Communicating ESG in B2B Energy: what professionals really think

Estimated read time: 6 minutes 

Our recent whitepaper, Marketing ESG in 2024: Risks, Rewards & Riddles, lifted the lid on what marketeers and comms professionals really thought about ESG in their roles. In this follow-up, we look specifically at the energy sector data from the wider research.  

The original survey polled 418 senior marketing decision makers across the energy, financial services and technology sectors, split evenly across the APAC, Middle East, UK and US Markets. 

Attitudes to B2B Energy ESG Communications: What do comms and marketing professionals think?

At first glance, the energy sector is optimistic. A full fifth of respondents see ESG as an opportunity with little risk, more than their tech and financial services counterparts. An average  proportion (18 percent versus 17 percent) see it as an opportunity tempered with risk. Fewer than average see ESG as more risk than opportunity. 

Curiously though, energy professionals are the most likely to say they avoid ESG as a communications topic as much as possible. They are also marginally less likely to foreground it in their outbound communications. 

Why the discrepancy? Megain Buchan Head of Energy & Industrials at Aspectus, says:

“This reflects the fact that, for businesses in the energy sector, ESG is unavoidable in the context of decarbonization – especially the ‘E’. So yes, it can be a massive opportunity if handled well, but also a source of major reputational risk if they get their messaging wrong.”

At first glance, this interpretation seems well supported by the fact that more respondents in energy say that ESG is a core strategic priority (17 percent versus 15 percent average) or one of the priorities (16 percent versus 13 percent average) for their organization beyond the comms and marketing function. However, the energy sector also has the most respondents saying it is either a ‘nice to have’ (22 percent versus 20 percent average) or not important at all (21 percent versus 16 percent average). 

Quite the split. And it’s not because professionals don’t care about ESG personally. Energy does have the most passionate respondents who say they care deeply about all aspects of ESG performance, however it has marginally more than average respondents saying they don’t really care about ESG factors.  

Buchan offers an explanation for the polarity:

“Professionals in the sector care about ESG as much as any other – even a bit more. So, it’s not a lack of engagement. Perhaps this is a tacit acknowledgement that, though ESG can be a big source of opportunity, if it’s not led by tangible drive from senior leadership, it’s best left alone rather than evoked half-heartedly.

“The high perception of opportunity and apparent passion from professionals in the sector suggests there are opportunities being left on the table by some companies though.”   

Care and consequences: Are energy professionals properly supported? 

We also asked whether communications and marketing professionals feel adequately supported in B2B energy ESG communications. In this respect, professionals feel exposed: only 37 percent believe they have a good degree or all the resources they need to do their job effectively, while 43 percent believe the opposite. Twenty-one percent even report a severe lack of resources. 

Energy professionals fare slightly better than their peers here. Nineteen percent say they have all the resources necessary, 21 percent say they have a good degree of resources, and fewer than average say they have some resources but need more. 

These resources (and astute awareness of risk/opportunity) are reflected in the fact that fewer energy respondents recall occasions where “we have had to communicate around ESG (on our organizations’ behalf or our clients’), when I have not felt the message has been fully justified or appropriate”.  

This is encouraging: such scenarios introduce the risk of inadvertent greenwashing (or ESG-washing, impact-washing etc.) – an injurious comms misstep. Energy professionals seem more on guard against allowing this to happen.  

Facing the future: Is ESG here to stay?

According to 47 percent of our total respondents, ESG is a passing trend that will disappear, or at least subside, while 28 percent think it won’t disappear, but will have to evolve. Only nine percent think ESG as we see it today will be a permanent fixture. 

Though B2B energy ESG communications professionals are slightly less likely to say ESG is a passing trend, they are also less likely to predict it sticks around in its current incarnation. They are more likely to say it will evolve rather than disappear, however it’s notable that the number saying it will disappear still edges out the combined figure for those predicting longevity.  

It’s unsurprising then that energy professionals are marginally less likely to think that the specific term ‘ESG’ is fit for purpose, or would be with slightly clearer messaging. A good proportion thinks the concept holds water but needs a new name, but more respondents than in any other sector think we shouldn’t be speaking about the topic at all. 

Buchan: “The energy sector seems polarized on ESG. We have some people who are deeply passionate and engaged with it, and who believe it offers great opportunity for their organizations. On the other hand, there’s a significant segment that isn’t enthused by the idea at all. Perhaps they see it as a threat or an irrelevance, but a more useful working theory is that communicators need to do more to show that ESG, done well, really can be a boon to business.”

Want to know more about the practical and strategic considerations for effectively communicating your ESG efforts? Download our ESG whitepaper. 

Key takeaways: 

• Do B2B energy ESG communications and marketing professionals think of ESG as more of a risk or opportunity? 
  Primarily as an opportunity, though they recognize the risk and are cautious in applying ESG to their communications programs. 

• Do energy communications and marketing professionals care about ESG? 
  The energy sector has more professionals who are passionate about ESG than other sectors, though they also have more than average who say they don’t care.  

• Do energy communications and marketing professionals have enough resources and support to communicate around ESG? 
  Across the board, our respondents report needing greater support and resourcing to communicate effectively around ESG. Energy professionals fare slightly better, but still need more. 

• Do energy communications and marketing professionals think ESG is here to stay? 
  More energy professionals predict ESG will disappear than will stick around, though fewer think this than in other sectors. Of those who think ESG is here to stay, more professionals think it will evolve rather than endure as it exists today. 

About the author: 

Chris Bowman is an Associate Director at Aspectus and co-leads Aspectus’ ESG services. His experience is primarily in the energy and financial services sectors, and Chris specializes in brand strategy and messaging. He recently completed a short course on Sustainability Communication Strategies from the LSE. 

Read more from this series:

Communicating ESG in B2B Tech: what professionals really think