Posts tagged "brand preference"

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.

Technology has leveled the competitive advantage playing field

The million-dollar barrier to great marketing has vanished!

March 8th, 2022 Posted by brand marketing, Brand preference, brand strategy, Brand trust, branded content, CMO, Differentiation, Emotional relevance, engagement, Higher Purpose, storytelling, Strategic Planning 0 comments on “The million-dollar barrier to great marketing has vanished!”

A massive leveling has commoditized advantages

Once there was a time when world-class marketing, by definition, was expensive. Bigger brands enjoyed advantages by way of larger marketing and media budgets that smaller players just couldn’t muster. A price of entry existed for superior production values and more cinematic forms of storytelling.

Those barriers have disappeared. What do you do when anyone, anywhere can compete with you on the quality of communication? What happens when the budgetary obstacles to outreach evaporate and anyone from anywhere can distribute high quality, engaging content? What unfolds when the importance of reaching mass audiences served by mass (expensive) media vanish because markets have bifurcated into smaller tribes of consumers who elect and select the brands they care about “joining?”

Read on to understand the shift in competitive advantage and where to go when a bigger budget doesn’t necessarily author any marketplace leverage.

Seth Godin marked the change beautifully in a recent post:

“To make an album of music good enough to make it to the Top 40, it used to cost a million dollars. Now you can do it in your bedroom.

To make a commercial for network TV, a minute of footage cost about a million dollars…

And that same million was what it would cost to create an email engine for permission-based marketing in 1996.

And you needed a million dollars to build a website that could hold up under a lot of traffic, or to build a social media presence that would reach a million people.

All of these things are now incredibly cheap.”

Remarkably, many brands and businesses still operate as if these big wallet advantages exist – assuming the consumer marketplace will absorb their content before, above, beyond and more often than anyone else’s (as if repetition helps in an avoidance-enabled market). Just. Not. True.

A seed funded CPG food start-up or small footprint retailer is capable of producing a more impactful, useful and engaging web site than a large cap CPG brand or 1,000-door retail banner. Of note, capable is just that – there’s no inherent win from being small and new either. Same with video content. Same with social channel engagement. The entire competitive advantage paradigm has shifted from the few Goliaths to the many Davids.

What happens when technology and culture conflates the company size and budget advantages?

The big strategic question that must be factored into planning: what are the new rules of strategic advantage when everyone can compete with anyone?

  • The stakes on uniqueness and differentiation are amped and marginal distinctions constitute nearly zero brand leverage.
  • The requirement for deeper meaning, mission, higher purpose and values – your “why” – form the foundation of any strategic advantage. Based on our surveys, this foundation is more than likely under-served.
  • Putting the consumer at the center of brand narrative and communication strategy is now table-stakes to any hope of engagement.
  • The humanization of your brand proposition and marketplace behaviors is a prerequisite to achieving relevance and resonance.
  • Your digital footprint must revolve around “romance” of the consumer’s lifestyle aspirations, needs and wants before any relationship can be successfully secured.
  • Larger brands don’t own any advantages here. Smaller brands don’t get a hall pass for being “nimble” (no one owns speed) or conceptually more authentic because output looks raw and amateur-ish.

The requirement for trust is universal and bigger brands don’t inherit that quality

“We’ve been here for 40 years” does not mandate trust. Reciting reasons intended to convince people you’re trustworthy doesn’t work because trust is not achieved through data or facts.

Bigger may reduce the perceptions of any risk in purchase as a business moves to the late stages on the adoption curve. That said it can also be a slippery slope to irrelevance, too.

Importantly, any “risk” attached to what is new and innovative can be managed with the right trust-building strategies and performances.

Over the last few weeks, we’ve seen close-up exciting new product concepts and nuances of evolutionary innovation that could potentially disrupt existing food and beverage categories. Yet the truth of the matter – there are also emerging brand communication efforts that are neither emotionally resonant nor fully dialed into consumer relevance.

  • We have ample proof that while a level playing field exists, guidance and sound strategy are needed no matter the size of the business from $1 million in trailing revenue to $1 billion.

