Shopify Offset App Review and Benefits Explained

Reading Time: 5 minutes

We are all trying to find the silver lining in this terrible pandemic. More people want to capitalize on this momentum and help protect the planet. Businesses included.

For enterprises, sustainability is not just an ethical consideration, but also a smart business decision. Companies that care about the environment are gaining loyalty from consumers, particularly younger generations.

You might be an entrepreneur reading this article and wondering how to incorporate sustainability in your business model.

If you own a Shopify store, the answer is easy: download the Offset app.

Have you ever heard of Offset? We’ll be reviewing Offset to help you make your business more eco-friendly.

Let’s get started!

What can offset help you with?

You probably already know that transporting products from a company warehouse to our homes requires the use of fossil fuels. Urgh.

These carbon emissions trap heat in the Earth’s atmosphere which leads to climate change.

Bottom line: Any business that transports goods from A to B…which requires the burning of fossil fuels, negatively impacts the environment.

Don’t be discouraged, it isn’t all doom & gloom.

Cue, Offset.

You can proudly inform your customers that you are working to conserve the environment with Offset Shopify.

How?

You can reduce your shipping emissions.

Also Read  How to Dropship CBD Products with top Suppliers Worldwide?

How does offset work?

Offset is the total carbon emissions that you produce when you transport your merchandise. This number is used to calculate your monthly offset cost.

The’monthly offset’ can be used to fund initiatives that promote sustainability or protect the environment, most notably reforestation.

It may sound expensive, but don’t be alarmed. This amount is only a few cents per order.

Pachama is the Offset app’s partner. They work with certified projects that adhere to the highest carbon offset protocols.

Your Offset dashboard allows you to measure the environmental impact of your business. This dashboard will show you your total shipping emissions as well as how much you have neutralized. This could include the number of trees you have protected.

Offset’s Dashboard is Simple-to-Use

The Shopify app is simple and intuitive, and features a sleek and simple UI design. This calculator uses an estimation formula to calculate the average metric tons of carbon dioxide and the cost of neutralizing it.

Offset, as we have already stated, aims to eliminate all shipping emissions. Therefore, they round up the values within their data model. To determine the amount of CO2 that your shipments emit, the app integrates data from your online shop with industry data.

Pachama calculates then the cost of offset these emissions by taking into account the following factors:

  • If this information is not available, the weight of the package/or the average shipment weight.
  • Distance (This is the distance between your warehouse, and the delivery destination multiplied with an uncertainty factor to account delays.
  • Transportation Type: This refers to truck or plane carbon emissions. It is calculated using speed and distance. If this information isn’t available, truck emissions will be assumed.
Also Read  Opencart vs Shopify eCommerce Comparison, Pros, and Cons

Offset can calculate emissions more accurately if there is more data from your carrier. To offset all emissions, Offset multiplies the estimated emissions by 1.5.

Be a part of a collective effort

Offset’s uniqueness is the feeling that you are part of something greater than yourself. Offset is proud to share the global impact that their Shopify merchants make on the world. They’d love to tell you about it!

In fact, almost 5,000 kilometers of forest were protected and 57 million kilograms CO2 has been offset since Pachama’s recent partnership. This was all achieved within a month of the partnership’s launch. Imagine the long-term effects!

What does an offset cost?

The Offset App installation is completely free. After that, you will pay $3.50 for each metric ton of C02 emissions your shipping produces. This is usually about $0.005 to PS0.10 per order.

The app calculates an estimate of your monthly offset costs when you first install Offset. This is based on data from the store. For every order that was ‘delivered’ in the last 30 days, Shopify will charge an offset fee.

If the item is returned or cancelled within 20 days, however, you won’t be charged. Shopify will pay the offset cost if you use ShopPay to offset your delivery emissions. These orders will not generate an Offset charge. If your offset cost for the past 30 days is less than $0.01, the fee will be rounded to that amount.

Also Read  Dropshipping Laptops and Computers - Best Products Included

The Role of Pachama in Forest Protection

Someone who owns forest land may be tempted to make other uses of the hectarage. They might choose to harvest timber and cut the trees to make room for construction projects. Or, they could use the land to grow crops or create a recreational area. These are just some of the many reasons we see an increase in deforestation.

Deforestation is a major problem all over the globe, including the Amazon which has lost approximately 17% its forest in the past 50 years.

Offset is here to help. Offsets provide landowners with a financial incentive to preserve their forests. How? You pay them to keep their trees in good condition.

However, many companies will pay more to offset their carbon emissions. The challenge of estimating carbon-storing potential of particular pieces of forest remains.

Verification companies go into the woods to measure the height and width of the trees. They also manually count each tree in each plot. This tedious, slow process often delays forest protection efforts.

There is a willingness. The tools are not.

Pachama and Offset’s partnership is a great example of this. They have successfully used technology to solve this problem. Pachama, as we have already mentioned, has established a technology-verified market for companies that use forest-based programs to offset carbon emissions.

Also Read  Shopify Exchange to Buy and Sell Shopify Stores

Machine learning is used to analyze data from drones, satellites, and lidar images. They can use this data to calculate the volume and size of trees. This data can also be used to accurately estimate the carbon content of each tree.

Pachama’s method is based on the belief that photosynthesis can remove carbon from the atmosphere, and counteract climate change. You can help them and save forested areas by installing the Offset App.

Pachama lets anyone purchase carbon credits and purchase any amount of forest. Shopify’s Offset app allows entrepreneurs to purchase carbon credits and buy any amount of forest. It also lets you communicate your mission to your followers.

Demonstrating Sustainability has Many Benefits

You know that protecting the environment is an important cause. But, you may be wondering how it can benefit your business.

There is a small cost associated with offsets, so it is smart to consider how you can benefit from them as a Shopify store proprietor.

These are the main perks:

  • Your brand’s reputation and value will increase. Reputation is an asset that can help you engage customers and build brand loyalty. It’s obvious that customers will be impressed when you show them you care about the environment.
  • Meet consumer demand. Companies are expected to meet consumer demand. Sustainability is a major issue. Don’t be left behind, meet your customers where they are by offering an ethical option within your brand.
  • Attraction and retention of staff. You’ll see that more people want to work in sustainable businesses when it comes to keeping and attracting top-quality employees (especially Gen Z’ers, Millenials) This is yet another reason it’s worthwhile to increase your green initiative.
Also Read  Advantages of Having More Products in Your Dropshipping Store

Are you ready to get started with the Offset App

After reading this review, you can see that the Offset app is an easy way for your business to have a positive effect on the environment. It requires very little effort on your part.

You only pay a small amount for each order. There is no initial financial investment. It has never been easier for you to reduce your carbon emissions and invest into reforestation projects around the globe.

Are you willing to do your part to fight climate change? Please let us know what your company is doing to combat climate change. Talk soon!