SIGG Continues to Waiver
Steve Wasik, CEO of Swiss-made SIGG water bottles, finally offers his full apology for not disclosing to the public that the resin epoxy liner of their reusable water bottles contains trace levels of BPA in products manufactured before August 2008 ~ an admission that made many of their best and biggest advocates outraged and heartbroken.
Unfortunately, I am still learning to be a green CEO. When I took this position, I naively assumed that “green” meant being a steward of the environment… However, being a green company also means being held to the highest degree of corporate transparency.
I appreciate Steve Wasik’s apology. A sincere apology is always better late than never.
Regardless, as a CEO, Wasik has failed. This apology comes a full month after releasing the initial letter admitting what the original SIGG liners contained, much less over a year after changing to the new EcoCare liner, over two years after fighting with Organic Consumer Association for listing SIGG bottles on a BPA cautionary list, and over three years after finding out himself.
Regardless, as a CEO, Wasik has failed. He says he is “still learning to be a green CEO” and “naive” not to realize that also means “being held to the highest degree of corporate transparency”.
Mr. Wasik, that is known as being a good CEO. Leading your customers and acquiring loyalty from practicing the highest degree of corporate transparency is not specific to being “green”.
Taking a note from a public relations perspective, SIGG is doing everything almost everything right, finally, to salvage their consumer trust. Their exchange program, which originally only worked by you mailing your SIGG to them for an exchange credit, is apparently branching so that you may return your SIGG to a local retailer for an equal exchange for the new SIGG liner. Wasik is apologizing, and their customer service people are swift and courteous in addressing emails and concerns. The apology letter itself was carefully crafted and drafted to show sincerity and humbleness, components the August 2009 letter lacked.
Some say what the SIGG reaction to public outcry is unprecedented and praise-worthy, as they legally have not been held to such corporate responsibility.
I say the SIGG reaction is a desperate attempt to regain control of their reputation after breaking the standards of a winning reputation and corporate responsibility in today’s world.
No, I am not angry. I am outraged and baffled that such a modern company has blundered so badly in such obvious ways. The Public Relations and Organizational Communication major inside of me frustratedly wants to whack Wasik and SIGG leadership’s hands with a ruler. I cannot believe SIGG was too arrogant to have taken notes from the properly-handled Laken products and BPA issue. CamelBak has certainly taken note, and offers great products and great PR.
SIGG is repaying their debt to society for lying, however. The corporation has lost numerous customers and incurred deep damage to their reputation (Google SIGG: they are being called “soulless” and “BPA-infested”). They will likely lose stockholder confidence in a period where extra quarterly losses are terrifying. Plus they are losing financially by replacing customers’ old SIGG bottles.
All of this excludes whatever settlement may occur if a federal class action suit comes to fruition. My guess is they are preventing a class action lawsuit by volunteering to replace customers’ SIGG bottles.
The most recent kick SIGG has received is “green” retail giant Patagonia withdrawing a co-branding effort with SIGG. Patagonia has even removed all SIGG products, old and new, from their shelves due to the betrayal of intra-corporate relations. Genius PR move by Patagonia, by the way. Absolutely genius.
So, SIGG continues to take some hard hits on the fall from their corporate pedestal. I have no idea how long the hits will keep coming, but they still have some attitude to check in wake of this fiasco.
On top of blaming his lack of full disclosure on being new as a “green CEO”, Steve Wasik said the reason customers have to pay shipping costs to send their SIGG in for return is to prevent the “9 out of 10″ customers who are not concerned from having theirs exchanged at company cost (thank you to the George S. May blog for that info). This does not sound humble or sincere to me. Again, fail.
Also, on the SIGG website, I could only find links to their “Exchange Program” that asks you to mail them your SIGG, with shipping costs at your expense. Supposedly you can exchange it at your own local SIGG supplier as well.
I called Raleigh’s REI, Whole Foods, and Earth Fare. The Raleigh Whole Foods said they are doing an exchange. REI will exchange any SIGG purchased at REI (you need a receipt unless you are a coop member, as I am ~ REI stands behind ALL of their products, always), and Raleigh’s Earth Fare said unfortunately they are not because the store cannot handle the sheer volume. They were very helpful to make sure I knew about the Exchange Program, however.
I appreciated all of their answers, as now they are dealing with SIGG’s bad behavior.
Why do I have a real “stick it to them” attitude, despite their efforts?
SIGG has indisputably done “green” living and environmental corporations across the board tremendous damage. In an era where convincing people they should make small changes to live a healthier, more balanced life, many people in the consumer market are skeptics. They vote with their dollars, and convincing them to spend a little more to send the right message relies on proving they can trust the product and that they will benefit from this product.
SIGG’s actions will continue to have a ripple effect for skeptics to remain skeptics and longtime advocates to become more skeptical themselves upon the entire industry.
Stick it to them. I love my SIGG. It has been through good and bad with me. Has some dings that I consider character. Yet now I know I cannot trust that it is the safest choice for myself and my unborn children (a concern I admittedly already was skeptical about). I know that SIGG deserves to have to replace their products in order to stand by their commitment of responsible products.
Sustainably yours, Ashley Sue
