Sustainability Should Be More than an Aspiration: 4 Ways it Could Benefit Your Business

A recent survey by GetSmarter revealed that companies consistently outperform their competitors when they adopt a commitment to sustainability. The survey was based on brands with sustainability goals in environmental, social and governance (ESG) categories. These are the focus areas of sustainability that must be a priority in business. Sustainability isn’t just about environmental health; it’s also about economic vitality and social equity.

Here are four ways embracing sustainability could transform your business.

1. Reducing costs

Many leaders understand how quickly the costs involved in running a business can accumulate. Sustainability involves energy conservation, resource efficiency, water reduction, and waste management, all of which can help to reduce operational costs. These are incredibly effective ways to widen the gap between expenses and income as well as grow your bottom line.

Energy conservation is an easy way to start incorporating sustainable practices. There are smart device solutions that can assist by detecting inactivity and automatically turning systems off. This reduces business costs while contributing to sustainability.

Resource efficiency is another element of sustainability that can business costs down. It focuses on functioning efficiently by minimizing unnecessary resources, such as paper, plastic, water and other materials. By practicing resource efficiency, many business leaders realize just how much waste they had been accruing monthly, and how much they can save in reducing resources.

Implementing a waste management program is one of the easiest ways for companies to promote sustainability. Most people are familiar with recycling and are generally willing to participate in a recycling program at work.

Water reduction is a component of resource efficiency that can be costly up front but will save costs in the long run. Installing low-flow toilets, adjusting the landscaping schedule and engaging employees in water conservation are great ways to start reducing the amount of water used.

2. Acquiring and retaining employees

More than ever before, job seekers across all industries desire to work for companies with a focus on sustainability. Some professionals, especially millennials and generation Z, may not even consider working for a company that doesn’t have a sustainability program in place. Current employees are also keeping track of their company’s practices: 56% of individuals say that they are more likely to stay with employers that contribute towards action in sustainability.

Being unable to acquire qualified talent or maintain a low employee turnover can have big costs over time. Adopting sustainable practices can attract and retain employees, reducing the costs of recruiting for new talent.

3. Building a positive brand image

Social media has taken the world by storm in the last decade, and customer brand perception is more important than ever. There’s now an expectation among consumers that companies will engage in environmental efforts; however, these companies must be transparent and honest about their practices. Corporate greenwashing, or implying that eco-friendly methods are used when they actually aren’t, is a huge turnoff for most consumers. Sustainability is a necessary aspect of business strategy, but honesty about endeavors is crucial in building and maintaining a positive brand image.

In addition to potential customers, stakeholders now also expect companies to demonstrate a commitment to social responsibility; they want to invest their time and money in sustainable businesses that appeal to consumers and seem to be having a positive impact on the environment.

4. Offering customers sustainable options

Studies have shown that consumers prefer sustainable options. In fact, 73% of consumers say that they’re willing to change their habits surrounding consumption to support sustainability. In other words, customers are likely to spend more money on products and services if they know that they contributing to an environmental or social cause at the same time.

Consumers also show preference in staying loyal to sustainable companies. Environmental efforts are a joint effort, and customers want to feel like they’re a part of the movement. Buying from eco-friendly brands allows them to easily contribute to sustainability, and those are the businesses that they will keep coming back to.

It’s not just a trend

The importance of sustainability in business is slated to continue growing in the future. Companies around the globe are quickly adopting environmentally friendly practices. However, the goal isn’t simply to join the trend without serious action - because consumers will notice. Being honest in these efforts will not only attract customers and employees, but also allow businesses to reap the many benefits associated with environmental consciousness.

Implementing a sustainability strategy is crucial in building a positive brand, meeting the demands of your customers and boosting efficiency – all in addition to improving the surrounding environment, which is motivation enough for many.