The World Economic Forum (WEF) and Accenture found that a series of sustainable supply chain practices result in a 9 to 16 percent cost reduction and a revenue increase of 5 to 20 percent. Increasingly, companies are expected to leverage sustainability programs to reap greater shareholder value because they reduce costs and help manage risks.
show that brands with purpose (brands that offer functional benefits, personal well-being, and collective well-being) perform better on marketing key performance indicators—such as impression, brand familiarity, premium pricing, and purchase and repurchase intent—than brands that are not purpose-led.
Unique Financing Opportunties
Today, government agencies and utilities offer a variety of tax credits, rebates, and other incentives to support energy efficiency and lower greenhouse gas emissions. But companies are also exploring internal and external financing options that are uniquely well suited for sustainability and energy projects.
The first retail corporate sustainability bonds were issued by Apple and Starbucks in 2016. In February 2016, Apple launched $1.5 billion in green bonds for renewable energy, energy efficiency, and circular economy projects. In June 2017, Apple issued $1 billion in green bonds. Not long after Apple's first bond issuance, in May 2016, Starbucks issued a $495.6 million sustainability bond.
And sustainable investing continues to grow. Goldman Sachs now manages $10.5 billion in assets dedicated to environmental, social, and governance (ESG) investments.
Sustainability accounting has also evolved. The Sustainability Standards Accounting Board (SASB), the independent standards-setting organization for sustainability accounting standards, was established in 2011. SASB helps meet the needs of investors by fostering high-quality disclosure of sustainability information and data.