Posts in Brand Activism

Sustainability performance is impacting consumer preference and driving sales

Is Sustainability Performance Driving Sales?

April 12th, 2023 Posted by Brand Activism, brand advocacy, brand messaging, brand strategy, Carbon footprint, Climate Change, consumer behavior, Consumer insight, Greenhouse Gas, storytelling, Sustainability 0 comments on “Is Sustainability Performance Driving Sales?

New report confirms ESG impact on business outcomes

The consumer’s growing concern about sustainability and the environmental impact of food products is translating into behaviors on the path to purchase. A new study released by Glow, a Nielsen IQ research partner, affirms that ESG performance is impacting brand switching, preference and purchase.

  • Glow reported their calculations that a brand with $500 million in sales and a Social Responsibility Score (SRS) that is 10 points higher than a similarly sized competitor, can expect to secure an additional $25 million in revenue over three years, on average.  

Glow’s study verified consumers are exercising choice by “shedding” brands that don’t meet their sustainability expectations, while also moving their allegiance to products that are more closely aligned with their values. In sum, consumers are increasingly regulating their purchases to operate in sync with their beliefs about environmental responsibility.

Sustainability driven brand switching – how much and which categories

The percentage of consumers switching brands based on their assessment of devotion to more sustainable behaviors and policies ranges currently between 30 and 40 percent. The categories where switching is occurring most often include:

Meat and seafood

Pantry (pasta, rice, condiments, oils)

Frozen

Pet

Bakery

Dairy

Don’t ignore the business driver – communications

The research also flagged that some brands aren’t getting the sustainability performance recognition they deserve, and thus aren’t seeing an impact on business outcomes. This happens because their environmental story isn’t breaking through. Glow’s report is a rallying cry for food brands to work harder to close the gap between rising consumer expectations of ESG commitments and actual progress towards credibly fulfilling and activating the brand’s sustainability story.

  • Emergent’s recent Brand Sustainability Solution analysis of 25 food, beverage and lifestyle brands and retailers’ sustainability readiness, showed an almost universal weakness tracing back to sub-optimal communications efforts. Sustainability communications outreach to close the loop with consumers is missing or tepid. Read: not effective.

Glow’s study revealed the top five channels where consumers prefer to learn about ESG commitments:

  1. News media
  2. Product packaging
  3. Advertising
  4. Brand web site
  5. Social media

News media scored highest because of its perceived credibility as a trusted third-party source. Packaging also tracked high given it’s a shelf-ready, shopper-facing place to get information. The most important on-pack claims to consumers were animal welfare, environmental impact, social responsibility and sustainable packaging.

According to Glow:

  • Nine out of 10 consumers believe it is important for brands to act responsibly in their environmental policies and actions.
  • One out of two consumers say they have changed brands based on their perceptions of ESG performance.
  • 78% of consumers say brand purpose and values play an important role in their purchase decisions.
  • 79% claim they are more loyal to brands with a clearly defined higher purpose.
  • 85% believe it’s important for companies to act responsibly about climate impact.
  • One in five rank ESG and sustainability in the top three purchase considerations alongside price and quality.
  • Despite the challenges of inflation, sustainability commitments also provide a compelling reason not to trade down, especially among Millennial consumers.

Glow’s study analyzed the impact of 13 different ESG characteristics on consumer behavior. In the food category the most important considerations are:

  1. Reducing emissions and climate change
  2. Respecting natural resources (like water)
  3. Protecting wildlife and eco-systems.

This study verifies what we at Emergent have been reporting now for over a year, that sustainability and environmental policies and commitments have formed one of the most important foundations of marketplace competitive advantage for the foreseeable future.

  • Consumers are voting their preferences in the checkout lane and make decisions on the brands they prefer based on their perceptions of sustainability readiness.

When sustainability communications is just a quarterly progress report

Importantly, strategic communications cannot be underestimated in its relevant role to close the deal and convince consumers. And this goes way beyond regurgitating complex and often confusing scientific data points. Creative outreach works to connect investments in sustainability readiness progress with audiences most likely to act on that information. The absence of strong communications usually occurs when the sustainability team is not connected to the marketing team, or it operates as a stand-alone silo and isn’t integrated into the main go-to-market strategic plan.

  • The Glow study validates that sustainability commitments, policies and performance isn’t just “talk” as far as consumers are concerned. It is impacting the “walk” of what goes in the shopping cart and gets purchased.

