s happiness is of no consequence if your employees aren’t content4. Whether you wholeheartedly share this opinion or not, the importance of your employees and their satisfaction can’t be overlooked.
Members of the modern workforce span all ages, backgrounds, and demographics. So, it can be a challenge to understand all aspects of their preferences and, specifically, what causes they value most. One facet to most of them, however, is they largely want to work for an owner that considers the business’ environmental impact. In fact, 59% of US adults report being ‘disappointed’ in big name brands that still haven’t gotten their sustainability initiatives right1. Leadership’s stance on sustainable practices can significantly aid in gaining and retaining a larger pool of talent for many years to come.
The Takeaway
Like most movements, it has taken some time for companies to adopt widespread sustainability practices. But now, with knowledge gained, and yes, state and federal regulations firmly in place, businesses have largely changed their perspective. The desire to be more efficient and carve out a better carbon footprint has resulted in everyone from big corporations to mom-and-pop’s making changes for the better.
Can your company thrive while thinking environmentally? Yes. Will your bottom line be negatively affected if you subscribe to a green and clean theory? The research says, no. Can you have success with sustainability in your thought process? Absolutely.
Integrating custom print and promotional products while maintaining the integrity of sustainable thinking can be a daunting endeavor. We’re here to help! Save yourself the headache and rely on us to source, order and fulfill the best sustainable products for every application.
Can your company thrive while thinking environmentally? Yes. Will your bottom line be negatively affected if you subscribe to a green and clean theory? The research says, no. Can you have success with sustainability in your thought process? Absolutely.
Integrating custom print and promotional products while maintaining the integrity of sustainable thinking can be a daunting endeavor. We’re here to help! Save yourself the headache and rely on us to source, order and fulfill the best sustainable products for every application.
Contact us today to set up a call with a dedicated member of our team and, together, we can define how sustainability fits into your business.
