Eco Branding: Why a Business Needs It

1. What is eco branding?
2. What Eco-Friendly, Sustainable Brands Do
3. How to Add Green Marketing to a Company’s Brand Identity
4. Successful Sustainable Brands

Today, to be a successful brand, businesses can’t just think about profit margins. Nowadays, businesses also have to address relevant challenges, one of which is climate change. A growing number of today’s companies are joining forces to help battle this problem by considering the environmental impact that their company has. This guide dives deeper into what the eco philosophy is and the impact green marketing has on modern-day businesses.  

What is eco-branding?

Technological advances and mass production have become a real threat to the planet’s ecosystem. To make a positive impact on the planet, people are becoming more aware of their consumption and lifestyle. According to a notable survey, 88% of consumers want brands to help them make a difference in conserving the environment. That means consumers are paying attention to how brands handle corporate social responsibility. They’re choosing brands that align with their personal values.

Thanks to the efforts of both companies and individuals, eco-friendliness has evolved into a strong trend. A company that follows eco principles is often called “sustainable” or “green.” These companies use human and natural resources efficiently and take responsibility for their actions. Such a sensible approach to doing business generates a bunch of benefits for companies:

• Customer loyalty. Modern consumers gravitate towards brands that share their values. By purchasing shoes or a bag from a certain brand, a person manifests that they accept what the company stands for and support sustainable development.    
• Competitive advantage. Many green companies with sustainability strategies are more successful than their non-green competitors. Unilever’s “Sustainable Living” brands, such as Lifebuoy, Ben & Jerry’s, Dove, and Hellmann’s, have grown 50% faster than the rest of the business in some years.  

• Revenue. A company ignoring the eco-friendly movement risks finding itself on the sidelines. According to research, 80% of consumers are willing to spend more on eco products. Those same customers often don’t make purchases at brands that don’t promote sustainable practices for energy consumption and the use of recycled materials when possible. 

At the same time, the sustainable approach comes with two main challenges: 

• Production. Businesses that hope to go green also need to find suppliers that share their eco-friendly approach, carefully supervise each stage of production, purchase organic raw materials, and more. Every single detail requires extra effort and control. 
• Cost. The green approach often leads to higher production costs, which results in higher prices. This can drive away those customers who prioritize price over quality.

What Eco-Friendly, Sustainable Brands Do

Green brands are committed to making the world a better place. This ambition manifests itself in everything they do, including how the brand behaves and how it communicates with its customers.

Save natural resources and reduce energy consumption

Eco-conscious brands adjust their production process and marketing strategy to fit their green philosophy.

One good example is Lush, an eco-friendly producer of beauty products. The brand no longer uses palm oil, and it’s committed to ethical sourcing. On top of that, the company only uses recycled materials for packaging. 100% of their products use only vegetarian ingredients, and 95% of their products were completely vegan in 2024.

Another famous brand is Patagonia. The famous apparel retailer launched a collection made from fabric waste scraps. Despite a high price tag, the collection has been a great success.

Take care of their workforce

Eco-conscious consumers want to know that the brands they purchase from give their employees safe working conditions and decent pay. This is why green companies are willing to let consumers behind the scenes of their production process. For example, the Swedish brand Acne Studios publishes annual sustainability reports detailing their efforts to use carefully considered materials and work with responsible sourcing partners. 

Guide customers

It’s not enough for brands to say they’re passionate about environmental issues. These green brands also need to motivate their customers to follow suit by using their green products and making an impact individually. For example, Colgate encourages their customers to save water while brushing their teeth. According to Colgate’s Save Water campaign, “You can save up to 64 cups of water every time you brush your teeth. Just turn off the faucet while brushing”. 

How to Add Green Marketing to a Company’s Brand Identity

The push for eco branding affects all types of businesses, from big corporations to small firms. Joining can feel intimidating at first, but it can be manageable. All a small business owner needs to do is start with small initiatives. From there, they can expand on what works, always monitoring customer reactions to improve their brand image with each initiative.   

Here are some things that business owners should consider when making a genuine commitment to greener practices and marketing that promise.

Positioning

If a business owner has already defined their company’s missions and goals, they can start by considering how they’ll link those existing goals to their new sustainability philosophy.

In contrast, if someone is starting a brand-new business and they want to commit to eco-friendly initiatives from the start, then one of their starting goals should deal with environmental protection.

Keep in mind, a good goal needs to be:

• Shared by the target market
• Achievable
• Related to the company’s products

Visual Identity

A company’s packaging, website, ads, storefront, and even office decor should share a cohesive design. If a business owner hasn’t already done so, it’s essential to start developing a visual brand identity, usually starting with a neat logo and building from there.

From an eco-branding perspective, it’s usually a good idea to use natural colors like green, brown, and other earth tones or nature-based symbols like leaves, flowers, or water droplets. ZenBusiness can even help business owners build an eco logo in a snap; just enter the company name and choose the right color scheme to get started.  

