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5 WAYS E-COMMERCE CAN SHRINK ITS CARBON FOOTPRINT

  • Writer: Nicholas Tolley
    Nicholas Tolley
  • Sep 13, 2023
  • 3 min read

Updated: Sep 20, 2023

As our world races to adopt more sustainable ways of doing things, e-commerce businesses are increasingly challenged to embrace a greener agenda. If your online store aims to reduce its carbon footprint while continuing to flourish, we hope you’ll find this post a helpful place to start. Here, we’ll reveal five savvy strategies that can help your e-commerce venture embrace eco-friendly practices - including, of course, a cheeky nod to reusable postal packaging. (We wouldn’t be doing our job if we didn’t mention Hoop!)


How to shrink e-commerce carbon footprint

The Power of Local Sourcing

Supporting local suppliers is like adding a dose of sustainability to your business DNA. Sourcing products and materials from nearby vendors slashes the carbon footprint linked with transportation, as shorter distances translate to lower emissions. Building partnerships within your community fosters a circular economy and boosts local businesses – a win-win for all.


For a more in-depth discussion on this strategy, check out our blog post here.


Mindful Shipping Methods

Shipping choices pack a punch in your eco-warrior journey. Opt for carriers that champion sustainability and offer carbon-neutral shipping options. Some carriers may even offset emissions through investments in green projects.


For extra credit… The emissions generated by shipping are regarded as “Scope 3 emissions” when evaluating your company’s carbon footprint. For a more in-depth discussion on the “Scope 1, 2 and 3” framework, have a look at this blog post.


Sustainable Returns Strategy

Returns are a reality in e-commerce, but that doesn’t mean they have to be a sustainability roadblock. Start at the checkout, where every effort should be made to reduce the potential for product returns in the first place. For example, this can be achieved through more accurate and detailed product descriptions (and pictures) that lessen the chances of purchases made in error.


Secondly, optimise your reverse logisitics and operations process for efficiency and sustainability. Invest in technologies and processes (such as EV delivery solutions, automated warehousing etc.), to make operations more efficient, cost-effective, and less carbon intensive.


Finally, establish a returns policy that encourages customers to keep and repurpose products rather than send them back. Collaborate with charitable organizations to donate returned items, reducing waste while doing good for the community.


Examples of companies that have embraced (or, indeed, are defined by) strategies to extend the useful life of products include:


Patagonia: see its “Worn Wear” program, which encourages customers to buy used products, trade in their old gear, and repair their existing items. Patagonia also accepts used products in good condition for resale and donates a percentage of the profits to environmental causes.


IKEA: IKEA has implemented a circular economy approach through its "Buy Back" program. Customers can return their gently used furniture to IKEA stores and receive store credit in return.


Vinted and Depop: these businesses are peer-to-peer social shopping apps where users can buy and sell second-hand fashion items. By providing a platform for reselling and repurposing fashion, they contribute to extending the lifecycle of clothing and reducing the demand for new production.


Embracing Green Technology

In the digital age, technology is a potent tool for sustainability. Leverage data analytics to optimize your supply chain, forecasting demand more accurately and avoiding overstock. Implementing energy-efficient practices in your warehouses, like automated lighting and temperature control, further reduces your carbon footprint.


Rethinking Packaging Paradigms

And last - but not least (!) - there’s reusable postal packaging. Ecommerce has always been heavily reliant on single-use packaging to fulfil deliveries. However, single-use packaging imposes significant costs on the environment. This is where reusable packaging can come into its own. Imagine a parcel box that travels from doorstep to doorstep, fulfilling multiple shipping journeys without losing its charm. This not only reduces waste but also elevates your brand's eco-friendly image. (Needless to say, Hoop offers a tidy solution to this problem! And other companies looking to tackle single-use postal packaging include Repack and Boox.)


On top of that, optimising packaging size and design can lead to reduced transportation space, resulting in fewer trips for delivery trucks and a significant carbon emissions cut. So, it’s time to wrap your products with innovation, ensuring that the excitement lies in the box, not its environmental impact.

 

So there you have it! A few ideas to help make your ecommerce business more sustainable. But bear in mind: going green isn't about simply "flicking a switch". Rather, it's a journey made up of baby-steps, tackling key initiatives one-by-one and bit-by-bit.


Suffice to say, good luck! And let us know how you get on.


 
 
 

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