Transportation has a sustainability problem. According to the most recent data from the Environmental Protection Agency, the sector accounted for nearly 30% of U.S. greenhouse gas emissions in 2019, more than any other industry. And after a 15% decrease in emissions in 2020, transportation regressed closer to 2019 levels in 2021, rising 10%, independent research company Rhodium Group estimates.
With sustainability top of mind for consumers, New York City-based instant commerce platform Ohi this week announced a partnership with EcoCart, a sustainability technology company, to enable a new, carbon neutral e-commerce fulfillment option for Ohi partner brands and customers.
In a recent survey conducted by IBM in association with the National Retail Federation, around four out of five consumers said they consider sustainability important, and 60% of respondents said they’d be willing to change their shopping habits to be more sustainable. That sort of data is driving Ohi to retool its instant commerce solution, which boasts deliveries in under two hours, with the addition of carbon offsets through EcoCart’s proprietary tech.
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“Research shows that the vast majority of consumers prefer to do business with eco-friendly companies whenever possible, and we’re absolutely committed to helping our merchant partners reduce the environmental impact of their businesses,” said Ohi founder and CEO Ben Jones. “We’re proud to launch this partnership with EcoCart to offer environmentally friendly, superfast delivery that benefits consumers, helps our brand partners grow their businesses while reducing their carbon footprint, and ultimately supports a healthier planet.”
Ohi will use EcoCart’s software to trigger an automatic donation to an independently verified carbon-offsetting project anytime a customer selects the carbon-neutral option at checkout. Customers don’t need to pay extra for the new sustainable offering, while partnering merchants have the option to pay a small fee to EcoCart based on the carbon footprint of each delivery. Those fees will contribute to “a variety of ecological projects across the globe,” Ohi said in the announcement.
Peter Twomey, co-founder and COO of EcoCart, added: “Through this integration, Ohi is empowering its brand partners with a win-win option that’s shown to facilitate deeper customer relationships and drive business results, while helping to have a meaningful positive environmental impact by offsetting the unavoidable emissions of shipping their products. We’re thrilled to partner with Ohi to give the company’s merchant network a simple and easy way to sell more sustainably.”
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While the EcoCart partnership is new, sustainability has been a key tenet of Ohi’s strategy since its inception in 2018. With traditional e-commerce fulfillment, products are often shipped via ground or plane over long distances, creating a widespread environmental impact. Ohi minimizes that contribution through its countrywide network of micro-fulfillment centers, which means goods travel only a short distance to reach their customers.
Ohi also deploys other forms of transportation –– things like bikes, e-bikes, scooters and foot couriers –– to further reduce its carbon footprint. The emphasis on sustainability even trickles down to the company’s tote bags, which are reusable and eco-friendly, reducing the use of wasteful packaging.
Further, Ohi is building on its already Amazon Prime-like speeds. In the announcement of the company’s series A funding round in October, Ohi said it’s looking at enabling deliveries as quick as 20 minutes, putting it on the level of ultrafast grocery delivery startups like Jokr and Gorillas.
According to that announcement, Ohi is also looking to expand its presence to 25 U.S. cities by year’s end.
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