Sustainability is a Growing Trend and Increasingly Necessary Across Sectors

Sustainability has been an increasing focus for brands, especially as consumers demand more of their brands when it comes to social and environmental justice. 

Ethical consumerism has become a massive trend globally. In 2022, 66% of consumers ranked sustainability as a top-five concern. A Nielsen report also found that 66% of consumers globally were willing to pay higher prices for companies they considered sustainable. 

Especially for sectors such as tech and energy, sustainably is imperative, not just as a way to appease consumers, but for the long-term viability of these companies. Tech infrastructure requires astronomical amounts of energy and can have a huge environmental footprint, from energy usage to resource extraction. Sustainability also ensures that companies comply with the increasing regulatory pressures and laws. For these reasons, many big tech brands have pledged to reduce their environmental impact.

Big Tech’s Environmental Pledges 

Apple, for example, intends to use recycled aluminum in its products, employ energy-efficient manufacturing, and ultimately reach carbon neutrality. Their plan is laid out as “Apple 2030” on their website, and it details consumer-friendly statistics about their commitment to the environment. Apple already boasts more than a 55% reduction in carbon emissions since 2015. 

Likewise, among other tech giants, Google and Microsoft have made similar pledges. Google has invested in renewable energy and aims to reach carbon neutrality, though the exact year of this goal is unclear. Impressively, Microsoft has committed to becoming carbon-negative by 2030 and plans to remove all historical carbon emissions by 2050.

Green Marketing in Retail Sectors

Outside of the tech industry, retail brands have also caught onto consumer preferences for sustainability, and reflect the growing demand for corporate accountability. Within the fashion industry, for example, clothing brands such as Reformation have committed to lowering their carbon footprint. Investing in green infrastructure, and reducing the amount of water, energy, and waste that goes into each product, Reformation then publishes those numbers publically for consumers. 

For retail sectors at large, however, these sustainability pledges remain far from standard. Many companies refrain from green marketing because sustainability is not yet the norm. Brands that focus on sustainability are often seen as placing a financial burden on consumers, as environmental initiatives tend to go hand in hand with higher prices. Thus, sustainable brands target consumers who are willing to pay for these values. But this also means that green marketing can box companies into an environmentally-conscious niche. 

Consumer brands still seem to be operating as though sustainability is a superfluous benefit and not an imperative, reflecting consumer’s traditional standpoint on sustainability. The tech industry, on the other hand, seems to be universally implementing sustainability goals. And, because tech companies don't usually advertise their sustainability in the same way as retail brands, this can lead to fewer critiques when it comes to the idea that consumers are implicitly paying for this sustainably, or that promoting it is some sort of charged social statement. 

Sustainability as a Growing Imperative

Each industry has its own harmful environmental impact. For clothing companies, water usage, waste, microplastic contamination, and significant contribution to greenhouse gas emissions are all major issues. For tech companies, energy consumption, e-waste, and resource extraction are key areas of environmental harm. Beyond these very real consequences, however, sustainability yields a long-term competitive advantage far beyond immediate marketing opportunities.

Across all industries, sustainability is increasingly imperative. A recent Harvard Business Review has cited sustainability as a growing necessity for companies. Whereas in the past, sustainability was a bonus, it is poised to become a major factor in which companies will succeed long-term. According to the HBR article, there are three intermediary reasons why sustainability is of increasing importance. 1) Trust is imperative for business outcomes, 2) sustainability garners trust, especially amongst younger generations, and 3) shortly, younger generations will have the largest purchasing power in the United States. 

By positioning oneself to comply with regulations and volitionally pledging to decrease one’s environmental footprint, that company is well-equipped for stricter regulations. Sustainability becomes an active choice rather than a roadblock to business operations. 

Stay up to date on our latest posts by subscribing to our newsletter and following us on LinkedIn and Instagram.