How to avoid greenwashing: Why honest sustainability wins

Why greenwashing matters

Let’s face it: people are skeptical. When a brand claims to be eco-friendly or green, the first reaction many have is, “Really? Prove it.” That little moment of doubt is the shadow of greenwashing.

Greenwashing is when companies make themselves look more sustainable than they really are. Sometimes it’s intentional, sometimes it’s sloppy communication, but either way, it erodes trust. And once trust is gone, it’s almost impossible to win it back.

For businesses, the stakes couldn’t be higher. Customers switch brands. Employees question whether they want to stay. Regulators are watching more closely than ever. But avoiding greenwashing doesn’t mean having a perfect sustainability record. What matters is being open, transparent, and willing to show both progress and challenges.

What greenwashing looks like in real life

We’ve all seen the signs. Packaging suddenly turns green, covered in leaves, even though nothing about the product has changed. A company proudly launches a “sustainable collection,” but it represents 2% of their total production. Or airlines claim to offer “carbon-neutral flights” without explaining the offset schemes behind the scenes.

It usually falls into three buckets:

• Buzzwords with no evidence.
  
  
• Highlighting the good while hiding the bad.
  
  
• Leaning on imagery of forests, oceans, or wildlife to give a “green glow.”
  
  

Companies might have been able to get away with this several years ago, but luckily things have changed. After years of eroding trust and industry scandals, people are far more cautious. They research, they compare, and they expect proof before they believe sustainability claims.

Why companies should care

Greenwashing isn’t just bad PR, it can seriously hurt your business.

• Trust evaporates. Once customers feel misled, they don’t just leave, they tell others.
• Legal trouble is rising. In Europe, the new Green Claims Directive will make vague or unproven claims a liability. In Germany, watchdogs like the Wettbewerbszentrale are already taking companies to court.
• Companies gain a competitive edge when they commit to the harder work: measuring, proving, and reporting their impact. It’s not just about making claims, it’s about showing evidence. By tracking results, sharing transparent data, and demonstrating real progress, these businesses position themselves as more credible, more resilient, and ultimately more competitive.
• You miss the opportunity to create long-term connections, attract employees who want to work with purpose, and appeal to customers who are increasingly looking for brands they can trust.
  
  

Companies that take sustainability seriously and communicate it transparently can actually move ahead. In short, authentic sustainability is not just protection against risks, it’s a driver for growth and future-proofing.

So the question isn’t whether to take greenwashing seriously. The question is: what are you doing to avoid it?

How to avoid greenwashing: Six practical steps

1. Be specific.
General claims don’t work anymore. Don’t say “We help the environment.” Say “We planted 100 trees in Tanzania last year.”

2. Measure your impact.
Numbers matter. Use data, KPIs, or even dashboards to show what’s changing.

3. Partner wisely.
Work with organizations that can prove what they do. Certifications, audits, satellite monitoring, these all strengthen your story.

4. Share the journey honestly.
Admit what’s still a work in progress. People respect honesty far more than perfection.

5. Involve your people.
Sustainability should be lived by employees and stakeholders, not just promoted by marketing teams.

6. Keep it humble.
Don’t pitch one project as “saving the planet.” Frame it as a valuable contribution to a much bigger effort.

What authentic communication looks like

Some businesses are already showing the way. At Impact Hero, we work with companies that integrate sustainability directly into what they offer. For example, every product sold might mean a tree planted or a kilo of plastic collected.

The difference is that these companies don’t just say it, they show it. They share reports, impact dashboards, photos, sometimes even GPS coordinates. Customers can literally see the impact unfolding. That’s what creates trust.

Conclusion: Real impact builds trust

Greenwashing is tempting because it looks easy. But in reality, it’s a short-term trick with long-term damage. What really works is being honest: show your progress, admit your gaps, and prove your impact.

Businesses that do this build stronger relationships with their customers, their employees, and the communities around them. And in today’s world, that trust is more valuable than any marketing slogan.

At Impact Hero, we help companies bring transparency into their sustainability projects, from tree planting to plastic collection to biodiversity restoration.

👉 Want to explore how your company can create real, measurable impact? Let’s talk.

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From Impact with love,

Dr. Hannah Schragmann

Chief Transparency Officer