CSRHub Data Used in Brand Finance's 2023 Sustainability Gap Index: Greenwashing vs Greenhushing
A recent study by Brand Finance reveals that the world's biggest brands are at risk of losing billions of dollars if their perceived sustainability doesn't match their actual sustainability performance.
Brand Finance used CSRHub data in its inaugural Sustainability Gap Index that measures the gap between sustainability perceptions and the performances of big global brands. The results show that many brands are either putting their value at risk or not utilizing their full potential by not meeting stakeholders' sustainability perceptions.
CSRHub's overall rating scores were used to calculate the gap value for each brand based on their divergence from their sector median sustainability performance score.
Among the brands analyzed, Tesla is found to have the most at risk, with over $4.1 billion on the line. On the other hand, Microsoft has the highest positive gap value, indicating that its sustainability performance exceeds its perceived sustainability. Microsoft has the opportunity to generate an additional $1.5 billion if they prioritize effective communication of its sustainability initiatives.
Chanel serves as an example of a brand that successfully aligned its sustainability performance with its perception by engaging with stakeholders and effectively communicating its authentic sustainability efforts. Chanel demonstrates how brands can improve their sustainability perception and protect their value.
View the full report for more details and analysis of the huge risk and opportunities for big brands and their sustainability gaps on Brand Finance.
About Brand Finance PLC
Brand Finance is the world’s leading brand valuation consultancy. We advise strongly branded organizations on how to maximize their value through the effective management of their brands and intangible assets. We have conducted thousands of brand valuations for clients of all sizes and across most sectors. Our clients include international brand owners, tax authorities, lawyers, government bodies and investment banks. See www.brandfinance.com.
About CSRHub, LLC
CSRHub provides access to corporate social responsibility and sustainability ratings and information on over 7,000 companies from 135 industries in 90 countries. By aggregating and normalizing the information from 200 data sources, CSRHub has created a broad, consistent rating system and a searchable database that links millions of rating elements back to their source. Managers, researchers and activists use CSRHub to benchmark company performance, learn how stakeholders evaluate company CSR practices and seek ways to change the world. See www.csrhub.com.