Reflections on Visit to the Brew Creek Centre

For my final blog post, I would like to reflect on our visit to the Brew Creek Centre for the third and final client challenge. This was an incredible way for me to end the course, as the Centre encapsulates the key learning’s that I have taken away from Sustainable Marketing.

Community – The Brew Creek Centre is grounded in a community of people who aim to create a “microcosm of a better world”, as coined by Barclay Isherwood. Each member of the staff work together to help manage, grow, and improve the values and goals of the Brew Creek Centre. Hearing Barclay and Pamela speak to us about the people they work with, care they invest in their employees, and personal growth that has come out of this space was incredible. A personal story that Pamela shared with us was that her brother works a few days of the week at the Centre, and has been able to form positive and close relationships despite personal challenges. In addition, as we walked by the construction crew building a new presentation centre, Barclay stopped to chat and catch up, and Pamela eagerly greeted and hugged a member of the crew whom she had not seen recently. You can truly feel the foundation of community that has arisen from the space. This is such an important factor in creating a sustainable focused business – mobilizing a community of people around core ideas and values.

Collaboration – The Brew Creek Centre works to collaborate with the local community and leaders of sustainability to further their mission. The most outstanding example to me was Barclay’s investment into growing their own food, and sourcing other food products locally through their chef. On the site is a Geodesic Dome that captures heat, enabling plant growth throughout the seasons. It was a highlight to see in person, as it is impossible to describe or understand in photo’s! In addition to working with their chef to make this project happen, they source from local farmers in Pemberton, Whistler and the islands to ensure they are getting sustainably grown produce, and supporting the local economy. This speaks to the idea that sustainability can multiply it’s impact when shared with many people, communities and businesses.

Value Added – While the Brew Creek Centre places a high value on sustainability and the environment, they are first and foremost providing their clients with a high value experience. Walking through their facilities, you can tell that the corporate groups, wedding parties and social ventures are not sacrificing any value or comfort when choosing the Brew Creek Centre. Their air circulation system is seamless, you can barely hear it working, the three pane windows blocked out all the noise from outside (while also helping to insulate the heat of the building), the reclaimed wood they use for some spaces adds aesthetic while still being appropriate for a meeting setting, and all of the water heating systems have back-ups in case the solar heating does not work. Every detail is thought out so that the Brew Creek Centre guests have an experience that enhances their goals for the trip, but also breathes sustainability, community, and care for the environment. In this course we have constantly reiterated that ‘green’ should come second to value.

In conclusion, I am grateful for the opportunity to visit the Centre, I think it was valuable to see all the care that is put into making it such a special space. While I was only able to briefly touch on my takeaways from the visit and tie it back to course concepts, I received a lot of insight into all the hard work and commitment (and funds!) that has to go into an organization with such strong values and ideals.

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Apple Renew: Is It Enough?

Sitting in my desk drawer at home is an old iphone 4, a macbook charger and an ipod that is so old it is no longer compatible with any current version of itunes. I am not keeping these for nostalgia, although I do have an emotional attachment to my first iPod. Rather I have no idea what to do with these outdated pieces of technology. Yes, there are recycling programs and buy back programs, but it was never clear to me what that actually meant, and where my old Apple products were going.

On March 21st, Apple hosted another unveiling of their newest products and features. Tim Cook, the current CEO, touched on an impressive fact: around the world, there are 1 billion Apple products in use. While this is great news for the Apple’s growth and bottom line, what does this mean for waste? I am surely not the only one confused about the growing pile of outdated technology that is accelerating with the constant development of products in the tech industry.

Apple has created a program called Apple Renew to battle the issue of e-waste. Customers can return their old products to recycle them, and the company will then take care of deconstructing the product. The pieces are then collected and reintroduced into the supply chain.

While I was excited to hear about this program, I have so many questions! And these questions only grew after I saw that Apple Renew was the sixth option to pop up on Google, with minimal information on the website. How can they recycle materials from iphones, ipods and macbooks that are years old? Have they planned the design of their newer products to incorporate older materials? What happens to the materials they recover that cannot be put to use? If production is overseas, and they are recovering the materials in store/regionally, what impact is oversea transportation having on the planet?

