Environmental Education

Using "green" initiatives to improve your business bottom line.

Australian small and medium business owners must be feeling a little panicky right now. They face what could be the gloomiest economic conditions in 20 years and are constantly bombarded with news of doom and gloom for anybody out to make a buck. With all this talk of economic crisis, the focus on our other very big predicament, that little problem we call Global warming, has somehow melted into the background. Recent discussion about the legislation being put forward for Australia's Emissions Trading Scheme (ETS) has reinvigorated heated debate about our greenhouse gas emissions targets and how the introduction of a scheme could financially burden the economy that is already in a dampened state.

Believe it or not, I can't help but feel excited by this current predicament. As a business owner who works in this space, I can wholeheartedly confirm that many SME businesses are using this uncertainty and turning it into opportunity. Opportunity to be at the forefront of sustainable business practices and reaping, not only the inherent cost benefits that come with low-energy operations, but the branding and marketing value that this brings to differentiate against competitors.

Quite simply, low energy means low cost. Expect increases in efficiency and energy reductions to go straight to your bottom line. The proposed ETS, delayed or not, will inevitably lead to energy price increases. Businesses that operate more efficiently and get their processes for low-energy operations right today will be well positioned for low-cost operations for the future. Having a business energy audit and implementing energy reduction strategies can see payback periods in 12 months. Forget the environmental benefits, it just makes good business sense.

In an ever-increasing competitive and crowded marketplace, companies strive for a unique selling proposition which can separate them from the competition in the minds of consumers and other businesses. Leveraging your environmental initiatives can see you as the preferred business or supplier to deal with. Simply communicating your environmental initiatives in a well targeted marketing strategy can see you lift your brand profile and attract the millions of eco-conscious consumers and businesses. The bonus here is, because of the slowdown in the economy, many of the larger brands have slashed their marketing budgets in an effort to save costs. This is great news for SMEs. Advertising space is generally cheaper and your marketing messages should have a greater impact in the market gaining a louder, clearer voice because of less ‘noise’ being transmitted to consumers and businesses alike.

Past recessions have told us that during times of financial hardship, ‘value’ rules buying behaviour. Value is not just about the lowest price, but about getting the most benefits for our hard earned cash. If businesses can represent extra ‘value’ in their brands or offerings, then this clearly creates differentiation in the eyes of consumers when there are comparable price and performance considerations. What better way to represent brand value than doing our bit to secure the future for our planet.
Don't be mistaken, businesses around the world will change. Weather we are forced into becoming less carbon intensive by government regulation or our competitors use the environment as a differentiator, all of us will need to eventually change the way in which we operate. The leaders in this space will be the ones who get the most benefit, both to the bottom line and through increasing their top line revenue. The laggards will be forced into action just to compete or through regulation, but by that time, the marketing and branding benefits will have dampened and environmental credentials will almost become a ‘must have’. Working towards reducing your environmental footprint and engaging with your clients in innovative, creative and sustainable ways will not only make a difference in your organisation, but also in the global environmental & financial challenges that face us ahead.

Mark Di Iorio
Managing Director
GoGreen Creative
markd@gogreencreative.com.au
www.gogreencreative.com.au