GreenBiz.com® |
ClimateBiz |
GreenerBuildings |
GreenerComputing |
GreenerDesign |
Greener World Media
-
OAKLAND, Calif. -- Despite being a centerpiece of celebrations the world over, fireworks displays often release toxic chemicals into the environment; researchers are developing a new generation of fireworks that shine as bright but leave less of an impact.
-
ELMSFORD, N.Y. -- Coca Cola signed a 10-year contract with UTC Power that will bring two fuel cells to a southern New York bottling plant, where they will produce enough heat and energy to satisfy nearly a third of the facility's needs. The state of New York also provided $2 million for the project.
-
GENEVA, -- Efforts by the world's leading cement companies knocked down carbon dioxide emissions from the industry’s manufacturing process by 35 percent even while production climbed by 53 percent, according to a new report by the World Business Council for Sustainable Development’s Cement Sustainability Initiative.
Sponsored Links
Growing a Green Business Without Compromise
Sugar and mint cleanser. Green apple moisturizer. Pomegranate masks. Years ago, consumers who wanted natural skincare products based on renewable ingredients had to search for the small number of specialty natural-products retailers who carried these alternatives. Now, environmentally friendly health and beauty products are readily available at the nearest local mass-market pharmacy or large beauty retailer.
Over the past few years, organic and sustainable skincare brands have gone mainstream. According to a report by the business research firm Organic Monitor, sales of natural beauty products amounted to $7 billion worldwide in 2007. That number is expected to climb to $10 billion by 2010.
As these once-small green businesses grow, they face a variety of challenges -- many of which are common to businesses across industries. In an industry dominated by small companies, one key challenge is maintaining stable, controlled growth in a market that is seeing demand expand rapidly. Another, more complex problem many green companies are facing is how to maintain a sustainable supply chain as production increases. In an industry based on image, such as skincare, growing a green company also means finding a way to balance luxury with responsibility.
At the heart of these challenges lies perhaps the most complex challenge: how to stay true to the green promise in a way that is feasible on a large scale and provides the level of meaningful contribution to green causes that sustainable-brand loyalists expect. The lessons from sustainable skincare companies provide valuable insights on how to stay green in everything from operations to packaging.
A Sustainable Product Development Philosophy
Having a strong corporate philosophy that emphasizes key sustainability concepts is vital to staying green during periods of growth. What most sustainable skincare product lines have in common is a belief that simplicity, both in terms of the kinds of ingredients used, and the number of ingredients, is key not only to product effectiveness, but also to overall sustainability. A pared-down ingredient list reduces waste from a complex supply chain.
In addition, a significant percentage of the ingredients used by natural skincare companies are derived from renewable resources, primarily foods and herbs, adding to the sustainability of their production. Using fewer ingredients than conventional products usually means sourcing ingredients that serve several functions, and eliminating ingredients that are simply fillers. "Each and every ingredient serves a purpose, from the basic rice, which super-softens and has huge amounts vitamins E and F, to pomegranate that regenerates the skin and boosts the effect of SPF 15," Florence Sender, founder of BeFine Food Skincare, says of the company's product development philosophy.
| Key Tips for Growing Your Green Business |
| Keep it simple: A pared-down ingredient list reduces waste from a complex supply chain. Using fewer ingredients than conventional products usually means sourcing ingredients that serve several functions, and eliminating ingredients that are simply fillers.
Start small and nimble: using an outsource model for the early years can allow your company to be nimble and responsive while choosing manufacturing partners that share your green values. Measure and communicate: What makes a green brand stand out is its commitment to the environment, and backing that commitment up with action. So measure your impact, aim for constant progress, and make sure your customers and potential customers know that you're taking action. |
BeFine Food Skincare is a perfect example of the growth these companies are experiencing. The trend-setting Newton, Massachusetts-based company supplies its paraben-free and naturally derived products to CVS/pharmacy, the United States' largest retail pharmacy chain. Other mass-market chains carrying BeFine include RiteAid and Duane Reed, the New York regional giant. That major retailers now stock a leading food-based brand is an indication of how much consumer demand for natural products has grown over the past decade.
As demand grows, the company has seen a variety of the challenges typical in this sector, many of which will be familiar to business leaders in other rapidly growing markets. "Our challenges are not unlike any small company's as demand for products expands. First, we need to be diligent with inventory forecasts and not anticipate growth before it actually happens," notes Douglas Palmacci, BeFine's Director of Marketing, adding, "You cannot afford to be sitting on inventory for long periods of time. Second is building an infrastructure to support the growth, whether that be marketing, sales, and support staff."
In the green consumer goods sector, these challenges are especially prevalent, as bracing for growth becomes ever more complex in the face of far-flung supply chains for sustainable ingredients. The companies profiled depend on exotic natural ingredients from around the globe, and strive to source the products from sustainably-farmed lands. Relying on such components can be challenging for a small to mid-size company. One important piece of advice from Doug Palmacci: "We used an outsourced model to start the company and slowly build infrastructure as the company expands." By not investing in and committing to a full manufacturing line from the get-go, companies can be more nimble, responsive to customer demands, and choose outsource partners who share their green beliefs.
Packaging Your Green Actions
A complex part of staying green for a skincare brand involves sustainable packaging, which is a special challenge in the beauty sector. As sustainable products go mainstream, the need is greater than ever to package products in a way that is consistent with expectations set by mainstream brands.
LinkedIn
StumbleUpon
Digg
green businesses
I think sourcing ingredients locally is a huge part and challenge of being "green", because global sourcing is costly, to the environment and not good for our local economy, companies need to manufacture and source materials within their countries, it is vital that this be done, even if the cost is higher we have to stop thinking about the bottom line, at the expense of the planet.
Post new comment