Sustainability in business is no longer optional – it's a growing priority for customers, stakeholders, investors, and employees alike. Understanding its importance is now critical for maintaining competitiveness, especially if you’re a small and medium-sized enterprise (SME) looking to thrive. But how can you rise to the challenge?
As a global logistics leader with deep connections to businesses around the world, DHL Express has unique access to real-world data and frontline insights.
As such, it surveyed SMEs around the globe to understand their sustainability strategies and their readiness to invest in low-emissions logistics. So, how does your business measure up against these global insights?
Sustainability in business refers to a company's strategy and actions to operate in a way that meets today's needs while mitigating negative environmental, social, and economic impact on the future.
This holistic approach is typically analysed against key Environmental, Social, and Governance (ESG) metrics, going beyond environmental protection.
Embracing sustainability means making measurable changes in your business practices, such as:
Cutting carbon emissions in your delivery processes through route optimisation and sustainable shipping options
Opting for eco-friendly packaging
Choosing to work with suppliers who adhere to robust ethical and environmental standards.
Sustainability is essential because it future-proofs your business against a rapidly changing landscape. It helps you to:
Mitigate operational risks
Cut costs through energy savings, smarter logistics, and waste reduction
Adapt to evolving corporate disclosure and environmental regulations
Build a resilient brand and inspire customer loyalty
The market has also shown its priorities. According to DHL Express’s recent global survey of SMEs, 75% indicated that sustainability is ‘very’ or ‘extremely’ important to their business. Meanwhile, less than 1% said it’s ‘not at all’ important.
This sends a clear signal: the majority of your competitors are prioritising sustainability to strengthen their brand and gain a competitive edge.
Therefore, it’s imperative for you to embrace this priority for your business’s long-term success and growth.
Customers are increasingly choosing brands with eco-conscious practices. For instance, DHL’s Global Shopper Survey found that approximately 60% of online shoppers were willing to pay more for sustainable packaging1.
As such, your commitment to sustainability can differentiate you from competitors and potentially position you as a market leader.
This foresight allows you to capture a growing segment of consumers who are willing to pay a premium for sustainable options, ultimately boosting your market share.
Integrating sustainable processes forces you to review and optimise your operations for higher efficiency and reduced expenditure.
By implementing measures like waste reduction programmes, optimising delivery routes, and upgrading to energy-efficient equipment, you use fewer resources.
These practical changes lower your overheads, freeing up capital that can be reinvested into further growth or innovation.
Your authentic commitment to sustainability enhances your public image and fosters trust with your customer base.
When you clearly communicate your efforts, such as ethical sourcing and sustainable packaging, you can resonate with eco-conscious consumers.
This improved perception cultivates stronger customer loyalty and turns satisfied clients into long-term advocates for your business.
Sustainability is also a value that employees pay attention to. According to the 2024 Deloitte Global ConsumerSignals survey, 63% of respondents indicated that they did not think their employers were doing enough to address climate change and sustainability2.
Amidst such sentiments, mission-driven companies that demonstrate a strong commitment to the planet stand to be more attractive employers to top talent, particularly younger generations.
This focus on ethical operations can potentially lower staff turnover and increase engagement, saving you significant costs associated with recruitment and training new personnel.
The importance of sustainability in business is rapidly growing among the financial community. According to Forbes, companies that align their ESG disclosures with action tend to build stronger trust and attract more capital as investors increasingly prioritise long-term value over short-term gains3.
As such, when you demonstrate a business strategy with clear sustainability goals, you signal reduced risk and future readiness, making you more appealing to funds and banks looking for responsible, long-term investments.
Proactively embedding sustainable practices in your business is the most effective way to manage and comply with evolving regulatory requirements.
As governments introduce new legislation on environmental reporting and corporate disclosure requirements, having robust practices already in place helps you avoid fines and legal penalties.
This forward-thinking approach ensures operational continuity and streamlines the process of meeting mandatory industry standards.
Many companies have successfully integrated sustainable practices into their core business models and achieved significant growth or substantial cost savings. Here are two examples:
Alexion, AstraZeneca Rare Disease: Alexion was the first company in Ireland to switch 100% of its European air freight to sustainable aviation fuel (SAF), achieving significant greenhouse gas reductions for essential medicine shipments.
Mytheresa: With its focus on sustainability in fashion, this global luxury platform measures its total operational emissions (including shipments and returns). Similar to Alexion, it strategically adopted DHL Express’s GoGreen Plus service to substitute traditional jet fuel with SAF, significantly reducing transport emissions across its global delivery network.
While many SMEs are eager to improve their sustainability efforts, turning intention into action can be tough. DHL Express’s global survey uncovered some of the most common hurdles you might face and how to move past them.
The initial costs associated with transitioning to sustainable practices can be a major deterrent for businesses, especially those operating on tight profit margins. For instance, sustainable packaging materials like bioplastics or certified compostables often have higher upfront unit costs than regular packaging plastics.
Similarly, switching to low-emission transport options like electric vans requires significant capital investment.
