It’s confirmed: consumers will spend more on environmentally friendly goods

It’s no secret that consumers are paying more and more attention to brands’ sustainability credentials - according to the World Economic Forum, 78% of consumers feel that sustainability is important.

But are they actually paying more, period? It seems that the answer may be yes - a recent study found that there is a direct correlation between the sustainability claims made by a given product and its performance: products making ESG-related claims accounted for 56 percent of all growth over five years.

What this means for brands

These findings highlight two important opportunities for companies and retailers. Firstly, brands must seek to prioritise and invest in meaningful sustainability-related actions. Secondly, they must ensure these actions are communicated clearly to consumers via product labelling and packaging. Not only does effective labelling make products and packaging easier to recycle by providing consumers with straightforward directions, it also incites them to purchase the product in the first place - and that’s what we call a win-win situation.