When people talk about sustainability or hear about it in the media, this term usually refers to the behaviour of consumers or to the manufacturing industry. Ecological products and prudent consumption are designed to leave a healthy world for future generations. But the digital industry can also be sustainable through its own actions. In this article, we show why this path can even be economically worthwhile and how it can be pursued.
What is sustainability?
The term "sustainability" originated in forestry but is increasingly being used in all other industries as well. Sustainable thinking, acting and living are in demand. What is meant is that one should be aware of the available resources and, if possible, act in such a way that they are preserved for a long time and, in the best case, continue to grow. This principle can indeed be quickly transferred to many different areas. Every consumer can live sustainably if they pay close attention to what they consume and how they deal with their household waste, for example. The special thing about it is: Sustainability cannot always be measured on a scale, but rather refers to an ideological strategy both in business and in the private sphere. In the best-case scenario, maximum profit is no longer the top priority for companies, but also their handling of the available resources and their preservation.
Does the issue of sustainability also affect digital companies?
The digital industry is no exception. No physical goods are produced, but the use of energy, social commitment and the consumption of office supplies, along with other factors, can be considered and optimized from the point of view of sustainability. Awareness of corporate responsibility can be the right first step here. The normative, strategic and operational management in a company can jointly decide on a sustainable model and implement it in all realistically affected processes in order to align day-to-day operations with a sustainable concept. Here, value-oriented and sustainable corporate management can be efficiently combined with one another and this is where digital companies do not differ from other industries.
Sustainability leaves the mere trend behind
Just a few years ago, sustainability was more of a trend for some companies, which could optionally be included in their own strategy in order to market themselves better. But this trend is irreversible. Entrepreneurial success is increasingly evaluated according to ethical and ecological activities. In terms of business ethics, the public has been and continues to be the judge of the sustainability of actions, made even more evident by social media and, not least, the "Fridays for Future" movement. Politicians have reacted and so the boundaries between pure compliance, i.e., adherence to laws, and genuine corporate ethics are becoming increasingly blurred. From a marketing and economic point of view, it is even more important to move beyond these boundaries. After all, advertising with sustainability is not pure PR, but a reflection of one's own values and the actions oriented towards them.
Moreover, it is to be expected that in the future we will be confronted with ever more stringent changes in the law regarding ecological factors in business, industry and private life. For some companies, implementing these laws in the short term is only possible at enormous expense and often without a proper strategy due to the time pressure. Those who already develop a sustainable concept for their company will find it all the easier to take future steps.
The unique selling point of sustainability
A company that lives and breathes sustainability can of course advertise it. There is nothing reprehensible or questionable about this from a business ethics perspective. After all, corporate social responsibility refers not only to a company's economic and legal responsibility, but also to its responsibility towards ecological aspects and the expectations of society itself. This means that today it is no longer sufficient to advertise compliance with legal requirements. The value-oriented action in business can even go beyond the legal requirements within the framework of CSR.
The advantage can be seen in the reaction of the public. More and more customers pay attention to the production of their goods under ecologically and socially compatible conditions and honour this with loyalty and very good feedback in social media. Even higher prices than those of the competition can be plausibly explained and are increasingly accepted with goodwill. This makes it possible to generate long-term growth without looking exclusively at monetary aspects in production and supply chains. One secures a strong unique selling proposition that, with appropriate communication, can ensure increasing sales. This applies to B2C as well as B2B. Every company finds places in its business areas where it can work more sustainably. With an awareness of one's own CSR and appropriate adjustments, unique selling points can be worked out and used for economic growth.
Sustainability requires transparency
In praktisch jeder Branche, besonders aber im digitalen Business, ist Transparenz ein wichtiges Gebot. Die eigene Webpräsenz ist ein ebenso großes Aushängeschild für nachhaltige Arbeit wie die Reputation durch Kunden. Wer genau aufzeigt, woher die eigenen Ressourcen stammen und wie sie gewonnen werden, gewinnt gegenüber der Öffentlichkeit einen Vertrauensbonus. Und dieses Vertrauen ist sowohl für den Erhalt als auch das Wachstum eines Unternehmens einer von mehreren Entscheidenden Faktoren. So beinhaltet die transparente Kommunikation gleichzeitig einen erfolgreichen Werbeaspekt, der nicht zu vernachlässigen ist. Um die Transparenz zu untermauern, sind Zertifikate ein mögliches Mittel. Sie sind ein Beleg für die nachhaltige Arbeit und das Bewusstsein für die gesellschaftliche und ökologische Verantwortung.
