Revel Blog

How to Incorporate Ethical Behavior & Eco-Friendly Practices in Retail

Coral Drake | June 20, 2023 |

retail Featured
How to Incorporate Ethical Behavior & Eco-Friendly Practices in Retail

Start With Ethical Behavior in the Workplace

You’re not going to be able to generate an ethical public image without having ethical practices in your stores and within your company. Here are the basics for ensuring that your business practices ethical behavior internally:

Make the Rules Clear

Clearly define forbidden behaviors and highlight the behavior you want to see. You don’t need employees explaining that they didn’t know they weren’t allowed to X or were supposed to Y. Clear rules are key for minimizing both legitimate and convenient confusion. 

Training sessions, classes, and role-playing games to reinforce rules clarify the underlying reasons why employees should behave ethically. Listening to other viewpoints enables employees to recognize ethical distinctions they might not have previously noticed. In time, clear rule setting enables your company to establish meaningful ethical values.

Don’t Ignore Differences

Personal, religious, and cultural forces influence individual perspectives on moral issues. Sometimes, the lines between ethical and unethical behaviors look very different to different people. 

A culture of openness to different viewpoints makes it more likely that employees will come to understand one another’s perspectives. Differences in position and power at your company can also have ethical consequences. Lower-level employees may fear reprisals if they report or correct unethical behavior from peers with more experience, especially from management or upper-level employees. 

Utilize open-door policies and swift responses to complaints to create a supportive environment where employees feel safe to defend themselves. 

Confront questionable behavior

When you find out about unethical or questionable behavior, address it immediately but carefully. Private meetings allow the other party to explain themselves without raising the stakes unnecessarily. 

If you’re unsure how to handle a situation or if the behavior is clearly unethical, consult with human resources or an objective third party for guidance before confronting the employee. Report illegal behaviors promptly and escalate if necessary.

Take immediate action by reporting harassment, theft, fraud, discrimination, safety violations, and other illegal behaviors to the appropriate supervisor.

Be Ethical with the Public

Be Transparent

In a world of contrived marketing, customers are looking for real information to inform their buying decisions. Deceptive marketing practices won’t work for long, and worse, they can irrevocably damage a business's reputation. 

By embracing transparency from the start, businesses can avoid the need to defend false claims. A great example is Panera. They acknowledged they weren’t using all-natural ingredients and pledged to remove artificial ingredients from their menu. 

They went further by providing information about ingredients, nutritional facts, and animal welfare practices. This commitment to transparency resulted in a five percent increase in quarterly sales, demonstrating that honesty can lead to a positive return on investment.

Be Helpful

By supporting causes and assisting those who require help, businesses can create a cycle of positive behavior and attract a loyal customer base. TOMS, a shoe brand, exemplifies this through their one-for-one policy. They donate a pair of shoes to someone in need for every pair purchased. 

They also contribute in other ways, like providing medication and supplying water to communities in multiple countries. This commitment to social responsibility has not only made a significant difference in people's lives but has also contributed to the brand's success, with TOMS now valued at over $400 million dollars.

Be Eco-Friendly

Why Focus on Eco-Friendly Practices?

Consumers are increasingly conscious of the environmental and social impacts of their purchasing decisions. Many consumers actively seek out sustainable products. A study showed that a majority of Americans are willing to support businesses that promote social and environmental responsibility, while boycotting those that don't. 

Furthermore, they prefer to support brands that align with their values, even if those brands are more expensive in some cases. By embracing sustainability, retailers can attract and retain customers, enhance brand reputation, and gain a competitive advantage in the market.

While ethics in general are valuable for promoting a retail brand, one that can be especially easy to practice and promote includes eco-friendly practices.

As an added benefit, sustainable practices contribute to the long-term viability of a retail business. By managing resources efficiently, minimizing waste, and embracing renewable energy sources, retailers can reduce costs. 

By focusing on eco-friendly practices, you may be staying ahead of the inevitable. Governments are implementing stricter regulations and standards to address environmental and social issues. Embracing sustainability proactively helps retailers stay ahead of evolving regulations. 

How to Make Your Retail Business More Eco-Friendly

Choose sustainable packaging

Adopting sustainable packaging alternatives is a great eco-friendly practice for businesses of all sizes, whether they have a physical or eCommerce presence. 

While achieving "zero packaging" is rarely realistic, businesses can follow the principles of the three Rs: reduce, reuse, and recycle. Use as much sustainable packaging as you can. Ask customers to bring back what can be reused. You can also make packaging into something the customer can use instead of discard. 

