Background

Clicks. Impressions. Reach. ROAS. These are some of the common metrics we encounter when we are evaluating our digital campaigns. However, there is one more hidden metric, one that has implications towards the future of the planet - carbon footprint. The booming digital ad industry is responsible for 3.7% of global greenhouse gas emissions(Martech Publication, January 2023). With a digital population of 202.9 million, Indonesia is expected to be a major contributor towards the rising digital carbon footprint.

Nestlé & dentsu: Walking the Carbon-Neutral Walk

Dentsu's net-zero ambition isn't just a hashtag, but a genuine effort to make the environment sustainable and livable for the future generations. Nestlé, one of the world’s largest CPG companies, shares a similar aspiration, and together we decided to actively work towards minimizing the impact of the advertising carbon footprint. We also wanted to set a precedent to encourage brands to look beyond media metrics while measuring campaign effectiveness - step changing to alleviate a fraction part of this concern and leading the market and industry to demonstrate a serious message.

Execution

Understanding the Methodology: Tracking Every Byte

Dentsu used the Scope3 methodology in this case, dissecting emissions across the campaign's journey: where ads were shown (media distribution), what ads were shown (ad selection), and how they were built (creative distribution). This approach pinpointed areas for improvement based on scientific data.

We also wanted to go beyond just measuring impact and optimize the campaign towards lower emission impressions, without jeopardizing campaign performance.

How did we make it happen? 

https://carbon-calculator-hu6ze2vxqa-uc.a.run.app/?#digital-carbon-calculator

To conduct this study, we ran display and video campaigns simultaneously and have the inventory (App/URL) reviewed on a weekly basis throughout Q3-Q4’23. Throughout the campaign, the Emission per Impressions (EPI) serves as the benchmark to eliminate the inventory contributing to the high emissions of (Benchmark > 0.75g). The calculation is using Scope3 where the calculations take: Creative format, Payload size (bytes), Network type, Device type into account.

Results

Key Findings: Beyond Greenwashing

The test was conducted for 2 quarters; where in Q3, it had higher EPI of 0.5 against Q4 that able to have 25% lower emissions.

The campaign was optimized on a weekly basis, resulting in inventories generating carbon emissions above the benchmark, deprioritized in Q4. 

• That 25% reduction is like taking 1,000 cars off the road for a year! See the impressive graph above.
• Click-through rates stayed above Nestlé benchmarks, proving you can be green and effective.

Our methodology, rooted in Scope3's model, enhances transparency and accountability in mitigating carbon emissions across media distribution, ad selection, and creative distribution. This approach aligns with industry sustainability goals, fostering environmentally conscious advertising practices for a greener digital landscape.

More Than a Case Study: A Blueprint for Change

This isn't just about Bear Brand. It's a roadmap for any advertiser who wants to join the climate-conscious movement. Here's the key takeaway:

• Be transparent: Use robust methodologies like Scope3.
• Every click counts: Optimize every stage of your campaign.
• Partnerships are powerful: Collaborate with agencies committed to sustainability.
• Show don't tell: Share real results, not just promises.

Quotes:

Elvira Jakub, CEO, dentsu Indonesia: “This is more than just a campaign; it's a transformation in our advertising philosophy. We're thrilled to discover that eco-friendly choices can benefit both the environment and our marketing objectives. We invite other marketers to join us and explore how brands can contribute. Together, we can create a digital marketing environment that's sustainable for the long term.”

Theresia Magdelina, Senior Brand Manager, Nestlé: “We were pleased to see a significant, measurable reduction in emissions without compromising the campaign's performance. This pilot underscores our belief that a sustainable future is not only good for the environment but for our brand as well. Thank you to dentsu for sharing our vision for responsible advertising.”

Arindam Bhattacharyya, Chief Strategy Officer, dentsu Indonesia: "This campaign demonstrates the power of intent, collaboration, and data-driven insights in making a real difference not just towards business, but also towards the environment. This success invites other brands to join us in this journey, proving we can pave the way towards a greener future for the advertising industry."

Authors:

• Vinay Mohan: Associate Director, Digital Operations, dentsu Indonesia
• Salma Karima: Programmatic Operations Manager, dentsu Indonesia
• Faheem Merchant: AOR Director, dentsu Indonesia