Top Ten Green Brands & Scores
|1 ||Toyota ||64.19 |
|2 ||3M ||63.33 |
|3 ||Siemens ||63.08 |
|4 ||Johnson & Johnson ||59.41 |
|5 ||HP ||59.41 |
|6 ||VW ||58.90 |
|7 ||Honda ||58.90 |
|8 ||Dell ||58.81 |
|9 ||Cisco ||57.66 |
|10 ||Panasonic ||57.32 |
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Best Global Brands
Best Global Brands is our annual study of the world’s most valuable brands.
Best Global Green Brands:
Introduction and Methodology
Interbrand and corporate citizenship
Over the last 10 years, Interbrand has built its corporate citizenship practice, advising brands ranging from Fairtrade to GE on how to create a corporate citizenship strategy that is integrated seamlessly with their brand promise. We are of the mind that corporate citizenship isn’t just “good practice” but “smart practice,” with its benefits greatly outweighing its risks. Indeed, as corporate citizenship increasingly becomes the norm, those on board need to ensure that they are being credited for their actions.
Of all areas of corporate citizenship, green initiatives may be among the most visible and perhaps the easiest to claim – and yet, at the same time, they are perhaps the most challenging to deliver performance against. Increasingly, consumers and other stakeholders are able to distinguish between environmental sustainability claims and actual performance. This is in large part because of the internet and social media, which in turn inform purchasing decisions (consumer facing and business to business transactions). The reverse is true as well. Take Nokia, which has consistently ranked high in terms of green performance, and yet trailed behind competitors in terms of customers' perception of its efforts.
It is because of this potential misalignment between brand performance and perception that Interbrand decided to measure leading brands’ green efforts (environmental sustainability performance) and to acknowledge that those brands excelling in this area receive credit for their initiatives. We are not just interested in the simple question, “Do you think Brand X is green.” Rather, our study is in agreement with those that assess how green a brand is by distinguishing between performance and perception. It is actionable and focused, providing business leaders with ways to improve their performance and their perception.
Interbrand’s Best Global Green Brands is based on analysis of publicly available data, and data from Thomson Reuter’s ASSET4 (which includes environmental sustainability performance data for over 3,000 companies). This analysis was then paired with Interbrand’s understanding of how brands create brand value.
The online report
We know that creating a green initiative that is aligned with your brand promise can be a significant challenge. In this online report, we hope to offer you insight into each brand on the table as well as advice on how to create an effective green practice… one that is profitable for the bottom line as well as the brand.
The Best Global Green Brands report combines public perception of environmental sustainability (“green”) performance with demonstration of that performance based on publicly available information and data.
The starting point for the ranking is Interbrand’s Best Global Brands list. Brands on this list have a global presence and a demonstrated record of delivering value to their stakeholders. In order to align corporate green efforts with consumers’ brand perceptions, the only global brands included in the ranking are those that are synonymous with their product brands. For example, brands such as Louis Vuitton and Gucci were omitted, as their efforts cannot be viewed as separate from their larger luxury goods conglomerate – in the case of Louis Vuitton, LVMH, and for Gucci, PPR.
Interbrand’s years of experience in brand valuation have shown that efforts to grow brand value must include a focus on internal and external elements of brand strength. For this ranking, green includes both actual environmental sustainability performance and the degree of external reporting. This included an evaluation of the performance components of green brand strength (clarity, commitment, protection, and responsiveness) in the context of company’s efforts to act in environmentally responsible ways and an evaluation of the perception components of green brand strength (authenticity, relevance, differentiation, consistency, presence, and understanding) in the context of consumer awareness of company’s green activities, while also weighing environmental performance.
Deloitte was engaged to develop a corporate environmental performance methodology based on publicly available data as an input to Interbrand’s overall scoring methodology. The Green Performance Score was composed of 82 metrics on which each company was ranked. The metrics evaluate companies’ disclosure and environmental performance across six “pillars”:
Policies and mechanisms put in place by the company to manage environmental impacts and successfully set and execute environmental programs.
The degree to which the company recognizes and engages with the various relevant stakeholder groups associated with the company.
The company’s performance across operations as measured in energy efficiency, GHG emissions, water management, waste management, and toxic emissions management.
The company’s performance in measuring, reporting, and mitigating the environmental performance of their supply chain.
Transportation and Logistics
The company’s performance in measuring, reporting, and mitigating the environmental performance of their transportation and logistics, business travel and commuting.
Products and Services
The product portfolio of the company and an evaluation of the green attributes of its products, including product efficiency, sustainable production, and use of life cycle assessment.
The Green Performance Score is designed to be applicable across industry sectors and therefore includes metrics designed to make the evaluations meaningful and relevant across industries and adjusts for outsourcing and multi-sector operations. Because public disclosure of environmental performance is a leading practice among sustainable or “green” companies, the Green Performance Scores are based on publicly available data as well as data from Thomson Reuter ASSET4 (which includes performance data for over 3,000 companies).
The evaluation of each company’s consumer perceptions (external components) was conducted by Interbrand. To begin, Interbrand asked consumers in the 10 largest global markets to answer questions related to their perception of each company’s green activities along the six dimensions of brand strength. Interbrand spoke to 10,000 consumers worldwide and each brand was rated by at least 1,250 consumers. For the initial stage of analysis, Interbrand aggregated data on each dimension within each market. The six external dimensions of brand strength assessed were:
The perceived credibility of the brand’s environmental claims.
An assessment of the relevance of brand’s environmental claims. This involves comparing the perceived importance of green activities for the category with the brand’s green perception.
How differentiated the brand’s green efforts are perceived to be relative to other competitors in the category.
The consistency of the brands various green communications across all touchpoints.
Consumer awareness of the brand’s green activities and its green reputation in the market.
The level of understanding of the brand’s green activities as a whole.
Interbrand then aggregated the scores across markets. The data was ranked by the size of each country and each country’s contribution to the global economy was also considered. This permitted a view of which brands consistently differentiate themselves in terms of environmental performance across markets, and which do the best job engaging in green activities that consumers find relevant. The analysis also discounted cases where positive perceptions of the brand outweighed a company’s actual green performance.
Overall, the “strongest” green brands appear to reside at the intersection of performance and perception. The final ranking table is a detailed illustration of which brands lead when it comes to the environment.
Read our key insights about the study.