The growing spectrum of eco-consumers and what they are looking for
The past decade has seen a sea change in the attitudes and mindsets of consumers around the world towards a greater sense of fulfillment and mindfulness about their consumption, empowering them to make conscious choices that are sustainable and fair.
Consumers are always striving to identify ways to make a difference in the world and expect the same set of values from the brands they support. For brands, a meaningful goal that can translate into tangible action on conservation and replenishment cements trust in consumer preference.
Appeal to eco-consumers
Brands that associate themselves with words like sustainability, eco-friendly, certified green, and eco-responsible are beginning to dominate the market. Customer loyalty is also heavily influenced by these factors, especially since the pandemic.
According to a Nielsen report, 65-70% of consumers under 35 prefer brands with ethical practices and transparency. Younger generations of Millennials and Gen Z are more aware, informed, and decisive when it comes to supporting certain companies, products, movements, and other causes that align with their views. New trends seem to show a greater willingness to pay more for products with sustainable, eco-friendly or responsibly sourced ingredients.
In its early days, eco-branding was seen by consumers as a way to embellish brand image and make products more attractive and beneficial. However, consumption habits are changing and more and more people are better informed about the resources invested in the ESG (environmental, social and governance) strategy of their favorite brands and empower them in their purchasing decisions.
Companies today realize that a key factor for survival is to assume their social responsibility, through tangible and sustainable business practices.
Building a Sustainable Supply Chain – From Root to End
Far beyond packaging, today’s consumers are turning to organizations that have deeply embedded an end-to-end sustainable product journey into their processes. As a result, companies are increasingly integrating sustainable sourcing into their sourcing and supply chain management process. Improving performance on environmental, social and ethical issues is also key to developing long-term relationships with suppliers.
Following sustainable practices and using sustainable resources throughout the supply chain process has increasingly become an extension of a company’s overall commitment to corporate responsibility. It is said that an organization is only as strong as the weakest link in its supply chain. It is therefore even more crucial for organizations to manage and maintain each step of their processes in a resilient and fair way.
How India Inc is tapping into the segment and the steps for the future
India is one of the fastest growing emerging market economies with a young population and a thriving innovation and business ecosystem. With a GDP of $2.72 trillion in 2018-2019, India is striving to become a $5 trillion economy by 2025 (source: UN SDG Goals) and continuing a trajectory inclusive and sustainable growth by boosting manufacturing, building infrastructure, stimulating investment, promoting technological innovation and stimulating entrepreneurship.
It is therefore imperative that conglomerates become active players and leaders in this journey towards a green future. With current technologies available and in development, if collaboration is forged between policy makers, influencers, governments, NGOs and India Inc stakeholders, we can together bridge the gaps and achieve the SDGs faster. It will also ensure that we help build a more shared future, where no one is left behind.
The opinions expressed above are those of the author.
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