Reading about this initiative confirmed to me that this is an issue that Apple has not adequately addressed, especially considering how many of their products have been sold since their inception. However, I think that this is an area where Apple needs to put more resources, and develop this program further. In addition, more transparency about the programs aim, geographical sourcing, and environmental cost should be shared with consumers. Apple has always been considered an innovator and a market leader, however, they are falling short in their responsibility to the planet.

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“Cosmetically Challenged” Produce and the Food Waste Problem

“30,000 eggs, 80,000 potatoes, 26,000 bananas, 70,000 cups of milk and 32,000 loaves of bread” are wasted everyday in the Vancouver area, contributing to the 100,000 tones of edible food products that are wasted every year in the city. Cities, regions, and nations are setting waste targets to combat the food waste problems that individuals, families, and business are contributing to at an alarming rate. For example, the City of Vancouver has a goal to “reduce solid waste going to the landfill or incinerator by 50% from 2008 levels” by the year 2020. As of 2013, the City was down by 18%. Another example, is the Obama Administrations goal to reduce food waste by 50% by the year 2050.

With policy focused directly towards reducing food waste, entrepreneurs are responding to help achieve these goals. Imperfect Produce is start up in the San Francisco area that provides consumers produce (that is perfectly healthy to consume, despite being “cosmetically challenged”) at a affordable price. Not only is this proving a low-priced product to consumers, but Imperfect Produce is also able to create more revenue for the farmers whose imperfect fruits and veggies get rejected from grocery stores. By linking consumers, small organic farms, and large commercial farms, the company is able to connect the important stakeholders to help reduce unnecessary waste.

I am really energized by the startups focusing on this problem, because it is one that we can all respond to at an individual level and really see the impact of. These businesses making produce and other food products more financially accessible and offering delivery are creating a channel for consumers to get the produce conveniently and cheaply, creating an advantage to buying from a conventional store. The challenges that these companies will face are large, such as produce shortages from the changes environmental climate, scaling their services, and growing the market. However, I think that as communities become more aware of the current waste levels, companies like Imperfect Produce will be a convenient, inexpensive, environmentally friendly option to turn to.

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Supply Chain Management: Is Engagement the Simple Solution?

After our class discussion a few weeks ago about Nike dropping their endorsement of Manny Pacquaio, and the larger discussion about supply chain, I was intrigued and wanted to know more. I stumbled across an article that argued that social engagement is the route to business benefits. The article claims that “social impact” within a companies supply chain is becoming more and more important to consumers, as low prices are becoming less of a priority. Knowing the impact of a purchase on the consumer, their community, the environment, and so on, is becoming more valuable in the eyes of the buyer. The article uses Walmart as an example, as their change in tag line from ‘Always low prices’ to ‘Save Money. Live Better.’ signaled a change in the needs of their customers.

I agree with this article that businesses should focus on the areas within their supply chain where they could improve their social impact. However, the simple approach that they offer, in my opinion, does not seem sufficient. Their solution is to simply engage the communities within the supply chain and find a way to engage the community in a way that will improve the situation. While engaging the stakeholders will certainly offer insight, I think that it is a businesses duty to “quantify every effect” that they have within communities and on the environment.

I also think that there are many barriers to simply interacting with and engaging with the community to improve the negative effects of the business in those areas. The example that came out of the Manny Pacquaio example is one of national law; if Nike wanted to only use manufactures in a country where homosexuality was against the law, what is Nike’s place as a business to change that? In addition to national laws, there can be cultural barriers, language barriers, and economic challenges that may dilute the effectiveness of a simple approach to social engagement.

In conclusion, I agree that it is a businesses duty to pay close attention to their supply chain, and work to eliminate any negative effects within that system. However, I think that this is a complex undertaking, that in the era or global business presents challenges that will require more action then engagement. Although, this is a positive first step.

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Honest Company: Not so Honest?

