7 reasons why you have to make sustainable products
Consumers are more and more concerned with the issue of environmental sustainability: it suffices to mention the huge media exposure of Greta Thumberg and the Fridays for Future to understand the extent of the green phenomenon and how relevant it is.
More awareness, more consumption
Hand in hand with awareness about sustainability, the demand for environmentally friendly products and a concrete commitment by companies and brands to this issue are increasing: an international study by Nielsen claims that 66% of consumers are interested in eco-friendly products, services and businesses.But it does not end there: more and more consumers are willing to pay more for a sustainable product. According to Accenture’s research, in 11 countries all over America, Asia and Europe, more than 50% of consumers would be willing to spend more money to have sustainable products designed to be recycled or reused. In addition, 72% of them said to be buying more “green” products than 5 years ago.
ARE YOUR PRODUCTS SUSTAINABLE?
The opportunity is clear: being green pays off and we will tell you why.
7 reasons why sustainable products make your business grow
1) Save money
Let’s face it: developing sustainable products requires an initial investment (time and money) to change consolidated business processes and dynamics. A short-term cost that can bring great benefits in the medium-long term: the efforts put in the direction of eco-sustainability can lead to lower production costs and more efficiency, but also – for example – to the reduction of shipping and transportation costs.
2) Minimize consumption
Production costs for companies that sell consumer goods can be high and have a big impact on their budget. Adopting green policies, especially in terms of energy, results in “natural” savings. Energy efficiency, the installation of solar panels, the reduction of waste, the recycling of materials, the accumulation of energy and other “eco” solutions can help you keep consumption low, cut expenses and invest saved money in other activities. We can say that renewable energies help your company renew itself (and sell more).
3) Cut taxes and get incentives
Here is another good news: the rise of the green economy – together with the pressures of environmentalists and businesses – has led world governments to encourage sustainable turnarounds of businesses, through public investment plans. One could speak of a “Green New Deal”. The support goes in two directions: tax cuts and tax reliefs on one hand, subsidized loans and eco-incentives on the other. Even in Italy there are such incentives , but, unfortunately, companies are often not aware of them.
4) Increase the commission of your employees
Today sustainability is a fashion, luckily. This means that even your employees can be interested and sensitive to the topic: according to a Salesforce’s survey, 72% of employees expect their company to implement concrete sustainability policies. But it does not end there: 59% believe that sustainability is important for the long-term success of the company. When it comes to young workers (Millennial and Gen Z), 52% of them say that a company that protects the environment is more trustworthy than others. Introducing more sustainable practices within the company means consolidating the relationship with the employees, and becoming more appealing for new talents and, why not, increasing productivity.
5) Increase brand equity
As we have seen before, consumers are more and more willing to buy eco-friendly products and to pay more, too. A sustainable product is enriched with an added value that allows it to be positioned higher in the market and to win more easily the attention and trust of consumers: the brand will be grateful. In fact, by purchasing a “green” product, you do a “good deed” with the brand, which becomes an ally for a fairer, greener and more sustainable world. All this has a price, and you can decide it.
6) You are way ahead (and respect the rules)
The market is running fast and it is easy to remain behind: companies are changing, innovating, changing processes and products in record time compared to just a few decades ago. Taking the path of sustainability is an innovative choice that projects your company into the future: on one hand it allows you to start on a path that is only at the beginning of its evolution – with a consumption trend that promises substantial growth in the years to come – and on the other hand, it allows you to design and develop new, high quality and essentially better products. Furthermore, the sustainability standards rightly imposed by public institutions are and will be increasingly stricter in the future: to be ready can be a great competitive advantage.
7) Attract investors
Investors like the word “innovation”. And they also love the word “sustainability”: after all, the market is asking for it. A green company is more appealing because it cuts production costs (especially unnecessary ones) and is compiling with the sustainability requirements for companies (strict laws on pollution, consumption, raw materials etc.). To make it brief, an eco-friendly company pays is convenient for investors because it will guarantee a greater economic return, thus triggering a virtuous circle: if I have a higher return on my investments I will be more inclined to invest again, and so on.
To summarize: sustainability is a safe investment
If you are still wondering if it is better to be a green company and develop sustainable products, we confirm the answer: yes, it is. The steps necessary for a conversion of production and of the company itself may seem neither simple nor cheap, but with a medium-long term perspective in mind all the benefits are evident and it is clear that green companies have a rosy (or green!) future ahead.
And if big changes scare you, rest assured: changes can also happen one step at a time. But we assure you that once you start you will not be able to stop.
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