In our view, when organizations understand and act to secure the business benefits of sustainability investments, we will see more meaningful progress on the path to emission reductions and a healthier planet. And businesses will see consumer reciprocation in the form of enhanced brand preference, purchase intent and product movement. Sustainability is a business builder.

If you believe your sustainability strategies and communications could use fresh strategic eyes and a creative lift, use this link to start an informal dialogue around your questions.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Brewing a new future of food using precision fermentation tech

Fermenting the Future of Food

March 14th, 2023 Posted by Brand Activism, brand advocacy, brand messaging, brand strategy, Brand trust, Carbon footprint, Climate Change, Consumer insight, Fermentation, Greenhouse Gas, Higher Purpose, Sustainability, Transformation 0 comments on “Fermenting the Future of Food

Novel protein likely to leap ahead of other emerging food tech

It is time for the food and beverage industry to pay closer attention to an emerging food tech category that is highly likely to change the course of how food is created. It arrives at a time when our current food system is increasingly critiqued as an actor in the climate impact drama.

  • At the end of this article, download our Emerging Companies to Watch list in this exciting evolutionary story.

The next great disruption in food creation

We are about to witness a wholesale transformation of where our food comes from and how it is produced – the first major sea change of its kind in 10,000 years since animals and plants were first domesticated. What’s at stake? No less than our planet’s health, impacted by decades of obscured mistreatment from an industrial food system that contributes roughly 24% of climate warming greenhouse gases – more than all types of fossil fuel powered transportation combined. For many this is a jolting discovery.

Dawn of the low carbon food system

Advances in bioengineering have served to refine a centuries old technology we know as fermentation. A familiar process used in some form for a millennium to brew beer, craft wine and create cheese and yogurt. This evolved tech is employing uniquely programmed microbes (micro) instead of animals (macro) to create high quality, healthy, great tasting proteins like meat, eggs and dairy.

The tech leap for food lovers: these new proteins are bioidentical to the animal version. That means virtually indistinguishable in taste and eating experience, while eliminating things people don’t want such as cholesterol, lactose and antibiotics. Moreover, they come to us at a fraction of the environmental emissions impact of livestock farming and its drastic over-consumption of limited water and land resources.

Precision fermentation may also work to leap over some of the shortcomings in plant-based products that retain a higher taste hill to climb because the proteins are not identical to what they’re trying to replicate. Their recipe goal is to mimic and simulate the flavor and mouthfeel of animal versions. They strive to do this by using plant-based ingredients and other food science wizardry to recreate textures, chew, even the bloody juice of a burger patty. The plant-based industry currently chases consumers who believe the eating experience may be close but is just not a full analog of what they expect from the meat and dairy products they crave.

Consumers are changing

Most of us grew up with deeply engrained, idealized and nostalgic beliefs about food. In its most authentic and revered form, it is always sourced from the soil or raised in a verdant pasture. For eons we’ve paid homage to an impression that real, nutritious food is an outcome of things we harvest on a family farm, delivered with as little adulteration as possible.

Moreover, in the past food science was often viewed skeptically as a precursor to over-processing and manipulating food ingredients – or creating not-in-nature versions of same in the laboratory. This reached its apex in the reduced calorie and fat wars of the 1990s where food science made addition by subtraction infamous via food engineering – sugar and fat removed and replaced with other artificial ingredients as glorified in the fat-free cake and donut craze.

Sense of urgency flipping the paradigm

The historic friction between science and nature is evolving now as consumers become aware of the relationship between industrial food production and climate change, its impact on scarce resources, the link to animal welfare issues and looming food scarcity challenges as world population accelerates.

People are coming around to see science as part of the solution, not a menace to be avoided. In a recent study by The Hartman Group on the future potential of precision fermentation technology, they describe the tech as a powerful advancement. Due in part to its familiarity with consumers, more so than cellular meat technologies that require a sophisticated and somewhat complicated explanation of how it works.

  • Familiarity is important to adoption and trial because it feels less risky to people who are systemically driven to avoid risk in their food purchase decisions.

According to Hartman, millennials’ (born between 1981 and 1996) openness to the idea may comprise the ideal core “early adopter” audience for precision fermentation food products.

  • 67% of millennials now believe science and technology may offer the best hope to address climate change.
  • 62% agree science and tech innovations can help make food more sustainable.
  • 62% believe foods made this way would be healthier.

In short, they believe this new approach to food creation may transcend the limitations and excesses of the current food system. In fact, Hartman states 84% of this cohort say they would be likely to purchase precision fermentation made products, and half would be willing to pay more for them.

