Sustainability: Not just a fad

... From Biz2Biz NWA June/July 2009

By Janie Pritchett-Clark

Of the belief that the current economy will put the kibosh on sustainability-oriented programs?

Even with crashing profits and jobs at risk, there’s evidence that companies who aggressively pursue sustainability will “put themselves in a position of unique strategic advantage,” writes David Almy, of ADC Partners marketing firm and professor at the University of San Francisco.
Why build sustainability programs into your brand? Here’s ADC’s top five.

1. Green has entered the mainstream. Demographic and psychographic research reveals people who shape purchasing decisions according to green sensibilities are no longer a niche audience.

2. Brands perceived as ethical benefit. Several studies suggest that brands associated with "ethical behavior" and "social responsibility" produce a direct, related benefit to the bottom line.

3. Sustainable brands may increase in value. Rapid consumer acceptance of green products and increased focus on corporate social responsibility has produced real world value for sustainable brands.

4. Consumer and Business focused brands both benefit from sustainability. Business-to-business companies are finding that sustainability and related messaging are no longer restricted to (or beneficial to) consumer-focused brands.

5. Sustainability-aligned brands can weather tough economic times. Research and sales data indicate that sustainable brands continue to perform well (and even outperform conventional products) despite the recent economic malaise.

According to Almy, corporate decision makers and marketing professionals, who suppress sustainability-oriented programs and messages would be akin to selling stocks at the bottom of a market cycle.

Aligning a company and its brand to sustainability has become an integral part of a business case. “Customers, stakeholders, business partners, employees, and others now expect that sustainability is part of a company and its brand. Backtracking on efforts to align with sustainability will ultimately prove more costly than continuing with planned activity,” Almy claims.