The large brand paradox

Larger brands have greater challenges due to hide-bound traditions and inertia that moves against change.

“We’re too big to fail”

“We’ve always done it this way”

“Our growth is aligned with the category performance”

“We can’t (won’t) change the foundational aspects of what authored our original success”

“Wall Street won’t like it if we do anything radically different”

“We have significant costs sunk in our supply chain infrastructure”

“We already have high levels of brand recognition and awareness”

“What if we (read: I) fail”

Trust must be won daily. Brand equity dilution, decline and commoditization challenges are like laws of gravity and cannot be side-stepped. Ceding category territory to smaller creations may not feel like a contest initially because many leaders believe you can “buy” your way in. Yet we recognize that post-acquisition there will be risks of diluting the golden goose’s brand magic.

The new rules of engagement

Anyone, anywhere can outflank and beat well-funded competition on message relevance and quality communication. That means emotionally on-point, consumer-centric communication is fundamental no matter who you are, big or small.

  • Higher purpose, mission and values are the foundational elements of trust creation and any player in a category is either served or hampered by this requirement.
  • You have to get out of your own way.
  • Size is not insulation and creates other significant challenges that operate in favor of reinvention and renewal – when change is often resisted.
  • Disruption and differentiation are required when sameness is rampant everywhere and traditional category behaviors can dumb-down any perceived uniqueness.
  • There are far too many bigger brands that lack humanity in how their story is packaged and presented.

The beauty of a level playing field

For larger brands, this means potential repositioning and savings on the marketing budget line because throwing “money at it” doesn’t really get you there. This forces the importance of innovation, relevance, meaning and values that are the hallmarks of competitive advantage in the relationship economy era.

For smaller brands, you are not at an automatic disadvantage based on size. You can compete. Effectively. However, the requirement for world-class storytelling and engagement strategies remains as the price of entry. Are you prepared for it?

In the famous Pixar movie about a culinary genius rat named Ratatouille, we learn the story arc’s basic premise, “anyone can cook” – provided the right inspiration, effort, energy, focus and desire to learn exist. So, too, in the era of relationship-based marketing. We can return to focusing on the consumer and our storytelling chops, knowing that we can make a difference, and we can win in the marketplace for all the right reasons!

If this story stimulates some thinking that you would like to share with like-minded brand builders who can add value to your internal strategic conversations, use this link to start an informal dialogue.

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.

Digital romance required to engage consumers online

Get consumer digital romance right or risk being left at the altar

February 18th, 2022 Posted by Behavioral psychology, Brand Design, brand marketing, brand messaging, Brand preference, consumer behavior, Consumer insight, Content Marketing, Emotional relevance, engagement, Social media, Social proof, storytelling 0 comments on “Get consumer digital romance right or risk being left at the altar”

You have a short time to earn trust

“Trust Creation is a leading, modern brand communication strategy intentionally designed to build credibility and authenticity. How Trust Creation is translated in the digital experience is one of the greatest challenges of our era.” – Emergent

According to McKinsey, during the first 90 days of the Pandemic more products were sold online than in the previous decade. In short order, consumer adoption of e-commerce and online engagement has accelerated past the tipping point and likely will never go back. Google forecasts by 2024 – just two years from now – 60% of all global spending will be digital.

Therefore, it is likely the first point of contact for any new consumer getting acquainted with your brand will be online, and it will be fast. You just never get a second chance to make a first impression.

  • Thus, your digital challenge: how do you get a perfect stranger to commit to a relationship with your brand online when you know risk and loss aversion is a universal human barrier to overcome?

It goes without saying, brands that get digital romance right will succeed (yes, it is romance by the way). Those that don’t get it right will risk losing the scarcest resource of all on our planet: consumer attention.

  • “The consumer experience is rapidly evolving from one built upon the transactional process of in-store shopping to one that is rooted in deep, ongoing and enriching relationships.” – Harvard Business Review.

Romance is all about values, trust, purpose, emotion and deeper meaning.

So now what?

The secret to a successful digital relationship is…?

We know consumers 100 percent of the time are focused on avoiding a bad decision and the regret that accompanies it. They are more concerned about loss and unsatisfactory outcomes than a perceived gain. What they require is trust and certainty. How will you deliver it?