Part of the comfort level (easier to grasp) consumers have with fermentation is its legacy use in beer, wine and cheesemaking. Additionally precision fermentation is already in our lives, used for decades to make insulin, vitamins, and the enzyme rennet that causes dairy milk to coagulate and separate into curds for cheesemaking.

The path to market for precision fermentation

Hartman’s research revealed that 50% of consumers are already looking for products that prioritize sustainability and animal welfare in how they’re created. Further when asked about what will influence their preferences and willingness to try these new foods, safety (60%) and taste (59%) scored almost equally as top priorities followed by healthy (53%).

The study showed the top three environmental benefits they expect from this emerging food category:

  1. Reducing greenhouse gas – 38%
  2. Minimizing other forms of pollution – 37%
  3. Merchandized in sustainable packaging – 29%

Size of the prize

Hartman forecasts a potential market of 132 million consumers by 2027, with millennials most likely to replace all or most of current products with new precision fermentation versions.

The adoption curve follows a familiar path for new premium CPG food and beverage categories:

15% are ready to go

11% will be easily convinced

14% will be convinced with clear benefits

This falls in line with existing research and numerous case studies that confirm in any emerging premium CPG food business, approximately 14% of the addressable market will be early adopters – those less concerned with risk and more drawn to being first-in to try new products. Breaching the chasm between early adoption and mainstream acceptance is the marketing challenge of the ages and requires a carefully formulated strategy of validation, verification, channel management and calibrated expansion aimed at reaching the right audience segment at the right time in the right place.

Overly ambitious extensions too early into the wrong channels, retail locations or foodservice environments can set the business up for retrenchment when audiences less enthralled with the deep sustainability story and for whom price is king, may not be ready to push aside their habitual choices. Perceived risk is a hurdle that needs to be flattened.

Emergent marketing guidance

What will be required to nurture these new brands to fame and fortune? Education, education, education and more education.

How is it made?

Will it be safe to eat?

Will it taste good?

How is it better for the environment?

Will it be healthier for me?

Is it affordable relative to the product it will replace?

What about allergens?

The narrative should be built around what Hartman calls the “intersection of good for me and good for the planet.”

Food is an emotional category – we eat with our eyes, we respond to perceived deliciousness because we crave great taste experiences. We are drawn to the familiar. Thus, the language that’s used, the narrative story that’s created should avoid descriptions that are founded in scientific and technical lingo.

The experiences of respected voices in the culinary world, the outcome reports in social media from early adopters all coalesce to provide an eco-system of credible proof of satisfaction and value. This is NOT the time for old-school CPG claims and ad tropes that glorify self-promotion of features. This is your opportunity to employ new strategies founded in generating trust, belief and a heavy lean on values and deeper meaning.

  • Your story focus is the consumer and their journey, and how these new products will help support planet health as well as personal wellbeing.

This may well be the most exciting adventure to arise in the food industry since homogenous audiences and mass media created a gigantic market for packaged food and beverage in the 1950s. Importantly, it also offers a viable solution to the planet crisis we’re in and a path to correct an unsustainable food system in a manner that will also help solve how we will affordably feed 10 billion souls by 2050.

If you’re interested in launching a conversation about strategies to nurture, grow and set these new brands up for success, use this link to start an informal conversation with us. If you’re interested in our take on the brands to watch and collaborate with as this story unfolds, use this link to download our Emerging Brands to Watch list.

Breaking the chains of interruption marketing

Breaking Free from the Handcuffs of Intrusion Marketing

June 22nd, 2022 Posted by Behavioral psychology, Brand Activism, brand advocacy, brand marketing, brand messaging, branded content, consumer behavior, Consumer insight, Content Marketing, Emotional relevance, engagement, Higher Purpose, storytelling, Strategic Planning 0 comments on “Breaking Free from the Handcuffs of Intrusion Marketing”

Embrace a new paradigm for successful brand storytelling…

In the history of modern marketing there have never been more ways to reach consumers. Yet it’s also never been harder to connect and engage with them. For decades brands have reflexively relied on various forms of intrusion to confront consumers with brand self-reverential, promotional messages. This approach is now widely rejected and avoided by its intended audience. Read on to learn the antidote to engagement misfires.

  • It’s truly hard to admit, but: “the unquestioned language of (traditional) marketing sabotages the stories we try to tell.” – Jonah Sachs, Winning the Story Wars.

People have changed – they want to be part of something greater than themselves. Yet even though the elements of powerful storytelling have been employed for centuries, it is largely ignored by marketing tropes preoccupied with promoting products to consumers leveraging the politics of fear, inadequacy, anxiety and status-seeking – often served with a generous helping of narrative vanity, puffery and insincerity.

