The rise of the social enterprise
It is increasingly apparent that Australian consumers’ spending habits are changing, with a recent report demonstrating that nine in 10 Australians are more likely to purchase ethical and sustainable products.
Many ventures have had success in recent years with a model based on social good including LoveLuvo, a retail social enterprise based in Seddon, Victoria that stocks eco-friendly, locally sourced and fair-trade home and body products.
The result is a decade of success in which organic growth comes from each new customer who walks through the door―almost all of them return and they bring their friends. It’s the perfect model for sustainable growth: every customer becomes an ambassador.
Originally from the UK, Anouska Lyons has been a Melbourne local for many years now.
“I loved the windows and went in initially to buy a gift for someone,” she says, describing how she first encountered LoveLuvo.
“Then I saw they did refills and I haven’t looked back. I love to buy local where I can, I love to send gifts that are made in Australia and now I only use refills for my household toiletries and cleaning. I also find the refills to be cost effective.”
Unique value is provided through a holistic 360 degree approach. “I love the incredible marriage of environmental and community ethics. It’s important to be discreet in some respects and allow the staff and products to speak for themselves. I love the community at LoveLuvo and love going into the shop.”
Sarah Gowers is another West Melbourne local who became an informal ambassador for LoveLuvo after discovering the brand by chance.
“I was gifted some items from LoveLuvo from a friend who runs a local business (Holistic Sister) and she mentioned the refillable household items, which stood out to me, knowing how much plastic from household cleaning and bathroom products ends up in landfill,” she says.
“I’m passionate about supporting local businesses, especially during the last year. Knowing that I’m supporting local families and local community members makes me feel good about shopping there. Really it ticks all the boxes for responsible consumerism―an environmentally conscious social enterprise that is locally run by local people―I can’t think of a reason not to shop here.”
Regarding the brand’s mission of providing work to those with barriers to employment, Gowers admits she wasn’t aware the first time she went in. “I found out when the staff member working put a leaflet in my shopping bag about the positive social impact the store has on the community and its employees.”
Much of what keeps customers coming back is this holistic approach to business―whether it’s providing opportunities for people with barriers to employment or the broader aspect of providing sustainable products which are not just environmentally-friendly but innovative in production and diverse in terms of the people involved.
“I know that it’s all fair trade and ethically sourced, with no animal testing or child labour used, and fair wages paid. I’ve never seen a product in there with palm oil in it, so I’m assuming that’s an ethical and environmental consideration. I am someone that if I like (or dislike) something, I will research it and find out more, so I find this info out for myself and know where to look to do so,” adds Gowers.