As we step into 2024, the spotlight on Environmental, Social, and Governance (ESG) issues has intensified, becoming a central focus in business communications and for PR professionals worldwide. In this article, we will explore the growing significance of ESG in the PR landscape and how it shapes corporate communication strategies.

ESG has transcended from being a buzzword to a critical element influencing stakeholder perception. Corporations are no longer judged solely on financial performance but are scrutinised for their commitment to sustainability, social responsibility, and ethical governance. We are witnessing a paradigm shift where ESG considerations are not just a side note but a core narrative in the storytelling of corporate brands. In this blog, we’ll explore the trends, challenges, and opportunities that define the PR landscape concerning ESG in 2024.

1. ESG at the Heartbeat of Corporate Strategy

In 2024, sustainability is not merely an add-on but a fundamental aspect of corporate strategy. The International Communications Consultancy Organisation (ICCO) World PR Report highlights that ESG is the primary focus of communication investment. The integration of ESG into the financial foundations of companies is gaining momentum, with CFOs increasingly considering the impact of climate change scenarios on financial outcomes. As a PR professional, understanding and communicating this integration will be crucial for shaping a company’s narrative.

According to PwC, ESG issues are now embedded in the valuation of tangible and intangible assets. The rise of ESG controller positions signifies a dedicated effort to oversee and manage the integration of ESG into daily operations and financial reporting. For PR professionals, the narrative now revolves around elucidating the symbiotic relationship between sustainability and financial stability.

2. Private Firms Join the ESG Wave 

The scope of sustainability reporting is expanding beyond public corporations. Private firms, driven by Scope 3 rules and regulations from California and the European Union, are compelled to monitor indirect emissions throughout their supply chains. PR professionals are tasked with guiding private entities – irrespective of public disclosure – towards adopting or enhancing their greenhouse gas accounting methods.

The evolving landscape demands private firms, irrespective of size, to align with the standards set by industry leaders. ESG considerations will no longer be exclusive to public entities, and PR professionals must communicate the importance of these efforts to both the private sector and their stakeholders.

3. Navigating the Politicised ESG Environment

In 2024, ESG remains a hotbed of political discussion, further intensified by presidential and congressional elections globally. With the expectation of increased pro- and anti-ESG legislation, PR professionals need to tread carefully. It’s imperative to craft messages that navigate the political landscape, using stakeholder mapping on divisive issues and rebranding initiatives under the broader ESG umbrella.

Understanding the polarised viewpoints surrounding ESG and tailoring communications accordingly will be a vital skill. The ICCO World PR Report emphasises that maintaining caution in discussing sustainability externally during these politically charged times is crucial. PR professionals must find a balance that ensures effective communication while navigating the turbulent political environment.

4. Biodiversity: The Rising Star in ESG Discourse

Businesses are shifting from just considering global warming and carbon footprint to also measuring their impact on nature. They are now prioritising nature restoration in their investment decisions. As biodiversity gains prominence in ESG discussions, PR professionals must position their clients as advocates for nature conservation. The Task Force on Nature-related Financial Disclosures (TNFD) recommendations, combined with global efforts such as the 2030 deforestation goal, underscore the increasing importance of biodiversity.

Government considerations to adopt TNFD standards indicate a growing trend that PR professionals need to monitor. Crafting narratives that align with evolving nature-related dependencies and opportunities will be a key focus in 2024. 

PR Thrust for ESG

As greenwashing claims gain sophistication, PR professionals must guide their clients towards authentic and transparent communication strategies. 2024 presents a unique landscape for PR professionals navigating the ESG terrain. The integration of ESG into corporate strategy, the inclusion of private firms in sustainability efforts, handling the politicised ESG environment, and spotlighting biodiversity are crucial aspects of the PR playbook this year.

The challenges are significant, but so are the opportunities. Adapting to the evolving ESG landscape, PR professionals play a pivotal role in shaping narratives, building trust, and ensuring that businesses not only comply with regulations but embrace ESG as an essential element of their identity.

Curzon PR is a London-based PR firm working with clients globally. If you have any questions, please feel free to contact our Business Development Team [email protected]