It’s time to end the decades of antagonism between marketing and its audiences

  • We have a chance now to step beyond interruption marketing to build lasting, a more meaningful relationship with consumers that is grounded in deeper meaning, inspiration and values.
  • We are free today to build new stories that get noticed, create emotional affinity and maintain credibility in a world desperate to secure meaning and starved for transparency.

However, the drive for true engagement requires a shift in thinking and approach that initially can feel counterintuitive to the foundational principle of marketing as a sales generator. After all, aren’t we supposed to sell to earn a sale? Our tradition-bound way of thinking and operating leads us to believe the path to business growth is paved with pushing product feature and benefits at people. We just need to dress it up with some creative artifice of humor or entertainment as storyline palate pleaser – then, down the hatch, right? Sorry, but no. Consumers have figured out how to sidestep and ignore all of this.

Yet even with the self-awareness of this consumer engagement shift, like the hamster returning again and again to the wheel, the vast majority of brand outreach in CPG and retail sectors employs the same approach – now only digitized to fit into new media forms and channels. This form of selling was honed during the analog media control and persuasion era of the 1960’s and 70’s. It remains entrenched.

The electronic fake-out

Technology-led tools lead us to assume there are algorithm-based, digital solutions that virtually guarantee the selling message penetrates to the right audience in the right place at the right time simply by deploying the latest platform. We need only to flip the switch and boom, we strike marketing gold with clicks and views – even though people routinely drop out of the engagement in mere seconds and carts are abandoned by an endless river of distractions.

The essential truth about today’s consumer

We are shifting from a consumption-driven culture to one founded on a maturing view that the best things in life aren’t *things*. Instead, people want to transform themselves and the world around them. Here it is in sharp relief: we reach for deeper meaning and enablement from the brands we care about. We want to be inspired by beliefs and values that matter.

In short people are ready to embrace:

Optimism over fear

Sacrifice over greed

Citizenship over consumption

A recent advertising effectiveness study tracking the new-found marketing focus on sustainability revealed that brands producing sustainability ads focused on themselves – to tout their eco-bona fides – did not score nearly as well in engagement and recall as brands that created ads to inspire their users to join the sustainability mission and contribute to the greater good. That means substance over selfishness gains an audience.

Here’s a new value system brands can adopt as a core directional litmus test for improved communications, engagement and brand story themes addressing:

Wholeness – moving beyond self-centeredness

Mastery – learning, competence and the struggle to improve

Justice – investing in, structuring a moral center

Depth – examining life and its complexities and possibilities

Simplicity – understanding the essence of things

Beauty – recognizing and experiencing aesthetic pleasure

Truth – the polar-opposite of falsehood

Uniqueness – mining creativity and non-conformity

Playfulness – celebrating joy and life experiences

Creating cinematic, powerful brand stories

What do we know about Luke Skywalker in Star Wars? He was a seemingly ordinary young man who was drawn out of his comfort zone to follow a path that eventually led to epic heroism. He had doubts and insecurities. There were flaws to overcome. Everything he needed to succeed was already inside him, yet he clearly needed coaching to understand that.

A hero is someone who pursues higher level values, willing to sacrifice in service of others, who is pulled to adventure through a higher calling. Traumatic circumstances pushed Luke forward. Eventually he would break free of his fears. He encountered a mentor who would help him on his journey and give him the tools to succeed. Mentors act to help redirect will and strengthen the heroes resolve and confidence. Yoda helped Luke become a better person, a more skilled Jedi, a confident participant on a perilous path to fulfillment and redemption.

  • Every human being wants to be the hero of their own life journey. Your brand storytelling must always position your consumer as the hero of the story, not the brand. The brand’s role is always that of mentor, guide, enabler and coach to the consumer on their journey. Your content goal is to provide wisdom and tools to help the hero succeed.

It’s important to note great stories always include conflict, overcoming failures, the presence of a villain, danger, adventure, failure, improvement, empowerment and achievement.

When your brand stands for something, employs a belief system and is driven by higher purpose, you create the opportunity for transcendence. Your storytelling can move beyond an inward focus on self-promotion and touting product features, to celebrating your customer and all they aspire to do.

  • You can inspire them.
  • Coach and instruct them.
  • Enable tools and experiences.
  • Help them embrace the greater good and building a better future.

Marketing, then, is about sharing core values. This is the secret to creating engaging stories and an improved relationship with your users.

Yes, this isn’t easy!

To create a story telling platform that works, study is required of your best customers, their lives, loves, ambitions, fears, concerns, wants and desires.

