The Supply Chain Shake-Up: Half of Buyers Will Drop Unsustainable Suppliers by 2028

Sustainability Is Back on the CEO Agenda 

Gone are the days when sustainability was a buzzword or a compliance checkbox. After a brief dip in prioritization, sustainability is once again rising to the top of corporate leaders’ agendas — this time directly tied to business value and survival. 

Bain & Company’s 2025 survey makes the trend clear: 

• Half of B2B buyers already spend more with sustainable suppliers, and half plan to drop unsustainable suppliers within three years. 
• 54% of CEOs now link sustainability directly to business value, up from just 34% in 2018. 

• Two-thirds of companies are on track to meet Scope 1 and 2 emissions goals, with more raising — not lowering — their Science Based Targets initiative (SBTi) ambitions. 

• Revenue growth leaders see sustainability as a driver: 90% expect it to positively impact business in the next three years, compared to 60% of peers. 

• Consumers remain committed: 79% care about environmental sustainability, with many already adjusting daily habits. 

Perhaps most telling: more than 80% of B2B buyers paid a premium for their most recent sustainable purchase, and the share willing to pay more is expected to nearly double within three years. The message is unmistakable: sustainability is no longer optional. Companies unable to credibly demonstrate climate action risk being pushed out of supply chains. 

The Execution Gap 

Despite this momentum, Bain highlights a sobering paradox: 25% of global emissions could already be cut today with positive ROI, yet one in three companies remain off track to meet even near-term Scope 1 and 2 goals. CEOs themselves acknowledge the gap. They are speaking less about sustainability but pushing harder for pragmatic results. For sustainability managers, this “do-say gap” represents the toughest challenge: the tools and demand exist, but execution lags. 

How H&M is Closing the Gap 

H&M Group shows both what is possible and where barriers remain. The global fashion retailer has committed to cutting absolute Scope 3 emissions by 56% by 2030, in line with SBTi standards. 

Its approach includes: 

• Supplier engagement: All suppliers must commit to carbon roadmaps and report performance. 

• Renewable energy sourcing: Suppliers are supported in accessing renewable electricity through Energy Attribute Certificates (EACs) and power purchase agreements. 

• Market advocacy: H&M pushes governments in production markets to reform energy rules so suppliers can access affordable renewables — a future competitive advantage. 

• Support mechanisms: Free energy audits, financial assistance, and technology funding to accelerate decarbonization. 

This program operationalizes SBTi requirements for ambitious Scope 3 targets and monitoring. Crucially, EACs provide a practical, scalable tool to verify renewable electricity use in regions where direct access remains limited. The outcome: H&M strengthens supplier relationships, builds resilience, and demonstrates business value. Yet systemic obstacles — from fragmented markets to regulatory bottlenecks — reveal why many suppliers still struggle. 

The Missing Link: Market Infrastructure for Action 

What Bain’s findings and H&M’s experience both highlight is that ambition is no longer the bottleneck — execution is. Without scalable, transparent, and cost-effective solutions, even leading companies risk falling short. 

This is where platforms like GreenPowerHub step in. By making EACs accessible and tradable across global markets, GreenPowerHub helps companies and their suppliers: 

• Bridge Scope 3 ambition with credible supplier action via digital solutions 

• Lower procurement costs while ensuring climate impact by connecting to the largest supplier network 

• Deliver measurable progress toward 2030 targets 

The Call to Action 

2030 is one planning cycle away. Buyers are signaling they will cut unsustainable suppliers. CEOs are under pressure to deliver real outcomes. Consumers remain engaged and willing to pay more. The solutions exist — but the clock is ticking. The question is no longer whether to act, but whether your company will act fast enough to stay inside the supply chains of the future. 

About GreenPowerHub

GreenPowerHub is a leading digital marketplace for trading renewable energy certificates, including Guarantees of Origin (GOs), serving stakeholders across Europe and global markets. By facilitating transparent, efficient trading and providing actionable market intelligence, GreenPowerHub empowers energy producers, suppliers, and consumers to participate in the energy transition and achieve their sustainability goals.

Reference: Supplier Engagement Case Study - H&M Group - Science Based Targets Initiative   The Visionary CEO’s Guide to Sustainability 2025 | Bain & Company