Recently, Honest Co has come under fire for contradictory information regarding ingredients in their products. The mission of the business is to provide home and baby products that are “not only effective, but unquestionably safe, eco-friendly, beautiful, convenient, and affordable”. They have a very detailed sustainability strategy that is transparent to all consumers and partners, and are formally associated with PETA, the Carbon Fund, Renewable Energy Credits, B Corps Certification, and Green America Certified Business – GOLD. The company also provides information to consumers about harmful chemicals and ingredients that exist in many household products, which they pledge to avoid. One of these ingredients is sodium lauryl sulfate, which is known to irritate skin.

The Wall Street Journal, however, has made a public statement that the Honest Co. does in fact use this ingredient in their liquid detergent, despite their pledge not to. A blog post by the Honest Co. repudiates this claim, saying that they use a different, yet similar ingredient. The Wall Street Journal is firm in it’s belief (supported by scientists research on the product) that the Honest Co. is using the harmful chemical, and the Honest Co. is firm in it’s public statement that no, they do not. While these two forces battle between what is right, the consumers are left feeling distrustful and confused.

Consumers of Honest Co.’s products are buying into a company whose products are trusted to be just that… honest. When I bought a detergent from Honest Co. last year, it was a win-win purchase. I was not making a compromise on quality, cost, or effectiveness, and I felt really good about it. I implicitly trusted that Honest Co. was being true to its sustainability and value mission. These are the fundamental values of the company, after all, and they must be aligning their products to those values. Right?

The question I want to ask here is not whether or not sodium lauryl sulfate is in their product despite their adamant claims that it is not. The question is of whom consumers are going to trust more when there are claims against the sustainable values of a company. This example shows that even if a company builds its entire product line on sustainability and safe consumption; it only takes one naysayer to bring each and every product component into question. What if Honest Co. is right, and none of this chemical exists in their detergent? They still will have lost the trust of many consumers. And what if Honest Co. is wrong? Their public adamancy will have been untrue, causing irreparable damage to their brand image and trust. Ultimately, they cannot escape from this claim unscathed.

This news article brings up many complex issues that connect with our class content, but I believe that it reflects the vital importance of transparency and honesty to help a brand thrive in their sustainability mission.

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Reformation: Where “Fashion and Sustainability Coexist”

Founded in 2009, Reformation is a clothing brand where “fashion and sustainability coexist”. The company has implemented many internal structures to ensure that the clothing they produce is sustainable, keeping resources, people, and cost in mind. For example, they sell directly online and in their own stores, eliminating middlemen and their corresponding markups. Reformation owns its manufacturing operations, keeping the production process under their control to ensure high quality and environmental standards are met. Their facilities are also designed to reduce water and energy waste. These are just some of the strategies that Reformation has integrated into their operations to meet their goal of raising awareness about the impact that the fashion industry has on the environment.

When I first heard of Reformation, it was not because of their sustainable and environmental practices… it was because of their product. When I began clicking through their website, browsing dresses and sweaters, I noticed a different type of labeling. Each product has a RefScale, which measures different

RefScale Screenshot from the Sabina Dress highlights the water and carbon dioxide required to produce the dress.

RefScale Screenshot from the Sabina Dress highlights the water and carbon dioxide required to produce the dress.

indicators showing the environmental impact of producing each piece. For example, the Sabina Dress took 186 gallons of Water, and 14 pounds of Carbon Dioxide to create. The Ref Scale also compares the resources used on that garment to the industry average, and the difference between the two. I was surprised to see this scale, because I initially thought that it would negatively effect how I thought about the product. However, once I began looking at the RefScale closer, I realized it is also a good marketing strategy, as it shows how Reformations products are outstanding in resource use compared to others in the industry. It also highlights their transparency as a company in regards to their operations.

I discovered this unique labeling after reading the class preparation piece on how companies are putting the product at the heart of sustainable business, and moving away from sustainable operations and cost goals as their primary focus. Reformation is creating sustainable products by innovating their marketing strategy to share resource indicators. The company is first providing desirable pieces of clothing, and secondly highlighting the sustainable aspect, which supports the foundation of sustainable marketing that we have looked at in class.