Your brand’s language, voice and story must embed your brand beliefs, values, vision and higher purpose (you need to stand for something).

How this is expressed should be grounded in a clear understanding of your brand archetype (Pioneer, Rebel, Captain, etc.) and how that translates into a narrative unique to who and what you are.

The best storytelling techniques include the fundamentals of all great tales including tension, conflict, villains, drama, and the hero’s move to overcome odds, rise to the calling and win in the end. This story arc is as old as recorded history and remains relevant today.

Emerging food tech and a drama of the ages

Consider the vast array of new food technologies emerging right now, grabbing the attention of investors in their quest to reimagine how food is created. There’s a villain in here called climate chaos alongside the legacy food system actors that help perpetuate an existential threat to our existence and quality of life. The consumer needs/wants/requires a mentor and inspiration on the path to enablement and efforts to help rescue and change the world.

  • There’s just sooo much here to work with. Virtually any product category or retail business will benefit from embracing the consumer’s desire to seek a deeper truth and to be part of something greater than themselves (sustainability is a case in point).

When you do this your customers can become believers, followers, advocates and ambassadors because they embrace what you stand for and how your brand helps them participate in a profound mission.

This is the magic behind stories that work, that deepen the brand’s voice and draw people close. Or you can continue to self-promote product features and benefits to a world increasingly not interested in this for the very reason the brand then positions itself as hero of the story rather than the customer. Competing with consumers for the hero role creates an instant disconnect and a new barrier to any engagement.

If you think your brand will benefit from a refreshed approach to story strategy and content creation, use this link to open an informal dialogue with us.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Sustainability transformation

Inevitable Truths to Accelerate Sustainability Transformation

May 19th, 2022 Posted by Brand Activism, brand advocacy, brand marketing, Brand preference, Carbon footprint, Climate Change, climate culture, storytelling, Sustainability, Transformation 0 comments on “Inevitable Truths to Accelerate Sustainability Transformation”

New website illuminates the changes and solutions ahead

The number of Americans who are passionate or concerned about sustainable choices in the food products they buy is rising. Rapidly. At the same time media are galvanizing around stories that report on the climate impacts from agriculture. These two conditions will fast-track the pace of change in consumer sustainability preferences and demands.

  • We are headed towards a tipping point when recognition of the role our food system plays in environmental impacts will prompt mandates for public policy changes, food production improvements and more sustainable brand choices.

The time is now to prepare for sustainability readiness as media, influence and culture shifts coalesce to push consumer sentiment forward to tangible behavior changes. We believe this will substantially impact your business strategies in the coming decade.

Two converging issues: carbon footprint visibility and supply chain realities

Supply chain emissions are, on average, 11.4 times higher than operational emissions.

The growing corporate uptake on ESG performance measurement started with ‘low hanging fruit’ evaluations of operational emissions (Scope 1). Then advanced to confront energy use (Scope 2). However, supply chain lifecycle analysis (Scope 3) will unearth the most salient and vital conditions that impact an organization’s true carbon footprint – and thus inform the most meaningful mitigation progress targets. You can’t know where you’re going until you know where you are!

Industrial animal agriculture derived environmental impacts will become visible. In the food business, this is likely to influence brand and retailer decisions about your supply chain partners.

The food system reality check(mate)

Here’s relevant data that helps us understand why the significant cultural shifts are here.

  • Agriculture generally is responsible for anywhere from 24 to 30 percent of total greenhouse gas emissions, more than all transportation systems combined.
  • According to the United Nations, 14.5 percent of those emissions can be attributed to meat production. The impacts of raising livestock for food are far reaching – from ruminant animals producing methane to land degradation, loss of biodiversity and over-consumption of limited freshwater resources.
  • Forty percent of the world’s available land is currently used for food production and of that, nearly 75 percent of it is dedicated to livestock farming. Rainforest conversion to livestock production is occurring at a shocking rate of an acre per second.
  • Today more than half of Americans think livestock production contributes to global warming “at least a little.” Only one in four believe beef contributes “a lot.” And those numbers decline slightly for dairy production.
  • However, awareness of these impacts is expanding and media attention on sustainability deficits and emissions in the food system are gaining momentum.
  • Currently 67 percent of Americans eat meat daily or a few times a week. Yet nearly every study we see points to growing consumer interest in adding more alternative proteins and plant-based foods to their diet. The reasons for these dietary modifications are swinging from health to environmental concerns.
  • The barriers to alternative protein adoption are price compared to legacy options, and taste compromise. Those two issues can be resolved by manufacturers through innovation, formulation improvement and cost reduction. As awareness of environmental impacts grows, adoption of new food sustainable categories will rapidly expand alongside it.
  • Studies suggest a shift to alternative protein sources could reduce emissions by 92 percent compared to raising livestock for food while reducing land use by up to 95 percent.
  • The United Nations warns we are running out of time before climate impacts and global warming exceed our ability to reverse it. At risk is the southern half of the earth and potential permanent loss of farmland rendered unsuitable for growing crops.

