the state of ESG reporting right now: what you may already know + what you may not
published 7.11.25
What you probably already know about reporting:
Publishing an ESG [impact, CSR, whatever you call it] report is an opportunity to strengthen your company’s brand and business by demonstrating a clear commitment to transparency, sustainability and ethical business practices. This ultimately resonates with customers, employees, investors and other stakeholders and positions organizations so they can strategically respond to evolving regulatory and reputational landscapes.
What you might not:
Recent commentary, reports and industry analyses show that the ESG backlash is less severe than initially perceived. For companies whose core values or brand strategy align with ESG topics—as is the case for most—there’s no need to overcorrect in response to the current climate.
Things to keep in mind while navigating uncertainty and near-sighted pressures:
Mitigating Risk
Reducing Reputational Risk: Transparent and proactive communication around impact reduces the likelihood of backlash related to social or governance missteps.
Staying Ahead of Regulation: Publishing a report shows that a company is being proactive despite regulatory uncertainty, which positions the organization well for future changes or compliance requirements.
Enhancing Brand Loyalty and Customer Preference—Drives Value
Aligning with Consumer Values: Today’s consumers—especially in purpose-driven categories—look for brands that reflect their personal values.
Building Brand Loyalty: Integrating impact into the brand identity and communicating it openly can reinforce company values while cultivating and attracting ethically conscious consumers, customers, partners and investors.
Standing Out in a Crowded Market: A transparent commitment to social impact can further align with your company's brand and can help differentiate it from competitors by reinforcing a mission-driven positioning.
Driving (Business) Value with Company Values: Purpose drives business and growth; and responsible business efforts and impact work can also be aligned with business values.
Demonstrating Transparency and Accountability
Meeting Stakeholder Expectations: Investors, customers and employees increasingly expect visibility into a company’s values and actions.
Avoiding Negative Signals: Failing to report after doing so previously is an overcorrection that can raise red flags for raters, rankers, investors and other stakeholders—to not report would be an overcorrection.
Building Trust: Public disclosures build credibility and show that a company is serious about responsible business practices, which strengthens the company’s brand while building trust and credibility with stakeholders.
Attracting and Retaining Talent
Appealing to Purpose-Driven Employees: Potential employees (especially Gen Z and millennials) want to work for companies that reflect their beliefs. A strong impact narrative—shared via public reports like the scorecard—helps attract and retain top talent.
With deep experience in the reporting space, we often help our clients “make the case” internally (internal comms or internal education, if you will) for this work, in alignment with corporate goals. It’s part business strategy, part storytelling. If you’re curious about our work or could use a hand, drop us a line or check out the resources below:
Webinars
The Beekly: Beyond the Spin Cycle. What to Say (and Do) in ESG & Sustainability Reporting Today
A discussion with Sam and Beehive on language shifts, climate risk, internal tension and why staying strategic matters.
Recent Publications
The Purpose Profit Loop Requires Purpose Drive Performance (Forbes, 5.4.25)
Argues that authentic, operationalized purpose—not empty slogans—is a driver of brand loyalty, business resilience and long-term growth, especially in times of uncertainty.
Corporate Sustainability Is in Crisis. What Should Companies Do Now? (Harvard Business Review, 4.22.25)
Companies that stay grounded in core values, act pragmatically and continue innovating will be best positioned for long-term competitive advantage and resilience in the face of short-term political pressure.
Sustainability in the USA (Globescan 4.22.25)
Provides insights on Americans’ values and expectations on DEI, corporate governance, social issues and more.
Regulatory Shifts in ESG: What Comes Next for Companies? (Harvard Law School Forum on Corporate Governance, 4.12.25)
Gives context for the current regulatory environment.
The Rise of Greenhushing: Embrace ESG, but Don’t Talk About It (The Times 3.29.25)
Highlights the importance of balancing transparency with strategic communications. Companies are staying the course and taking sustainability efforts seriously, but are choosing to downplay them publicly to avoid political backlash.
Strategic Impact Initiatives Can Make Your Business Stronger (Harvard Business Review, 3.19.25)
When companies embed social impact into their core operations, they not only drive meaningful change but also unlock measurable business value, resilience and growth.
From 'Woke' to Weighty: How Corporate Purpose Can Survive the Trump Era (Reuters, 3.11.25)
Examines challenges companies are facing in maintaining their commitment to impact work, spotlighting purpose-driven companies positioned to withstand external pressure and keep stakeholder confidence.
Historic (but Still Useful) Publications
A Best Practice Guide for Effective Sustainability Communications (June 2023)
A cutting-edge research initiative to identify which environmental sustainability claims, when authentic, best resonate with consumers.
Enhancing ESG Reporting and Transparency (ESG GPSI, published ~2023)
A high-level overview of the benefits of disclosure for stakeholder trust.
Create Business Value by Strengthening Your ESG Efforts (ReWorld, Feb 2022)
Includes data about the impact of ESG on brand reputation.
Other Resources
Return on Sustainability Investment (ROSI™) Methodology (NYU Stern School of Business)
More product-focused, with some focus on ESG programs in general, but provides a methodology toolkit to help companies measure financial returns on sustainability strategies and translate that into business value.
Curious about our services? Let’s start a conversation.
by Britt Boza
Senior Consultant
