CAMBRIDGE, Mass.–(BUSINESS WIRE)–October 5, 2022–
The urgency among CEOs to implement and demonstrate real progress in sustainability initiatives is at an all time high. In the 2022 IBM CEO Study, sustainability was ranked as the top organizational challenge by 51% of CEOs, with 57% citing the difficulty of clearly defining and measuring return on investment as the biggest obstacle.
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L to R: Adam Braun and Philip Charm, Co-Founders of The Climate Club (Photo: Business Wire)
At the same time, as organizations struggle with poor employee engagement and retention, sustainability has emerged as a major factor in attracting, engaging and retaining talent. In an HP study, 81% of employees at global companies committed to sustainability describe themselves as “more productive” and 82% as “more loyal”.
It’s clear that CEOs and their workforces need to align. Enter the Climate Club, a carbon reduction platform that embeds sustainability into the employee experience and delivers quantifiable, scalable carbon and cost reductions.
Vestigo Ventures, an early-stage venture capital firm based in Cambridge, Massachusetts, recognized the enormous potential for the convergence of sustainability, net zero corporate goals and employee engagement and participated to a $6.5 million seed funding investment in Climate Club. Vestigo Ventures cites the Climate Club’s differentiated ability to capture and reduce Scope 3 level emissions data as a key driver of investment. Scope 3 emissions, also known as value chain emissions, are estimated to represent on average 75% of a company’s GHG emissions and can approach 100% for companies in the financial services sector.
Many companies have had limited, if any, visibility into Scope 3 C0 2 emissions associated with their suppliers, partners, customers and employees. Onsite, hybrid, and remote workplace models make capturing data and reducing emissions an essential but elusive holy grail for CEOs everywhere. “The Climate Club platform puts capacity into sustainability, bringing together the motivated workforce and collection of crucial data to measure, reduce and ultimately achieve sustainability goals,” says Kelly Shaw, Principal, Vestigo Ventures.
“Until now, organizations have been limited to buying clean energy and buying offsets, an approach that completely excludes the two most powerful factors: their people and Scope 3 emissions. majority of decisions that have an impact on emissions throughout the value chain. The Climate Club engages and activates employees willing to participate in the journey of reducing carbon emissions – which goes against both sustainability and engagement goals – operationalizing sustainability into the core employee experience and using behavioral science to inspire action,” says Adam Braun, CEO and co-founder of The Climate Club.
As The Climate Club gathers more data on the nudges and incentives that drive behavior, the company will continue to refine its product, providing additional insights and ROI as actions reduction in carbon emissions are paying off. Additionally, Climate Club will be able to provide an overview of carbon consumption at the individual level for ESG analysis and scoring purposes. The Climate Club’s API-first software platform also works in partnership with carbon accounting and other sustainability solution providers.
“The pressure on CEOs to execute on their sustainability commitments at scale and speed – and to show measurable results towards net zero goals – will continue to intensify. Vestigo Ventures is excited to invest and to partner with Climate Club on an enterprise solution with such tremendous potential for positive outcomes,” adds Mark Casady, Co-Founder, President and General Partner of Vestigo Ventures.
About Vestigo Ventures
Vestigo Ventures is a Cambridge, MA-based venture capital firm founded in 2015 that invests in early-stage North American-based technology companies focused on enterprise software, jobsites, and personal wealth. To learn more and to subscribe to our FinTech and InsurTech newsletters and podcasts, visit http://www.vestigoventures.com.
About the Climate Club
The Climate Club embeds sustainability into the employee experience at large companies and drives net zero emissions across every department, team and employee. Our software platform is purpose-built to reduce carbon emissions, reduce costs, increase revenue, and retain talent in line with Net Zero goals and strategic business objectives. We work with some of the world’s most recognized companies to help them maximize the impact of sustainable actions across their entire business.
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CONTACT: Press Inquiries: Ian Sheridan
Managing Director and Co-Founder, Vestigo Ventures
KEYWORD: UNITED STATES NORTH AMERICA MASSACHUSETTS
INDUSTRY KEYWORD: VENTURE CAPITAL SOFTWARE ENVIRONMENT FINANCE ENVIRONMENTAL ISSUES ENVIRONMENTAL HEALTH PROFESSIONAL SERVICES TECHNOLOGY
SOURCE: Vestigo Ventures
Copyright BusinessWire 2022.
PUBLISHED: 05/10/2022 11:17 AM/DISC: 05/10/2022 11:17 AM