Consuming sustainably is the goal that many people are setting themselves in the face of threats such as climate change, resource scarcity, or the impact on biodiversity. As a result, many consumers are examining whether a company complies with sustainability criteria before purchasing its products or services.
Not surprisingly, according to a survey by Stifel, 83% of consumers believe it’s important for companies to act sustainably and 67% are willing to pay a premium for brands that demonstrate ethical and environmentally friendly business practices.
Likewise, a study done by GlobalWebIndex found that millennials are the generation most committed to ecology and the environment since 7 out of 10 (22-35 years old) are willing to pay more for ecological and sustainable products, resulting in 67% of total millennials.
This is followed by 58% of Generation Z (16-21 years old) and 55% of Generation X (36-54 years old). In the case of baby boomers (55-64 years old), this percentage stands at 46%.
In addition, a report by the Capgemini Research Institute shows that interest in sustainability now influences the behavior of more than half of consumers: 53% of the general population as a whole and 57% of the 18-24 age group have switched to lesser-known but sustainable brands.
The emergence of Covid-19 has increased the level of consumer awareness and commitment to sustainability in their purchases. Thus, 67% say they are more aware of the scarcity of natural resources due to the crisis, and 65% say they have increased their awareness of the impact of their overall consumption in the face of the new normal.
According to another poll conducted by GreenPrint, 75% of Millennials are willing to pay more for an environmentally sustainable product, compared to 63% of Gen Z, 64% of Gen X, and 57% of Boomers. Consumers report positive attitudes towards eco-friendly products, yet only about 26% actually purchase them.
But it's not just consumers who are putting sustainability on their agenda. Companies are also aware of its importance. As the Capgemini Research Institute reports, "77% of retail and consumer goods organizations indicate that sustainability increases customer loyalty and 63% that it increases profits generated by the brand".
Sustainability is the Future
In 2015, the United Nations (UN) approved the 2030 Agenda on Sustainable Development, "an opportunity for countries and their societies to embark on a new path with which to improve the lives of all, leaving no one behind", as pointed out by the organization. In this regard, the Agenda has 17 Sustainable Development Goals (SDGs), which include aspects such as the elimination of poverty, the fight against climate change, education, women's equality, the defense of the environment or the design of cities.
According to Ernst & Young, "there is a perception that Europe could lead the transformation towards a sustainable economic model based on the fight against climate change. And it could do so for two reasons: because sustainability will become its engine of growth and because it is planned as a cross-cutting policy, with an impact on all other policies, and not as an isolated initiative".