In Women We Trust

Yes, we can (and must) Save the World through Mindful Shopping

Over on La M, the debate continues in the comment section on whether we can buy our way out of this global warming problem. The answer is not only "Yes," but "Yes, we have to."

[My thanks to Lynn Johnston for capturing in one cartoon why many give up before trying. On some level we all know our good work can be undone in a manufacturing minute.]

The "Smokestacks" are causing the problem and the ONLY thing that will keep the smokestacks happy is profit. Consumer action is half of the solution, the SMaRT Sustainable Standard is the other half. With both not only have we solved the emission problem, but transformed the market safely and kept our retirement portfolios intact. Yes, as Tom Friedman points out, we'll lose MANY products and companies along the way. Detroit's feeling that pain now, but we also will replace them with mindful companies and products we can all live with.

If you want to see how serious business is about change, take a quick read down today's blog at Sustainable Life Media. The stacks want to do it, they just don't know how to do it and they don't know how to talk about it in terms that breadwinners and buyers can understand. Oh, and by the way, it's also required by the EPA.

Not only do we/consumers have to do it, we have to write about our intent before or after we do it. Every time we write about Sustainable products we like, those products stay in the marketing mix and the other ones die.

GM has FINALLY decided that going small and green will bring bigger profits. Why? Because Toyota and Honda made the top ten brands and ate their lunch. You can't go 10 feet in California without running into either car.

Those top ten brands were made inside of buildings which a consumer can also affect - by DEMANDING that the brands are made using Sustainable Standards that certify when a product is in compliance. INSIDE the SMaRT Sustainable Standard are requirements for conserving energy and lowering emissions, VOCs and PVCs (plus over 1200 other chemicals). Not only do the standards cover their buildings, but also the operations and processes for the entire supply chain as well - even if those smokestacks are in China.   

The SMaRT Standard (Sustainable Materials Rating Technology) covers six areas of product development:

• Safe for public health & environment
• Renewable energy & energy efficiency
• Biobased or recycled materials
• Facility or company requirements
• Reclamation, sustainable reuse
  & end of life management
• Product Innovation

Under these areas, products are required to:

• Provide Feedstock Inventory Documentation
• Document No Input and Output Stockholm Chemicals
• Maintain a Manufacturing Facility Energy Inventory
• Inventory of all bio-based and Recycled Content Materials
• Have EMS Environmental Policies and Targets.
• Have Social Equity Indicator Reporting for Manufacturers
• Compete an ISO Compliant Life Cycle Assessment
• Have Operational Reclamation and/or Sustainable Reuse Program
• Meet Product Performance Durability Standards (long lasting products)

And encouraged to keep going until they have achieved:

100% Reduction of Over 1300 Pollutants covering 12 Environmental Impacts
100% Use of Green-e Renewable Power
100% Post Consumer Recycled or Organic/BMP Biobased Materials
100% Reuse/Product Reclamation
Social Equity for Manufacturer & Suppliers (worker's rights)

That's a pretty big stick, but sticks are also fun to chase - especially if you're one of the Big Dogs attending the Sustainable Brands conference.

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After the requirements are met, the Big Dogs can get competitive and earn higher and higher ratings of silver, gold and platinum. Its not impossible, Forbo/Marmoleum and Knoll Life Chair have already have done it. Milliken carpet is on its way.

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But they can't do it alone.

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They and all the other companies trying to go green need buyers for their Sustainable Certified products, people who appreciate the work that has been done on a very high level.  Which brings us back to the first side of the buyer/seller equation - consumers.

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Take a gander at that top ten list again. If you were hired to change the world, which "demographic" would you focus on to make it happen faster? On that list you have, groceries, cleaning supplies, lotion and potions, cars and home appliances. Without doing a massive research project, take a wild guess on which gender has the greater influence either directly or indirectly buying these products?

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In the end, after all the discussions and  the chatter it's going to come down to tightly linking these three tipping points together - women+companies+sustainable standards.

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That's the new balance of power in this global economy. What happens among them happens about the world and it all starts with the heart of a women making the right choices while her purse is open and being willing to talk about them.

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Men can expedite the process by educating the women in their life on the SMaRT Sustainable Standard or other Standards that use a Life Cycle Assessment (LCA) across the entire supply chain. While women are the buyers, you are the "sellers." Let's get to work, shall we?