What does all of this mean to your business?

The time to get ahead of sustainability readiness best practices is here and now. Performance in this critical area creates important levers of competitive marketplace advantage. Why? Consumers are demanding sustainable choices. How this transition is handled strategically will have implications for future growth and brand relevance.

What brands and businesses need: guidance on sustainability readiness practices and support to level up improved strategies all the way through to the marketplace.

Today we announce brandsustainabilitysolution.com. Your online destination for information, thought leadership and support services to help meet and exceed consumers’ sustainability expectations in food, beverage and related retail categories.

  • We invite you to explore and learn more about the Brand Sustainability Solution™ platform. There, you can sign-up for our free Sustainable Business Update™ and access our free sustainability readiness self-assessment questionnaire that will provide a quick snapshot of where your business is today on the readiness path.

What’s at stake? The future of your business, brand relevance and the planet itself.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Sustainability Readiness

Companies are over-estimating sustainability readiness

December 8th, 2021 Posted by Brand Activism, brand advocacy, brand messaging, Brand preference, brand strategy, Brand trust, Carbon footprint, Climate Change, climate culture, Greenhouse Gas, Greenwashing, storytelling, Sustainability 0 comments on “Companies are over-estimating sustainability readiness”

Analysis reveals aspirations may mask reality

A summary analysis of recently completed sustainability readiness questionnaires has revealed a measurable disconnect for participating brands between their sustainability activity and authentic performance. Based on results scoring, brands responding to Emergent’s initial questionnaire routinely over-estimate current sustainability readiness conditions by an average of 25%, ahead of a reality-check discussion to pressure test the survey responses.

The first step in Emergent’s Brand Sustainability Solution program starts with answers to a Sustainability Readiness questionnaire. It is designed to establish a baseline understanding of where a brand or business currently sits on the readiness pathway.

The Sustainability Readiness questionnaire self-evaluation process is focused on four key areas of sustainability performance:

  1. Scientific, data informed review of carbon footprint and Lifecycle Analysis (LCA)
  2. Consumer insight research to determine what areas of sustainability solution and commitment are most important to brand consumers
  3. Establishing metrics to track business performance and outcomes of sustainability investments and commitments
  4. Marketing communications strategies and tactics to tell the brand sustainability readiness story to consumers and relevant stakeholders

Emergent analyzes the questionnaire responses and produces a readiness scoring report for review with the individual or team submitting the evaluation. Invariably through more detailed conversation around outcomes and existing company behaviors, policies and mitigation activities, a different picture begins to emerge!

Aspiration can skew reality

Sustainability is now one of the most significant transformational strategies impacting brand communication and business growth. It is a key driver of competitive marketplace advantage. Why? Because over 66% of consumers now care deeply about more sustainable choices in the products they buy. People have become aware of the connection between food production, food ingredients, and potential negative impacts on the environment.

As companies prioritize sustainability and seek to answer this cultural shift in consumer sentiment, the priority to make performance claims can at times color actual readiness status. The Brand Sustainability Solution process is designed to determine quantifiable carbon targets, mitigation policies and develop solutions to truly walk the walk that supports credibility when talking the sustainability talk.

A recent investigative news report on McDonald’s sustainability misfires reveals why the authentic baseline carbon footprint assessment and related mitigation policies are so important to avoiding the possibility of greenwashing risks and scrutiny.

Corporate enthusiasm for claiming sustainable bona fides at times can obscure the correct and proper evaluation of specific actions the company must undertake to manage its carbon impact, evaluate resource consumption alongside energy use, and track backwards through the supply chain.

You can’t know where you are going until you know where you are

The challenges begin at the front door of science-based, data driven carbon footprint analysis that often remains untouched and unfunded on the to-do list. It isn’t possible to verify the company’s current readiness state or to establish quantifiable benchmarks for improvement over time without this review. Establishing baseline sustainability performance measurement will inform every aspect of readiness and the optimal brand communication that follows it.

