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FeaturedOpinion

Greenwashing in the age of accountability

Cicero & Bernay’s Ahmad Itani says the consequences for getting environmental practices wrong are higher than ever.

greenwashing
Ahmad Itani, Founder and CEO, Cicero & Bernay

Do you ever drive past a landfill site and perhaps, overcome by the aroma, start to ponder the contrast between what we bury and display in our consumption habits? Mountains of waste, hidden beneath layers of earth, reflect a troubling reality in our materialist world – one that brands are increasingly called to address through genuine sustainability efforts. 

However, as this type of awareness sharpens, the parallel rise in greenwashing – the act of misleading the public about a product’s or company’s environmental benefits – casts a shadow over the industry’s sincerity. 

Havas, a global ad and communications network familiar to many of us, faced a significant setback recently when B Lab, the nonprofit responsible for B Corp certification, revoked the status of four of its agencies. 

The decision was prompted by Havas Media’s work with Shell, a partnership that B Lab determined violated its strict eco-responsible standards. 

The ruling followed a formal complaint from a climate activist group and several agencies, who argued that the collaboration contradicted the principles of B Corp’s Declaration of Interdependence.

The revocation of these certifications tells companies and agencies that they must ensure their activities are fully aligned with public sustainability declarations. This is a shift the marketing world has to grasp immediately, as the consequences for getting it wrong are higher than ever.

Greenwashing manifests itself in various ways, from misrepresentations to selective disclosure that hides actual negative impacts. Companies may assert progress toward emissions reductions or net-zero goals without having credible plans in place. 

Labels like ‘green’ or ‘eco-friendly’ are applied without standard definitions, making it easy to misinterpret the actual benefits. Another common tactic involves focusing only on a minor improvement while overlooking broader, more harmful operational impacts. 

This kind of exaggeration creates a distorted picture of sustainability that undermines bona fide efforts, yet it’s used as ‘healthy’ and ‘fat-free’ formerly were on food products.

As awareness of ecological issues grows, so does the backlash against greenwashing. The repercussions for firms engaging in these deceptive practices can be severe, as illustrated by the Havas case. 

Losing certifications, damaging brand reputation, and facing potential legal challenges are just a few of the risks – none of which comes with a price tag that can be easily ignored. Today’s consumers are informed and vocal, quickly calling out businesses that fail to deliver on their sustainability promises – and without nuance. 

Surveys show that younger generations are willing to pay more for products from brands they believe are genuinely sustainable, but when trust is broken, they often switch to competitors.

Deceit can damage valuable partnerships. Organisations with honest commitments to environmental responsibility are less likely to collaborate with those that have a history of misleading claims. This means an even greater challenge for brands trying to rebuild their reputations after being exposed for spin.

To avoid such pitfalls, brands must prioritise transparency in their messaging. If sustainability credentials are lacking, embracing that reality – maybe explaining the challenges and not covering them up – can be a more effective strategy. There are voices who respect honesty and are wary of virtue signalling. Clear, specific assertions backed by verifiable data and third-party certifications are ideal, but for brands that are still on the journey, frank discourse (and not silence) about their current status can build confidence too.

Additionally, brands should focus less on self-promotion and empower people to make informed choices. Campaigns that highlight the positive impact of buyer actions – while still holding corporations accountable – are likelier to build lasting loyalty.

As advisors, we have to guide our clients through this complex landscape, helping them to control the narrative by addressing issues honestly, even when the truth is less than flattering. 

Crisis communications play a necessary role in this strategy, especially when the most obvious violations are involved.

The demand for considerate behaviour is not going to die down, raising the stakes for brands. The Havas case serves as a reminder that greenwashing is not merely a marketing misstep – it’s a breach of trust for many. 

While there is such heightened scrutiny and accountability, brands must commit to truly environmental practices or be candid about their limitations. Otherwise, they risk being left behind in a marketplace where integrity is paramount.

By Ahmad Itani, Founder and CEO, Cicero & Bernay