Green and environmentally friendly? This may not land as well as you think with customers
If you are banging your head against the wall because your current purpose-led messaging isn’t resonating with customers and leading to expected enquiries and sales, you need to rethink your approach. Chances are you are prioritising the wrong message.
The dramatic rise of the B Corp movement and focus on environmental, social, and governance (ESG) policies taken up by businesses and brands in the last five years would lead many to assume that beating the green and social drum is the smart way to win new customers and retain loyal ones. This is true on the whole, but not necessarily across the board.
It is undeniable that there has been a significant shift in consumer spending towards those with strong ESG claims since the pandemic. The focus and demand for purpose-driven products and services has evolved from being a moment into a movement that shows no sign of slowing down.
However, what we have seen in the last 12 months in particular is a doubling-down on the sustainable and social impact PR campaigns run by some businesses and brands which will be to their detriment. Put another way, it is a bit too ESG heavy.
Before we explain why that is, let’s first take a look at the case for having a strong ESG-focused approach to PR.
The case for prominent ESG promotion
A joint study by McKinsey and NielsenIQ found that products with sustainability-related claims on packaging saw higher sales growth across multiple categories. This wasn’t just based on consumer sentiment. Indeed, the study tracked actual spending behaviour over five years and 44,000 brands.
Deloitte added to this. Their research suggests that we are fast approaching a tipping point whereby sustainability will be a minimum requirement for purchase decisions. Brands that make genuine, transparent and easily understood commitments to people and the planet are gaining trust and outperforming those with vague or flimsy claims, it found.
It is a matter of balance. ‘Selling’ yourself as a sustainable business or brand is absolutely the right thing to do, but it needs to be in moderation. There are many organisations who appear to be taking this to the extreme; they may think they are promoting the right message in the right way, but in reality they come across as preachy and even blur the benefits customers gain if they buy from them. Cue the case for the prosecution.
The case for less prominent ESG promotion
A study on plant-based meat advertising conducted by researchers at the University of Edinburgh showed that health-focused messaging outperformed environmental appeals. The researchers ran a series of mock advertising campaigns. One set of adverts focused on both the environmental and health benefits of purchasing the product, and the other set concentrated just on the latter.
Logic would suggest that products or services with a clear and prominent sustainable ‘hook’ would fare well given the plethora of businesses and brands whose promotional strategies focus heavily on boosting and promoting their sustainability credentials. But as we can see, the opposite was found to be the case.
Closer to home, when Clearly PR surveyed 2,100 marketers and business leaders, 31% said they were “put off” those businesses and brands whose PR heavily centred on promoting their ESG credentials. A third, 36%, said such communications had “no effect” on them, whilst 17% went so far as to question the validity of the claims being made. Just 16% were more inclined to do business with these companies.
Explaining the negativity
There are two reasons I can see that might explain this. The first relates to that basic of all human traits: we don’t like being told what to do. Customers are exposed to communications from you, your competitors, the government, and the media telling them they must be more sustainable, and they must do more for society because it is the ‘right’ thing to do.
That is not any different to telling a child not to eat too many sweats – they know it is bad for them to do so, but they will go ahead and do it anyway in defiance. Or is that just my little girl?
And second, there is a perception that customers must pay a premium for sustainable products and services. This is certainly the case when it comes to plant-based and organic produce, where price parity with non-planet friendly produce is some way off. So, if the messaging contained in a business’s PR and advertising is heavily focused on its green credentials, it therefore follows that customers assume the business charges a premium for its services.
Final thoughts
If you are banging your head against the wall because your current purpose-led messaging isn’t resonating with customers and leading to expected enquiries and sales, you need to rethink your approach. Chances are you are prioritising the wrong message.
Your customers have a need. They have a choice over who they engage with to satisfy that need. Driving their decision making will be various factors – expertise, experience, reputation, trustworthiness. Your ESG credentials are the cherry on top, not the primary reason for them to do business with you.
Overly ‘green’ messaging can backfire, especially when it implies premium pricing or feels preachy. Balance is key. ESG should support your brand story- not dominate it. Talk about the great things you are doing but do so in moderation. Your purpose should be the added value of doing business with you, not the primary reason for it.
Need help with your ESG messaging? See how we can help.
