B Corp businesses grow 28 times faster than national average
New research has revealed that businesses within the purpose-driven B Corp movement are growing 28 times faster than the national economic growth of 0.5%.
B Corp, launched by non-profit B Lab, is a certification that requires businesses to meet the highest standards of verified CSR performance. 150 businesses including Ben & Jerry’s and Ella’s Kitchen have certified as B Corps since its launch in 2015.
During this period, members have experienced an average year-on-year growth rate of 14%, according to analysis carried out by B Lab. Leading B Corp FMCG brands grew on average 21% in 2017, compared to a national average of 3% across their respective sectors.
B Corp champions have stressed that this growth has been driven by increased demand for purpose-led brands from consumers, alongside employees who choose to work for organisations driven by purpose beyond profit.
"It’s great to see this research reinforces our view that purpose and profit can go hand in hand,” said Ella’s Kitchen chief executive Mark Cuddigan.
“Ultimately, the more like-minded businesses who certify as B Corps, the more we can ensure that business can come together to inspire change and be a force for good for people and the planet.”
According to research, almost half (48%) of B Corps have found that prospective employees are attracted to their business specifically because they know the company is B Corp.
Meanwhile, more than one-third (35%) of B Corps have already attracted new audiences since certifying. This comes as no surprise considering that 66% of consumers reported that they are willing to spend more for goods and services that are committed to make a positive social impact.
B Corp has driven collaboration through the sharing of best-practice, the research showed. More than four-fifths (81%) of members said they gained certification to join a community of like-minded business and almost half (46%) said they have already benefitted from forming partnerships with like-minded businesses since certifying.
B Lab UK executive director Katie Hill said: “The word ‘revolution’ is overused these days - but with the range and calibre of businesses that are part of the B Corp movement, who are so committed to using their business as a force for good, it’s hard to deny that meaningful change is underway.
“Today’s most exciting businesses are operating for the benefit of all who contribute to its success - for shareholders and for stakeholders - and as such they are taking responsibility for their broader impact on employees, on communities and on the planet. This is the future of business.”
February is B Corp month – a global celebration of the B Corp movement and the values that define it. Ella’s Kitchen and a group of leading B Corp brands are spearheading a campaign to raise awareness of the movement in the UK.
In February, we’re celebrating all the ways B Corps across the globe are #reinventingbusiness. During #BCorpMonth we are highlighting how B Corps are changing the world by using business as a force for good. Find out how you can get involved in #BCorpMonth https://t.co/rbso1WaHZp pic.twitter.com/eJsYeOQYcG— BCorpUK (@BCorpUK) February 1, 2018