Increasingly employees, investors, and customers alike are looking to
businesses to set an example when it comes to sustainability. Here is why
you may want to keep sustainability in mind when building your business.
This article is for educational purposes and does not constitute legal, employment, or tax advice. For specific advice applicable to your business, please contact a professional.
Increasingly employees, investors, and customers alike are looking to businesses to set an example when it comes to sustainability. The 2020 KPMG Survey of Sustainability Reporting found that 80% of companies worldwide now report on sustainability. In addition to this, a majority of worldwide companies have targets in place to reduce their carbon emissions and 40% acknowledge the financial risks of climate change in their reporting. Not only is this a priority for investors, younger generations of employees and customers are increasingly invested in engaging with businesses that demonstrate sustainable operations.
Gen Z is seeking a sustainable future
According to a 2020 First Insight report, 73% of Gen Z consumers are willing to pay more for sustainable products. Not only do Gen Z consumers want to spend their money supporting sustainable companies, they want to work at environmentally friendly companies as well. In a recent study by Simon-Kucher & Partners, 85% of people globally indicated their purchase behavior shifted toward being more sustainable in the last five years. Over a third of those surveyed say they are willing to pay a 25% premium on average for more sustainable products and services.
Customers aren’t the only ones driving businesses toward sustainability — prospective employees are as well. Nearly half of those surveyed by Deloitte in 2021 say they have made — and continue to make — choices about where they work based on their personal ethics.
at Square.
