REI, the renowned outdoor gear and apparel company, has long been known for its commitment to environmental stewardship and community engagement. This dedication to sustainability is not just a branding tool—it’s deeply integrated into the company’s Customer Experience (CX) strategy. By aligning its values with those of its eco-conscious customers, REI fosters loyalty that goes beyond the products it sells. In this article, we explore how REI’s sustainable practices help build long-lasting relationships with customers, enhancing CX through thoughtful, ethical choices.

1. Closing the Loop with Circular Economy Initiatives

One of REI’s most innovative approaches to enhancing customer loyalty is its focus on the circular economy, which allows customers to participate in sustainability by reducing waste and extending the lifecycle of products.

• REI’s Used Gear Program: Through its Used Gear program, REI offers gently used outdoor equipment and clothing at a lower price point. This initiative not only appeals to eco-conscious consumers but also attracts budget-conscious customers who want high-quality gear without the premium price tag. According to REI’s sustainability report, the Used Gear program diverted 250,000+ items from landfills in 2021, demonstrating the impact of extending product life cycles on sustainability.
• REI Co-op Trade-In: Customers can trade in their gently used gear in exchange for REI Co-op credit, which fosters customer engagement while promoting reuse and recycling. This program helps reduce waste and incentivizes repeat purchases, as customers are more likely to return to REI for their future outdoor needs. Research by Sustainable Brands shows that companies offering trade-in programs see a 20% increase in customer retention, highlighting the appeal of circular economy initiatives in driving loyalty.

2. Aligning Values with Customers Through the REI Co-op Membership

REI’s Co-op Membership program offers more than just discounts—it creates a community of like-minded individuals who value sustainability and the outdoors.

• Exclusive Member Benefits: REI Co-op members receive exclusive benefits such as access to special sales, early event registration, and a dividend system where members get a portion of their annual purchase back. These perks foster a deeper connection to the brand while reinforcing a shared commitment to sustainability. According to REI’s member engagement data, 90% of members state that the co-op’s commitment to the environment is a key reason they remain loyal to the brand.
• Member-Led Initiatives: The co-op encourages members to take an active role in REI’s sustainability initiatives by participating in events like the annual “Opt Outside” movement and local cleanup efforts. This community-based approach strengthens the bond between REI and its customers, creating a sense of shared responsibility and ownership. A survey by Outdoor Retailer found that brands with strong community-driven initiatives have a 30% higher loyalty rate, illustrating the power of customer involvement in fostering brand loyalty.

3. Opting Out of Black Friday: A Bold Move for Environmental Advocacy

One of REI’s most well-known sustainability initiatives is its decision to close all stores on Black Friday, encouraging both employees and customers to spend the day outdoors instead.

• The “Opt Outside” Campaign: In 2015, REI made headlines when it launched the “Opt Outside” campaign, closing its doors on Black Friday and encouraging people to explore the outdoors rather than shop. This decision resonated with REI’s customer base and reinforced its commitment to sustainability and environmental advocacy. The campaign has been a huge success, with 15 million people joining the movement as of 2020, according to REI’s campaign data, proving that aligning business practices with customer values can drive loyalty and engagement.
• Positive Impact on Brand Perception: While unconventional, the “Opt Outside” campaign has strengthened REI’s brand perception as a company that puts people and the planet before profits. According to Nielsen, 76% of consumers are more likely to support brands that demonstrate a commitment to improving society, illustrating how REI’s bold stance has enhanced its appeal to eco-conscious shoppers.

4. Sustainable Product Sourcing and Transparency

REI ensures that its products align with its sustainability goals by carefully vetting suppliers and materials, emphasizing transparency in its sourcing processes.

• Ethically Sourced Materials: REI prioritizes sustainably sourced materials in its products, such as organic cotton, recycled polyester, and responsibly sourced down. These efforts not only reduce the environmental impact of its merchandise but also attract customers who prioritize ethical consumption. REI’s sustainability report notes that 72% of its private-label products contain at least one environmentally preferred material, demonstrating the company’s commitment to sustainability in its supply chain.
• Fair Trade and Labor Practices: REI also partners with brands that adhere to Fair Trade practices, ensuring that the people who make the products are treated ethically and compensated fairly. According to REI’s data, sales of Fair Trade-certified products have grown by 25% year-over-year, reflecting strong customer demand for ethically sourced goods and further cementing REI’s position as a leader in sustainability.

5. Promoting Outdoor Stewardship Through Educational Initiatives

Beyond selling gear, REI promotes stewardship of the environment by educating its customers on sustainable outdoor practices.

• Stewardship Classes and Workshops: REI offers workshops and classes focused on outdoor stewardship, such as “Leave No Trace” principles, to encourage responsible behavior in the wilderness. These educational initiatives not only deepen customers’ connection to the environment but also align with REI’s mission to protect natural spaces. A report by Outdoor Education Journal found that 80% of participants in environmental education programs feel more loyal to brands that prioritize education and conservation, highlighting the value of such efforts in building CX.
• Sustainability Resources on REI’s Website: REI provides extensive resources on its website, including guides on sustainable outdoor practices, eco-friendly gear recommendations, and tips for reducing environmental impact while enjoying nature. This emphasis on education empowers customers to make informed decisions and fosters trust in the brand’s commitment to sustainability. According to Green Business Research, 67% of customers are more likely to purchase from companies that offer sustainability-related education, emphasizing the role of knowledge sharing in enhancing CX.

