PERSPECTIVES FROM HANDMADE EXPRESSIONS Greening Your Wholesale Business

WHY Sustainability Matters It’s good for the environment Brand differentiation Customer trust Employee engagement Financial stability Resource security

HOW to Implement Green Strategies Business Processes US Operations International Logistics Sales and Marketing Product Development Artisan Engagement Process Strategy Eco Impact Cost Benefit Annual Planning Prioritize and choose 2 or 3 High impact, low investment, high benefit

REDUCE | REUSE | RECYCLE US Operations

Reduce, Reuse, Recycle Office Energy  Change your lighting: CFLs or LEDs, utilize sunlight  Power down: computers and electronics at end of day  Be seasonal: set temperature controls, casual office dress code  Green purchasing: Energy Star appliances  Renewable energy: self-financed or city programs  Handmade Expressions joined Austin Energy’s Green Choice program – 100% of our energy cost supports wind energy in TX

Reduce, Reuse, Recycle Waste  Recycle and compost in office  Double-sided printing  Kitchenware – dishes, cutlery, mugs  Hand towels in kitchen and restrooms  Green purchasing:  Recycled-content paper  Refillable pens  Second-hand furniture and equipment

Reduce, Reuse, Recycle Warehouse  Handmade Expressions embraces recycled packaging  We reuse boxes in 50% of shipments to customers  Use papers, advertisements, and other materials for packaging  Partner with neighbors to get clean boxes  This also results in huge cost savings

Reduce, Reuse, Recycle Warehouse  Important to communicate your efforts  Use recycling to elevate your brand and showcase your commitment to environmental stewardship  Can increase customer engagement, trust, and loyalty

Emissions Domestic Shipping  Huge but inevitable impact – think about carbon offsetting  Handmade Expressions participates in UPS’s carbon neutral program Reduce, Reuse, Recycle Office Commuting  Engage employees to carpool, bike, or take public transport

PRODUCTION PLANNING International Logistics

Production Planning As fair trade wholesalers, international shipping is again an inevitable part of our business Default ship by sea or ground transport  Minimize air shipping, particularly for heavy and bulky items HOW to minimize this impact…?

Production Planning 2012 Goal: Reduce Air Shipping Volume by 20% 2012 Results: 41% Reduction!

ECO-FRIENDLY COMMUNICATIONS Sales and Marketing

Eco-Friendly Communications Printed materials  Use FSC certified, recycled content paper and soy or vegetable- based inks  About 15% more expensive  But adds long-term value if you add recycled symbols or messages  Divert to electronic communications where possible

Eco-Friendly Communications Handmade Expressions example : Decided this year to launch only 1 catalog per year moving forward  Quarterly electronic launches  More efficient marketing resources  Reduces costs from photography, print, and mail

Eco-Friendly Communications Business Travel  First, is travel necessary or can you employ new technologies?  Go To Meeting, Webinars, Skype all can enhance outreach or training in a green and affordable way  Flights: direct, environmentally friendly airlines  Lodging: stay within walking distance of destination, choose hotels that have green practices

SUSTAINABLE PRODUCTS Product Development

Sustainable Products Product Packaging  How to avoid poly bags?  Very harmful for the environment – plastic made from oil, cannot be recycled

Sustainable Products Product Packaging: Think outside the bag!  Handmade Expressions example: Upcycled Sari Bags

Sustainable Products Green materials:  Recycled/Upcycled  Organic  Responsibly sourced  Natural Dyes Divert from landfills These are demanded by consumers and give you marketing value if communicated

Sustainable Products Handmade Expressions example: Materials  In 2012, developed Preferred and Restricted Materials lists  Based off eco factors of renewability, water use, energy use, toxicity, and disposal options  Our challenges:  Artisans have access to few materials  We work with a vast array of products and categories

GREEN PRODUCTION Artisan Engagement

Green Production As fair trade wholesalers, we are in a unique position of direct partnership with artisans and farmers During producer visits, ask questions such as:  Are harsh chemicals used in any processes?  Where are dyes and effluents drained?  Are scarce resources required in production?  Is there potential for dust or smoke inhalation? Partner with NGOs on environmental development projects

Green Production Handmade Expressions example : Water Conservation in Barmer  Partnered with local NGO to develop and install custom water filtration system for block printing community  This will save over 5 million liters of water per year!

Conclusion HOW TO IMPLEMENT GREEN STRATEGIES 1. Keep it simple  List your areas of impact and prioritize  Focus on just 2 or 3 projects 2. Engage your team  Use their passion as an asset  Challenge them to set goals and celebrate achievements 3. Communicate to your customers  Delivers long-term brand value  Generates trust and excitement for your brand