The Triple Bottom Line of “Green”

Mike Kapalko
Sustainability Marketing Manager
SCA Tissue North America
 Tork “Green” Business Survey
• September 2009 online survey
• 1071 men and women, 18+
• Own or manage a business or make purchasing
decisions for:
– industrial facilities
– restaurants
– hospitals
– schools
 Some “unsurprising” results
• 97% recognize corporate
green practices impact the
environment
• 83% consider environmental
impact
• 78% purchase green products
 Fully embraced by business
• 70% believe the role the environment in their
industry will increase to some level
• 65% claim “average understanding” of issues,
concerns, impacts
• 20% report “very strong” understanding
• 71% feel sustainable or recycled products have
the greatest impact
 Motivating factors
• Why do you purchase green products?
– 88% because I care
– 36% to appeal to green consumers
– 34% better ROI
– 28% to keep up with competition
• Financial impacts to bottom line?
– 64% no change
– 22% increased revenue
 What about the general public?
• Extensive consumer behavior and thought
research using Harris Interactive Polls conducted
– Hygiene survey
– H1N1 survey
– “Green” consumer habits survey
– Restroom survey
 “Green” purchases over last year
less never
8% 7%

same more
29% 56%

BUSINESS versus CONSUMERS

less never
6% 27%

same
more
48%
19%
 How business relays “green”
• 59% DON’T publicize • Of the 73% of consumers
green efforts buying green, best way to
• For the 41% that do… be told…
– 62% website – 27% unsure
– 54% employee network – 22% shelf/menu notes
– 41% in-store signage – 21% signage or fliers
– 39% social media – 12% displaying awards
– 27% press releases – 9% website
 How business relays “green”
• 59% DON’T publicize • Of the 73% of consumers
green efforts buying green, best way to
• For the 41% that do… be told…
– 62% website – 27% unsure
– 54% employee network – 22% shelf/menu notes
– 41% in-store signage – 21% signage or fliers
– 39% social media – 12% displaying awards
– 27% press releases – 9% website
 But is it con”green”ience?
Would you choose a “green”
same
14% or “not green” restaurant
based on wait time?

less more
47% 39%

not green
9%

green either
43% 48%
This is not greening your life
 Greenwashing a problem
• The bandwagon has left confusion in its wake
• 63% of businesses feel “green” products are
to some extent, but claims are inflated
 Confusion is common
• 46% of businesses felt a certification would be
beneficial, 28% weren’t sure
• 79% of businesses weren’t sure which
certification was most respected in their industry
• 31% of the general public weren’t sure how to
validate a green claim
• Reinforces the value of having reputable
certifications that are most often requested and
recognized
 Sustainability is holistic
• Clearly “green” is a driver and
being adopted as a personal
value
• A sustainable business must be
holistic
• Triple bottom line approach
• Interwoven in approach and
results
 Bad bathrooms = bad business
• 88% believe that washroom cleanliness reflects
the hygiene throughout the business
• 29% would never return
• 50% would tell friends and family about a
negative experience
• 46% would avoid an establishment based on bad
word-of-mouth about restrooms
Where would you eat?
Where would you eat?
 Health, Hygiene, and H1N1
• Due to H1N1, a renewed focus on hygiene
• 44% of people most concerned about risks of
away-from-home restrooms
• 54% of people prefer paper towels for drying
• 94% report they always wash hands after using
the washroom
But what about “others”?
More risk than you know

