Unilever’s sustainability plan has been the talking point within the company for quite some time, but it is paying off: its sustainable brands have contributed 60 % of the company’s turnover growth in 2016.
Sustainable Living Plan
These brands have achieved a 50 % faster growth than the company’s other brands, as Unilever’s top 40 most sold brands contains 18 sustainable brands, up from 12 in 2015. The figures were rleased at a time when a section of the company’s shareholders contemplate ditching the sustainable strategy.
Six years ago, Unilever launched its Sustainable Living Plan, which contained fifty goals to create products in a more environmentally and socially responsible manner. Environment-friendly measures have already helped save more than 700 million euro since 2008. “We have made great progress. Our results show that sustainability is good for business, with increasing evidence that our ‘sustainable living brands’ do better”, CEO Paul Polman said.
Polman added its Sustainable Living Plan has made Unilever more competitive and that it creates more value for shareholders. This statement is definitely not coincidental, considering how it became a hot topic after Kraft Heinz’ failed take-over bid. Several shareholders were not satisfied at the time, because the deal would have generated more short-term money. Allegedly, there has been turmoil within Unilever’s ranks ever since about whether to continue its sustainability strategy.
