Why do companies make environmental / green / sustainability claims?
- Because they know consumers overwhelmingly support companies that are eco-friendly.
Is consumer demand so great that a company will make claims, even if it knows they are not true?
- Per this, and other studies, 59% of executives admit their companies are greenwashing.
- Those same executives believe 75% of their peers are also greenwashing (which, they argue, is what is driving them to also exaggerate their achievements).
- 70% of Scope 3 figures are inaccurate.
What are these companies now facing?
- Government regulations are becoming tighter.
- Courts are becoming harsher.
- Activists are becoming more experienced.
- Fines and penalties are becoming larger.
- Environmental lawsuits have pierced the corporate barrier and are now going directly after directors and officers, individually.
There are a few solutions:
- Continue until caught and face the consequences.
- Remove all environmental claims from your communication and face the lost revenue.
- Become environmentally certified sustainable and have your advisor help you craft your communication within the parameters of the program you became certified under.
If this sounds interesting, read this on what you want in a sustainability program, watch this master class, and contact us.