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How can sustainability communication succeed without greenwashing?

Companies are not only expected to integrate sustainability into their strategy and goals, but also to communicate this transparently. Customers, investors and society are placing an ever greater focus on companies' commitment to sustainability and politicians are also working on stricter guidelines. How can this commitment be communicated without a company being accused of greenwashing?

Sustainability communication offers companies many advantages

A 2020 study by the Capgemini Research Institute shows that half of consumers would switch to a lesser-known brand if it acted sustainably in return ¹. Around 90 percent explicitly want companies to operate in a sustainable and environmentally friendly manner ².

In addition, there is the advantage on the labor market: A study by StepStone from 2019 illustrates that three out of four employees would like to have a sustainable employer. To make their own sustainability strategy visible to the public, companies should report on their ecological commitment. But what is the best way to communicate?

The golden rule: calculation of emissions, reduction and CO2 compensation

At the outset, every company should make it clear that it is aware of the individual steps and the sequence of a sustainability strategy. First and foremost is the calculation and analysis of the CO2 balance, followed by the reduction target setting at the overall company level and its implementation. This is followed by CO2 offsetting, which applies to unavoidable emissions

Honesty and transparency are considered core elements of sustainability communication. In order to achieve this, the company's total emissions should be transparently disclosed, broken down into Scope 1 to 3. Existing measures for CO2 reduction as well as current measures and future targets, including specific data, should be communicated without fail - as should the proportion of emissions that are currently unavoidable and thus possibly offset. Here, it must be specified exactly what the offset relates to and for which year it is valid. It is also important to specify the exact project, including the standard, to which the contribution to the offset will be made. 

If, on the other hand, exaggerations, false statements or embellished representations are used, there is the accusation of greenwashing. The company risks losing its credibility.

Errors may be communicated openly

Admitting mistakes in planning or possible improvements also has a particularly sincere effect. In this way, companies show that mistakes can happen. The only important thing is to work through the cause and present a new plan in the same step. 

Communicate clearly and positively

Not everyone is familiar with sustainability, CO2 reduction, offsetting or carbon management, especially when it comes to details. All information in communications should therefore be presented simply and concisely, individual terms should be explained and as much as possible should be presented visually. For example, the company's carbon footprint can be made more tangible through comparisons with everyday life.

The topic of climate change is often communicated on most news channels from a pessimistic perspective and overwhelms many people. Therefore, when communicating the sustainability strategy, mainly positive aspects, the progress and successes of the company can be focused on. Even goals that could not be achieved in one year can be communicated positively with a new deadline and adjusted measures and make clear that work is being done on future implementation.

Depicting continuity and willingness to engage in dialog

Only through regular communication can trust in a company's commitment be strengthened and the sustainability strategy be understood as a core element of the corporate strategy and philosophy. There are many contents for this, such as environmental days, sustainable actions within the company, improved measures and goals, successful implementations and external commitment, such as planting trees in the team event. 

An open, honest willingness to engage in dialog with customers, partners, employees and other stakeholders is also important. If a company is able to listen and respond to questions, comments and criticism from the respective target groups, it will be appreciated and gain credibility. The website or the naming of contact persons in sustainability reporting, for example, offer opportunities for exchange. Social media channels can also be used to respond transparently to queries. 

‍Six basic principles of sustainable communication

Further guidance is provided by the UK Competition and Markets Authority's (CMA) guidance to help companies make the right claims about environmental communications. This lists six basic principles that should be adhered to when communicating sustainable activities and largely coincides with the measures already mentioned:

  • Accurate and truthful information
  • Clear and unambiguous claims
  • Information must not omit or hide important information 
  • Fair and meaningful comparisons
  • Information must take into account the entire life cycle of the product/all three scopes
  • Claims must be substantiated ³

Planted supports the implementation of strategy and communication

For credible sustainability communication, it is not enough to present individual measures in a positive light. It requires an overall sustainability strategy, which in turn is integrated into the corporate strategy. 

With Planted, we not only help companies to record their carbon footprint and analyze, reduce and offset CO2 emissions, but also provide support on how to communicate your company's commitment and report in compliance with CSRD. In this way, we offer companies a holistic solution for their sustainability commitment and provide support every step of the way.

Sources:

¹ A heart for sustainability: Eight out of ten consumers prefer to buy responsibly and environmentally friendly | Capgemini Germany

² https://www.presseportal.de/pm/152845/4829862

³ Making environmental claims on goods and services - GOV.UK (www.gov.uk)

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