What Is Triple Bottom Line Marketing?
In a world brimming with uncertainty, pressing issues like climate change, pandemics, poverty, and inequality dominate our daily lives and grow increasingly urgent. Monumental challenges are at the forefront of daily life and seemingly becoming ever more urgent. One common way to understand a business’s commitment to corporate social responsibility is using a concept called the triple bottom line, which emphasizes three P’s: profit, people, and planet. Learn more about it in our guide.
Key Takeaways
- Specialized Marketing Firms: There are marketing companies that specialize in triple bottom line marketing, helping businesses integrate social, environmental, and financial goals into their core strategies.
- Consumer Expectations: Modern consumers demand that brands align with their values on social and environmental issues, and companies must back up statements with actions to avoid negative perceptions.
- Strategic Responsibility: Brands must reflect on their authenticity, ensure genuine intentions, and proactively engage in meaningful actions to achieve long-term sustainability and profitability.
History of Triple Bottom Line Marketing
The term “triple bottom line” (TBL) was coined in 1994 by John Elkington, the founder of a British consultancy called SustainAbility. The TBL framework turns the capitalistic profit and loss “bottom line” model on its head. It states that there are two additional sustainability bottom lines that an organization needs to account for: its social impact and environmental impact. This is also where the three P’s framework originates: profit, people and planet.
The TBL framework kickstarted the growth of a new sustainability industry — certification programs to help companies market their ethical business practices and ingredients to consumers and, importantly, leverage a competitive advantage by differentiating their products. Popular examples of these certification schemes include Fairtrade and Certified B Corporation. In addition, consumer interest is driving an explosion in the sector. The Ecolabel Index has tracked 456 distinct certifications, with the sustainability industry totaling around $1 billion in annual revenues. Looking forward, some projections forecast that sustainability market opportunities will top $12 trillion by 2030.
The growth of sustainability and social responsibility in business is exciting, but is it enough?
Challenging the Definition
To answer that question, we only need to look as far as the originator of the “triple bottom line” himself, John Elkington. In an essay in the Harvard Business Review, Elkington stated on the 25th anniversary of the TBL framework that it was time to do a “strategic recall” of the term. His argument stated that true progress must be measured by the wellbeing of the billions of people and health of our planet — and that progress, especially as it relates to climate change, has been decidedly mixed.
A significant complication, according to Elkington, is that the triple bottom line has become synonymous in business lexicon to mean the measurement of financial, social and environmental performance of a corporation. That interpretation has left the term half-baked. In its entirety, the TBL concept was meant to go beyond the measurement of economic value, social efforts and environmental impact. It was intended to promote larger discussions and thinking about the impact and future of global capitalism.
With that context in place, let’s assess how triple bottom line marketing aligns with current affairs.
What is the Relationship Between The Marketing Concept and the Triple Bottom Line?
The relationship between the marketing concept and the triple bottom line lies in their shared focus on long-term value creation. The marketing concept emphasizes meeting customer needs and building profitable relationships, while the triple bottom line extends this idea by also considering the social and environmental impacts of business decisions. Together, they encourage businesses to pursue strategies that not only generate profit but also contribute positively to society and the planet, aligning corporate goals with broader ethical and sustainable practices.
Triple Bottom Line Examples
Here are ten companies known for their commitment to the triple bottom line, focusing on profit, people, and planet:
- Apple Inc. – Aims to become carbon neutral across its entire business by 2030 and invests in improving labor conditions within its supply chain.
- Patagonia – Known for its environmental activism and sustainable business practices.
- Ben & Jerry’s – Focuses on social justice, environmental sustainability, and fair trade practices.
- Unilever – Implements sustainable living plans and aims to improve health and well-being.
- IKEA – Invests in renewable energy and sustainable sourcing of materials.
- Seventh Generation – Produces eco-friendly cleaning and personal care products.
- Tesla – Focuses on sustainable energy solutions and reducing carbon emissions.
- Starbucks – Invests in ethical sourcing, community involvement, and environmental stewardship.
- The Body Shop – Promotes fair trade, cruelty-free products, and environmental sustainability.
- New Belgium Brewing – Known for its employee ownership model and environmental initiatives.
Key Elements In Triple Bottom Line Marketing & Public Relations
As public pressure mounts for sustainable business strategies to evolve beyond financial performance and include social and environmental impact, brands are left in a conundrum. Companies know that they need to take a stand and back it up with action, but they are worried that their effort and investment might result in negative publicity if they misstep.
However, there is a safer and better way forward if brands follow these guidelines:
1. Reflection
Before your company makes a public statement, ask these questions:
- Do we have anything authentic to say about this issue?
- Have we been investing in change on this issue? If not, are we willing to invest in change on this issue beyond making a statement?
- Are our products, services, hiring practices and supply chain making this issue worse, and if so, are we willing to invest in changing this?
If the answers to these questions are clearly and honestly “yes,” then it may be appropriate for your organization to publicly take a stand.
2. Intention
Do not make a public statement for attention or brand awareness — consumers will see right through it. Only make a statement if your company means it and is ready to do something about it.
3. Action
Rather than waiting to react when an issue trends in the news, companies should proactively seek out causes that align with their brand values. This track record will build legitimacy and establish a platform to have an opinion when similar issues take center stage in the news cycle.
For brands that are more concerned about good optics than fulfilling the full intention of the triple bottom line framework, this might seem like a lot of work. It’s true — it is. But increasingly, companies that invest in advancing the planet, people and profit will reap the benefits. And that is what real sustainability is all about.
PR & Marketing for Triple Bottom Line Companies
Marketing for triple bottom line companies involves a strategic approach that integrates social, environmental, and financial goals into the core marketing strategy. These companies focus on creating long-term value not just for shareholders, but for all stakeholders, including employees, customers, and the community. By highlighting their commitment to the three P’s—profit, people, and planet—these businesses can build stronger, more authentic connections with their audience, driving both brand loyalty and sustainable growth.
Eager to learn how corporate responsibility fits in with your brand? Check out our integrated marketing services and let’s chat.
