Conny Braams

Currently 28 of the Unilever brands are marked as sustainable living brands, or brands with purpose. How do you juggle the responsibility of doing good and the shareholder pressure for results and growth?
‘We don't see it as a trade-off. We believe that sustainable products and brands make good business sense. An example: we have set out to create a one-billion-dollar business for plant-based meat and dairy alternatives. And we know that in the next five to seven years this segment will grow rapidly. Brands and products like The Vegetarian Butcher, Magnum Vegan and Hellmann's Vegan are spot-on in consumer trends. And that's an example of how you can be sustainable and grow at the same time.’

So far, it’s only 28 out of 400 brands though...
‘That's why it is a journey. We are very strict with our definition of purposeful brands; the brand should not only say something that matters to people and planet, it actually needs to  take action. It is the brand-SAY and the brand-DO that counts.  And it only holds true if you do more good, and not just less harm. And it pays off; these 28 grow twice as fast as the rest of our brands. It even costs less, due to green energy, less waste in our factories, and a more efficient changeover of lines. And it’s a huge magnet for talent. Younger people want to work for businesses that do good in the world. In the 54 of 74 markets that we measure this in, we are the number one employer of choice. In the end, even more so than the brands, it's our people that make our company. Furthermore, our practices reduce risk because they guarantee the sustainability of agriculture. So, the business case is sound – more growth, less costs, less risks, and better talent – and all stakeholders, including the shareholders, are on board.’

As for cost savings on operational costs, it probably involves a lot of investment up front.
‘Yes, but we don't do this alone. Many businesses are helping us by being on the same journey. For instance, sustainable palm oil industry and the shipping industry. As for logistics, we don't need to invent the electric car, but we use it. So you need to work hand-in-hand with your partners throughout the entire value chain. The biggest thing I've learned is to create ambitious targets. It works in business, it is working for ED&I*, and it's going to work for sustainability as well. But first you must put your own house in order.’

How can you drive consumer behaviour towards the more sustainable living brands?
'Digital provides plenty of opportunities. For instance, people are used to scanning codes so you can add QR codes on packs that give additional sustainability information on origin, CO2 or full eco-labels, or reward schemes for choosing sustainable products. One of the best working rewards systems is by Alibaba, where people who buy more sustainable products can plant a tree. This has led to millions of trees being planted across China by over 500 million users. There are several levers that can drive consumers to choose more sustainably. If ever there was a moment, it is now. In all our research we see that consumers are more conscious; they really want to buy the products that are better for them and for the world we live in. They just need the right information.’

How about the plastic pollution challenge; is it too big to handle?
‘No, it's not. We are taking it very seriously. Our commitments towards creating a sustainable world are powered by our innovations and of course that includes rethinking our plastic packaging. Plastic is a fantastic versatile material, but it should stop using virgin plastic as much as possible and above all, it should not end up in nature. 60 per cent of our business, and most of our growth, comes from developing and emerging markets. There, we are actively involved in setting up recycling systems. We’re also looking at alternatives to pack differently. We call it: less, better and no plastic. We've now got Skip washing capsules in a carton box. And we’re working on refilling and concentrating our products so we don’t have to transport water and we can use less packaging. Less plastic will be hugely important for a sustainable future.’

In 2016 Unilever launched the #Unstereotype campaign, against stereotyping in commercials. Should more companies take a stance on social inclusion and diversity?
‘Yes, because it is the right thing to do. But again, it also makes really good business sense. Nowadays, 98 per cent of our ads are unstereotypical and more than 60 per cent are progressive. From the moment we drove #Unstereotype in our ads, our brand power went up and our purchase intention went up quite dramatically. So it's a no-brainer for your ads. And now we have launched #Unstereotype ACT 2. The aim is to go much deeper to make real, structural changes to the entire marketing process – from insight generation to the way we brief product design, to the way we represent people in front and behind the camera.