Sustainable packaging also differentiates brands from competitors. You’ll soon be known as the brand with the packaging that turns into something cool. 

Source sustainable products and brands

There are lots of ways that the products you choose can offer eco-friendly qualities. Reducing carbon footprint, promoting ethical labor practices, supporting local communities, eco-friendly materials, and organic and natural products are just a few examples. 

Try to identify brands and products that prioritize sustainability. To ensure that these brands are legitimate and marketable, look for certifications and labels such as organic, Fair Trade, Forest Stewardship Council (FSC), or other recognized sustainability certifications.

If you’re already working with suppliers, you’ll need to decide whether they meet your eco-friendly standards. Ask about their manufacturing processes, sourcing of raw materials, waste management strategies, energy efficiency measures, and commitment to social and environmental responsibility.

Consider conducting on-site visits or audits, especially if a supplier you’re working with doesn’t have certifications. 

Try Selling Used Products

Having trouble sourcing eco-friendly products? How about finding used ones? Consumers are increasingly willing to pay, and pay well, for used products. When it comes to eco-friendly qualities in items that have already been made and used, you’re satisfying the “reuse” option in the three Rs.

Clothing, furniture, electronics, books, or any other durable items that can be resold are good options. You can source used products that you already sell or use them to diversify your inventory. 

Create a dedicated section or category for these products in your store or on your website. Use transparency in your listings. Be honest about the condition of the goods so customers aren’t disappointed. 

To source products, establish partnerships with suppliers who specialize in collecting and reselling second-hand items. Connect with local thrift stores, consignment shops, online marketplaces, or even organize community-driven initiatives. Offer store credits or discounts when customers bring in their pre-owned goods.

The second-hand products you offer must be in good condition, clean, and functional. Implement quality control measures to guarantee customer satisfaction and build trust in the value of your second-hand offerings.

Look for ways to go digital

Technology can help tremendously with your eco-conscious efforts. Leveraging technology that allows you to bypass printed receipts for digital ones, for example, can save you major dollars and paper waste each year. 

The same concept applies to digital signage and promotions. Rather than replacing printed displays for limited-time offers and promotions, a digital solution you can update in real time as your message changes not only cuts down on potential waste, but can offer you significant time savings, too! 

Redesign greener stores 

  • Replace traditional incandescent bulbs with energy-efficient LED lighting. LED lights consume less energy, have a longer lifespan, and can significantly reduce electricity usage in the store.
  • Maximize the use of natural light by incorporating windows, skylights, or light tubes in the store design. Use sensors or automated systems to adjust artificial lighting levels based on the available natural light to save as much energy as possible while retaining consistent lighting in your store. 
  • Choose energy-efficient equipment and appliances. Only get as powerful an appliance as you really need. Look for Energy Star-certified products that meet high energy efficiency standards.
  • Optimize heating, ventilation, and air conditioning (HVAC) systems to reduce energy consumption. Programmable thermostats and zoning to regulate temperature in different areas of the store are useful features.
  • Choose environmentally friendly materials for store fixtures, displays, and flooring. Look for options made from recycled or renewable materials, such as reclaimed wood, bamboo, or recycled plastics.

How to Make Ethical and Eco-Friendly Practices Pay Off for Your Retail Brand

Make Sustainable Retail a Part of Your Brand Story

Tell the story of what led you to embrace sustainability and eco-friendly practices in your brand. Emphasize the long-term value to consumers and the environment. Talk about the causes your business supports and how sustainability improves the customer experience and aligns with your brand ethics.

Stories of the positive impact of your initiatives, like working with artisans or supporting local communities, are particularly compelling. By consistently integrating sustainability into your brand messaging, you create a genuine and long-lasting connection with your audience, rather than using it solely as a sales pitch.

Avoid ‘greenwashing’

"Greenwashing" means making misleading claims about sustainability for marketing reasons. Focus on prioritizing transparency and authenticity in eco-friendly efforts. Using the word "sustainable" in branding without backing it up isn’t good enough, and customers WILL catch on. 

Customers demand proof of a business's eco-friendly practices. Be specific and honest about what you’re doing to make your brand eco-friendly. Obtaining third-party certifications specific to the industry enhances trustworthiness and credibility.

Utilize Ethical and Eco-Friendly Practices in Your Retail Brand

Ethical behavior and eco-friendly practices aren’t just good for your business morals, they’re good for business. By advertising your brand’s eco-friendly qualities and emphasizing qualities like honesty and transparency in your marketing and business practices, you can build a strong brand that consumers trust and support.