Sustainability is the movement of our time. All major brands and retailers have stepped up their efforts and investment in sustainable marketing in recent years. 

Some defined sustainable marketing as marketing environmentally friendly or green products, others gave the term a broader meaning to include the promotion of environmentally and socially responsible products, practices, and brand values. 

Philip Kotler, the well-known marketing guru, adapts the WCED definition of sustainability to say that “the concept of sustainable marketing holds that an organization should meet the needs of its present consumers without compromising the ability of future generations to fulfill their own needs.”

A new survey by BCG, developed in collaboration with the World Retail Congress, finds that only a few large retail operations are significantly reducing the climate impact along their value chains or embedding sustainable behavior throughout their own organizations.  

Of the polled employees from 37 major retail chains around the world, fewer than 20% indicate that they are on track to abate their direct and indirect emissions to perform in line with the goal set by the Paris Agreement in 2015 of limiting the rise in global temperature to no more than a 1.5⁰C. 

Most retailers have set bold ambitions but have not yet achieved full integration of sustainability in corporate strategy or within business functions. However, the optimism shown by the more than 60% of respondents who believe their company’s goals are bold and differentiated is in disconnect with the level of maturity observed. Some consider sustainability throughout the organization. Only a select few are using sustainability as a competitive advantage. 

There seem to be some discrepancies between reality and the sustainable claims made. The sector has some way to go before it can claim truly sustainable retailing credentials. As the green finance sector is looking for more assurance in terms of the sustainability performance of corporations, and leading quality assurance organizations like Intertek are offering comprehensive sustainability assurance solutions, it is believed that more solid work will be done among many more retailers in the near future. They will embed sustainability in everyday operations, fully embrace digital technologies to gain transparency in their supply chains and work with suppliers and stakeholders to achieve their sustainability targets.

Sustainability in retail is Possible. But there's work to be done.