Consistency

Consistency is key: an eco-friendly approach shouldn’t just impact how a business operates internally but also in how it relates to its customers. Most brands find that their audience appreciates it when they’re open and transparent. Here are a few things to keep in mind.

• Pay attention to detail. For example, if a brand stands for saving natural resources, it’s logical that it has to steer clear of plastic packaging. A smart business owner will address every detail, even one as simple as packaging, to ensure that their brand is upholding its espoused values.
• Involve the audience as much as possible. Smart green brands try to communicate with their customers through their website and social media platforms. For example, some will feature photos and videos that show the behind-the-scenes of their production process, boosting transparency. This way, a brand can show their customer that they aren’t making unsubstantiated claims about helping the environment; they’re putting their proverbial money where their mouth is.
• Grow the brand’s influence. Many eco-friendly entrepreneurs take time to influence environmental causes even outside their business’s typical scope. For example, some business owners will publish articles in niche magazines, launch a podcast, or organize industry-specific events. This can be a good way to not only promote the cause but also build a loyal community around the brand, too. 

Successful Sustainable Brands

Looking for inspiration? Here’s a shortlist of examples of successful eco brands, from clothing manufacturers to lawn mower producers and more.

U-R-SO

U-R-SO is an accomplished Ukrainian brand that produces swimwear. The company has recently launched a new collection of swimsuits named Sustainable Swim. To sew the items for the new collection, the company used the innovative fabric called Econyl. It’s made of recycled plastic and fishing nets which were found at the bottom of the sea.

Dell

Dell sets a great example when it comes to saving resources. For example, they make printer cartridge ink from exhaust fumes. To produce hard drive magnets, the company uses exclusively recycled materials. 

The IT giant also promised to manufacture more than 50% of their products from recycled materials by 2030.       

Organic Basics

This Danish clothing brand is committed to complying with the international working legislation. The company stands strongly against child labor. They take good care of their workers, providing them with decent pay and an attractive social benefits package.  

Each fabric goes through a rigid approval process based on its impact on the environment. Professionals from Organic Basics stress that they only use organic cotton, which is grown without the use of any synthetic chemicals. 

Husqvarna

Sweden-based Husqvarna specializes in manufacturing machinery and equipment, such as saws, lawn mowers, construction tools, and more. The company’s aim is to reduce its carbon footprint. With that goal in mind, Husqvarna produces battery-powered devices and robotic equipment. Also, the brand is taking efforts to minimize cargo transportation.  

Husqvarna hand-picks the electric energy suppliers it works with. As for today, the Swedish giant receives more than 50% of its electric energy from renewable sources. 

IKEA 

As the world’s most famous home furniture company, IKEA buys 98% of its wood from eco-friendly sources. The brand strives for zero-waste production. IKEA has minimized the use of synthetic chemicals and rigorously follows international working standards. 

Aside from that, IKEA creates products that enable its customers to lead a more sustainable lifestyle. For example, the company offers faucets that reduce water consumption, solar panels, and more.     

Johnson & Johnson

Johnson & Johnson produces a wide spectrum of products, from cosmetics to pharmaceuticals. The corporation strives to make the lives of people all over the world healthier and more fulfilling. To achieve this ambitious goal, Johnson & Johnson is set to spend 800 million dollars by 2030. 

The multiple brands under the Johnson & Johnson umbrella are actively adopting eco innovations. For example, Johnson’s stopped using pumps in some of its packaging, while Neutrogena produces makeup removal wipes made of eco fiber. Another brand, Le Petit Marseillais, introduced a shower gel that’s made from 98% natural ingredients. Plus, the gel is sold in reusable bottles.        

Nike 

The iconic sportswear brand launched its Move To Zero eco campaign, which strives for zero waste and carbon emissions. Nike’s primary concern is the choice of materials. The brand is known for reusing plastic and fabrics. 

Each shoe made from Nike’s innovative Flyknit fabric takes 6 to 7 plastic bottles to make. All Nike Air soles are at least 50% made of recycled production waste. To produce clothing, the company only uses organic or recycled cotton.  

Coca-Cola

Coca-Cola has made water consumption one of its top priorities. The beverage giant counts every drop it uses and provides access to fresh water to people in 79 countries. 

The recipe for the famous Coca-Cola beverage is changing, too. The brand is working towards reducing the amount of sugar in the beverage, while more than 50% of its ingredients are eco-friendly. On top of that, Coca-Cola only uses recyclable bottles.    

Final Words

Nowadays, more and more businesses are taking care of the environment. Joining the eco trend is a great way for a business owner to make a difference, grow their customer base, and build up their brand reputation, all while raising awareness for environmental causes. 

Disclaimer: The content on this page is for information purposes only and does not constitute legal, tax, or accounting advice. For specific questions about any of these topics, seek the counsel of a licensed professional.