Sustainable E-Commerce: Greenwashing or Real Action?
Consumers in every country say they want sustainability. But they have a hard time defining what that means. People are not confident about which types of packaging are better for the planet or how to know whether a product was sustainably produced.
What Does Sustainability Mean in 2022?
The concept of sustainability has grown to include many different aspects. When we talk about sustainable e-commerce, that can include:
- Products made from recycled or recyclable materials
- Lightweight, recycled or recyclable packaging
- Carbon-neutral delivery options
- Sharing profits with charity or community initiatives
- Providing opportunities for staff at all levels of the business
How E-Commerce Brands Are Rising to the Challenge
Macy's announced a $5 billion sustainability initiative with three aspects: planet, people, and communities. The "planet" aspect includes using more sustainable materials, reducing waste, and auditing supplier factories. They're also working on social equity by investing in education, setting diversity targets, and increasing minimum hourly pay.
Other retailers focus on what happens post-purchase, looking for ways to make their shipping, delivery, and returns more sustainable. In Canada, Walmart is pioneering carbon-neutral delivery with an electric vehicle fleet and carbon offset program.
Key Points for Sustainable E-Commerce
Create a Strategy
Individual ideas for sustainability are great, but they need to be part of a coherent project. Find opportunities to make every part of your e-commerce business more sustainable.
Understand Your Supply Chains
From materials to manufacturers to stock levels, knowledge is power. Mapping supply chains and tracking stock levels can help improve efficiency.
Offer Sustainable Packaging and Delivery
90% of consumers say they are more likely to choose an e-commerce brand that offers eco-friendly delivery.
Look Into Resale and Repair Programs
Increasingly popular with brands and shoppers alike. The EU is introducing regulations to force fashion companies to use more sustainable materials and give customers more repair support.
Include Customers in Your Strategy
Talk about what you're doing. Encourage customers to choose sustainable products or delivery options. Footwear brand Toms is a great example with their "buy one, give one" initiative and "Impact" section prominently featured on their website.
A big part of any sustainability initiative is collecting information to understand what's actually going on in your business. Data about your deliveries, stock levels, and customer behavior can all feed back into sustainability plans. From supply chains to shipping, resale to returns, the green revolution in e-commerce will be built on better data.
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