Businesses have been forced to up their game in all aspects of their operations in the push towards net zero by 2050. And marketing by retailers is no exception.
As they strive to achieve their Environmental, Social and Governance goals, sustainability is also high on the agenda of consumers. So much so, that 60 per cent of consumers deem it one of the most important factors when contemplating buying a product or service. One-third of customers said they would also fork out more for sustainable goods and services. It’s a trend that companies can’t afford to ignore.
Marketing is one of the biggest culprits when it comes to waste in the retail industry. Thousands of letters or leaflets, text messages or emails, or social media posts are sent out every day trying to lure existing and new customers.
But it’s not just the trees that have to be cut down for the paper or the fuel to transport them, it’s also the carbon footprint produced by sending an email. One email alone produces 0.3 grams of CO2, which when multiplied by the 62 trillion spam email sent every year, adds up to 1.86 million tonnes of CO2
The key message is that being eco-friendly is more important to customers now than ever, with 45% saying sustainability and environmental responsibility were very important, according to an IBM report. Doing nothing about it as a business can be fatal.
Strategy change
So much marketing in retail is unnecessary and wasteful. But there are important changes that retailers can make to be more sustainable with their marketing, such as reducing or stopping paper usage, and the number of emails and text messages sent out.
Another big issue is junk mail, with 17.7 billion pieces of it being sent and received in the UK every year, equating to 262 pieces per person. Most of it is left unopened or dumped in the recycling bin.
Where direct mail has to be used, companies should use sustainable paper or packaging, with correspondence printed on both sides of the letter. Any plastic should also be removed or replaced with a biodegradable alternative.
Targeted emails
As referred to earlier, while emails produce CO2, they are still the most effective way of reaching an end user. But, here businesses need to adopt a ‘less is more’ approach.
Rather than sending out mass emails, companies should tailor them to their target market. That requires looking at who their customer is, what their interests are and what they want. Then they can market products and services to them that are both timely and relevant.
Transparency is key
Retailers also need to follow up on their words with actions. Thus, showing the customer what it is doing to be more sustainable.
For example, they could talk about how much they have offset their carbon footprint by not sending post. Or how much plastic waste used in promotional items and packaging has been reduced by switching materials or suppliers. Reputationally, it’s also better for businesses to use suppliers that maintain green and sustainable standards and practices.
Environmental initiatives are another way they can win favour, for example, pledging to plant a tree for every 10 cups of coffee the customer buys, or donating 10% of proceeds to eco-friendly organisations. That can become a marketing campaign in itself.
It’s paramount that businesses are clear and consistent in all marketing communications about what they are doing to be sustainable. By leading on environmental initiatives, they will benefit not only their customers but also their own long-term future.
Contributor: Gope Walker, CEO of Data Kraken.
After working for blue chip companies for 16 years, Gope was disheartened by the lack of innovation in the analytics arm of most businesses. The desire to innovate in order to optimise and improve businesses using data-driven techniques was rarely seen at the level Gope deemed appropriate – hence the birth of Data Kraken.
Today, the Data Kraken team are working with clients across multiple continents, offering data-driven insights that allow companies to manage their business as effectively and efficiently as possible.
