WPP Makes Industry-Leading Net Zero Commitment
April 22 2021 - 8:30AM
Business Wire
In a first for the industry, WPP’s commitment
includes reaching net zero in the emissions generated by the
placement of advertising in the media for its clients
On Earth Day, WPP (NYSE: WPP) announces a new commitment to
reach net zero carbon emissions in its operations by 2025 and
across its entire supply chain by 2030.
To deliver net zero emissions from WPP’s operations, electricity
will be 100% renewably sourced by 2025.
Within WPP’s supply chain, which accounts for the overwhelming
majority of the company’s emissions, the two largest sources are
the production of advertising content and, most significantly, the
placement of that content in media channels from television and
press to radio and online.
WPP is the first in its industry to include media in its net
zero commitment.
Mark Read, CEO of WPP, said: “WPP is the world’s largest
buyer of advertising space, managing more than $60 billion in media
spend on behalf of our clients, and the world’s largest producer of
advertising content. So we have the opportunity to make a real
difference.
“By including emissions from the placement of advertising in our
net zero commitment – a first for our industry – we aim to raise
the bar for the whole sector.
“Two-thirds of our top clients have committed to set their own
science-based reduction targets and we can play an important role
in helping them to meet those targets in their operations and
across their supply chains.
“We look forward to working with all our partners – many of whom
have already made great strides in this area – to develop standards
that will benefit the industry, our clients and our wider
communities.”
Working with media owners
Many media owners are already investing heavily in measuring and
reducing their carbon emissions. Through GroupM, WPP’s media
investment operation, WPP aims to work with its media partners to
develop industry-wide standards for measuring and eliminating the
carbon emitted from the placement of advertising in the media.
GroupM is consolidating its existing carbon calculators to allow
a single view of emissions across channels in key markets, and make
them available to clients at scale. Carbon data will increasingly
be integrated into media partner procurement requests, and all
media plans provided to clients will be net zero by the end of the
decade.
Net zero production
The pandemic has accelerated innovation in virtual production
technology and highlighted its ability to reduce the need for
expensive and carbon-intensive location shoots. Taking the lessons
from this experience, WPP will increase the use of virtual
technology, accelerating the shift towards net zero production.
Hogarth, WPP’s creative production business, has pioneered
“Sustainably Made”, a unique approach that combines innovative
virtual production techniques with industry-leading measurement
tools and in-built carbon offset, to allow clients to produce work
with a net zero impact. WPP is also a founding member of AdGreen, a
new initiative to remove the negative environmental impacts of
production.
Impact across the advertising sector
The Paris Agreement calls for net zero by 2050 to limit global
warming to 1.5°C, but in recognition of the scale of the challenge,
WPP’s commitment will see its emissions fall faster. With an
independently assessed annual carbon footprint of 5.4 million
tonnes of carbon dioxide equivalent (CO2e), WPP’s net zero
commitment will have a significant impact in reducing the emissions
associated with the advertising sector.
Businesses increasingly recognise the need to set science-based
targets for reaching net zero emissions. Given that WPP and its
supply chain represent a significant portion of its clients’ own
carbon footprints, its commitment to reach net zero by 2030 will
help ensure clients can meet their own targets. In line with best
practice, WPP will submit its emissions reduction targets to the
UN-backed Science Based Targets initiative for independent
validation.
The net zero commitment follows other industry-leading
sustainability initiatives from WPP. In 2020 WPP purchased 65% of
its electricity from renewable sources, including 100% of
electricity bought in the United States and, for the first time, in
the UK, Canada and most European markets. In 2019, WPP was the
first among its peers to commit to phasing out single-use plastics
within its campuses.
About WPP
WPP is a creative transformation company. We use the power of
creativity to build better futures for our people, planet, clients
and communities.
For more information, visit www.wpp.com/netzero
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210422005651/en/
Niken Wresniwiro, WPP +44 (0)20 7282 4600
niken.wresniwiro@wpp.com
WPP (NYSE:WPP)
Historical Stock Chart
From Apr 2024 to May 2024
WPP (NYSE:WPP)
Historical Stock Chart
From May 2023 to May 2024