How can sustainability be implemented?
If a company works with a digital business model, it draws on resources that are generated in a certain way. The energy for its own servers and office space, for example, can come from particularly environmentally friendly production. Company cars for short business trips can be hybrid or electric cars, for example. Some companies even support environmental organisations through donations or active services.
One way to live sustainability in companies is at the same time an obvious point to implement, because it can be realised in the direct environment of the people involved. With the commitment of management and employees, everyday life in the office is also an area where sustainability can be lived by actively separating waste, saving energy and water and using public transport. If everyone in the company pulls together, it is possible to be a green example for society and combine marketing and CSR at the same time. In this way, a true pioneering strategy for a company can still emerge, in which innovation through the elimination of ineffective and non-sustainable processes is in the foreground. The long-term economic advantage is then not far away either.
Sustainability is also a social aspect
In addition to the ecological factors that play a significant role in sustainability, the social aspect should not be ignored. Because the way a company or its management deals with people, especially customers and employees, is also evidence of sustainability. Supporting social projects can be an example of this. Open communication is also important. How close can you be to your customers in everyday business and what services do you have to offer beyond your core business? As a company, you set an example and take on social responsibility.
How successfully a company can do business is usually also reflected in its internal structures. The sustainable treatment of employees is one aspect that can bring great success. Motivated and happy employees perform better and thus contribute more to the success of the company. At the same time, the reputation as an employer increases, which makes it much easier to attract new skilled workers. Constructive feedback, the ability to criticise management and the active promotion of teamwork are factors that can positively influence a working atmosphere and thus social sustainability within the company.
Is sustainability always associated with high costs?
When one thinks of sustainably produced resources and products, one quickly fears rising costs that may not be directly recoverable. However, these fears are often unfounded. The sustainable idea only must be pursued in all processes of the company, then numerous savings potentials can even be discovered. For example, local server structures and procurement processes can also be implemented cloud based. This saves energy and at the same time offers a plus point in terms of sustainability. Supply and production chains in e-commerce can be optimised to not only take ecological factors into account, but also to work more efficiently and even find cheaper alternatives.
Those who rethink shipping materials and the associated waste volumes in e-commerce can generate sustainable and at the same time economic advantages. If possible, synergy effects from cooperation with other companies can be used to bundle resources and be better positioned financially. The use of virtual communication technologies avoids unnecessary travel and thus protects the climate. Climate-neutral and socially responsible business concepts in e-commerce and in the digital industry in general will certainly see growing demand in the future. Those who take the first steps along this path now will also be able to rely on the supportive effect of these factors in maintaining and growing their business in the years to come.
Avoid greenwashing
It is clear to every company today that their own target group is very sensitive to public communication. Issues such as sustainability are being monitored more and more critically and evaluated accordingly. Ethical behavior creates values that are sympathetically received and reflected. Using this factor for your own marketing is - as already mentioned - not reprehensible, but absolutely legitimate. However, anyone who communicates sustainability for advertising purposes but does not implement it and does not want to invest in it is doing so-called greenwashing. It is not uncommon for certificates to be invented or simply green packaging with an organic seal to be used to simulate sustainability. This procedure is not illegal. The possible loss of trust caused by your own target group can have very unfavorable effects, especially in times of social media. It can damage the company's reputation in the long term, as various examples in reporting over the past few years have shown.
It is clear to every company today that their own target group is very sensitive to public communication. Issues such as sustainability are being monitored more and more critically and evaluated accordingly. Ethical behavior creates values that are sympathetically received and reflected. Using this factor for your own marketing is - as already mentioned - not reprehensible, but absolutely legitimate. However, anyone who communicates sustainability for advertising purposes but does not implement it and does not want to invest in it is doing so-called greenwashing. It is not uncommon for certificates to be invented or simply green packaging with an organic seal to be used to simulate sustainability. This procedure is not illegal. The possible loss of trust caused by your own target group can have very unfavorable effects, especially in times of social media. It can damage the company's reputation in the long term, as various examples in reporting over the past few years have shown.
Even small steps towards sustainability can be implemented in any company and communicated openly. Those who reduce their ecological footprint within the scope of their own possibilities can secure the trust and loyalty of their current and future customers and be better prepared for future legal regulations.