As the world makes an effort to fight climate change, consumers are also beginning to look at businesses with a more critical eye. And people expect companies to step up and lead the way.
As a result, many are prepared to buy products made in a sustainable manner. According to Nielsen.com, as many as 73% of millennials will gladly pay more for products they believe are manufactured sustainably.
Therefore, if you’re a business, you cannot afford to ignore consumer preferences any longer. Here are five of the biggest trends taking place in green business.
1. Setting goals in line with the Paris Agreement
One of the top trends is the adoption of green goals in line with the Paris Agreement. This dynamic proposal set in place by the United Nations is aimed at helping to reduce greenhouse gas emissions. The charter was signed by 195 countries in 2015. It is one of the leading documents on mitigating the rising global temperatures.
2. Major companies standing together in support of green initiatives
Some of the biggest companies in the country heralded the landmark signing of the Paris Agreement. Furthermore, approval was shown in a joint statement released by the Center for Climate and Energy Solutions. Among these giants were Intel, Microsoft, Rio Tinto, Shell, and Berkshire Hathaway Energy.
3. Supply chain emissions are being scrutinized
Companies are strategically looking at their entire supply chain in order to make improvements at every stage. For example, there is a push to source raw materials ethically. This is in addition to using alternative energy supplies during the manufacturing processes. What’s more, environmental audits are now the order of the day for many enterprises so that they continue to improve their operations.
4. Tech companies also getting on board
Carbon sequestration is one area that’s being explored by tech companies like Kickstarter and Google. In fact, Kickstarter has a course that teaches startups how to set up green businesses. Not to be outdone, one of Facebook’s 2020 climate goals is to reduce its greenhouse gas footprint by 75% and switch to 100% renewable energy.
5. The growth of the organic food market
Today, consumers are not only looking at the packaging but also what they are eating. To put this into perspective let’s look at the organic food market. Firstly, the statistics – the market is worth over $35 billion according to USDA figures. Interestingly, the best-selling produce was fresh fruits and vegetables. Clearly, this is great because a lot more companies now support local farmers who grow their produce organically.
Companies leading the revolution
Without a doubt, companies are the ones leading this green revolution. Moreover, in the United States, the government’s strict legislation makes it difficult for companies to obtain government contracts without green measures. With this in mind, most companies have done their best to comply.
Read about 9 major U.S. companies that have gone green here.