Accusations of “greenwashing” can cause irreparable damage to reputations and consumer trust, with environmental and social governance (ESG) now high on the agenda of public and private organizations around the world. , many retailers are changing the way they think about their business.
In addition to the products and services they offer, retailers must choose their supply chains, the activities of their employees, and even which partners they work with to fulfill their moral obligations to consumers, especially young people. We are reconsidering the environmental and social impact of . In fact, a recent consumer insight study conducted by Etika, which looked at young British people’s attitudes towards the environmental and social impact of financial products, found that 80% of young people Seeking ethical support.
So what strategies can merchants put in place to ensure both sides of a retail transaction get what they need and support sustainable practices? And how does POS financing help? Does it factor into the equation?
Embracing ESG, avoiding greenwashing and winning new customers
To be ESG-inclusive and stand out from competitors, retailers need to consider sustainable packaging, green supply chains, ethically sourced raw materials, and social governance around manufacturing, as well as attract customers. We also need to sincerely promote sustainable practices.
From a supply chain perspective, it is important that distributors choose to work with suppliers and manufacturers who can guarantee sustainably sourced materials and environmentally friendly production processes. Internally, we need to invest in educational programs at all levels of the organization so that senior-level employees lead by example and junior-level employees become active in sustainability efforts. there is. This can be achieved by setting sales goals and individual performance goals that align with his ESG program for the entire company.
There are also a number of new technologies that facilitate communication, information sharing and awareness between suppliers, retailers and consumers. Internet of Things (IoT) technology can collect data that provides valuable insights into customer communications. AI can analyze supply chain information to increase transparency and optimize decision-making. Machine learning (ML) algorithms can be used to predict trends and potential problems.
POS finance and climate-friendly purchasing habits
While these changes will go a long way in addressing and mitigating accusations of greenwashing, retailers should not ignore the impact of choosing the right partners, including financial ones.
The social and environmental impacts of financial products and institutions often continue to suffer from negative public perceptions. In fact, our recent Consumer Insights survey found that only 29% of young people trust financial institutions to act ethically, and we know that the financial institutions they buy products from are ethical. Only 39% of young people would be surprised if Acting in an unethical manner. Additionally, 93% of young people are more likely to choose a financial institution that has strict investment ethics programs.
With increasing demand from customers for socially responsible and ethical business practices, it is clear that financial companies that pay lip service to ESG are likely to suffer a loss of customers, revenue and partnerships. To meet this demand and demonstrate their credibility to potential merchant partners, financial companies need to be more vocal about their stance on environmental and social issues and the positive changes they are making. That’s what I think.
Financial providers play an important role in supporting responsible purchasing habits. By being inclusive, honest and selective with our partners, we can help our customers incorporate more sustainable purchases into their budgets.
Mr. Robert Shaikh etika He is also a renowned technology leader with a mission to bring about positive change in the world of finance. A fairer finance provider with operations in Australia and the UK, Etika improves access to affordable finance through a unique business model that is both a platform provider and a finance provider. Masu. Under Mr. Schuijff’s leadership, Etika has become an outstanding POS finance pioneer, striking the right balance between agile innovation and people-focused and ethical lending principles.