More often than not, we’ve found that brand sustainability assessment is limited to low hanging fruit solutions such as improved packaging or reduced energy use. Most of the significant sustainability challenges exist in the supply chain, where food ingredients often deliver an outsized climate wallop. How come?

Agriculture is the second largest source of greenhouse gas (GHG) in the environment and the largest user of land and water resources. Within the snapshot of agriculture’s impact on climate, raising livestock for food is by far and away the highest GHG contributor. It is led by ruminant animals including beef, lamb and dairy in the form of cheesemaking. The combination of the animals themselves combined with re-purposed land use, natural resource over-consumption and raising crops to feed them, all coalesce to deliver excessive levels of highly toxic methane gas and nitrous oxide.

Regenerative farming practices that work to sequester more carbon and the development of non-animal protein creation technologies such as plant or microbe-based meat and dairy solutions, can help diminish the overall impact. But only when you know what it is you’re trying to reduce over time.

Two major culprits in aspirational assessment

Emergent’s study revealed two other hotbed areas of over-zealous sustainability performance evaluation. First and foremost is brand communication. It is the easiest lever to pull, one that can quickly get ahead of credible sustainability readiness when the messaging isn’t grounded in the science-based analysis of carbon impact and related improvement targets. Brands routinely reward themselves for getting ‘out there’ with sustainability storytelling, that may inadvertently invite media and consumer blow back when it isn’t anchored to authentic mitigation performance.

Right behind story is establishing the baseline infrastructure for measuring sustainable business performance. Investments in sustainability improvements should be tracked against business outcomes. This is the only way to know if the sustainability readiness platform is functioning fully and correctly. It is important to note that sustainability is ‘aging out’ of traditional CSR, and rapidly evolving into ESG – hence a part of business performance. The C-Suite must be involved in sustainability programming to ensure the right level of true organizational commitment.

We know consumers care deeply about sustainable choices. They are also getting smarter about what separates empty claims vs. substantive behaviors and policies that are well-executed. We have a proven, verified link now between optimal sustainability readiness strategies and competitive marketplace leverage that results in market share and volume growth. Integrating business measurement into the game plan is vital to assessing how well the entire sustainability strategy is progressing.

Fly right to reap the benefits

Transformational change has already occurred. We are living in the midst of a culture shift that is demanding companies step up to make improvements in their sustainability policies and standards.

When grounded in science and driven by informed communications strategies that help brands gain credit for their efforts, brands and businesses will out-perform the competition while establishing leadership in an area that will impact consumer preference for the foreseeable future.

If you’re interested in assessing where your business is today on sustainability performance and where it could go tomorrow with the optimal readiness program, click HERE to take the free Brand Sustainability Readiness questionnaire. The scoring and analysis are provided at no cost.

We promise a revealing, interesting and informative conversation that could open a new chapter of growth and prosperity for your brands in the year ahead.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Building the Human Brand

Building a More Human Brand

October 19th, 2021 Posted by Brand Activism, brand advocacy, brand marketing, brand messaging, brand strategy, Differentiation, Emotional relevance, engagement, Growth, Higher Purpose, Human behavior, Insight, Marketing Strategy, Navigation, storytelling, Strategic Planning, Transformation 0 comments on “Building a More Human Brand”

Time to banish the old marketing playbook

Remember the good old days of command and control, interruption-style marketing and business development strategies? Consumers were viewed as “targets” to be persuaded through repetition and subtle manipulation of their emotions or pocketbook sensibilities.

Vestiges of this way of thinking remain handcuffed to far too many brands that continue pushing feature, benefit and price messages at consumers in both digital and analog channels. Thus, why engagement is increasingly hard to secure. Consumers have become serial avoiders of self-promotional brand outreach as a result. No one likes to be “sold.”

It’s time to stop, reconsider and move on to build more human-centric brands.

Think for a minute about the people you care about in your life. Your family, friends and colleagues. Those closest to you enjoy a special position of value and affection. You’re concerned about their welfare and wellbeing. You make time for them, cherish them and invest in their progress. In short, you care. You express love in words and deeds. You listen. You help. You support and respect them. Moreover, you don’t see those relationships as merely transactional.

Now think about your business behaviors and how customers are viewed and treated. Is it the same? You say well, we’re in business to sell our products. To be sure, but maybe the goal of share and volume glory follows a different path now. One that is built on a model of reciprocity that looks more and more like the valued relationships we have in real life.

Not ‘data points’, they’re human beings

What are the five things your customers want from you?

  1. Inspiration
  2. Advice
  3. Guidance
  4. Education
  5. Entertainment

We have moved from a product focus to content. Are you optimizing the brand communications arsenal for help over hype? Here are three observations that should be considered in developing human-led brand communication.

