RESEARCH UPDATE KATHY CATTON
New Zealanders want brands to 'talk' sustainability
A new research report, In Good Company, commissioned by the Sustainable Business Council (SBC), Porter Novelli and Perceptive, reveals how New Zealanders are assessing the sustainability of brands. Kathy Catton takes a look at what business leaders and HR professionals can learn from this study.
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ust under half of New Zealanders say they care about sustainability when choosing a brand or product to purchase. And one in five says choosing a brand that either operates in a sustainable manner or helps them live a lower-impact life is the most important factor in their purchasing decision. This is a powerful message: people are using their consumer power to demonstrate their commitment to sustainability. If we think about our role as HR professionals and the need to align ourselves with our business leaders, this prompts various questions. What does our organisation’s brand say to our customers? Are we okay with what our employer is doing with regard to sustainability? How can our employees influence our organisation’s brand? 46
HUMAN RESOURCES
AUTUMN 2020
These are all pertinent questions to consider. As HR professionals, we know about employer branding, that is, an employer’s reputation as a place to work, but it now appears there is an opportunity for our employees to influence that general corporate brand reputation. After all, the bigger picture is that we are all living in the same community, the same country, the same planet. “People are our most important asset”, the old adage goes, so can we work together for the longevity of our teams, our organisation’s brand and our world? And the evidence is clear. According to the In Good Company report, published in November 2019, New Zealanders believe electricity retailers and supermarkets are doing the most to be more sustainable. However, they want brands in all industries to be more open and upfront about sustainability and actively communicate it. More than 2,000 New Zealanders took part in the study, which looked at eight industry sectors, including: automobile, broadband and mobile, fashion/apparel, financial institutions, electricity, fuel and large retailers, as well as supermarkets. With sustainability a concern for 87 per cent of New Zealanders, and 18 per cent of those surveyed unable
to identify a true leading example in the area of sustainability, Mike Burrell, Executive Director of the SBC, says this is our sustainability moment. New Zealand businesses have the perfect opportunity to step up to the challenge and show leadership. “Businesses are increasingly embedding sustainability into their strategies and business practice. However, this is just the beginning. At SBC we are supporting and encouraging businesses to become sustainability exemplars both here and on the international stage.”
This research shows there is an important opportunity for businesses in New Zealand to show leadership. James Walker, Executive Director for Sustainability at Porter Novelli, says, “Customers are increasingly becoming more likely to research the sustainability practices of brands, and they are demanding more and more information. Our research shows that 71 per cent of New Zealanders are actively investigating this before making a product purchase, and that’s a sign that businesses need to step up.”