In a session entitled To B Corp, or not to B Corp? Thomas Power, co-founder and chief executive of Pura Aventura, which became a certified B Corp company in 2020, addressed the application process and discussed how the scheme works.
The “B” stands for “benefits”, Power explained, highlighting how becoming B Corp meant addressing a company’s reason for being as a business. “It’s about being able to say “we exist for the benefit of all stakeholders (rather than just shareholders) – people, planet and profit,” he said.
To become a B Corp company, a business must fill out a form addressing questions which cover a number of areas, including governance, workers, community, environment and customers.
Power urged companies not to be put off if they were worried about being weak in certain areas, explaining that the certification programme is based on a points scheme, meaning businesses can accrue more points in one area to help if they’re weaker in other topics.
Power advised delegates to “identify quick wins” in areas they know they are strong in. He acknowledged: “It can sometimes seem quite scary to get over that mountain, but it makes you think and question things in a positive way.”
He also noted that points can be accrued by working with other B Corp companies.
Asked how much it costs to become a B Corp company, Power explained that it tended to be linked to turnover size, with companies that turn over £1 million annually typically paying around £3,000 to be part of the programme.
He admitted B Corp was not yet a badge that tended to resonate with consumers, but that it had proved a really effective tool when it comes to recruitment.
“[Becoming B Corp] should not be seen as an effective marketing ploy,” Power said. “Consumers don’t tend to recognise the B Corp logo. Even in the US where B Corp started recognition is low, perhaps around 10% of people recognise it.
There are specific markets where it’s known,” he said, “but the UK is not one of them – yet!”
Despite this, Power acknowledged that more of his customer base, who tend to be a slightly older demographic, were becoming familiar with the certification scheme. “It’s been really fascinating – they often say how they do care about these issues. It might be the kids who are3 listening to Greta [Thunberg] and going on marches, but these kids are then mixing with their grandparents and it’s rubbing off.
“[Awareness of environmental sustainability] is coming, and it’s coming rapidly,” he added.
And while consumers might not yet be fully aware of the B Corp badge, “when it comes to recruitment - wow!” Power said.
“Staff love it,” Power said. “And recruitment is a huge issue for the travel industry right now. Especially with Gen Z, who really care about ESG [environmental social governance].”
Offering final tips on applying for B Corp status, Power noted that the application process be “quite a blunt tool” but he urged companies not to be deterred. “When you get to the live assessment part, it becomes much more tailored so just give the questions your best answer. You then have 12 months while the application is being processed to work on areas you’re weaker in. You can give a more detailed answer later on,” he added.
Power also noted how quickly awareness of B Corp is growing among businesses, specially within the travel industry. "In November 2020 when we became a B Corp company, there were 3,600 certified companies. There are now more than 5,000. The UK is the fastest growing B Corp company, with 427 in November 2020 and nearly 700 now. And travel is one area that is really ramping up - there were four B Corp travel businesses in 2020 - now there are 30."
Travel firms in the programme have also come together to form a "Travel By B Corp" group - "we want to make it a symbol of trust for consumers that want to do the right thing but don’t know how," Power added. "Travel by B Corp lets us take a more positive message out to consumers."