The most important move you can make is to inject humanity into the online experience you create. Why? Because relating to a brand is now fundamentally the same thing as relating to a person. The future of healthy brand relationship in the digital space will be built on a foundation of admiration and trust.

Your digital experience must avoid being:

  1. Overly transactional – Myopically focused on selling things at the expense of lifestyle relevance and non-product related usefulness
  2. Technology focused on your ‘better mouse trap’ – Asking people to burn mental calories on complex tech messaging never works
  3. Self-reverential – It’s about the consumer and not self-promotion. They should be the heroes of your narrative (Read that again.)
  4. Analytical – People are feeling creatures who think and not thinking creatures who feel

Instead, lean into emotion, celebrating the consumer as hero of your storytelling. When they see themselves in your content, it’s like holding up a mirror – a reflection of themselves and their interests. Now you have their attention. When it’s all about you, the brand is competing with customers for the hero role in your narrative. Bad idea.

The humanization of digital brand experiences

When you meet someone for the first time and a connection quickly forms, what’s going on there? People see early signs of: Laser-like interest in them and their needs, similarity, common values and genuine care. People pick up quickly on these attributes and signals.

What is it about the people we are drawn to and like? For the most part it stems from like-minded souls who actively show an interest in us, who we believe authentically care about us, and who can add value to our lives. Can a brand behave this way?

  • Or are brands handcuffed to the hard sell, unable to adapt and adopt more human-like behaviors such as care and empathy?

You understand now the consumer is likely to engage with your business online – a behavior that is only going to accelerate – thus leaving you with a short amount of time (the zero moment of truth) to gain their trust and belief.  We know people already seek to avoid loss and disappointment so what can you do to bypass risk and earn a relationship?

No matter the product you’re selling – be it cheese, pet food, shoes, cosmetics, software or beer – you are obligated to author conditions that will encourage personal connection and engagement. Your goal is to adopt the whole pantheon of respected, cherished human behaviors that we anticipate and expect from people we know and trust.

This is why your digital experience should be built around these Eight Characteristics of a Humanized Brand.

How will you amplify, facilitate and enable:

  1. Trust – reliability
  2. Integrity – honesty
  3. Conversation – dialogue
  4. Guidance – usefulness
  5. Shared experiences – common aspirations
  6. Reciprocity – unselfishness and being considerate of them
  7. Empathy – focus on them
  8. Shared values – ethos and moral character

Think about it –

  • Do any of us enjoy encountering the one-dimensional salesperson who is “always closing” and whose motives we suspect are not operating with our best interests at heart?
  • Do we gain much beyond the exchange of features and price if the only conversation we’re having online is product driven?
  • When consumers are looking for coaches and guides to help them fulfill their aspirations and lifestyle needs, is your brand answering the call?
  • Is your web site a fun and engaging place to visit and learn, get inspired and take away tools that help improve people’s lives?
  • Is your web experience a true mirror of your best customers’ lifestyle interests and passions?

Earning trust and respect begins with making the audience’s welfare and wellbeing an unselfish priority – this is how you earn the opportunity to engage on products and services. You just don’t lead with the hard sell if you expect to gain confidence and overcome the powerful motivation to avoid risk at all times.

Your web site shouldn’t be merely a digital brochure. It can’t be just an e-commerce transaction platform. A web site that is three-miles-wide and half inch deep focused on self-promotion with just a smattering of usefulness to navigating life’s complexities here and there isn’t going to achieve digital romance.

You have an enormous opportunity to break the conventions and traditions of selling and become a coach to customers who long for advice, ideas and inspiration. It may feel counterintuitive to be focused on customers beyond your own product story, but this reorientation is necessary when you know the consumer is now in total control of the brand relationship. Brands no longer dictate terms and can’t command engagement.

Here’s the litmus test:

Does your web experience deliver:

  • Emotional connection?
  • Learning?
  • Inspiration?
  • Entertainment?
  • Community and sharing?