Your continuing ed starts here:

SMaRT Standard Market Overview - for High C's (9 pages)- Download">http://www.sustainableproductsblog.com/mts/files/mts_smart_sustainable_standard_overview_2.1.08.pdf">Download mts_smart_sustainable_standard_overview_2.1.08.pdf

SMaRT Standard Overview - Supplier Education - (slide show) Download">http://www.sustainableproductsblog.com/mts/files/act_smart_presentation.pdf">Download act_smart_presentation.pdf

SMaRT Standard for Consumer Orientation - (slide show)Download">http://www.sustainableproductsblog.com/mts/files/smart_sustainable_standards_102_consumer_orientation_51008.pdf">Download smart_sustainable_standards_102_consumer_orientation_51008.pdf

Forbo Sustainability Report - for High C's, Supply Chain, Distributors, Investors, Consumers (20 pages) Download">http://www.sustainableproductsblog.com/mts/files/forbo_sustainable_manufacturing_and_marketing.pdf">Download forbo_sustainable_manufacturing_and_marketing.pdf

Peggy Roberts, Bringing Green Insurance to Green Buildings

What would happen if your office building was destroyed?  What would it cost to replace it as a LEED Certified, "green" building? Peggy Roberts can tell you. I chatted with her last week and one of the companies she represents is Fireman's Fund which now offers Green Building Policies.

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Peggy is an independent insurance agent with Huntleigh McGehee, with 22 years in the insurance biz.  That's impressive, Peggy's one of only three sales women in her office. On top of it, as an independent she doesn't have a massive marketing campaign to set expectations before she comes in the door. Most of her business is word-of-mouth.

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I asked her if she could describe her style that has made her so successful. She said, "My sales style is consultative.  Having begun my career on the company side prior to coming over to the broker side of the business, I have a strong technical background, thus can 'put my money where my mouth

is.' In addition, I can hold the underwriters at the companies we broker to accountable and this puts me in a strong position to negotiate the best coverage and price for my clients." Then she added, "I also feel that my positive attitude about being a female/minority among Commercial Insurance Brokers has been an advantage.  My thought is that in sales, it is the differences that make you stand out…and standing out is a good thing"!
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So, jumping right in, why is there a need for green insurance policies?

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Peggy explained, "One of the reasons that green-specific coverage is important is that it provides green replacement cost.  In other words, it will pay to replace the loss with green products/building materials. If you have a standard policy it would most likely have limited replacement cost and the consumer could have a gap in the amount they receive to upgrade or replace the loss “green.”  So one of the critical questions and concerns should always be: how would my policy respond in the event of a partial loss and in the event of a total loss…am I insured properly and to full replacement cost – green or otherwise?  This question should apply to a commercial property or a home."

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Peggy is a very positive person, even with all the increasing payouts due to climate change, she still sees the future of the industry as strong. Although she has the pick of all insurance companies, she is now selling more Fireman's Fund Green-Gard policies than all the rest and expects to have 40% of her business underwritten by Fireman's in 2008. [Fireman's Fund is the first to come out with a Green Policy]

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Peggy credits matching philosophies, "The reason for my personal success with Fireman's Fund is our similar experience and belief in target or niche marketing. By writing a lot of business in a specific business segment, you can develop expertise that is meaningful to your clients."

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That makes sense, women-at-large tend to work better within their circle of influence vs. powering their way to a sale. By the Fireman's Fund supporting independents with niche marketing ideals, they are empowering them to build on what they do best - connect with people as people first, business second. That's a very different sales model from "call 40 people a day, get 10 appointments, make 4 presentations and close 2 sales." If you're working with today's savvy business women, that's a mistake. They can instantly tell the difference between a consultive sale and a pipeline close.

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While Peggy's experience is specific to the Commercial Lines segment, she says that there are a number of companies who are entering the Personal Lines marketplace as well. 
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What are the take aways from this? If you're new in sales, build and be accountable to your niche base. That includes offering with as many Sustainable Products/Services that you can. That may seem obvious to sales pros, but it isn't to newbies who are trying to fill quotas instead of filling needs.

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If you're a consumer or business owner, ask your insurance broker about Green Building Insurance. Fireman's Fund covers the Commercial sector and is just bringing out a personal policy in 2008. If you heard about them rebuilding the homes of California green, that's because they are being corporate good guys. It also makes business sense in a risk aversion way. The greener the home, the less chance that it will catch on fire again.

