UL Environment. NAEM EHS Management Forum. Sustainable Product Communication: Making the Customer Connection Underwriters Laboratories Inc.

Transcription

1 UL Environment NAEM EHS Management Forum Sustainable Product Communication: Making the Customer Connection 2012 Underwriters Laboratories Inc.

2 UL Environment Insights and Opportunities Strategies, Programs and Tools We develop customized sustainabilitybased strategies, programs, and tools based on our expert insights and information. Trust & Transparency Certifications and Validations We validate environmental claims appropriate for the market and certify performance to sustainability standards and requirements. Capture Value Environmental Marketing We deliver go-to-market plans that enable companies to capture value (sales, market share, increased brand equity) by communicating the value of their sustainability programs. 2

3 More Companies Are Pursuing Sustainability Be Competitive Source: Winter 2012 MIT Sloan Management Review Research Report Sustainability Nears a Tipping Point 3

4 Unmet Consumer Opportunity Source: 2009 GMA/Deloitte Green Shopper Study 4

5 The Risks of Getting it Wrong Consumers faces with misleading environmental claims: 71% will stop buying the product 37% will avoid the company s products altogether Source: 2011 Cone Green Gap Trend Tracker 5

6 Pressure to Holistically Address Hot Spots Sustainable Apparel Coalition Built Environment Retail Value Chain Institutional Purchasers 6

7 Good Science Lost Opportunity Shampoo bottle requires 15 tons less plastic in the manufacturing process a year. Source: 2011 Grail Research, The Green Revolution 7

8 Bad Science Lost Opportunity 8

9 Good Science Captured Opportunity Concentrated formulations Controlled dosage 9

10 Good Science Captured Opportunity Concentrated formulations Controlled dosage = more effective = less storage space = more convenient 10

11 Sustainability Value Mapping SM Market Values (Customer & Consumer Needs) Scientific Innovation (Product, Process & Supply Chain) Commercial Customers Consumer Segmentation Industry Verticals Government Purchasing & Incentives New Markets Life Cycle Thinking Supply Chain Initiatives Corporate Actions Product Improvements Process Efficiency Opportunities (Brand Equity & Market Share) 11

12 Market Values Case Study Better Cleaners for Kids NGO pressures for supply chain improvements Corporate commitment to carbon reductions Increased transparency Optimized packaging Safe for children Trustworthy & good company Recyclable & reduced packaging 12

13 Scientific Innovation Case Study Better Cleaners for Kids Biobased ingredients Innovative surfactant Reduced energy use Closed loop manufacturing Fair labor code of conduct Recyclable and PC content packaging Plastics with no BPA or phthalates Tested non-toxic Light weighted product Lower CO 2 and NO X emissions 13

14 Sustainability Value Mapping SM Better Cleaners for Kids Sustainability Value Proposition Immediate Moms Needs Biobased PC recycled & recyclable packaging No BPAs/phthalates Tested non-toxic Reduced process energy Lower transportation emissions Light-weighting Fair labor code of conduct Innovative surfactant No process emissions Translation Mapping Strategic Positioning Safe Trustworthy & good Recyclable & reduced packaging Supply chain pressures Carbon reductions Increased transparency Optimized packaging 14

15 Sustainability Value Mapping SM Sustainability Value Proposition Immediate Retailer Needs Biobased PC recycled & recyclable packaging No BPAs/phthalates Tested non-toxic Reduced process energy Lower transportation emissions Light-weighting Fair labor code of conduct Innovative surfactant No process emissions Translation Mapping Strategic Positioning Safe Trustworthy & good Recyclable & reduced packaging Supply chain pressures Carbon reductions Increased transparency Optimized packaging 15

16 Sustainability Value Mapping SM Sustainability Value Proposition Immediate Market Needs Biobased PC recycled & recyclable packaging No BPAs/phthalates Tested non-toxic Reduced process energy Lower transportation emissions Light-weighting Fair labor code of conduct Innovative surfactant No process emissions Strategic Positioning Safe Trustworthy & good Recyclable & reduced packaging Supply chain pressures Carbon reductions Increased transparency Optimized packaging 16

17 INNOVATE PULL PUSH Strategies to Capture Market Opportunities Greener product framework Supply chain collaboration Realignment of sustainability value proposition Buyer education Leadership positioning Markets development Market Values Sustainability Value Proposition Unmet Market Needs Current Opportunity Unarticulated Market Needs Sustainability Value Mapping SM 17

18 Recommendations: Good Green Marketing Truthful Substantiated Realistic about incremental improvement Not confusing to consumers Engaging and interesting Clever in communicating environmental benefits alongside performance benefits 18

19 THANK YOU. Lise Beutel Senior Business Consultant, UL Environment