Insights: Building businesses on the three pillars of sustainability

The current world order necessitates that brands and businesses act with the planet’s best interests at heart while working toward success for the organisation The UN defines sustainability as “meeting the needs of the present without compromising the ability of future generations to meet their own needs”.

Today brands do not have a choice—a sustainable approach to business is essential.

This is particularly important when it comes to innovation. Companies innovate to create unique marketable products and services that add value to the bottom line. They must always take into consideration social, economic, and environmental factors while developing and designing new solutions—they must ensure that they are sustainable.

Sustainability is an investment, not a cost

Adopting a sustainable approach to business requires upfront expenditures and changes to traditional practices. The long-term benefits, however, far outweigh the initial expenses.

For example, companies that use energy-efficient technologies and renewable energy solutions reduce energy consumption. They ensure long-term energy cost stability. When they Implement waste reduction measures, they reduce material and disposal costs. They contribute to the creation of a circular economy.

Consumers are increasingly concerned about climate change and their well-being. They are demanding sustainable products and services. Brands that invest in sustainability can tap into growing markets and gain a competitive edge – transforming their brands and business in the process. They also enhance brand reputation and customer loyalty when they demonstrate environmental and social responsibility.

A sustainable approach to business positions a brand as a responsible corporate citizen. It fosters positive relationships with consumers and all stakeholders, ensuring business continuity in an evolving world. Sustainability is a long-term investment, not a cost.

The 3Ps

The three pillars of sustainability are people, planet, and profit. By integrating these three pillars into their business models, brands have the opportunity to be genuinely transformative.

Amid their pursuit of a ‘sustainability label’, some brands tend to look at the concept superficially. They make comparable commitments and implement similar measures to those taken by most other companies — they comply, rather than differentiate. Relying solely on compliance does not make a brand profitable or relevant to consumers.

Looking at the 3Ps through the lenses of differentiation, relevance and innovation can drive a company toward success.

People

People, the social pillar, emphasizes the importance of social equity, inclusivity and meeting the diverse and specific needs of individuals and communities. It recognizes that sustainable brands must consider the well-being and empowerment of people.

This is where differentiation can play a crucial role. By fostering an environment where employees feel valued, respected, and empowered, brands can enhance productivity, innovation and employee satisfaction. Investing in fair wages, employee well-being and growth opportunities demonstrates a commitment to people. Fair wages ensure economic security and improve employee morale while supporting their overall well-being. Differentiating by providing growth opportunities through training, career development, and advancement prospects not only benefits employees but also fosters loyalty and talent retention.

Brands create a thriving work culture when they prioritise people in sustainable branding. They can build a strong reputation as a socially responsible and employee-centric organisation.

Planet

Planet, the environmental pillar, focuses on environmental sustainability. It is about preserving ecosystems, mitigating climate change, and conserving natural resources for the benefit of current and future generations.

The critical role of environmental stewardship in sustainable branding cannot be overstated as it is very much relevant. Brands have a responsibility to minimize their ecological footprints and actively promote conservation efforts. By adopting eco-friendly practices, such as using renewable energy sources, reducing greenhouse gas emissions, and implementing sustainable supply chain strategies, brands can demonstrate their commitment to the planet. Reducing waste, implementing recycling programs, and embracing circular economy principles are also crucial steps toward sustainability. Not only do these actions contribute to environmental preservation, but they also align with the growing consumer demand for eco-conscious products and services.

An inspiring example of a brand that adapted this is P&G’s Ariel, with their Cannes Lions winning work combining innovation with sustainability: ECOCLIC box, an FSC certified and made from recycled fibres, making it fully recyclable while also being more inclusive and intuitive for all adults.

By prioritising environmental stewardship in sustainable branding, brands can enhance their relevance, attract environmentally conscious consumers, and position themselves as leaders in the quest for a more sustainable future.

Profit

Lastly, profit, the economic pillar, recognises that economic sustainability is crucial. It encourages businesses to adopt innovative approaches and generate financial returns while minimizing negative social and environmental impacts. Sustainability presents both a significant innovation challenge and opportunity for businesses—and should be embraced as such.

Sustainable practices have the potential to drive cost savings and enhance efficiency. They inspire innovation, leading to the development of new and improved products and services that cater to the evolving needs of environmentally conscious consumers. Embracing sustainability as a core principle can foster a culture of creativity and problem-solving. This enables businesses to stay ahead of the curve and tap into new market opportunities. A great example of this is Tommy Hilfiger, who, since 2016 has been working with people with disabilities to create designer clothes that make it easier for people to dress. Tommy now uses a variety of closures, such as Velcro, magnets and hoop and loop closures, that can be easier to manage through its Tommy Hilfiger Adaptive line. When launched, 80 per cent of customers who purchased from Tommy Adaptive line were new, which led to substantial growth of customer base.

Transformative brands achieve long-term profitability and have a positive impact on the planet and society when they integrate sustainability into their business strategies.

Brands must seize the opportunity and invest in sustainability in their own and differentiated way —it is an opportunity that can only bring long-term profit. It unlocks a multitude of benefits and yields positive financial, environmental, and social outcomes.

Sustainability is a driver of innovation. It is an enhancer of brand reputation and a magnet for both customers and employees. and reduce operational costs.

To achieve true sustainability, we need collective action—from businesses, governments, and society. Collaboration and shared responsibility are necessary to create a more sustainable future where businesses thrive while ensuring a better quality of life for current and future generations.

The writer is the general manager Middle East and Africa, Landor