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Why sustainability matters for business | Feefo

Written by Admin | Apr 24, 2023 9:43:00 AM

Consumers are becoming increasingly aware of the impact their purchasing decisions have on the environment. So how can businesses communicate their sustainable efforts to the savvy consumer without greenwashing? Feefo has the solution.

With the recent Intergovernmental Panel on Climate Change (IPCC) report showing that the effects of climate change are escalating, sustainability and the environment are more important than ever.  

We know many companies recognise the importance of implementing sustainable practices in order to reduce their environmental impact. But sustainability isn't just good for the environment - it's good for business too 

At its heart, sustainability refers to the ability of an organisation to meet the needs of the present without compromising the ability of future generations to meet their own needs. It encompasses a range of interconnected economic, social, and environmental factors that impact a business’s long-term health and success.  

The United Nations Sustainable Development Goals (SDGs) aim to address these economic, social, and environmental factors. And these goals form the basis of our Feefo Sustainability Awareness Solution, which allows businesses to demonstrate the positive steps they are taking.

 

How sustainability can benefit a business 

Firstly, sustainability can help companies save money. By reducing their energy consumption and waste output, companies can lower operating costs and increase profits. For example, using renewable energy sources like solar or wind power is often cheaper in the long run than relying on non-renewable sources like fossil fuels. Similarly, implementing recycling programs can reduce waste disposal costs and provide companies with valuable raw materials for production. 

In addition to cost savings, sustainability can now help companies attract and retain customers. Consumers are becoming increasingly aware of the impact their purchasing decisions have on the environment and are often willing to pay more for products and services that are produced sustainably. By proving their sustainable practices, companies can differentiate themselves from competitors and appeal to environmentally-conscious consumers. 

Sustainability also benefits companies by improving their brand reputation. Environmentally responsible organisations are often viewed more positively by consumers, which can lead to increased brand loyalty. In addition, many investors are also looking for companies that focus on sustainability, as they see it as a sign of good corporate governance and long-term financial stability. That’s not all. It can help organisations attract and keep the best employees in the market. A survey by IMB showed that 71% of job seekers want to work for companies that take their sustainability obligations seriously. In fact, in a separate study, 75% of millennials said they’d be happy to work for less money at a company that shared their values on things like sustainability  

Finally, sustainability can also help companies comply with regulations and avoid legal penalties. As governments worldwide continue to tighten environmental regulations, companies that fail to implement sustainable practices may face fines or legal action. By proactively adopting sustainable practices, companies can avoid these risks and guarantee compliance with environmental regulations.

 

How to showcase your sustainability achievements 

So, if you’re making strides when it comes to sustainability, it makes sense to let others know about it - whether that be customers, clients, investors, or employees. But people are increasingly wary of greenwashing, with a government survey indicating around 40% of consumers do not trust sustainability claims made by companies. 

One answer to this is to get your sustainability achievements verified. Feefo is known and respected for its verified reviews. Now we offer sustainability verification too, in the form of ecolabels. 

Following successful accreditation, companies can display clear, recognisable, sustainability ecolabels for specific steps they take. There are six categories, and they cover:  

  • Stable climate
  • Clean Planet
  • Responsible resource use and production
  • Healthy people
  • Thriving communities
  • Protecting biodiversity and animal welfare

Find out more about how Feefo’s Sustainability Awareness Solution can benefit your business online, orget in touch with one of our team by email: sales@feefo.com or call us on 0203 362 4209.