Sustainability-Focused B2B Marketplaces: Young and Growing

The emergence of sustainability-focused B2B marketplaces should not come as a surprise. These marketplaces are forming at the same time we continue to see the rapid growth of B2B marketplaces and global widespread ESG adoption.

According to the 2021 B2B Marketplace 250 report by Digital Commerce 360, B2B marketplaces were already growing before the pandemic hit, but since then there has been supercharged growth. Digital Commerce 360’s market count shows a 257% growth increase in vertical B2B marketplaces in the last two years. Projecting that total B2B ecommerce will grow by 15% to $1.60 trillion from 2020’s $1.39 trillion, digital sales on industry and commercial marketplaces and trading platforms will grow to $56.5 billion, a 130% increase, in 2021.

ESG acceptance is widespread among companies of all types. According to NAVEX Global, of surveyed companies that have ESG initiatives in place, 88% are publicly traded, 79% are venture and private equity-backed companies, and 67% are privately-owned. In 2020, 64% of companies increased their focus on ESG and 63% indicated increased spending planning in 2021. Over 85% agreed that performance against ESG metrics will impact a brand’s reputation. The most recent KPMG Survey of Sustainability Reporting shows 80% and over 90% of the largest companies worldwide published a sustainability report, compared to 12% in 1993. “Sustainability reporting is now so nearly universally adopted, that the small minority of companies not yet reporting will find themselves seriously out of step with global norms.”

Looking forward to the market potential of ESG and sustainability-focused B2B marketplaces, Sova VC’s Alexander Chikunov in an interesting article states, “B2B marketplaces are well positioned to capitalize on ESG and sustainability concerns” and predicts commercial marketplaces will move ahead of government platforms in the area of offsetting carbon footprints. Accelerated growth has been reported by Novi, a B2B marketplace that helps brands build and manufacture transparent products. In the first half of 2021, Novi’s customer network grew 300%. The company focuses on personal care, beauty, and home goods and plans to expand into additional areas.

Here is a selected list of B2B marketplaces with sustainability-focused offerings:

Biolinked – B2B platform that connects organic food suppliers with wholesale buyers (locally and globally)

Artos/The Vegan Trademark – connects vegan brands and Vegan Trademark holders for high-quality, sustainable, organic or vegan food and drinks brands

Circular.Fashion – digital showcase that gives fashion brands and designers access to hand-selected materials which are matched to the recycling partner network

Cirplus – global marketplace for recyclates and plastic waste feedstock; makes buying and selling recycled plastics easier and more efficient

Climatetrade – connects companies willing to offset their carbon emissions to a large number of verified environmental projects

Grovara – global marketplace connecting natural and organic wellness brands with international retailers and streamlines entire process from discovery to fulfillment

Fooducer – B2B marketplace with integrated matchmaking and product recommendations for European green food import/export

Full Harvest – B2B marketplace for imperfect and surplus produce that helps reduce food waste while increasing farmers’ revenues

LevelTen – LevelTen Marketplace connects renewable energy buyers and sellers allowing SMBs access to the same projects and terms as larger energy buyers

Olio – OLIO’s Food Waste Heroes program is a sustainable solution for businesses to provide surplus food to local communities

Mercaris – Mercaris Trading Platform is an online market for organic, non-GMO and other identity-preserved commodities

Pachama – allows organizations to purchase carbon credits for offsetting emissions and restoring nature by supporting forest projects through the marketplace – provides carbon removal as a service, helping corporate buyers create a long-term procurement portfolio to neutralize their carbon footprint and reach net zero

SourceGreenPackaging – global b2b marketplace for buyers looking for the most sustainable and forever plastics-free packaging products

Image by Gerd Altmann from Pixabay

Copyright © Copyright 2024 Cottrill Research. Site By Hunter.Marketing