How to communicate the environmental impact of your products
Find out how to effectively communicate the environmental impact of your products and avoid greenwashing.
Benjamin Thomas & Anastasia Mishchenko
November 20, 2023
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Find out how to effectively communicate the environmental impact of your products and avoid greenwashing.
Communicating the environmental impact of products has become a priority for companies seeking transparency and responsibility. From next year, it will also be a priority for all companies, under pressure from consumers and regulations.
In this article, we explore the benefits, methods and pitfalls to be avoided in this crucial step for brands.
To encourage brands to commit to transparency and enable consumers to make informed choices, the implementation of theEnvironmental Labeling has become one of the priorities of France's Ministry of Energy Transition.
The objective set by the French Climate and Resilience Law is to have mandatory environmental labelling from 2026. For priority sectors such as food, textiles and furnishings, a gradual phasing-in is planned from the beginning of 2024.
Regulatory pressure for environmental transparency reflects and responds to growing consumer demand for clear, honest information on the environmental impact of products.
According to the Baromètre de la Consommation Responsable 2022 by ADEME :
Consumers' growing demand for transparency will inevitably influence their purchasing decisions, with a direct impact on sales. This reality positions transparency in the communication of products' environmental impact as a major challenge for companies. Not only must they be able to communicate effectively to meet regulatory requirements, they must also anticipate the impact of these ratings on their commercial performance.
This impact of ratings on purchasing decisions can be seen, for example, in the food sector with the introduction of the Nutri-score. This rating system, which classifies products according to their nutritional quality, has already changed consumer behavior. Here are a few figures illustrating this impact, taken from the NielsenIQ study (2023).
These trends suggest that the introduction of environmental labelling in other sectors, such as textiles or furniture, could have a comparable impact.
The Eco-score, which will assess the environmental impact of clothing, should therefore influence consumers' purchasing decisions:
This feedback on the Nutri-score in the food sector clearly shows that transparency and effective communication of the environmental impact of products can have a positive impact on consumer purchasing behavior.
To let consumers know that you are a committed and responsible company, and to reinforce your CSR strategy, communicating impact results is essential.
The format of the Environmental Display, although not yet finalized, will take the form of a note (probably a score ranging from 1 to 100), displayed on products and e-commerce sites.
The final format of this rating is still under discussion within working groups. It will be based on various environmental impacts of the product calculated through life cycle analysis (CO2 emissions, water pollution, etc.). Here is a prototype of the label proposed by the working groups:
This standard format will enable consumers, firstly, to rely on a public indicator to verify the measure of impact, and secondly, to make products from the same sector by different companies comparable with each other.
On the corporate side, this gives everyone the same communication obligations and at the same time stimulates production in a more sustainable way than competitors, which ultimately benefits society.
In addition to compliance with standards, transparency in the communication of environmental impacts is essential. This means providing detailed information on impacts at every stage of the product life cycle.
Even if the final format of the communication has not yet been finalized, you can already be a pioneer of communication ahead of your competitors and win the trust of customers with your environmental commitment.
Greenwashing is the practice of misleadingly communicating a company's commitment to the environment. According to the same Barometer 2022, the French are highly suspicious of brands that communicate their commitment to the planet and society: 84% need "tangible" proof to trust a company.
This puts extra pressure on companies to communicate their impact without greenwashing (sometimes even unconsciously!) and to face up to consumer mistrust.
But why are consumers so suspicious? Because, unfortunately, many green claims are false.
In the latest Directive on Environmental Claims proposed by the European Commission in March 2023, it is highlighted that a considerable proportion of environmental claims(53.3%) provide vague, misleading or unfounded information on the environmental characteristics of products.
To find out more about greenwashing and how to avoid it, read our other dedicated article here.
To avoid greenwashing and provide consumers with this "tangible" proof, the French government has decided to gradually implement mandatory environmental labeling in selected sectors, such asFood, Textiles andFurnishings.
Communication should not be limited to gross environmental impact, but should also highlight eco-design efforts. Examples such as Smoon and Morning, which compare the impact of their products with averages or other indicators, are innovative approaches.
Smoon communicates raw impact results, comparing them with indicators that are more understandable to consumers; for example, CO2 emissions are compared with the number of kilometers traveled by car.
The advantage of this approach is that it's easy for consumers to understand, thanks to the comparison.
Morning compares the product's impact with a median impact of the product catalog for key impact indicators such as climate change, water pollution and acidification. This gives consumers a comparison with the market average, making it easier to understand.
This communication is also a way for brands to tell the story of their products, from conception to end-of-life.
Indeed, since January 1, 2023, in France, the communication of traceability is mandatory, so there's no need to prove why it's important to communicate it.
Companies such as Camif illustrate this approach by comparing impact results with the same product but manufactured in China and using non-recycled materials, and presents the impact by life cycle assessment (LCA) stage.
This approach enables a product to be compared with the same product made in China, simplifying understanding for consumers, and enhancing the eco-design efforts undertaken by the brand by promoting local production.
This communication must be part of an overall corporate approach to sustainability and responsibility. It is not limited to regulatory compliance, but extends to a broader commitment to the environment and society, reflecting the company's values and mission.
In short, communicating the environmental impact of products is a process that requires a holistic approach, combining regulatory compliance, transparency, innovation and global commitment. Companies that adopt this approach will not only meet regulatory and consumer expectations, but will also position themselves as leaders in the field of environmental responsibility.
Waro offers a ready-to-use solution for displaying communication, enabling you to control your impact reduction and generate communication visuals directly on the platform.
Why communicate your environmental impact with Waro?
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