Your brand will benefit by looking beyond self-interest to see the requirement for trust creation and to embrace the humanity it takes to get there. Knowing that digital engagement will be dominant for people, it’s time now to conduct an audit of the entire web experience to look for opportunities to refine your brand’s higher purpose, mission, content and experience – to better align with your consumers’ needs.

Want to have a deeper relationship with your customers, then imbue your online brand experience with deeper meaning. We can help you think through the challenges of relevance and resonance, humanization of your story, content and visual assets. This could be the most important conversation you have in 2022.

Use this link to say ‘hello’ and let’s get acquainted.

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.

The psychology of risk

Is the Psychology of Risk Factored Into Your Marketing?

February 3rd, 2022 Posted by Behavioral psychology, brand advocacy, Brand Design, brand marketing, brand messaging, Brand preference, brand strategy, Brand trust, consumer behavior, Consumer insight, Higher Purpose, storytelling, Strategic Planning 0 comments on “Is the Psychology of Risk Factored Into Your Marketing?”

Your customers are not analytical decision-making machines

When consumers approach a purchase decision, are they focused on the merits and benefits of what you’re offering? Research on human behavior confirms that other issues are dominating their judgements. Read on to find out what’s really happening.

  • You might agree marketing and business strategy that is informed with a clear understanding of the human being you want to reach is going to be massively more effective than efforts that don’t take into consideration what we now know about how people make choices.

Ground-breaking behavioral research conducted over decades by renowned psychologists Amos Tversky and Danny Kahneman on their Theory of Regret, forever altered the false assumption that humans are rational and analytical – making decisions based on objective consideration of the facts.

Today we will unravel the mysteries of how people behave to provide you with clear guidance on what the customer is actually thinking and doing.

People will pay a premium to avoid – wait for it – regret

According to scientific research, consumers’ 99.99999 percent of the time are working to sidestep making bad choices. Tversky and Kahneman’s analysis of choice decisions demonstrated that people focus on minimizing risk in order to reduce the chances of any regret. Said another way, people are not seeking to maximize benefits, instead they are trying to prevent or duck an unfavorable outcome. Boom.

  • Most marketing activity is based on presenting gains, wins, benefits to an audience pre-occupied with trying to determine if what’s on offer is a gamble (path to potential regret) or a sure thing.

Kahneman expressed regret theory in real-world terms this way: The nearer you get to achievement, the greater the regret people encounter if you fail to achieve it. The more control you believe you have over a gamble, the greater the regret experienced if it turns out badly.

People reflexively face regret for:

  • What they have chosen
  • What they wish they hadn’t chosen
  • What they should have chosen

What’s truly operating on the path to a purchase decision can be observed in any hesitation or reluctance (abandoned cart) to take an action. How the consumer is looking at the options before them follows their attempt to determine –

  • What is a sure thing
  • What is a probable gain
  • What is actually a gamble in order to secure a gain

When choosing between a sure thing and a perceived gamble, a person’s desire to elude loss exceeds the desire to secure a gain!!

Not surprising, people will pay handsomely for certainty. They will take the sure thing over the perceived dice roll every time. Thus, the power and impact of a well-defined brand with deep equity, trust and a strong value proposition.

So what exactly is this loss people seek to avoid?

A loss occurs when a person believes they’ve ended up worse off than their reference point. A reference point is a state of mind based on the status quo, or a standard defined from where they started. Please note, a gain or loss will always be connected to how a problem is presented. Changing the description of a situation can make a gain seem like a loss and vice versa.

Implications to marketing planning and strategy

A consumer world balanced on the pin of regret avoidance is a cry for certainty, surety, belief, trust and confidence.

  • What risk reduction tools are you using to erase loss while canceling potential regret?

It’s important to proactively manage the conditions, language and perceptions that influence consumer belief.  You want to erase uncertainty and the possibility of a bad outcome.

Where to start?

Descriptions – Language matters, how a problem or situation is framed can help or hinder the assessment a customer is inevitably making about certainty and risk avoidance.

Social proof – Consumers find claims of performance and outcome made by companies to be less trustworthy. They will believe their peers before they will believe you. Thus, social channels that behave more like communities where sharing is encouraged, perform the valuable service of offering assurance that what is promised is indeed consistently delivered.

