Small Businesses Lead The Charge Towards Global Net-Zero Emissions

As the world shifts towards a greener economy, small businesses are emerging as key players in achieving global net-zero emissions. With a staggering 94 percent of consumers now demanding environmentally responsible practices, these businesses are under growing pressure to deliver sustainable goods and services. Recognising their crucial role, Mastercard Strive has joined forces with organisations worldwide to empower small businesses with innovative technologies that reduce their environmental impact. 

Mastercard Strive's initiatives focus on helping small businesses minimise their environmental footprint while fostering social inclusivity. These efforts include reducing or eliminating single-use plastic packaging, promoting participation in the circular economy, and enabling businesses to assess their impact on both environmental and social issues. 

One of the standout projects in this initiative addresses the challenge of single-use plastic waste, particularly in emerging markets like Kenya. According to the United Nations Environmental Programme, around 85 percent of all single-use packaging ends up as waste, either in landfills or as unregulated litter. In Kenya, where many small businesses operate informally and sell household products in small quantities to accommodate low-income consumers, this model leads to significant environmental harm. Consumers often pay more for these small, frequent purchases, generating a large amount of plastic waste in the process. 

In response, Mastercard Strive partnered with Novek in 2022 to develop and test an Internet of Things (IoT)-enabled dispensing system for washing powder, aimed at micro-retailers in Kenya. The goal was to eliminate single-use plastic packaging while also boosting micro-retailer revenue.

Throughout the programme, Novek successfully built and tested dispensing prototypes, learning valuable lessons along the way. Key insights included the importance of regular training to ensure consistent use of the technology among retailers and the need to build customer trust to encourage the adoption of new purchasing methods.

Novek is now focused on refining its dispensing machines to be more stable and require less maintenance. The company is also working to establish partnerships that will support its growth and further the impact of its innovative solutions. 

Mastercard Strive's collaboration with Novek and other organisations demonstrates the potential for small businesses to lead the way in sustainable practices. By equipping these businesses with the tools and technologies needed to reduce their environmental impact, initiatives like Mastercard Strive are playing a critical role in the global transition to a green economy.