how green is my jbay pro

2 messages - 599 views

Hey Stirling, I?ve been doing this carbon reduction thing for a while now, so let me explain the problem in Billabong?s approach.

Turning a major surf label into a low carbon brand is a very expensive exercise, I?m pretty sure someone has run the numbers at Billabong and come up with a figure in the order of around 10 million dollars plus. To maintain low carbon numbers through your own purchasing and manufacturing process you would then be limited to using like minded low carbon providers in your own supply chain. Read - no more sweat shops in Asia?.cont This would probably push up the price of a pair of boardshorts by around 20% which erodes current profit margins. It's a big gamble to hope the public is going to be passionate enough about the environment to continue to find the price break of the brand appealing and hence there is a risk to sales figures. If you did this however you would actually be truly assisting climate change. High emission manufacturers are deprived of business and would ultimately close, the ongoing funds you would need to push into offset programs would truly benefit the environment.

Again, that's all really expensive...a far cheaper option is to have one product in a line branded as green - market that heavily and rely on the halo effect to pass over the whole company. That's basically what Billabong does, but you're not alone. The flow on problem to your approach is that other brands see the short cut you have taken and do exactly the same thing. The net result is that no one will commit to true reduction as it becomes deemed too risky.

It has to be an all or nothing approach, that's just how carbon reduction works. Has Billabong got the balls for it, someone in the surf industry has to go first? If you don't then please just do nothing, because the irony is that your 'start' just makes it harder for everyone else to do it properly.

Longboarding > You

Status quo is usually the lowest cost option. But the idea is to move in a right direction. Firstly, counting CO2 will enable to spot inefficiencies and actually save some money, stimulating resource saving programs. But after picking low hanging fruits, cutting emissions will require more creativity and may be more investment.

Some companies, like Patagonia, also have Asian manufacturing, but they think if people working there are happy their goods will be of higher quality. They actually embedded environmental and social aspects into their quality program and that's what these issues are about - high quality and risk management.

10 million dollars represents 1% cost to $1 billion dollar revenue. Spread over a few years, with right technological upgrades could be quite manageable.

Their margins are above 50%, however, things should be put into prospective and driving people's attention from price to value could be a way to approach it. There is a large and growing segment of LOHAS that could buy this message.

New measurement and assurance standards are being developed and that will minimise greenwashing. Also, false green claims are product liability claims.

But, it could be so, that Billabong actually wants sea rise to get more people into surfing smile

PS kudos for pioneering carbon reduction program!

"I have developed a very limited ability to harness the earth's energy and use it to travel at high speeds up and down a moving surface of water. Pretty cool." Unknown

You must be registered or logged in to post to this topic. Login/Register