6. Renascence’s Perspective on REI’s Sustainable CX Practices

At Renascence, we believe that REI’s focus on sustainability and community-building creates a unique and powerful customer experience that fosters deep loyalty. By aligning its values with those of its customers and integrating sustainability into every aspect of its operations, REI offers more than just products—it offers a purpose-driven relationship. Our experience shows that brands that incorporate sustainability into their CX strategies see higher levels of customer engagement and retention. Research by Accenture reveals that 70% of consumers are more likely to remain loyal to companies that integrate sustainability into their core values, underscoring the importance of REI’s approach.

7. Reducing Carbon Footprint with Sustainable Store Operations

REI’s commitment to sustainability extends to its brick-and-mortar stores, which are designed and operated with eco-friendly practices in mind.

• LEED-Certified Stores: Many REI stores are LEED-certified, meaning they meet strict standards for energy efficiency, water conservation, and sustainable building materials. These certifications demonstrate REI’s dedication to reducing its carbon footprint while creating a pleasant, environmentally friendly shopping experience for customers. US Green Building Council reports that LEED-certified buildings use 25% less energy, reducing costs and environmental impact, which aligns with REI’s broader sustainability goals.
• Solar-Powered Stores and Energy Efficiency: Several REI locations are powered by renewable energy sources, including solar panels, which help reduce the company’s reliance on fossil fuels. In addition, REI has implemented energy-efficient lighting, heating, and cooling systems in its stores to further minimize its carbon footprint. Energy Star research shows that companies using solar power can reduce their energy costs by 30%, contributing to both financial savings and environmental sustainability.

8. Supporting Local Communities with Conservation Efforts

REI plays an active role in supporting local communities by investing in conservation projects that protect natural spaces for future generations.

• REI Cooperative Action Fund: Through the REI Cooperative Action Fund, the company donates millions of dollars annually to nonprofit organizations that focus on outdoor access and conservation. These efforts not only protect the environment but also foster goodwill and loyalty among customers who care about preserving natural spaces. In 2021 alone, REI donated over $6 million to conservation efforts, according to its annual impact report.
• Volunteering and Local Partnerships: REI partners with local organizations to host events such as trail cleanups, habitat restoration projects, and tree planting initiatives. These partnerships encourage customers to get involved in their communities while reinforcing REI’s commitment to sustainability. According to Nonprofit Impact, brands that engage customers in local environmental efforts see a 35% increase in brand affinity, demonstrating the power of community involvement in building loyalty.

9. Offering Eco-Friendly Alternatives in Packaging and Shipping

REI continues its commitment to sustainability by adopting eco-friendly practices in its packaging and shipping processes.

• Recyclable and Minimalist Packaging: REI has reduced its use of plastic packaging and now ships many of its products in recyclable, minimalist packaging. These efforts help reduce waste and appeal to environmentally conscious customers who appreciate eco-friendly alternatives. Sustainable Packaging Coalition research indicates that companies that switch to sustainable packaging see a 20% reduction in customer complaints regarding excess packaging, illustrating the importance of sustainability in customer satisfaction.
• Carbon-Neutral Shipping Options: REI offers customers the option to select carbon-neutral shipping at checkout, allowing them to offset the environmental impact of their deliveries. This option empowers customers to make sustainable choices while reinforcing REI’s commitment to reducing its carbon footprint. A study by Green Shipping Solutions found that offering carbon-neutral shipping increases customer satisfaction by 18%, as customers feel more aligned with the brand’s values.

10. Elevating Customer Loyalty Through Environmental Advocacy

REI’s outspoken environmental advocacy sets it apart from other retailers, making it a brand that customers trust and respect for its values.

• Advocacy for Public Lands and Environmental Policies: REI actively advocates for the protection of public lands and policies that promote environmental sustainability. The company uses its platform to raise awareness about issues like climate change, conservation, and outdoor access, encouraging its customers to get involved in these causes. A report by The Nature Conservancy found that 75% of consumers are more likely to support brands that advocate for environmental protection, showcasing the impact of advocacy on customer loyalty.

11. Fostering Long-Term Relationships with Eco-Conscious Customers

REI’s dedication to sustainability helps the brand build long-term relationships with customers who share its environmental values.

• Connecting with Millennial and Gen Z Consumers: Millennials and Gen Z consumers are particularly drawn to brands that prioritize sustainability, making REI a favorite among younger generations. These customers are more likely to remain loyal to brands that align with their values, and REI’s eco-conscious practices make it a perfect fit. According to Deloitte’s Millennial Survey, 83% of millennials prefer brands that support environmental causes, emphasizing the importance of sustainability in attracting and retaining younger customers.

12. Concluding Thoughts on REI’s Sustainable Customer Experience

REI’s approach to sustainability is not just a marketing tactic—it’s a core part of the company’s DNA and customer experience strategy. By aligning its values with those of its customers, promoting eco-friendly practices, and actively participating in environmental conservation, REI has built a loyal community of customers who appreciate the brand’s commitment to the planet. At Renascence, we see REI as a model for how brands can leverage sustainability to enhance customer experience and foster long-term loyalty. Research shows that companies that prioritize sustainability in their CX strategies see a 25% increase in customer retention, underscoring the importance of environmental responsibility in today’s business landscape.