Building the Trust in Green

As consumers increasingly scrutinize business actions on climate change, they want to see transparent, more credible information on what companies are doing to reduce their environmental impact. Labeling a product or service with "eco awareness" just doesn't cut it. Research shows that 70% of consumers do not feel confident that they can clearly identify which companies are environmentally responsible. Six in ten consumers (59%) are skeptical about the environmental claims companies make, and 44% of consumers would like more information on what companies are actually doing to be environmentally responsible.

In the report, The Corporate Reality of Consumer Perceptions, consumers believe that when they support companies like these, they do more than just shop. They align themselves with businesses that do good things for the environment.

As a professional consultant in the role of building business sustainability, this information is viewed as an indicator of the impact of consumer perception on corporate reality. If consumers don't know about corporations' sustainability initiatives, those efforts will not be fully realized.

Sustainable businesses are encouraged to proactively engage with consumers:

Sustainable Communications: establish credibility and provide two way conversations.
Defined business sustainability initiatives. Clearly articulate which strategies and goals are in place and future plans to address areas that are missing from the company's sustainability plan. Transparency is key.
Companies should be clear about product risks and safety, provide information on environmental impact, have high ethical standards, and treat their employees fairly.

Bottom line: to build consumer confidence, sustainable businesses need to proactively communicate more credible information on what companies are doing to reduce their environmental impact.