Familiarity – If you’re working on the next great leap in food technology beware of pushing the science wizardry too hard instead of focusing on the more familiar, comfortable and assurance-building principles of food, nutrition and culinary cred for a product consumers will put in their bodies. People are wary of anything that appears to be too far away from the familiar territory of foods they understand and believe are real, safe as well as satisfying (taste).

Transparency – The more you disclose about how you do what you do, the more comfortable people get. This feeds the certainty of knowing exactly what’s in the product you make and where ingredients came from, while also speaking to integrity and honesty – two qualities people believe are sorely lacking in business behaviors.

Third party validation – Most product categories have identifiable subject matter experts and influential voices that bring credibility and cachet to the messaging table. If you turn them into promotional shills, their value is lost. Let the expert voices make independent evaluations of what you do and how you do it. Give them room to report on their observations and let the credibility flow from a respected voice that isn’t your own.

Verifiable assurance – For a cheese client experiencing a high degree of adulteration and food fraud in their category, we created a trust mark backed by one of the most respected food labs in the nation. They were given free rein to acquire products at retail independently and submit them to a battery of tests that verified the veracity of how the products were made when compared to the Federal standard of identity. It was proof the products were genuine, authentic, real and what was represented on the label was indeed accurate and truthful. Trust marks and third-party validation can bring another level of consumer confidence to the story being told.

Now you are aware that this universal human trait of risk avoidance is a dominant consideration for people on the path to purchase. Your objective, then, is to work accordingly to secure confidence, trust and belief in a manner that reduces or eliminates any perception of risk or uncertainty that might fuel consumer regret.

  • Do this, and you will answer what most often lies at the foundation of a disconnect for people who are unwilling to try your new product or store. Why? Because they see risk of a bad outcome if they don’t like it or concern it won’t deliver on their reference standard expectations.

Is it time to audit your marketing plans and messaging strategies to ensure the psychology of risk is fully addressed? If so, use this link to invite an informal conversation with a team of experts who understand the anatomy of trust creation.

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.

Meat agriculture impacts on pet brand sustainability

Which Pet Brand Will Emerge as the Sustainability Leader?

December 9th, 2021 Posted by brand messaging, Brand preference, brand strategy, Carbon footprint, Climate Change, climate culture, consumer behavior, Differentiation, Greenhouse Gas, Greenwashing, Navigation, Sustainability 0 comments on “Which Pet Brand Will Emerge as the Sustainability Leader?”

The one that knows the secret to sustainability success…

The stakes in 2022 are high. The marketplace victory could be substantial. Who will win the sustainability derby and emerge as the pet category leader in environmental readiness?

Never before has so much been at stake so quickly as consumer culture change pushes sustainability to the front as a core driver of marketplace competitive advantage. This is a tougher hill to climb because it’s not about legacy advantages such as company size or distribution or ingredient quality. The outcome may bring a new cadre of progressive brands that gain incremental market share while the deniers and laggards face brand equity and value proposition declines.

  • It won’t be the biggest budget – this isn’t about balance sheet heft
  • It won’t be the loudest – this isn’t about media tonnage
  • It won’t be the fastest – this isn’t just a pole race

Why sustainability is a pet category game changer

The Pandemic has served as a catalyst to refocus consumer priorities on more meaningful issues and conditions that help protect the world around us as much as they benefit ourselves and our pets. This development is occurring amidst increasingly obvious global warming events and signs of escalating climate chaos. Consumer research shows a growing priority placed on brand sustainability performance. Underneath we find increased awareness that our food system, both human and pet, is a key contributor to greenhouse gas impacts.

  • According to a recent study conducted by Emergent’s insight research partner Brand Experience Group, 66% of consumers today are either passionate or deeply concerned about sustainability. The consumer is already there. It’s time for the pet industry to answer this call to action.

Rapidly changing consumer sentiment is pushing sustainability commitments and policies to the forefront. Along with it is a form of shopping friction bubbling up because there’s no simple way to sort one brand from another on sustainability bona fides. Consumers want to know what a more sustainable brand choice looks like. Who will step forward with the right, credible, trustworthy story? Which retailers will surface to offer guidance on more sustainable choices in their stores?

