The triple bottom line: financial return, social impact, and environmental responsibility
Companies are beginning to realize that the days of surviving off product and profits alone are gone. Millennials have impacted the way purchasing behavior occurs and demand more from brands than just an adequate product. They expect brand values to align with their values, and their consumer habits are dictated by personal philosophy. In short: People buy from companies that have a conscious.
Brands need to realize that their focus must be three-fold: financial return, social impact, and environmental responsibility/sustainability. In addition to profits, companies must ensure their actions are impacting society in a positive way. This is why CSR initiatives are so popular among businesses these days. Brands need to give back and mean it. Consumers are also more environmentally aware than ever before, which means they lean toward companies that are committed to the green revolution. These trends will only continue to grow, especially as digital makes the business world more transparent and the Pluralistic generation matures.
Jason Burnham, partner and social engineer at Burnham Marketing calls these key principles the triple bottom line. He speaks with iMedia about why brands need to have a three-tier approach to ROI if they want to remain relevant to current and future consumers.
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Article written by media production manager David Zaleski and video edited by associate media producer Brian Waters.
"the triple bottom line (3BL or TBL) concept" image via Shutterstock.