Many companies are struggling to better understand what the Green Claims Directive is about, how it affects communications, and what they need to do in case of crisis.

Let’s discover together some facts that you cannot miss.

The Green Claims Directive is a key component of the European Union’s broader push for sustainability, requiring companies to substantiate their environmental claims with robust evidence. It aims to combat “greenwashing” the practice of making unsubstantiated or misleading environmental claims. For businesses, this means a new era of transparency and accountability, demanding careful communication both internally and externally: companies must effectively manage these communication processes to ensure they meet the directive’s requirements while also being prepared for potential crises if claims are challenged.

Let’s start with internal communication.

The first step to complying with the Green Claims Directive is ensuring that everyone within the organization understands its importance. Internal stakeholders need to be aligned, and in some cases, they must deal with new processes specifically designed to achieve certain objectives. Consider, for example, how sustainability claims often span different departments—from marketing to legal, product development, and supply chain management. Companies should foster cross-functional collaboration to ensure that environmental claims are accurately supported by data and comply with the directive’s standards, which they cannot do without strong and informed collaboration across departments. This collaboration, in turn, depends on two variables: awareness of the issue and team training. Indeed, it’s vital that employees are trained to understand both the technical and ethical aspects of making green claims. By educating staff about the risks of greenwashing and the legal requirements, companies can foster a culture of transparency and integrity in sustainability reporting.

Moreover, considering how rapidly the regulations related to corporate sustainability and its impact on communities are evolving, businesses can no longer afford to operate without establishing internal auditing processes, checks and balances, conducting regular environmental impact audits, and ensuring that any claims made are backed by verifiable data. This audit process should be a part of the broader corporate governance strategy and communicated clearly to all relevant teams. Similarly, creating transparent, accessible channels for employees to report any concerns related to sustainability claims ensures proactive management of potential issues before they escalate. This fosters accountability and aligns internal goals with external sustainability messaging.

And what about external communication?

Effective external communication under the Green Claims Directive is crucial, not only to build trust with consumers but also to maintain compliance and avoid reputational risks. Make sure your team knows that avoiding critical situations should be a daily mantra, which can be achieved through a few carefully executed actions, such as generating clear, verified claims: every green claim must be precise, substantiated, and easily understood by consumers. Avoid vague terms like “eco-friendly” or “sustainable” unless backed by specific, transparent data (e.g., percentage of recycled materials used, carbon emissions reduced). Don’t leave room for (mis)interpretations.

An important step is obtaining third-party certifications from trusted bodies to validate your claims. This provides external verification and shields businesses from accusations of greenwashing, though it may require effort in terms of investments, process changes, governance, and public declarations. Know that it’s a commitment worth making, especially since one of the starting points for these certification paths requires establishing a two-way dialogue, and engaging with consumers, stakeholders, and environmental advocacy groups to create a feedback loop.

This has strategic benefits in identifying elements of evolution in your value proposition. It also helps you create communication topics that support engagement and social community activity: when you do things, then you have things to say. Remember that next time you’re unsure about what to communicate. This way, you not only clarify your environmental commitment by honestly sharing its evolution (obstacles included), but you can also open a dialogue with your community, addressing and resolving any concerns.

A communication crisis can always happen…

Even with the best intentions, companies may face scrutiny or crises, particularly if a green claim is questioned or proven to be misleading. To manage a communication crisis effectively, businesses need a solid plan in place.

Immediate Response Protocol:
in the event of a communication crisis, companies should be prepared to act swiftly:

Crisis management team: designate a team responsible for crisis communication. This group should include representatives from PR, legal, sustainability, and executive leadership to ensure a unified and strategic response.

Transparent apology and correction: if a green claim is found to be inaccurate, companies must issue a prompt and transparent apology, acknowledging the mistake and outlining the corrective actions being taken. This could include retracting the claim, providing clarifications, or enhancing future communication processes.

Stakeholder engagement: direct communication with key stakeholders—investors, customers, and regulatory bodies—is essential. Companies should ensure that any missteps are clarified while also outlining their plan for rectifying the situation.

Post-crisis learning and adjustment: after managing the immediate crisis, businesses should conduct a post-crisis review to understand the root causes of the communication failure and refine their processes: they can identify weak points in their communication processes and improve internal checks and controls, but most importantly, they must rebuild trust with special initiatives aimed at highlighting their changes and underlining their sincerity.

How to avoid getting into trouble?

Proactive measures can help you avoid crises altogether. For example, maintain a strong foundation of evidence for any green claims made. Moreover, regular third-party audits and industry benchmarks are key to ensuring the credibility of environmental claims. This transparency can be a competitive advantage, differentiating brands from competitors who may still be engaging in vague or unverified green claims.

Another thing not to underestimate is keeping up with regulation, as the regulatory landscape around sustainability continues to evolve.
Sometimes it’s not about doing complicated things, but prioritizing simplicity and clarity when writing green claims.

Consumers are increasingly savvy about environmental issues, and they will question anything that seems unclear or misleading. Providing specific data and avoiding over-promising will help maintain credibility.


Finally, even if you think it won’t happen to you, having a proactive crisis management plan is crucial. Preemptively identifying potential areas of vulnerability in green claims and preparing for different crisis scenarios can help businesses respond effectively if a claim is challenged. Simulations and crisis communication drills can also help refine the company’s response strategies.

Categories: GreenClaimsDirectivecompetitivenessbusinessstart-upsadvertisingSustainabilityCommercialCommunicationCrisisManagementGreenDealenvironmentGreenwashingEU