What Does Sustainability Mean, Anyway?

The FTC is in the process of updating its guidance on environmental claims, following the end of its public comment period in April. Over the last decade, searches for "carbon neutral" have increased twentyfold, according to Google Trends. While searches for "sustainable fashion" have jumped tenfold. But what do these sustainability-related advertising claims actually mean? Not much, according to many of the suggestions leveled at the Federal Trade Commission (FTC) over the last several months. The comments focus on poorly defined descriptors like sustainable, net zero and carbon neutral, as well as terminology that commenters say intends to give consumers the impression that a product is less harmful than it is. Either way, they argue, the result is greenwashing. The FTC Is Updating Guidance on Environmental Claims. Here’s What That Means Since the Green Guides were last updated in 2012, "the ethos and the perception of sustainability marketing has changed," said Ramya Ravishankar, general counsel at sustainability intelligence platform HowGood. "Consumers are really voracious for more information, so having the guides updated to reflect that is really important." 'Sustainable' as an approach, not a condition The problem with many of the green claims that currently pepper ads is that their meanings are nebulous, experts told Adweek. And without clear guidelines or regulations, it's easy for companies to get away with this kind of greenwashing. The term "sustainable" is a perfect example, according to Austin Whitman, co-founder and CEO of nonprofit carbon measurement and certification firm Climate Neutral. Sustainability has cropped up everywhere, with ad copy often describing an entire brand, product or company operations as "sustainable" without a clear definition of its differentiation. "No company is sustainable, but everybody's working on sustainability," Whitman said. "That distinction is just super important." Climate Neutral asked the FTC to "offer strong and clear guidance that constrains the use of this term to cases where it implies an approach or intent, not a condition or state of being." That means that a brand would be able to say that it's working toward a sustainable future, for example, but not that it's selling a sustainable product. Prohibiting the use of 'net zero' Climate Neutral suggested that the FTC prohibit the use of "net zero" altogether, as the term refers to "a future global state in which companies will have eliminated substantially all Scope 1-3 emissions through clean energy and reduction efforts, with limited use of carbon offsets to eliminate any remaining ‘residual’ emissions." Here’s What Marketers Should Know About Carbon Credits and Offsets The terms "climate neutral" and "carbon neutral" should indicate that "material direct and indirect greenhouse gas emissions associated withcompany facilities, transportation, and manufacturing processes have been eliminated through reductions and/or the procurement of renewable electricity or carbon offsets," the company suggested. Climate Neutral also warned against the use of climate benefit claims that rely on targets, goals or future performance rather than progress that has already been achieved. Misleading use of 'natural' gas A coalition of climate groups, including Action for the Climate Emergency, Clean Creatives and ClientEarth, argue that the FTC should bring the Green Guides in line with international standards around greenwashing, which would prevent companies from making environmental claims without disclosing certain details on the overall impact of their business. It also asked the FTC to acknowledge that using the term "natural gas," in reference to methane is "inherently misleading." The term implies that "methane is environmentally friendly instead of a potent greenhouse gas," the group said in a statement. Methane has 80 times the warming power of carbon dioxide, according to the United Nations. Fossil fuel companies "have been getting away with lying to consumers about their net-zero commitments, carbon offsets and the environmental benefits of so-called ‘natural’ gas," Duncan Meisel, executive director of Clean Creatives, said in a statement. "Stricter guidance from the FTC would not only help clear the airwaves of this misinformation but [also warn] advertising agencies that these sorts of misleading claims will be subject to greater regulatory and legal scrutiny." Defining 'regenerative agriculture' While it might be a rarity that farming practices become buzzy, that's been the case with the use of the term "regenerative agriculture," which has spiked in recent years. Companies like Balenciaga, Kellogg, Lundberg Family Farms, McCain Foods and plant-based food startup WhatIf have been including it in their ads since 2021. But it's "not a clearly defined term," Ravishankar said. "It almost feels like the term that's in vogue these days." Ravishankar highlighted confusion around "humanely raised," which is used regularly by food companies but lacks a clear definition. HowGood suggested that the FTC either prohibit the use of the term altogether due to its lack of specificity or provide "much greater clarity and details on what kind of standards the farm or the animal processing facility has to have in order to be considered a humanely raised product in the downstream." What's next? Now, the FTC must process all 7,042 comments. As themes emerge, it'll address the biggest issues—the first workshop will address "recyclable" claims on May 23. After that, the FTC will write and share a draft of the Green Guides, taking more public commentary ahead of its final release—but there's no set timeline. Many argue that the FTC needs to put more teeth behind the Green Guides, which are not independently enforceable except in certain states, like Maine and Rhode Island, that have adopted them as part of false advertising laws, Ravishankar said. "We should have legislative approaches from Congress that address consumer protection, but also greenwashing specifically so that American businesses and American consumers are not left behind compared to our European peers," Ravishankar said.

Sustainability News

What Does Sustainability Mean, Anyway? Demystifying Advertising's Most Misleading Green Claims

Now, the FTC is processing all 7,042 comments

Kathryn Lundstrom

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Kathryn Lundstrom