Top luxury brands flunk eco study
Gucci, Tiffany, Swatch, Bulgari. These luxury brands aren’t what you’d call divine green.In fact, their environmental stewardship scored them Ds and Fs on the World Wildlife Fund UK’s first study on the social and environmental performance of the world’s top 10 makers of high-end goods. (Report here. Beware, it loads slowly.) The top of the list, French cosmetics maker L’Oreal, scored a so-so C+ and was joined by French brethren Hermes and LVMH in the average set.The conservation group scored luxury makers by analyzing the companies’ self-reported data to environmental agencies and investors. It also looked at their overall media reputation for good governance, and social and environmental responsibility (or ESG). It examined practices related to “mining and farming, design, manufacturing, marketing, retail, use, re-use and eventual fate” of products, according to the report, called Deeper Luxury. It then gave each company a score (from 1 to 100) to designate a rank and grade.L’Oreal, for example, did not rank highly on environmental practices, but it scored well for “policies on equal opportunities, health and safety in the workplace.” LVMH, ranked third on the list with a C+, reported “improvements in environmental management of its own operations.”The two U.S. companies on the list, Coach and Tiffany, scored badly (C and D+, respectively) on earth-friendly practices because of “a lack of reported environmental monitoring or performance,” according to the report. Italian shoemaker Tods was dead last because of an unwillingness to respond to environmental questionnaires, the study said.Other companies ranked include Swatch, maker of Omega watches, (6th); French company PPR, which owns the Gucci Group and controls brands like Stella McCartney, (7th); and Swiss conglomerate Richemont, owner of Cartier (8th). (All Ds and Fs.)The poor grades might seem obvious, given media reports about overseas sweatshops and blood diamonds. But the WWF’s report is one of the first attempts at holding major luxury conglomerates accountable for their practices, especially considering that there’s an environmental movement afoot.The luxury goods industry is especially worth paying attention to–it’s worth an estimated $159 billion annually worldwide and carries massive sway with consumers. Because of its influence and those of stars like Angelie Jolie and George Clooney who represent high-end brands, the WWF-UK called on celebrities to stop working for luxury retailers that don’t have a social and environmental agenda.”These stars have the responsibility to make sure that the brands they are endorsing are not damaging the planet,” Anthony Kleanthous, WWF-UK’s senior policy adviser, said in a statement.He added: “New consumption habits within a sustainable economy are urgently needed… Given its global brand power, the luxury industry should demonstrate greater leadership on this agenda.”
December 4th, 2007 at 11:04 pm
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January 6th, 2008 at 9:29 pm
[…] For example, L’Oreal, which was recently named one of the 10 worst luxury brands (story here) by environmental measures, owns natural body care lines the Body Shop and […]