P.S. Reformation is a Benefit Corporation, too!

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Petal by Pedal: Changing the Floral Industry for the Better

One Business that has inspired me in its sustainable mission and affect on the overall floral industry is Petal by Pedal. In the spirit of Valentine Day, I think that looking closely at the Floral Industry is appropriate.

Kate Gilman founded Petal by Pedal in New York City about three years ago after learning about the harmful side of the floral industry. The use of harmful pesticides and abuse of human labor are a few of the largest problems that exist in the industry today. Another large problem is the carbon emissions and massive energy use required for transporting flowers from the country they are grown in to North America and other countries that they are sold in. Not so fun fact: 80% of flowers sold in the USA are imported from other countries.

Gilman saw Petal by Pedal as a solution to many of those problems. Still providing customers with a gorgeous product, all flowers are delivered on bicycle and are sourced from local (and often organic) farms around the New York Area. She has grown her business to create shared value for suppliers, employee’s, customers, and those indirectly affected from the reduction of carbon emissions through her business strategy.

Admittedly, Petal by Pedal is a small company, and though it is growing, large companies that sell millions of dollars of flowers annually need to address this as well. The power that Petal by Pedal and other small flower companies have are a growing market niche that is starting to push the large companies towards changing their practices. Thinking to the Path to Green Growth, large floral companies have the option to accentuate sustainable practices they already possess, acquire companies who are leaders in sustainable floral sales, or architect a new segment or brand that looks at these issues. I think that it would be best for companies to accentuate and improve their existing practices for selling flowers before thinking of acquiring or creating a new product segment.

I already follow Petal by Pedal, and Kate Gilman, because I am inspired by the sustainable practices and environmental ethics that are at the core of her business. So clearly, I am a fan. I think that it is important for larger firms, however, to take a cue from Petal by Pedal and work through their supply chain to not only address issues of environmental sustainability, but also social and health sustainability for workers. This Valentines Day, buy from your local florist or at the farmers market!

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Hello and Welcome!

Welcome to Sustainable Marketing Blog: Trends, Insights and Reflections. Here, I am to explore the growing practice of the sustainable marketing industry by looking at current events and articles, specific companies, and emerging practices within the field. Enjoy! I look forward to your comments and questions.

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Karma Marketing: Choosing Enough Over More

Sirikul Laukaikul has introduced the idea of Karma Marketing, which claims that marketers should encourage consumption in moderation, individuals choosing to use just enough so as to ensure that everyone has enough to live off of. She does not suggest that companies should not work to make a profit, but rather further their mission to ensure fair and widespread distribution. Instead of pushing for more – more consumption, profit, revenue – companies should use marketing as a tool to ensure everyone has enough resources.

Laukaikul used the Sufficiency Economy Philosophy as the basis for this idea. At an individual level, this means “refraining from taking advantage of other people” and living simply.

These ideas that form the idea of Karma Marketing hold some similar principles and connections to Ed Freemans Stakeholder Theory. Stakeholder Theory promotes the creation of value to all stakeholders involved in a business – communities, employees, stockholders, financiers, and so on. This works when companies find the intersection of all stakeholders’ interests and finds opportunities to create more value for all.

I think that one way Karma Marketing can create value for all stakeholders is the focus on quality that this idea implies. For people to need less of an item, this often means the quality must be high so that it is not disposable or easily diminished. In turn, less consumption will lead to more sustainable life-cycles of products.

I agree with the critics here, that the idea is “novel” and would be challenging to integrate into the marketing industry. Minimalism is a life-style, and is challenging to get people to buy in to in the North American culture of mass-consumerism. Karma marketing would require a behavior change of the whole market, which seems like an insurmountable challenge. This life-style and ideology will only appeal to a small niche market.

Ultimately, Karma Marketing and Sufficiency Economy Philosophy highlight some key principles that will be crucial for marketers and consumers alike to keep in mind going forward. Mostly, the idea that more is better will diminish as sustainable objectives and products that are increasingly prevalent in the business world.

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