In recent years, there has been a massive uptick in consumer interest in the Environmental, Social, and Governance (ESG) performance of brands they interact with. Consumers, investors, and other stakeholders are demanding more transparency and accountability from companies regarding their impact on the environment and society. A survey by Nielsen found that 81% of respondents feel strongly that companies should help improve the environment.

A changing demographic creates a fresh opportunity for companies to meet end-user demand in a dimension where their traditional competition is unprepared, and fast-movers can very quickly position themselves as industry leaders in sustainability.

Sustainable business practices have a huge impact on a brand's image and reputation. Companies that are able to successfully adapt & incorporate sustainability into their branding will be able to enhance their reputation and attract more customers.

You already see this theme playing out in some of the most competitive industries across the world.

Here are three of our favourite examples you can learn from:

​Patagonia:

This outdoor clothing brand has long been committed to sustainability and ethical business practices. They use recycled materials in their clothing, donate the bulk of their profits to environmental causes, and have been vocal about issues like climate change and protecting public lands. Their commitment to sustainability has helped them build a loyal customer base that values environmental responsibility.

​​Unilever:

​This multinational consumer goods company has made sustainability a core part of its business strategy. They have set ambitious targets for reducing their environmental impact and have made significant progress towards these goals. They have also launched a number of sustainable products, like their concentrated laundry detergent that uses less packaging and resources. Unilever's commitment to sustainability has helped them build a positive reputation and attract customers who value responsible business practices.​

Tesla:

This electric vehicle company is known for its commitment to sustainability and reducing carbon emissions. They have disrupted the automotive industry by offering electric cars that are stylish, high-performance, and environmentally friendly. Tesla's branding emphasises its commitment to sustainability and has helped them build a loyal customer base of environmentally conscious consumers.

These companies demonstrate that incorporating ESG and sustainability into branding can be a successful strategy for building customer loyalty and improving reputation. Consumers are more likely to buy from companies that share their values and have a positive impact on society and the environment. Furthermore, companies that adopt sustainable practices can save costs in the long run by reducing waste and becoming more efficient.

Companies that are able to keep up with the latest stakeholder expectations ultimately benefit not themselves, but also the environment and society at large. However, incorporating ESG into branding also presents challenges. Companies may face increased costs when trying to incorporate ESG and sustainability into their branding. There may also be potential conflicts with company values, and operational concerns when starting off.

Fortunately, Oren's expertise in ESG can help you overcome these challenges and guide you through every step of your sustainability journey. From figuring out where you currently stand, to setting and tracking your sustainability goals - our software solutions support you in building out a successful ESG strategy.

Irrespective of where you are on your ESG journey, Oren has a solution for you. Contact us today to speak to our panel of experts that are right for your industry.

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