Good
16%

+
Bad
84%
 Disconnect of words & actions
• 70% of adults are concerned about getting it
• 74% think it is unlikely they will get it
• 73% of businesses say it will not affect them
• Both businesses and consumers agree
handwashing is best preventative measure
• 38% won’t wash their hands more often
• 48% will not get either flu shot available
• CDC estimates 40% of people will get it
 Sick is not good business
• Absenteeism costs businesses $660 per
employee each year
• Absenteeism is built into staffing
• Studies show 20% - 50% reduction in
absenteeism with a hand hygiene
program
• Also impacts health care costs for
companies
Top 10 issues in washrooms
A different thought approach
Shifting customer values
 What’s the (triple) bottom line?
• Green is here to stay, values are evolving
• People demand more than silos
• Words and actions still disconnected
• Confusion is being confronted
• Focus on people and planet will lead to
prosperity
– consumer/employee retention
– reduced costs, increased ROI
 About the TGHC
• created to assist in providing sustainable and
hygienic away from home washrooms
• top professionals and academic authorities on
green building, corporate sustainability, hygiene
and germ prevention
• independent feedback, advice, provide industry
insight and expertise
David Gottfried
Managing Director, Regenerative Ventures
Founder, USGBC
The New World of Green
We need new models
 Continuous Improvement
1. Limiting the Damage
2. Neutral
3. Restoration
4. Regeneration
Biomimicry
 Scores are tallied for
different aspects of
energy and environmental
performance in
LEADERSHIP in appropriate categories
ENERGY and including:

ENVIRONMENTAL 1. Site Planning

DESIGN 2. Water Efficiency
3. Energy Performance
4. Material & Resource Use
A leading-edge
system for
5. Indoor Environmental
certifying Quality
the greenest 6. Innovation &
performing Design Process
buildings in the
world
 new
LEED-NC
CATEGORIES OF LEED RATINGS
construction

existing
LEED-EB buildings

commercial
LEED-CI interiors
FUTURE PROGRAMS

core &
LEED-CS shell

LEED-HOMES
• Healthcare
neighborhood • Laboratories
LEED-ND development • Schools
• Retail
• Multi-building
application
LEED guides
Campuses
• Multi-family
Residential
Green Professionals
 One Bryant, NYC
• Bank of America NY HQ
• 2 million s.f., 54 stories
• LEED Platinum
– Rainwater capture
– Incredible daylight
– Recycled content
– On-site gas plant
• 70% of energy supply
– Ice storage
– Waterless urinals
CH2, City of Melbourne

42
Green Homes
 Adobe Green Retrofits
• Lighting – 61% ROI
• Load management – 304% ROI
• Equipment retrofits – 61%
• Monitoring & controls – 42%
• Water management – 22%
• Waste management - Immediate
• Recycled content purchases - Immediate
• Green Building certification costs
 CoStar Group Study
• Study = 1300 buildings (351 million s.f.)
• Rents > $11.24 p.s.f.
• Occupancy > 3.8%
• Sales price > $171 p.s.f. (LEED)
• Sales price > $61 p.s.f. (En. Star)
• LEED buildings (NBI Study)
– 25% – 30% > Energy Efficiency
– Gold/Platinum = 50% better Efficiency
WORLD GREEN BUILDING COUNCIL
Greening of Government
Green Companies
 Green Products
• Food
• Building industry
• Cleaning
• Clothing
• Toys
• Supplies
• Light bulbs
• Travel
Green Product Rating Systems
 Cleantech
• Solar
• Wind
• Biofuels
• Batteries
• Green Building
• Water
• Waste
• Smart Meters
Khosla
Ventures Sequestration
Tools
Renewable EPC

Portfolio

Solar
Tools Wind
Geothermal
Water
PVC Natural
Plasticizers Coal Gas
Polyurethane Plastics
Materials Electrical Lighting
Polyethylene Efficiency
Glass Building Efficiency Batteries
Materials
Cement Oil Mechanical Motors
Corn/ Efficiency
Sugar Fuels
Future
Cellulosic Fuels

Homes
Engines
Appliances
Pumps

Cellulosic Butanol
Ethanol Cellul. Diesel
Cellul. Gasoline
Cellul. Jet Fuel
 Green Transportation
• Walkability
• Biking
• Car-share
• Public transit
• Green cars
• Cash for clunkers
Green Jobs
Green Life
Thank you!
Questions?
For more information
visit our website at
www.torkusa.com
or call 866-SCA-TORK