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CONTEXT & TRENDS Review of 2012 Market Context and a12/12/2012 Look Ahead
In 2012: Sustainability as a “Revolutionof Interconnectivity” Takes Hold Ongoing financial meltdown erodes confidence in stability of global economic systems Earthquakes, floods, hurricanes, freak snowstorms -- and resulting impacts -- drives increased concern about eco- systems stability Failure of government to provide solutions erodes confidence in government Continued unemployment, increasing divide between haves, have nots, while businesses hoard cash, PLUS increasing consumer awareness of materiality issues erodes confidence in business as a trusted partner/provider
“Consumer as Citizen” Gathers Steam,and the Shift Picks Up Speed. From NGO to Citizen Activism: Greenpeace, to change.org, to Arab Spring, to #occupywallstreet, to moveyourmoney.org Local/alternative economy experiments percolate: From farm to table, to TransitionTowns, LET‟s Movement, barter support tools, and micropayment for micro jobs businesses start up Sustainable (Creative, Collaborative) Consumption Takes Off: AirBnB, RelayRides, Backyard Gardens ++ Mark Zuckerberg’s Law of Sharing: Sharing/Caring will double each year and what starts on line, doesn‟t stay online: http://www.economist.com/node/21537000
We Asserted that The Future Will be Lead byBrands That… Establish Themselves as Platforms for Purpose Move Beyond Incremental to Revolutionary Innovation Collaborate to Drive a Sustainable Economy With citizens, with Civil Society, with the value network, including each other
We Aligned Around 3 Point Shared Agenda 1. How might we develop and demonstrate new forms of ROI for sustainable innovation? 2. How might we support and encourage more to “revolutionary” innovation? 3. How might we collaborate to shift consumer demand/behavior
2012 at Sustainable BrandsGlobal community continued to grow: Added new corporate members (Caesars, Sprint, Clarke, E-Bay) SustainableBrands.com unique visitors up 60% to c. 280k – time on sight, page views, return visits all up Email/Social Media Engagement up 100%+ across all channels SB‟12 attendance up 60% from 800-1300 New Metrics expanded to 2 days, doubled attendance SB London – 468 attendees from 25 countries for 1st offshore event; 50 including live stream audience Announced partnerships for SB Rio/SB Istanbul Added key team members/broke even again (?!)
From Revolution to Renaissance1. “Awareness” of personal and collective sustainability issues nearly universal on some level, though engagement varies wildly for various reasons2. Global shift in values is well underway, narrowing the window for brands to demonstrate leadership, capture new market positions by offering new forms of value3. Michael Porter‟s focus on competitive advantage DOA? -- Attention turns forward, toward continuous innovation, value creation
In 2013 We Explore the Next Frontier We believe the case has been made, the “Revolution” if you will is over, and already countless unencumbered innovators have moved on, generating hundreds of millions of dollars of new economic activity through entirely disruptive business models that support this thesis. For brands to maintain their leadership, they will need to work double time on continuous learning and innovation, becoming much braver about being self-disruptive, or be caught unaware by outside disruption.
From Mainstream Green toMeaningful Brands Ogilvy, GFK, National Geo research claims widespread interest in green, but declining engagement Havas points out only 20% feel brands are making a noticeable improvement in our individual or collective well-being or quality of life, and claim most would not care if 70% of brands they use disappeared BBMG identifies “Aspirational” paradox, Rene Lertzmen writes about the green “tangle”.
Digging Deeper Into New Forms ofValue Creation for Brands Havas defines „Meaningful Brands‟ based on: 50% on brand impact on personal well-being: Physical, economic, emotional, intellectual, social (sense of connectedness) and “natural” (or „spiritual‟ – values, sustainability, sense of purpose or meaning) 50% on brand contribution to „collective sustainable futures‟ on: environment, community, workplace, economy, governance, ethics Ci – Continues Shift Trend Study, Ties Happiness to Sustainable Brands…
On Trend: New Metrics of SustainabilityIn addition to the Happiness Index… SAC Higg‟s Index EP&L Human Capital on the Balance Sheet Sustainability Performance KPI‟s Sustainable Innovation turned spin-off
Reaffirming the 21st Century Role of BrandBusiness is uniquely equipped to efficientlycreate value, but BRAND helps shape whatbusiness and society defines as valuable.
Reaffirming the 21st Century Role of BrandFor Business, Brand is the Reason for Being “Our brand story tells us who we are, what we do, how we do it. It is a tool for creating stakeholder alignment and for prioritizing the use of resources.” KoAnn Skrzyiarz, Sustainable BrandsTo fully leverage the potential value of a focus onenvironmental and social impact we must move toembed meaning/sustainable value creation into the coreof our brands, turning our brands into “platforms forpurpose” (Nike, SB‟10)http://www.sustainablebrands.com/digital_learning/event-video/nike-better-world
Reaffirming the 21st Century Role of BrandFor Society, Brands Drive Our Aspirations/Ideals “In a connected world, familiarity is not enough to differentiate, create preference, build loyalty. In 2012 a brand must respond to our growing need for connection, purpose, meaning, and must authentically respond to the fact that we live in world of finite resources ”We must return to being thought and culture leadersthat lead the way to a flourishing future.
Reaffirming the 21st Century Role of BrandFor Society, Brands Drive Our Aspirations/Ideals “In a connected world, familiarity is not enough to differentiate, create preference, build loyalty. In 2012 a brand must respond to our growing need for connection, purpose, meaning, and must authentically respond to the fact that we live in world of finite resources ”Brands must return to being thought and cultureleaders that lead the way to a flourishing future.
In 2013: Can We Affirm…? Brand‟s role in business and society The need to establish our brands as “Platforms for Purpose” by embedding sustainable value into their DNA through „systemic authenticity‟ The need to move beyond incremental to continuous, breakthrough, purpose driven innovation designed to connect with customers on a more meaningful level Our commitment to collaborate with consumers, civil society, our value network and each other to drive a global sustainable economy Define a set of concrete initiatives to work on together toward this end
To Speak to our Team Further About These Trends, please contact Patrick McCartan at firstname.lastname@example.org