Impact or Illusion: How to Spot When a Business Is Just Greenwashing.
Everywhere you turn, businesses are “going green.” From fashion brands dropping “eco” lines to food companies claiming “sustainability,” the buzzwords are loud. Some brands slap a leaf on their logo and suddenly they’re saving the planet but sometimes it’s more marketing than meaning. If you’re a nonprofit leader, a school director, or an impact investor, you’ve probably rolled your eyes at a campaign that looked good on paper but had zero impact on the ground. Greenwashing is real, and it’s costing time, money, and trust. Let’s talk about how to spot it before you get swept in. 1. Look at the Numbers, Not Just the Hashtags A company says, “We plant trees for every purchase.” That’s great, but then, how many trees? Where? Who tracks them? Real impact comes with data you can verify. If there are no clear numbers, that’s a red flag. A 2023 BlueMark report found that 97% of impact funds never double-check their own data. So, a lot of what’s reported as “impact” might just be good storytelling, not real proof. If the impact claim fits neatly in a tweet but has no proof behind it, you’re likely looking at greenwashing. 2. Check if It’s Core or Cosmetic. Some businesses change their packaging color to green and call it sustainability. It may appear cute, but it’s meaningless. Rather, ask: Is this a small PR-friendly add-on, or is it built into how the company operates? For example, a beverage company using recycled bottles across all products equals real change, but a “limited eco edition” is just cosmetic. In 2024, RepRisk recorded 1,841 global incidents of misleading communication, and more than half (56%) were tied to environmental claims. That shows how often “green” storytelling is used as a smokescreen for superficial action. 3. Follow the Money If an organization spends more on advertising their “impact” than on actual programs or change, that’s a problem. You can spot this when the glossy campaigns look expensive, but the actual impact feels thin. Another red flag is when millions are spent on billboards, influencer partnerships, or high-end videos, while the project they’re promoting barely exists on the ground. True impact organizations tell their stories, but their budgets reflect their priorities, more goes into action than presentation. If you’re an investor, it’s okay to get curious. Ask questions that reveal where the real work happens. Here are questions worth asking: Marketing isn’t the enemy. It becomes powerful when done right. So when you look closely and the story starts costing more than the change itself, that’s not impact, it’s illusion. A shiny campaign can hide an empty commitment. 4. Watch the Consistency Impact isn’t seasonal. If a brand only talks about girls’ empowerment during International Day of the Girl Child and goes silent the rest of the year, be cautious. True impact shows up in policy, in practice, and in everyday updates, not just during global awareness days. 5. Ask the People on the Ground This is the most reliable test. If you want the truth, don’t just listen to the boardroom pitch. Talk to the people on the ground. Communities: If a company claims to empower women farmers, ask the farmers themselves. Do they feel more secure, more skilled, or more included? If not, the campaign is just noise. Partners: Check with the NGOs or local organizations they work with. Are these partnerships meaningful, or just photo-ops? A real partner will vouch for the impact because they see it daily. Beneficiaries: Look for stories told by the people served,not scripted testimonials. Genuine voices carry honesty that marketing teams can’t fake. The truth is, communities are rarely wrong. They know when support is real and when it’s just a handshake for the cameras and media. If an organization can’t connect you to a single grassroots voice or local partner to back their claims, that’s a red flag. Impact is lived, not staged. Despite rising awareness, RepRisk reports that while greenwashing incidents dropped 12% globally in 2024, the severity of cases rose by nearly 30%, meaning fewer brands are doing it, but those who are, are getting bolder. Greenwashing is sneaky, but it’s not unstoppable. The key is curiosity, asking the questions, looking past the glitter, and trusting evidence over slogans. The next time a brand pitches you their “impact,” what one question will you ask to separate illusion from reality? If you’re tired of greenwashing and want to tell your organization’s story in a way that’s real, human, and trustworthy, let’s talk. The world doesn’t need more noise. It needs truth.