There’s a common misconception that “going green” is a luxury that small businesses can ill afford. But doing the right thing for the environment and your small business don’t have to be mutually exclusive endeavours: incorporating green practices into your business is more about behavioural change than purchasing higher-priced green business products. For many business owners, shifting their operating culture often takes more effort, but the pay-offs are significant operating cost reductions and decreased environmental emissions.
There is more than one way to benefit from going green: while many small businesses focus specifically on consumption and operating practices that help to lower costs while reducing their environmental footprint, it’s also possible to use the “green” angle to drive revenue and sales growth. There is an increasing range of consumer and business buyers who are motivated to choose products and services that are good for the environment. To take advantage of this, going green shouldn’t just be about reducing operating costs; small businesses should spend just as much time building green messaging into their sales and marketing efforts to reach an emerging green-friendly market segment.
Let’s have a look at several green business strategies that can help your business make gains in both of these areas – reducing costs and driving new sales growth. The good news is that both of these approaches benefit your small business, while also providing an environmental contribution you can feel good about:
Operating Cost Reductions
- Controlling Energy Costs – There’s little doubt that the cost of energy and essential business utilities is causing small business owners to take a hard look at greener operating practices. With the approaching summer, ask your employees to accept room temperatures in the 24-25° range, rather than 20-21°. For most, that’s still comfortable and won’t hamper productivity. In addition, if you’re operating older appliances, consider switching to more energy efficient models that will help reduce cost of ownership in the long term.
- Shorten Office Hours – Do you really need to maintain your entire business premises during periods of peak-season energy consumption (think the height of summer, or the darkest days of winter)? Many business owners like merchants don’t have a great deal of flexibility in this area, but if you can encourage employees to work from home on occasion or shut down early, it can significantly reduce energy costs. Depending on the type of business you run, you will have to carefully assess the feasibility of a virtual-office model and how that impacts overall productivity and customer service.
- Go Digital – Printing (especially on one side of the page) can be a very wasteful practice that produces large CO2 emissions. It also costs more money in the form of energy and paper. In most cases, printing can be reduced by migrating to an electronic system of document distribution and review. Print hard copies when it’s absolutely essential, but counsel your employees to change their printing behaviour to score a double hit: lower operating costs and reduced emissions.
Sales Growth
- Incorporate Green Messaging – To tap into an increasingly large group of business buyers and consumers who value green business practices, ensure that your web site and brochures include green messages and offer green products and services where possible. While it won’t always be possible to source green alternatives that customers will be willing to buy, you can articulate what your business is doing to reduce emissions. Customers who care about green take great pride in knowing that their purchase habits aren’t negatively impacting the environment: show them that your business operates with a similar set of values, and you will succeed in winning their business.
- Ensure Customer Service Channels Live Up to Your Claims – You can’t live up to your green promises if sales and account staff show up for a customer meeting in a monster SUV, or deliver a contract printed on one side of the page. To ensure your green agenda translates into closed sales, all of your customer-facing channels have to walk the walk, including the members of your sales and customer service teams. Ensure contracts are printed on post-consumer recycled paper; encourage the use of public transportation when it’s feasible, or motivate team members to car-pool if the situation allows; and offer to provide electronic instead of physical receipts.
There’s no question that going green takes considerable effort and a fundamental culture shift in your place of business. However, when it’s executed with an unwavering focus on operating cost reductions and potential revenue increases, a green business can deliver financial benefits that even your accountant will endorse.