Beats | December 15, 2017

Why measure impact? Because of its business value.

Dennis Price
ImpactAlpha Editor

Dennis Price

A survey from the Global Impact Investing Network finds that more than 60 percent of 168 impact investors queried say they measure impact because of its business value.

The report on impact measurement and management suggests that impact investors are ahead of the curve in using impact data to identify and validate business opportunities (see “Racial equity is a growth market,” or “Tapping the inclusive-growth business opportunity”). Most investors measure impact to better understand, manage and report to stakeholders the effect of their investments.

As benchmarks to measure their progress, 42% of the investors in the GIIN survey say they look to the U.N.’s 17 Sustainable Development Goals.

In developed countries, there’s more focus on sustainable cities and communities (SDG №11), responsible consumption and production (SDG №12) and climate action (SDG №13).

In emerging-market countries, investors are more likely to emphasize “no poverty” (SDG. №1), decent work and economic growth (SDG №8), good health and well-being (SDG №3) and quality education (SDG №4).