Two new reports presented at the recent Commit Forum shed more light on the increasing value of sustainability to businesses.
A news summary of both reports noted that companies with strong sustainability reputations benefit from:
- Increased company value. According to the report, an average of 33% of a company’s value can be attributed to its name, and up to one third of that name value can come from good corporate citizenship. In other words, a company’s strong vision for sustainability could account for 11% of its value.
- Increased revenue. Sustainability leaders can expect up to a 20% increase in revenue and can ask customers to pay up to a 20% premium for its products.
- Increased worker productivity. Companies that lead in sustainability can expect workers to respond positively with 13% greater productivity, and reduction of up to 50% in turnover rate.
- Increased ability to attract talent. According to the report, 92% of workers would leave their current job to work for a company with a strong reputation in CSR and sustainability, and they would do so for less. On the other hand, 65% of workers would go to a company with a poor reputation, but only with an average 57% wage increase.