It’s time for a new pet brand mantra anyway

For more than a decade the premium pet food business has been focused on a short list of competitive arguments around grain free, percentages of meat in the formula and the relevance of an ancestral diet. It’s time to begin a new conversation with pet parents that isn’t another rehash of the tropes that have been popular over the long tail of the pet food premiumization revolution.

Sustainability is a welcome departure to a new brand narrative, one that is values driven. It may also be a catalyst for a wave of product innovation that changes the ingredient complexion of the pet food industry. The recent joint venture announcement between Hill’s and Bond pet foods, a pioneer in precision fermentation technology, may presage the dawn of meat proteins that don’t originate with an animal, bird or fish. The sustainable ingredient story there will be unprecedented.

Where’s the beef?

Well, it’s on top of the list of carbon generators from ag sources. At 30% of global greenhouse gas contributions, agriculture is the number two worldwide contributor to global warming. When you look underneath the hood, you find that the top two sources of GHG from agriculture are beef and lamb production. It stands to reason that pet food has a job to do in raising the bar for improvements over time – both in promoting regenerative farming practices and sourcing from environmentally-responsible suppliers with a more sustainable story to tell.

The secret to sustainability success

Fly right.

The essential sustainability truth in pet food is revealed in the supply chain.

  • Meat forward diets mean carbon impacts are embedded in the product formulation.
  • Pet food makes up between 25 and 30% of the entire environmental impact of domestic meat consumption.
  • Meat centric pet diets generate approximately 64 million tons of carbon dioxide, equivalent to driving 13.6 million cars for a year, according to Gregory Okin, a UCLA Professor who published an environmental impact study on pet food in the PLOS ONE Journal.

The road to pet brand sustainability readiness begins with a scientific, data-driven analysis of carbon footprint. From that foundation comes the ability to establish science-based mitigation and improvement targets over time. It’s important to note that every brand in the business faces similar sustainability challenges. The advantage goes to those who will do the science-based analysis to understand where the business is today before creating the roadmap for where it will go tomorrow and beyond.

The science-based approach helps brands avoid the trap of greenwashing by bringing data informed benchmarks and commitments. This reality benchmark in the sustainability conversation provides the brand with a credible, trustworthy platform on which to build its narrative. Invoking sustainability claims without the science assessment, knowing the challenges exist in the supply chain, is risky territory. Media and consumers are getting smarter about what constitutes credible moves to improve sustainability readiness vs. less genuine apple-polish style messaging.

Who is going to be the first with carbon footprint labeling?

Granted this is a new conversation to start with pet parents. Just as consumers may not fully understand what the protein percentage numbers on a bag truly mean, they may also lack deep knowledge of carbon scores. Nonetheless, when a brand anchors its narrative in real researched targets, it gains immediate cachet for bringing new belief points to the stage.

The initial footprint statement is likely to be aligned with standards and commitments for change over time, so the brand users know what the company is planning for improvement. No one expects a brand to be perfect right out of the gate. No brand will be for that matter. However, the transparency and clarity delivered will measurably advance the brand’s position as “the more sustainable choice.”

Whoever grabs first-mover status here is likely to be a perceptual and voice leader in the conversation around pet food sustainability. We can imagine the remarkable anchor this will create for storytelling at Global and Superzoo, especially when you can establish a unique state of the art for sustainable practices in the industry.

Anatomy of a pet brand sustainability winner

The crown for sustainability leader will likely pass to the pet brand that steps in with the greatest integrity and authenticity.

  • Begins with science-based carbon assessment and data informed mitigation targets.
  • Grounded in insight research that reveals the areas of sustainable performance that matter the most to brand users.
  • Backed by infrastructure to properly measure the business impacts of sustainability investments.
  • Supported with a robust communications platform to tell the brand’s sustainability bona fides to key consumer and stakeholder audiences.

If you think sustainability matters in the year ahead to competitive advantage in the pet brand market, we would invite a conversation to discuss how we can help build your sustainable brand platform and story. Use this link to learn more in our Brand Sustainability Solution program guide.

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.

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