The outbreak of the COVID-19 pandemic has changed the way we live, interact and consume. As a result, people worldwide have been opting out from in-store purchasing and switched into remote, virtual, alternatives as an attempt to maintain social distancing, therefore reinforcing the importance of building a brand presence online, as it has never been easier to obtain information regarding its social responsibility practices. Attention to social compliance serves to protect a brand’s reputation among consumers.
Evidence of abusive or illegal treatment within a company’s supply chain can strongly damage any brand’s reputation. Likewise, showing concern for sustainability can raise your corporate value and polish the company’s brand (and their partners’). Building a sustainable supply chain allows companies with a strong ethical culture to make high-stakes decisions where the underlying rationale is not limited to profitability and while expecting consumers to solely return based on sustainability might not be the safest bet, this is an attribute most valued by investors and potential business partners.
Younger demographics, such as millennials and Generation Z, have been actively demonstrating that companies with a strong, sustainable vision at the core of their business model becomes increasingly attractive.
By expanding any existing sustainability vision and assuming it as a fundamental part of your supply chain, companies can gain an edge over their competitors and industry peers in terms of market penetration, brand reputation and community development. Thus, creating key points that will differ them from the rest and enhance your competitive advantage.