Paris Olympics: Brands navigating greenwashing risks

By Ruby Derrick | 30 July 2024
 
Credit: Luca Dugaro via Unsplash

This year’s Olympics aim to be the greenest in history, but no brand with sustainability at the core of their DNA would sponsor the games in the first place, industry insiders say.

“Live sporting events involving international participants and large numbers of spectators are inevitably bad for the environment in a world which relies heavily on fossil fuels for transport and energy generation,” B-Corp Certified and ethical media agency Benedictus Media CEO Phil Benedictus told AdNews.

"With this in mind, Paris 2024 was never really going to be a ‘green’ event."

So trying to position it as being sustainable is a mistake, he says. It turns the virtue of improvements in sustainability into a weakness.

“The golden rules for avoiding greenwashing apply: if you are making claims about sustainability they need to be clear, transparent and backed up by the facts.

“Yes, this Olympics is being run in a more sustainable manner than previous games, which is laudable and has stoked the conversation around sustainability (a good thing). But overall, the Olympics are still bad for the environment.”

That’s why no brand with sustainability at their core would sponsor the games, Benedictus says. Alarms were sounding as long ago as this time last year with the hosts rowing back on claims first that the event would be carbon positive, then that it would be carbon neutral.

“The hosts’ efforts have also been undermined by the IOC’s sponsorship arrangements with companies who have dubious environmental records and/or products which are not environmentally friendly.

“Coca Cola (#1 global producer of branded plastic waste), Toyota (many time violators of the US Clean air act), McDonalds and P&G, to name a few.”

Unhelpfully for the Paris organisers, he says the IOC seems happy to let those sponsors come up with vague environmental platitudes which look a lot like vapid greenwashing on their official website too.

“Building on the values shared by both organisations, P&G and the IOC have committed to a first-of-its-kind, citizenship-driven partnership to advance important work in the areas of equality and inclusion, environmental sustainability and community impact. 

“As part of this partnership, P&G will lend its expertise and innovation capacities to Paris 2024. The company also aims to be a leading partner in the development of sustainable solutions and the supply of products and services matching the vision of Paris 2024.

Benedictus questions: Is the damage to the brand of the Paris Olympics around its environmental claims toxic enough to tar a sponsor? 

“For a Patagonia it might be, but I very much doubt P&G, Toyota or Maccas are overly bothered. Sustainability isn’t key for their brands. I doubt audiences which are not already engaged with the climate crisis are bothered either. 

“It has been a year of almost unrelentingly awful news and the Olympics represent a welcome dose of largely innocent entertainment and positivity.”

Brands participating in the event may face greenwashing risks in tandem with these ambitions, including inadequate efforts, exaggerated claims, token gestures, a lack of transparency, and ignoring supply chains, Forrester principal analyst Xiaofeng Wang says.

“The result could hamper consumer trust, damage brand image, and even cause revenue loss.”

This year’s Olympic Games’ key environmental ambitions include reducing the carbon footprint, promoting reuse and recycling, serving more plant-based food, and prioritising the circular economy, she says.

“Brands can align campaigns and messaging with environmental values to appeal to green consumers. According to Forrester's Consumer Asia Pacific Survey, 2024, 20% of online adults in Australia prioritise brands' commitment to environmental protections when making purchasing decisions.”

According to Wang, brands in major events such as the Olympics, can maintain consumer trust in their environmental initiatives through effective strategies, including transparent communication, authenticity, measurable impact, and long-term commitment. 

“By openly sharing details about sustainability efforts, aligning actions with values, providing measurable results, and involving consumers, brands can strengthen their reputation and drive positive change,” she says.

“As well as sustainability, the 2024 Olympic Games also emphasise inclusivity, diversity, and the celebration of sport, centred around the slogan ‘Games Wide Open.’ Brands participating should leverage these key themes in their marketing campaigns and messaging to stay relevant.”

The Olympics itself is an exercise in greenwashing as it tries to come to terms with its own 2020 Olympic Agenda sustainability goals, independent B-Corp creative agency Paper Moose creative director Jeremy Willmott says.

"Whilst it’s made some significant strides in reducing The Games’ environmental footprint I would argue that now is not the time for brands to tout their own environmental ambitions. Take lululemon, the official outfitter of Team Canada, getting into hot water for running an ad with the headline ‘Be Planet’," he says.

"Lululemon recently partnered with Aussie startup Samsara to produce products made from enzymatically recycled polyester. And yet despite this, Stand.earth have filed a legal case against the athleisure brand in both France and Canada and are calling for a boycott of their retailers. With an audience as large as The Olympics this is not a time for brands to be in the spotlight for greenwashing."

“We are asking French officials to investigate how Lululemon can claim to ‘Be Planet’ while creating more planet-harming emissions every year than half a million cars,” Stand executive director Todd Paglia says.

For Willmott, the best way for a brand to maintain consumer trust in their environmental initiatives is by action at a product level.

For example, Toyota are heavily promoting hydrogen cars over EVs whilst continuing to produce petrol cars globally, he says.

"As one of the key sponsors of The Olympics their fleet of electric and hybrid vehicles for athletes might come across as tokenistic given the damage the brand’s products are doing to the climate.

"By sponsoring The Olympics you put your brand in the firing line for criticism as has been seen around Paris last week with Brandalism taking over key digilites in the city calling out Toyota’s role in polluting the planet. Consumer trust is at an all time low when it comes to greenwashing and it’s time for brands to do more and say less. But if you are going to say something make sure it’s a claim you can substantiate."



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