How can carbon footprint reporting help large organizations attract customers?

Carbon footprint reporting helps large organizations attract customers by demonstrating a commitment to sustainability, transparency, and responsibility. This aligns with the values of eco-conscious consumers, builds trust, and enhances the company's reputation. It signals adaptability to a changing world, contributes to the broader shift towards sustainability, and gives a competitive edge as consumers choose companies aligning with their environmental values, fostering brand loyalty and driving customer engagement.

Reporting information on carbon emissions along with the actions taken by the organization to offset its emissions is a way to highlight companies' commitment to sustainability. This not only demonstrates sustainable action taken by the organization but also enhances customer value and loyalty. As consumers become increasingly aware of their actions, they are seeking information on the type of products they buy and about the companies producing them. By addressing this demand for transparency, companies can position themselves as the pioneer in sustainability.

LEMONADE STALL explanation. "Footprint= emission in every step of a process- production, transport, consumption and end. CO2e is the number assigned to this emission." You buy your lemonade machine, lemons, sugar, etc.- Add their CO2e numbers (ask the supplier) in bucket scope 3. Then run your stall, calculate CO2e for electricity you use- Add this to scope 2. Check if you are burning fuel/ emitting gases while running the stall. Calculate their CO2e- Add them to scope 1 (Tough part) check the lemonade bottle/ glass CO2e, if delivering the vehicle burn, etc... and last the wastage disposal- all these in Scope 3! Thats how you do the Maths. (Just for easy understanding)

Carbon footprint reporting is very important for large organizations because it quantifies their impact on climate change, serving as a baseline for sustainability strategies. It demonstrates accountability & transparency to stakeholders, who increasingly demand sustainable performance & stewardship. Moreover, it identifies opportunities to reduce the GHGs by increasing energy efficiency & cost savings, enhances compliance, & positions the organization as a leader in corporate sustainability. Accurate reporting can also facilitate participation in carbon markets & set benchmarks for continual improvement. Hence, it is very important step towards aligning business operations with the urgent need for climate action in the global economy.

Carbon footprint reporting is not only important but also a responsibility of large organizations. Quantifying GHG emissions is the first step towards the sustainability journey, thus it shows a company's commitment. Today, it is not only the demand of stakeholders but the consumers also want to know the impact of products and services on the environment. With the rising awareness, consumers want to shift towards conscious buying.

Continual improvement in terms of data quality, boundary of assessment, standards compliance and transparency is key to ensuring an organisation is improving its carbon reporting. Delving deeper into the detail of emissions is also an area that can drive better results, clearer next steps and useful insight for all parties. Establishing and monitoring intensity metrics is vital for growing businesses as it can demonstrate that even if the absolute (total) footprint has increased through growth, efficiency measures can ensure a reduction in intensity and therefore a lighter carbon running rate.

A very effective way of using carbon reporting to engage with customers is to deliver client specific reporting. By establishing the environmental impact of your products/services and communicating this in a client specific manner ensures significant added value and useful insight. Now more than ever organisations need to report on the impact of their spend with their suppliers, therefore positioning your business as the supplier of choice by reporting on and managing the emissions associated with your services ensures you are a supplier that can be relied on.

STANDARDS and Declarations. 1. For Organisations- GHG protocol/ CSRD requirements etc.. with considered assumptions? 2. For Products- Standards- Its important to mention followed standards, methodology and assumptions. For eg. A product while run at 50% efficiency can give different footprint than being run at 70% efficiency. Declarations- include attesting bodies/ validating agencies. For example is it a Type 1 or Type 2 report for products.