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Environmental Labelling – What is it and why it matters to You Dr Wendy Buckley  Director Carbon Footprint Ltd
Green claims in advertising have tripled between 2006 and 2008 Most claims in print media, 68% Specifically  broadsheets ; targeting ‘up market influencers’ Three  dominant sectors making green claims  Automotive Energy Public sector 61% of green claims relate to the promotion of a specific product or service 37% focus on environmental message alone; 63% use a green message in combination with an additional benefit  “green & cost” and “green & performance” Only 13% of ‘green’ adverts identify a third party organisation supporting the claim being made. New DEFRA Green Claims Code & ASA remit puts advertising under the spotlight more than ever “Just a load of Greenwash?”
Renault were pulled up by ASA The ASA demanded Renault withdrew the ad because it exaggerated environmental benefits. The Twingo is in the third-highest category for vehicle excise duty which ranks cars by their emissions, and it isn’t included in the Department for Transport’s selection of top 10 low-CO2 cars. Renault was also told that because the ad failed to explain the criteria for cars to be included in its Eco2 scheme, it had “breached the code of conduct over substantiation, truthfulness and environmental claims”.
... There are over a hundred different labels around...
Environmental Labelling...What is it and why it matters to You What they are -  the market & drivers Why they are relevant to You Which ones to go for – how much does it cost ? How to ‘extract value’ from environmental labels Do’s and Don’ts What lies ahead      
Different product & service lines Different industry sectors  Different  countries Government / EU ‘accredited’ ‘Self certified’  Just because it doesn’t have government backing doesn’t mean it’s no good  There is a multitude of different regulated and unregulated labels...
...Because there is growing consumer demand & regulation  Business to Consumer More than £2 billion worth of goods bearing carbon labels have now been sold in the UK,  Business to Business £1billion of sales of carbon-labelled goods came from the business-to-business sector. Regulatory pressure  Centre for Retail Research estimates that sales of carbon-labelled goods could double by the end of 2012 and reach £15bn by 2015.
Environmental labels help you to manage a Sustainable Business Purchasing Do your suppliers operate ISO14001 Environmental Management System Do they disclose their Carbon Footprint / are they Carbon Neutral Can their products be recycled What are the products’ energy ratings ?   Operating Environmental  Management Systems  - drive down impact & save you costs Marketing, Selling & Managing your Brands Supplier pre-selection based on your on-line credentials Make sure you are invited to tender SMEs are quicker to adapt and can often develop environmental credentials faster than corporates – leading to sales tender success
What’s in it Environmental policy Environmental action plan Environmental Aspects register Legislation register Communications log Roles &responsibilities log Records log Audit Ease & timing 3-6 months typical time to get certified 3-4 man weeks effort  Easier if you already have ISO9001 Return on Investment Cost savings x10  Sales benefits x100      ISO14001 can help you to be an environmental business
When considering investing in labels think about  Needs of your key clients Target Market Sales potential of the label Standards, credibility and reputation of the label Potential costs of applying & maintaining status Rules of the schemes
So which one is for my business & how much does it cost ? Prioritise your market need to manage costs , ease & resource. Some SME funding may be available.
How to Extract Value from your labels Make them central to your Marketing   Look beyond your traditional target markets Ensure your labels appear on all  ‘collateral’ Sales proposals Recruitment &HR On-line and Off-line Communicate it Press & Social Media Sales teams , distributors & agents Colleagues Win awards E.g. Sustainable Business Partnership
In the future we’ll have .... More pressure to be sustainable  Carbon reporting & taxing  More ‘Harmonised’ labels More on-line / software tools to help us DIY Incentives to assist us invest
Do Follow the new DEFRA Green Claims guidelines http://bit.ly/GreenClaims Develop independently verified credentials Be sure they are accurate Get  a third party stamp of approval Be a environmental supply chain hero Select your suppliers via their environmental credentials  - you’ll enhance your offerings ‘Live the Labels’
Don't  Make up your own labels – make claims you can’t substantiate Assume your clients understand your efforts  Miss the Environmental opportunity / Think the regulations  will ‘just go away’
Any questions ? wendy.buckley@carbonfootprint.com 01256 345645

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Wendy Buckley - Carbon Footprint North Hants 05.05.2011

