Lululemon Greenwashing Court Case and Science Based Targets

Happy Thursday!

We’re excited to kick off our newsletter this week with a discussion on what’s going on in the industry. In conversation this week we’ll dive into a lawsuit regarding greenwashing by a large apparel brand.

We want to dive deeper into what responsibilities that brands owe to consumers to accurately represent their products and how companies are tackling this with Science Based Targets.

 Thanks for reading!

Headlines

Lululemon, a popular luxury athleticwear brand is now facing a class action lawsuit in Florida over claims of greenwashing. 

In 2020, Lululemon launched its “Be Planet” campaign, which indicated Lululemon’s dedication to sustainability and creating products that “avoid harm and contribute to restoring a healthy planet”. While Lululemon has laid some groundwork for its sustainability goals by launching some pilot programs for implementing circularity and transitioning to renewable energy in 2021, there are still many concerns consumers have about the accuracy of their sustainability commitments, especially when it comes to their carbon footprint. 

The lawsuit alleges that the “Be Planet” campaign is simply a marketing program for the company to present itself as a contributor to helping the planet and misleading consumers. The lawsuit cites Lululemon’s own 2022 impact report, which indicates that their scope 3 emissions have actually increased since 2020, despite its commitment to lowering their carbon footprint. 

Lululemon has pushed back on this claim, claiming that this campaign is not a marketing campaign, but a core pillar of their business and they are using externally validated science based targets, and are committed to their goals of achieving Net Zero by 2050. 

Lululemon has also caught the attention of regulators in France, as the EU has seriously started cracking down on greenwashing claims. 

Although greenwashing cases against major brands in the US have been dismissed in the past, time will tell whether this case will make a serious impact regarding the conversation around greenwashing and sustainable commitments from these brands. Both consumers and brands have questions still regarding the delicate balance of promoting a brand’s efforts towards sustainability over accurately representing their true status. 

Read more here (1, 2, 3)

Analysis of the Week

In accordance with our discussion on how companies represent their sustainability efforts to consumers, let’s dive into the Science Based Targets Initiative (SBTI). 

Science Based Targets are climate goals set by companies to reduce greenhouse gas emissions in line with the latest climate science to meet the goals of the Paris Agreement. They help businesses ensure that their climate actions are aligned with the goal of limiting global warming. The most well-known SBT is the corporate net zero standard. 

SBTs are managed by the Science Based Targets Initiative (SBTI), a climate action organization that develops the standards, tools and guidance for companies to create and adhere to their targets. 

Brand Spotlight

Learn about one of the sustainable brands on Trace’s marketplace! Today we’re revisiting one of our first brands!

Check out today’s featured brand: The Poorwill Way

Jess Murray started Poorwill based on a belief that businesses can and should be a force for positive change in the world. She strives to set an example by creating social, environmental and economic value. 

Poorwill values transparency and crafting quality goods that last. Poorwill offers a variety of handmade goods such as hats, bracelets, wallets, and bags. In addition to using high quality materials, Poorwill also offers customers a trade-in program with gently used Poorwill products, so consumers can update their style while previously loved goods can be refurbished or reused to limit the waste generated from these products. 

All goods are slow-made and crafted by the brand creator, Jess, using high quality materials.

Innovation in Fashion

Rifo - Rifò makes high quality garments and accessories, using recycled and recyclable textile fibers. They transform old clothes into a new yarn which is used to craft new products. 

Gen Phoenix - They create upcycled materials by recycling what other companies would consider waste.Their goods are used in a variety of industries including aviation, footwear, and public spaces. 

VitroLabs - They create lab grown leather which maintains the quality and feel of natural leather without harming the animals and has limited environmental impact.