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How Not to Advertise Eco Claims: Lavazza & Dualit Case

How Not to Advertise Eco Claims: Lavazza & Dualit Case

When sustainability sells, the pressure to sound green can push brands too far. Just last month, on 30 April 2025, the Advertising Standards Authority (ASA) ruled that Lavazza UK and Dualit Ltd misled consumers with claims that their coffee pods and bags were ‘compostable,’ without making it clear they weren’t suitable for home composting.

Both companies had advertised their products using terms like ‘eco capsules’ and ‘compostable coffee bags,’ creating the impression that these items could break down in a garden compost bin. In reality, the products needed industrial composting to degrade properly—a detail buried in the fine print, if mentioned at all.

The ASA found both companies in breach of the rules on misleading and environmental advertising. The message was clear: sustainability claims must be specific, substantiated, and written with the consumer in mind.

What the ASA Found

Lavazza UK ran a paid search ad for its ‘Eco Caps,’ describing them as ‘compostable capsules’ for home use. Lavazza argued the claim referred to the material’s compostability, not how it should be disposed of. However, the ASA stated that consumers would reasonably assume ‘compostable’ meant suitable for their garden compost bin, particularly in a home-use context. The company had failed to clarify the industrial-only requirement, despite the ad having ample space to do so.

Dualit Ltd faced a similar ruling over its ad for ‘Compostable Coffee Bags.’ The bags were made from PLA-based materials and carried industrial composting certification, but again, the term ‘compostable’ was unqualified in the ad. Like Lavazza, Dualit had character space to clarify the claim, and didn’t.

Both companies were found to have breached CAP Code rules 3.1 and 3.3 (misleading advertising) and 11.1 and 11.2 (environmental claims). Their ads were banned, leaving questions about the claims of their products.

Do Green Claims Boost Business?

Green marketing first gained traction in the 1980s and 1990s as companies responded to growing pressure around waste, emissions, and ethical consumerism. But it wasn’t until the 2000s, driven by climate activism and the rise of sustainability reporting, that environmental claims became a core part of brand strategy. Today, they show up everywhere: in packaging, ad campaigns, investor reports, and corporate missions.

But with greater visibility comes greater scrutiny. Green claims are no longer just a PR opportunity; they’re a compliance risk if not handled carefully, particularly when marketing, advertising, or communications teams are unable to verify claims against standards set by regulators and the expectations of their audiences. Regulators are watching, and so are consumers who are increasingly alert to ‘greenwashing.’

However, when done right, sustainable messaging still delivers results. A recent McKinsey and NielsenIQ report found that products making ESG-related claims grew 28% over five years, compared to 20% growth for products without such claims. That’s a notable sales lift, more than 6 percent, linked directly to communicating environmental and social value.

Selling green credentials can help a company, but only if those claims are clear, credible, and compliant.

How Did It Happen? A Breakdown in Sign-Off

The rulings highlight a recurring issue in modern marketing: when sustainability claims are rushed to meet consumer demand, critical cross-functional checks can be overlooked.

The typical process involves:

  • Marketing: creates the ad content and selects the terminology.

  • Comms/PR: reviews for tone, positioning, and reputational fit.

  • Legal/Regulatory: checks compliance with advertising and environmental laws.

  • Agencies (where involved): produce and place the ads under brand direction.

In Dualit’s case, the creative agency We Are Strawberry Ltd was involved. Lavazza’s ad was, we think, created in-house. Either way, the disconnect likely happened in the handoff between teams. Marketing might have assumed ‘compostable’ was legally safe based on certification. Legal might have focused on technical accuracy rather than consumer interpretation. Comms teams, focused on clarity and tone, might not have dug into the claim’s implications.

The result? Everyone signed it through. No one stopped to ask how the public would read it.

The Fallout: Trust and Transparency Take a Hit

The ASA ruling attracted media coverage, including from The Guardian, and raised the spectre of greenwashing—when brands overstate or mislead on environmental benefits.

For consumers who care about sustainability, this can feel like a betrayal. Once trust erodes, it’s hard to win back. In a digital world, where outrage spreads rapidly, even unintentional missteps can cause lasting brand damage.

Environmental credibility isn’t just about certifications or checkboxes. It’s about how real people understand your message. When that message misleads, even unintentionally, it undermines a brand’s broader values and integrity.

Lessons from the Greenwashing Frontlines

Hanna Basha, lawyer and Partner at Payne Hicks Beach, summed it up on LinkedIn: We are seeing more and more reputational issues around claims of green credentials. Often not intentionally deceptive but still reputationally damaging.”

And regulators are tightening up. The ASA’s decision came amid broader scrutiny of environmental advertising under the new Digital Markets, Competition and Consumers Act 2024, which gives watchdogs more power to hold companies accountable for misleading claims.

In short, the rules are evolving, and the bar for clarity is rising.

Four Ways to Get Sustainability Claims Right

Here’s how brands can stay compliant, credible, and consumer-friendly:

  1. Speak Like a Consumer

    • Test language. If most people think ‘compostable’ means backyard compost, don’t assume otherwise. It is the job of communications professionals not just to promote, but to protect brands, and to also push back claims that can’t be verified or can be misunderstood by the public.

    • Be explicit: say ‘industrially compostable only’ upfront.

  2. Show, Don’t Hide

    • Mention certifications (like EN13432) early, not three clicks deep.

    • Put disposal instructions in plain sight. Keep it simple, which is often hard and time-consuming, especially for agencies and how their business model works.

  3. Make It a Team Sport

    • Set a ‘four-eyes’ rule: legal, marketing, comms, and sustainability leads must all approve environmental claims. Internal communications teams must think like regulators.

    • Keep a paper trail: if regulators come knocking, you’ll want proof.

  4. Brief Your Agencies Well

    • Give them clear ‘do’s and don’ts’ on eco language.

    • Treat agency ads to the same scrutiny as internal work.

Fixing the Process: Bring Legal and Comms in Early

To avoid future greenwashing headaches, companies should rethink how they structure sign-offs:

  • Collaborate from the Start: Legal and comms teams shouldn’t be an afterthought. Include them at the ‘brief’ stage. I have written about this and shared some insight on how an organisation’s general counsel needs to better work with communications teams.

  • Use Checklists: Standardise review processes with simple, shareable checklists for green claims.

  • Train Constantly: Keep teams up to date on the latest ASA rulings and best practices.

  • Create a Sustainability Board: Consider a cross-functional governance group to review high-impact campaigns.

Get it right and your brand is protected. Get it wrong and the perception and value of your brand are hit, which can take time and extra money to fix.

Final Word: Bold Claims Need Solid Ground

Lavazza and Dualit aren’t alone. Many brands are navigating the fine line between appealing green messaging and misleading overstatement. But as these rulings show, if you say it, you need to back it up, clearly, truthfully, and in the language consumers understand.

When done right, sustainability messaging can foster loyalty and trust. Done wrong, it invites headlines, bans, and long-term reputational damage. The lesson is simple: if you want to sound environmentally conscious, first ensure you’re being clear. Only sell and promote what your communications team can confirm.

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