  • 1. Environmental Labelling – What is it and why it matters to You Dr Wendy Buckley Director Carbon Footprint Ltd
  • 2. Green claims in advertising have tripled between 2006 and 2008 Most claims in print media, 68% Specifically broadsheets ; targeting ‘up market influencers’ Three dominant sectors making green claims Automotive Energy Public sector 61% of green claims relate to the promotion of a specific product or service 37% focus on environmental message alone; 63% use a green message in combination with an additional benefit “green & cost” and “green & performance” Only 13% of ‘green’ adverts identify a third party organisation supporting the claim being made. New DEFRA Green Claims Code & ASA remit puts advertising under the spotlight more than ever “Just a load of Greenwash?”
  • 3. Renault were pulled up by ASA The ASA demanded Renault withdrew the ad because it exaggerated environmental benefits. The Twingo is in the third-highest category for vehicle excise duty which ranks cars by their emissions, and it isn’t included in the Department for Transport’s selection of top 10 low-CO2 cars. Renault was also told that because the ad failed to explain the criteria for cars to be included in its Eco2 scheme, it had “breached the code of conduct over substantiation, truthfulness and environmental claims”.
  • 4. ... There are over a hundred different labels around...
  • 5. Environmental Labelling...What is it and why it matters to You What they are - the market & drivers Why they are relevant to You Which ones to go for – how much does it cost ? How to ‘extract value’ from environmental labels Do’s and Don’ts What lies ahead      
  • 6. Different product & service lines Different industry sectors Different countries Government / EU ‘accredited’ ‘Self certified’ Just because it doesn’t have government backing doesn’t mean it’s no good There is a multitude of different regulated and unregulated labels...
  • 7. ...Because there is growing consumer demand & regulation Business to Consumer More than £2 billion worth of goods bearing carbon labels have now been sold in the UK, Business to Business £1billion of sales of carbon-labelled goods came from the business-to-business sector. Regulatory pressure Centre for Retail Research estimates that sales of carbon-labelled goods could double by the end of 2012 and reach £15bn by 2015.
  • 8. Environmental labels help you to manage a Sustainable Business Purchasing Do your suppliers operate ISO14001 Environmental Management System Do they disclose their Carbon Footprint / are they Carbon Neutral Can their products be recycled What are the products’ energy ratings ? Operating Environmental Management Systems - drive down impact & save you costs Marketing, Selling & Managing your Brands Supplier pre-selection based on your on-line credentials Make sure you are invited to tender SMEs are quicker to adapt and can often develop environmental credentials faster than corporates – leading to sales tender success
  • 9. What’s in it Environmental policy Environmental action plan Environmental Aspects register Legislation register Communications log Roles &responsibilities log Records log Audit Ease & timing 3-6 months typical time to get certified 3-4 man weeks effort Easier if you already have ISO9001 Return on Investment Cost savings x10 Sales benefits x100 ISO14001 can help you to be an environmental business
  • 10. When considering investing in labels think about Needs of your key clients Target Market Sales potential of the label Standards, credibility and reputation of the label Potential costs of applying & maintaining status Rules of the schemes
  • 11. So which one is for my business & how much does it cost ? Prioritise your market need to manage costs , ease & resource. Some SME funding may be available.
  • 12. How to Extract Value from your labels Make them central to your Marketing Look beyond your traditional target markets Ensure your labels appear on all ‘collateral’ Sales proposals Recruitment &HR On-line and Off-line Communicate it Press & Social Media Sales teams , distributors & agents Colleagues Win awards E.g. Sustainable Business Partnership
  • 13. In the future we’ll have .... More pressure to be sustainable Carbon reporting & taxing More ‘Harmonised’ labels More on-line / software tools to help us DIY Incentives to assist us invest
  • 14. Do Follow the new DEFRA Green Claims guidelines http://bit.ly/GreenClaims Develop independently verified credentials Be sure they are accurate Get a third party stamp of approval Be a environmental supply chain hero Select your suppliers via their environmental credentials - you’ll enhance your offerings ‘Live the Labels’
  • 15. Don't Make up your own labels – make claims you can’t substantiate Assume your clients understand your efforts Miss the Environmental opportunity / Think the regulations will ‘just go away’
  • 16. Any questions ? wendy.buckley@carbonfootprint.com 01256 345645

Editor's Notes

  1. Green claims Guidance:www.defra.gov.uk/environment/business/marketing/glc/pdf/genericguide.pdf
  2. Make claims you can’t substantiateZero carbon emissions car – RenaultCarbon neutral business – when you’ve only offset the office energy consumptionMake eco-gaffs in front of your stakeholdersThrow plastic cups in the bin at your site or off-site Blag about arriving at a customer site in your BMW 7 series petrol carLeave the lights blazing 24/7 in your corporate offices Assume your clients understand your efforts Unless you / your sales team explain to them !Miss the low Carbon opportunityMore sales tenders and customer selections are being based on environmental credentials - London 2012, public sector procurement Think the legislation will ‘just go away’It will cost your budgets It will cost your brand & reputation much more