Sustainable businesses are set to take center stage as the global pandemic winds down, and companies should consider moving in the same direction. Apart from the current health crisis, the previous year was also primarily defined by the increasing need to address the worsening climate crisis. In this light, consumer preferences drastically shifted as their environmental awareness was heightened.
In fact, global business investments related to sustainability are nearing the $30 trillion mark. This goal will likely be achieved by the end of the year. Among these investments, sustainability consultancy services have become more prominent, particularly as companies strive to find solutions that significantly cut their environmental and even socio-economic impacts.
A Sustainable Transition
While there is an evident positive correlation between sustainable business and financial gains, it doesn’t necessarily provide a one-way ticket to success. Moreover, transitioning to sustainable options has also proven to be much more expensive compared to the alternative. It’s been observed that at least 33% of business leaders have yet to implement practices aligned with sustainability within their organizations.
Nonetheless, companies should begin their transition to sustainability as early as now. However, this shift must also be rooted in line with their priorities and the current business landscape. Enacting such a drastic change can prove challenging, especially if this particular trend wasn’t included in their initial business models from the get-go. Learn about some guidelines businesses should consider following to achieve an effective conversion.
Global shipping, which is the most common supply chain for businesses to receive and deliver supplies, is known to take up a huge chunk of resources. Not to mention the other downsides that it entails, including being time-consuming and environmentally harmful. Keeping this in mind, businesses should look into tapping their local economies to be more sustainable.
In certain instances, local solutions have been found to provide better quality supplies while cutting down on time it takes to acquire them. Additionally, changing supply chains and transitioning into a circular economy are also supported by the world’s accelerated digitalization. Numerous platforms and applications have been developed, making it much easier for businesses to connect with local suppliers.
These channels have, likewise, led companies to move away from big distribution centers to micro warehouses. These smaller centers also utilize technology like cobots, artificial intelligence, and machine learning for better stock management, which all boils down to less excess and wasted products.
Cater to the Demand
There is a genuine demand from consumers for businesses to become more sustainable as well. It’s been reported that at least two-thirds or 63 percent of global consumers favor brands that reflect their values and beliefs. Entrepreneurs should do well to cater to these growing preferences to attract more customers and convert more sales.
Most companies would often resort to “greenwashing,” which is usually done to put up an appearance of being more sustainable without actually implementing the appropriate practices. Avoid doing this as much as possible. In this regard, companies should consider adopting technologies that will make their business operations more transparent for their consumers.
This can easily be achieved through various online platforms, including social media and business websites. Businesses should provide consumers with ample access to information and resources that discuss a brand’s particular product or service.
Finally, it will generally come down to how businesses can successfully implement their sustainable practices without necessarily damaging their bottom lines. Companies will still need to profit if they hope to stay afloat, even more so in light of the current health crisis and the multiple disruptions it presents.
An easy way of doing this is through the use of digital marketing. Using various platforms to highlight a business’s sustainability is a must for it to widen its reach. Alternatively, investing in the establishment of green offices is also a good instance of incorporating sustainability into the brand and generate more attention in the long run.
Both of these avenues will not only prove to increase customer acquisition but talent acquisition as well. Businesses can accomplish this through different technologies and services widely available, from smart technologies for the office to green marketing agencies that put sustainability at the core of their operations.
The Future Is Green
Sustainability has effectively become a cornerstone for businesses hoping to succeed within the context of the global pandemic and even beyond it. Business leaders should make it a point to implement a compelling shift to sustainable practices throughout their organizations. The transition itself can be quite challenging and demanding. However, there is substantial evidence that indicates sustainability is the best way to move forward.