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It's no wonder Peggy has set her goal at 40%. What's not to like about her or her "policies"? Everyone wins on this one. Consumers and businesses have a higher valued home/office for mortgages and resale, Brokers sell policies that makes them heroes and corporations rebuild a base of trust.

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Thanks Peggy, and add us to your niche.

Peggy Roberts is Vice President and Commerical Insurance Producer, she acts as in a consultant role performing Risk Managmenet Analysis of Insurance Programs bothon Commercial Lines and Benefits. Her most recent passion is her pursuit to provide "green" insurnace coverage to assist those clients making capital contribtuions by building green to better the environment.

Contact her at: proberts@hmrisk.com.

Destiny USA - the Mega, MEGA Mall with a Sustainable Soul

Part 1 of 2 (This is for all the green women who want to be climate change agents. Your continuing education starts here.)

I just returned from a Sustainable Standard meeting/brainstorming session sponsored by The Market Transformation to Sustainability. (more on that in the next post) The meeting was hosted by Bob Congel in his fabulous (green) Savannah Dhu conference center. He's the developer behind Destiny USA, a mega complex in Syracuse, NY. Before you say "Mary, you've sold out like Adam Werbach did to Wal-Mart," think again.

Those of you who know my past as the marketing agency for The Crossroads Mall in Kalamazoo, MI, know that I'm pretty burnt out on malls. I was in Minneapolis for a year before I set foot into Mall of America. So when I say I've had a change of heart, it's a big change. If Destiny can sway my  pragmatic, sustainable self, there is a very good reason. Check out the press page videos and see if you don't feel the same way. (sorry, I can't link directly to them)

What's the big deal? 

This mall/conference center/research park "complex" is being constructed and run ENTIRELY FREE OF FOSSIL FUELS.  That's right, from the first bio-diesel bulldozer to later running the AC/heat/lights/electricity with renewable energy via solar, wind or waste energy conversion.

It also is being constructed to adhere to the LEED Green Building rating point system. That's where MTS and the SMART Sustainable Standard come in. Everything that is made, has to be certified as sustainable first to be part of the LEED point system. SMART Certified Products and endorsed and supported by LEED. SMART is the only standard out there that provides quantified proof that it meets the demands of the standard.

That's a very big deal.

Without proof, Sustainable Backed Securities don't happen. [they were called "green" backed, but that's changing] That means if you want a discount on your loan because you think you have a green/sustainable building, you must be able to prove it. With proof, the developer gets their loan, the bank gets their cash and the insurance on the place ends up lower. The best part? As the cost of energy rises, the cost to run it remains the same or goes down, making it more profitable to the developer.

Everyone wins, all because they started with Sustainable Products build to work within the LEED Standards. Take that same scenario and move it into residential land. Homeowners can do the same thing.

That sustainable building/product scenario is something I can back. Buildings contribute over 70% of the CO2 emissions, The whole biz world is watching carefully. When Congel pulls this off, all the excuses as to why we can't build green or sell green will go away. This one complex in Syracuse, NY can change the world in buildings and products. It's already changing the conversation as traditional business models in all sectors of industry are being questioned.

That's just the beginning.

Wal-Mart hired Adam Werbach to green up the store(s). If he does, he'll pull off the second thing that's harder than getting me to walk into a mall, he might get me to walk into Wal-Mart.

Walls and malls are only a tiny part of the Sustainable story, however. What about all the things are sold inside the walls and malls?  Once products start getting certified like Forbo's Marmoleum, or Miliken's Carpet then consumers won't have to figure out if a product is green or all "sheen." If it carries a Sustainable Standard logo, like SMART of California Gold, consumers will have proof that what they are buying has been through a Life Cycle Assessment and can pass Sustainable Standards.*

To put it into perspective, if Mattel was held to SMART Sustainable Standards, not only would the lead be out of their toys, but the CO2 as well. Standards with third party audits are the key.

Start looking for and asking for Sustainable Products. The more you do, the faster they'll become certified and available to the public. Until then, be sure to blog about them. That too sends a message that gets picked up on trend watchers.

NEXT… who was at the Sustainable Brainstorming Table