What is greenwashing and how does it affect responsible companies?

In a context where sustainability is more than a trend, greenwashing has emerged as a practice that calls into question the credibility of companies and organizations.

But what is greenwashing? What does this concept mean? And, most importantly, how can we avoid it and promote truly sustainable actions? From our sustainability consultancy , we want to explain this phenomenon, how to identify it, and how to ensure your business is an example of environmental commitment.

What is greenwashing?

Greenwashing, also known as "greenwashing," is a marketing strategy used by some companies to project an image of ecological responsibility without taking real, sustainable action. In other words, these companies exaggerate or misrepresent their environmental efforts to gain the trust of environmentally conscious consumers.

The term emerged in the 1980s , but in recent years it has gained relevance due to the increased demand for sustainable products and services. Companies that engage in greenwashing not only damage their reputation but also hinder global efforts to combat climate change.

According to a Nielsen report, 73% of global consumers say they would change their consumption habits to reduce their environmental impact, highlighting the importance of transparency and tools such assustainability reports.

How to identify greenwashing

It's crucial for responsible consumers and businesses to learn how to spot greenwashing. Some common signs include:

1. Vague or unsupported claims: Phrases like “environmentally friendly” or “sustainable,” without concrete data or certifications to back them up, are a clear sign of greenwashing.

2. Excessive use of green imagery: The overuse of colors and natural elements in marketing can be a way to divert attention from real sustainability practices.

3. Lack of evidence: If a company fails to provide verifiable reports, audits, or certifications to support its claims, it is likely engaging in this practice.

4. Focus on a minor issue: When a company highlights a minor environmental effort while ignoring more significant issues in its supply chain or production, it is a clear case of greenwashing.

Why avoiding greenwashing is essential for your business

At Greenme, we promote integrity and transparency as pillars of any sustainability strategy, as well as providing ESG consulting services. Preventing greenwashing not only protects companies from reputational damage but also fosters a culture of respect for the environment and communities.

Some key reasons to move away from these practices are:

More informed consumers: Today, consumers have access to more information and are able to detect inconsistencies between what a company says and what it actually does.
Regulatory trends: With regulations such as the EU's CSRD directive, companies are increasingly required to report their environmental impacts in a clear and measurable manner.
Industry Leadership: Companies that adopt real sustainable practices can differentiate themselves and become leaders in their industry.

Good practices to avoid greenwashing

At Greenme, we help companies implement real and effective sustainability strategies. Here are some key recommendations to avoid falling prey to greenwashing:

1. Transparency: Provide clear and verifiable data on your efforts. Third-party audited sustainability reports are a key tool.

2. Recognized Certifications: Make sure you obtain reliable seals and certifications, such as ISO 14001 or B Corp certifications, that support your initiatives.

3. Comprehensive commitment: Sustainability shouldn't be limited to one area of your business. Integrate best practices throughout the entire value chain, from production to transportation and waste management.

4. Education and awareness: Empower your team to understand the importance of sustainability and how to properly implement it in their daily operations.

5. Beware of fake eco-labels: Many companies use labels and logos that appear sustainable but lack legal validity or official endorsement.

For example, symbols such as green leaves or words like “organic” can be misleading if not accompanied by recognized certifications.

In Europe, labels such as the European Ecolabel (EEA) and the EU Ecologo guarantee that a product meets high environmental standards.

Furthermore, according to data from the European Commission, products with the EEA certification generate 30-50% less environmental impact on average than their non-certified counterparts.

How Greenme can help you

At Greenme, we work to ensure that companies not only meet their sustainability goals, but also do so in a genuine and transparent manner.