Utility over cleverness

This may be the toughest consideration of all when viewed through the lens of ad creative traditions. It has been the province of creatives in the agency game to be focused on translating a key product selling proposition into the artful headline or theme. The theory: engagement is achieved through artistic wordsmithing. An artful turn of phrase or catchy tagline is prized as an achievement on the road to being “intrusive” and therefore noticed in the vast sea of message overload.

Times have changed and while great copy is going to be a key driver of engagement, the character and content of the communication is better served through its usefulness rather than pure cleverness alone. Attention is hard to secure. The path to gaining consumer participation is better aided by providing relevant value. That means the message moves closer to serving the consumer’s role as hero of the brand story, in a narrative that is helpful and educational more than self-promotional. It’s about them not us.

Someone is better than everyone

The definition of sound strategy is making tough choices. When the intent is to be all things to all people, the outcome is mattering to no one. It is better to focus on someone rather than everyone. To do that requires sacrifice. It means you select an audience cohort closest to the center of your most ardent user base. Then zero in on what they want and care about. Prune the rest.

In our own experience this played out to great effect when former client Sargento cheese agreed to focus on a consumer segment called The Food Adventurer. This audience of cheese lovers and heavy users care deeply about the quality of ingredients they use. They love to cook, pay attention to culinary media. They are routinely engaged on topics and content that help advance their skills in the kitchen and culinary creativity. By focusing here, Sargento created an opportunity to matter to an engaged audience of food fans, rather than speaking to everyone  (usually defined as moms with kids) across the expanse of the commodity cheese marketplace.

Make a choice, narrow the focus to those who care and are therefore listening.

Inspirational beats transactional

There is a great temptation to assume if you aren’t hitting hard on the product features and benefits, then you’re not selling effectively. But the world has changed. Gaining attention isn’t a math problem of calculating media channels to frequency of message distribution. If the relationship economy is respected, then you understand that winning permission for a conversation depends on following a different set of rules.

  • Your brand voice is built around empathy and care for the passions, interests and concerns of your best customers. You understand that the role of the brand in this relationship is one of guide and coach. Your goal to help them overcome the barriers to their success and fulfillment.

Your brand becomes a source of encouragement and education. Sargento helps the home cook deliver on their passion for creativity in the kitchen. Boom – now we’re talking. Literally. Now we’re actually communicating rather than monologuing. The brand stops barking at people and begins to engage in their community and lifestyle in a useful, valuable way.

When you speak to those in your orbit that you care about, are you selling to them? Pushing self-serving messages at them? No instead you are genuinely listening and helping.

The enlightened brand building of our era begins with injecting humanity into the marketing plan by making consumers the center of it and deciding to earn a relationship based on valuable-ness.

The last word: “Every brand is now a B-corp” – Ana Andjelic, The Sociology of Business

We are in the midst of another evolutionary shift. Consumers care deeply about your values, mission and actions to address social issues like climate impact and sustainability. They care about the impact their buying decision has on the world around them. They have connected the dots between their purchases and a consequence. They want to identify and act on more sustainable choices.

You can help them do that. But be aware that substance and authenticity matter here. Your own sustainability readiness house needs to be in order before invoking solidarity with consumers on these concerns. Sustainability can’t be a message construct floating independently from policies and standards that address the company’s carbon footprint and impact on the environment. There should be clearly expressed targets and actions steps to mitigate those challenges.

Embracing sustainability is yet another way to put the brand “in league” with consumers on a culture imperative issue they care about and expect brands to be part of the solution.

All of this coalesces around one key point: when brands understand that customer relationships these days operate a lot like the kind we have with people we care about, then you understand how the brand should behave and engage in that setting. More empathy, guidance and coaching than promoting. It’s time for the more human brand.

If this guidance strikes a chord as you look towards strategic planning in the year ahead, then let’s start an informal conversation about your concerns and needs. Use this link and let’s talk.

Looking for more food for thought? Subscribe to the Emerging Trends Report.

Bob Wheatley is the CEO of Chicago-based Emergent, The Healthy Living Agency. Traditional brand marketing often sidesteps more human qualities that can help consumers form an emotional bond. Yet brands yearn for authentic engagement, trust and a lasting relationship with their customers. Emergent helps brands erase ineffective self-promotion and replace it with clarity, honesty and deeper meaning in their customer relationships and communication. For more information, contact [email protected] and follow on Twitter @BobWheatley.

Archives

Categories