What to do: Start small and focus on low-cost, high-impact changes, such as optimising delivery routes or reducing general operational waste. These small steps can save you money, freeing up your budget for bigger moves later on.
Mapping and managing your entire supply chain for sustainability is incredibly complex, particularly when dealing with international suppliers. You are responsible for emissions and ethical labour standards across your value chain, which means you need transparency regarding your suppliers’ practices.
What to do: Focus on building robust relationships with key suppliers and prioritising those that share your sustainability values. Work collaboratively to improve processes and ensure ethical sourcing, making your commitment to sustainability a shared effort.
Many SMEs want to do more but struggle with knowing exactly where to begin or which steps will make a real difference. This struggle is often due to an internal knowledge gap. After all, successfully integrating sustainability in business requires expertise in areas like ESG reporting, carbon footprint measurement, and new green technology.
What to do: You don’t have to become an expert overnight. Instead, start by focusing on one manageable area, like packaging or logistics. You can also lean on external partners, such as sustainability consultants or international
Staying ahead of rapid shifts in legislation presents a constant challenge when integrating sustainability in business practices. New mandates, such as EU directives on supply chain due diligence or detailed carbon footprint reporting, require time and resources to implement correctly, so as to avoid fines and reputational damage.
What to do: Designate a staff member or use specialised regulatory software to continuously monitor new laws and seek guidance from industry bodies to ensure seamless adaptation.
Many businesses struggle with the perceived trade-off between ethical practice and their financial bottom line.
For instance, choosing local, sustainable raw materials often costs more than importing cheaper alternatives, directly impacting gross margins. This tension makes it difficult to justify certain expenditures.
What to do: Prioritise projects where sustainability drives long-term efficiency, such as investing in energy-saving technology, which offers immediate cost reduction alongside environmental benefits.
Quantifying the impact of your sustainability initiatives can be difficult. Many outcomes, such as improved social well-being or ecosystem health, are non-financial, resulting in difficulty reporting or communicating your efforts effectively to stakeholders.
For example, without a standardised measurement tool, accurately reporting the reduction in your carbon footprint is impossible.
What to do: Adopt accessible frameworks like the GHG Protocol for emissions, and commit to transparently sharing both progress and setbacks on your website to build enduring trust.
DHL Express surveyed over 5,000 SME decision-makers across 11 countries and 9 industries – from retail to healthcare – to understand how businesses are approaching sustainability. These 7 key takeaways could help shape your own strategy:
The survey revealed a clear global consensus on the importance of sustainability in business, with at least two-thirds of SMEs across sectors rating sustainability as either ‘very important’ or ‘extremely important’ to them.
Notably, the financial services and fashion sectors agreed most strongly with this view, with 81% of respondents in each group confirming this priority.
Despite widespread recognition of the issue's importance in business, many SMEs globally remain hesitant to allocate significant budgets to it.
The majority (53%) are only willing to commit 1 to 3% of their operating budget into sustainable solutions. Meanwhile, 16% will invest nothing at all, while only 9% are prepared to invest more than 5%, highlighting a significant gap between expressed intent and actual financial commitment.
While commonly known as manufacturing and exporting giants, SMEs across these regions are proactively embracing sustainable logistics practices. Their commitment significantly outpaces the global average of 35%.
Specifically, 72% of Chinese SMEs and 59% of Indian SMEs said that sustainability is “extremely important” to their business, positioning them as key leaders in this crucial shift.
Globally, only 23% of SMEs believe their customers would be ‘very’ or ‘extremely’ willing to pay more for sustainable shipping.
This lack of perceived demand acts as a major barrier to investing in sustainability. However, confidence is notably higher among SMEs in India (51%) and China (47%), with many believing their customers would be willing to absorb the extra cost for greener delivery options.
When asked about the major hurdles in achieving their sustainability goals, the primary global concern for most SMEs was securing both internal team and customer buy-in.
This difficulty in communication and consensus-building was particularly prevalent in Germany, where a significant 74% of SMEs identified this as their leading challenge to improving sustainability in business.
Despite operating in an industry often associated with negative press regarding its manufacturing processes, most fashion SMEs are strongly pro-sustainability.
81% of respondents in the sector stated that the issue is ‘very important’ or ‘extremely important’ to their business.
Furthermore, 78% recognised that offering sustainable delivery options could improve their brand image.
SMEs in the financial services sector showed the highest level of commitment, being the most likely to state that sustainability in business is ‘extremely important’ to their operations (43%).
They were also the most willing group to allocate their operating budget to sustainable practices (88%), and the most likely to feel offering sustainable delivery options could lead to increased commercial success (47%).
Whether you're just getting started with sustainable practices or looking to take your efforts further, the insights from DHL Express’s global survey can certainly guide your next steps. Additionally, its sustainable shipping options like GoGreen Plus offer low-emission transport through Sustainable Aviation Fuel (SAF), supporting you in driving sustainability for your business. Integrate greener practices into your operations by opening a business account with DHL Express today!
References
1- DHL Global Shopper Survey, accessed November 2025
2- Deloitte, accessed November 2025
3- Forbes, January 2025
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