As 2010 draws to a close, it certainly feels like it's been quite a year. The heralding in of a new Lib-Con coalition government. Wikileaks pushing the limits on transparency and showing how activists the world over can open up cyber warfare on the corporate world. The desperation of the UN's Copenhagen climate conference and the last minute reprieve at the most recent Cancun meeting (even if it was just on the easy bits). And of course the ups and downs of the financial markets as we try to work out whether we're seeing the green shoots of recovery or a false dawn.
In amongst all that we have seen the continued rise of sustainability in the corporate sector. There has been lots of activity as businesses continue to make changes to the way they do things. And during 2010 we have seen some serious public commitments from many major brands around their sustainability strategies and visions.
Just look at Unilever who,following hot on the heels of similar long-term targets set by rival Procter & Gamble, are aiming to double sales while cutting the water, waste and carbon impacts of its products by 2020 - including sourcing 100% of its agricultural raw materials sustainably by 2015. Many of the broadsheets and even Marketing Week made Paul Polman's (CEO of Unilever) commitment to sustainability headline news.
Or look at Marks & Spencer launching its programme to be the world's most sustainable retailer by 2015, a vision underpinned by 80 major new commitments under its eco and ethical strategy, Plan A.
And if you look at some sectors, we are seeing consumer confidence growing - including the coffee shop sector. As we found in this month's Concerned Consumer Index (CCI), nearly 50% of consumers (up 10% from 2009) now think the sector is doing enough to address its social and environmental impacts. However, as we pointed out in our recent article this month in the Times, although progress has certainly been made, there is a danger that focusing on one issue (i.e. fair trade) to the detriment of others may mean consumer confidence is short lived.
When we survey the landscape more broadly however, what is most striking is not how many companies have gone down this line (despite the progress of some) but rather how few. Not that most companies aren't taking steps to make their businesses more sustainable, by and large this activity is going on. But what they're not doing is telling people about it in a compelling way, through their products and services. Marketing and sustainability still seem to sit on opposite sides of the table in most companies, when what's really needed is for them to come together. That's when sustainability can really ring through. So one of our hopes for 2011 is that it's the year when Marketing start applying their power and creativity to the sustainability stories of their brands - the subject of a recent speech I made at a CarbonNeutral company event.
Perhaps it's not surprising then that the US Sense Sustainability Study conducted earlier this year found that only 16% of consumers believe the majority of businesses are committed to sustainability. And according to a recent TerraChoice survey, 95% of consumer products claiming to be green are committing at least one of the "sins" of greenwashing.
A report recently released by Whitbread, owners of Costa Coffee, on sustainability in the hospitality sector hints at a desire by some in the sector to go further. The report called the Future of Sustainable Hospitality suggests 'Ten Recommendations for Action' for the sector. All good grist to the mill for our latest not-for-proift venture the Sustainable Restaurant Association which have secured over 500 members in 2010 (not bad for less than a year's work).
As we all start to turn our attention to the eating, drinking and being merry the season demands (hopefully at an SRA member venue), will you be counting the calories? According to our latest CCI survey 79% of us think putting calories on menus is a good idea and 66% think being aware of the calories might affect what they choose to eat. Not sure whether you will all be putting calorie cards around the Christmas table, but it is certainly clear that consumers would like additional information.
The big question, however, is what information actually works best? At the recent eco:Drive white paper launch event we ran for Fiat, David Halpern, Director of the Behavioural Insights Team in the Strategy Unit of the Cabinet Office, suggested that visual shapes of people on packaging (e.g. a rounder figure for a bag of chips, or a slimmer figure for a salad) might actually have a bigger behavioural impact than calorie numbers - let's hope they give us a little time to recover from Christmas before they start showing shapes!
One thing that is definitely going to be on the menu in 2011 is the shaping of a new relationship between government and business. The coalition believes, and expects, businesses to make a uniquely valuable contribution to some of the biggest issues that we face - playing an ever increasing role in the Big Society (and that doesn't just mean volunteering!). It has made its 2011 agenda clear through the recent launch of Every Business Commits. It's challenging all businesses, large and small, to show just what they can do to not only help this country on the road to recovery, but do it in a more responsible way. Our advice to you is, don't wait for Government to come to you, work out what you can do (or are already doing) and take it to them - garner support for those initiatives that set you apart from the crowd. Certainly makes sense to those of us that have been banging on about the potential of businesses to deliver positive change for quite some time! Do get in touch if you want to know what Every Business Commits might mean for you and how it might support your sustainability activities.
An innovative idea from Marks & Spencer to make you feel a little less guilty about any chocolate indulgance over Christmas (certainly in the environmental sense) is its new compostable tray for chocolate boxes. After the chocolates have been devoured, the empty tray - scourge of recyclers - can not only be put on the compost heap, but will also disappear completely if placed under a running tap. A chocolate revolution in the making?
Whatever way you are celebrating the festive break, we hope you have a good opportunity to recharge your batteries and look forward to being in touch in 2011.
For those already thinking about next year our next Concerned Consumer Index focus will look at the holiday sector. What's been happening to people perceptions of holiday companies in the last year? What are the big issues for the sector? Will Thomas Cook's merger with Co-Op travel have an impact on the values of the sector? What does responsible travel look like in a tough economic climate? Look out for next month's CCI to find out. If you would like to see more data from our most recent surveys on the fast food and coffee shop sector or want to find out how to add your own questions to the next one, please email David on david@goodbusiness.co.uk.
Until the next time.
Best wishes,