The Sustainable Consumer: Key Findings

We recently conducted our first consumer survey targeting sustainable-minded (LOHAS*) consumers. The survey was designed to uncover how they prioritise their shopping choices and what they consider sustainable or unsustainable. This small-scale survey yielded some thought-provoking insights (stay tuned for a larger edition in 2025 - we're going big). But for now, here are the key takeaways.

*LOHAS = Lifestyles of Health and Sustainability consumers are individuals who prioritise health, environmental sustainability, and ethical practices in their purchasing decisions.

Key Takeaways

1. The 'Sustainability Premium' isn't a complete myth after all

Our survey revealed that LOHAS consumers don't just claim they would pay a premium for sustainable products, but actually do it:

• 77% of respondents have paid more for a sustainable product in the last month, with 12% paying significantly more.
• Consumers were most willing to pay a premium for fresh produce. This preference extends to meat and dairy products as well, reinforcing the strong link between sustainability and health for the consumer.

2. Brand trumps labels in sustainability perception

While eco-friendly labels play a role in consumer decision-making, our findings indicate that overall brand perception matters most:

• Consumers recognised and trusted brands that consistently demonstrate a holistic commitment to sustainability. Brands like Patagonia and Oatly were frequently mentioned as sustainability leaders, not necessarily because of specific labels, but due to their overall brand image and comprehensive approach to sustainability.
• Labels like 'organic' and 'recyclable' are valued, but they're not the only factors of a product's perceived sustainability. CO2 labels resonated the least with consumers.

3. Consumers' sustainability confidence is a double-edged sword

Consumers feel savvy when it comes to identifying sustainable products:

• Over 75% of respondents said they are confident in recognising environmentally sustainable products and brands...but when we dug into the data, we wonder if this confidence is misguided?

Implications and Opportunities for Brands

1. Build a sustainable brand, not sustainability initiatives: The data was clear, consumers favour brands with comprehensive sustainability strategies. We recommend focusing on one or two sustainability areas to tackle holistically and excel in (e.g., carbon neutrality, deforestation etc.) to create a clear, consistent brand narrative. Relying on labels alone won't cut it.
2. Be prepared to challenge consumer expectations: While consumers feel confident about identifying sustainable products, there's room for education. Brands have an opportunity to guide consumers towards more informed choices, building trust and loyalty in the process.
3. Premium is real: With 77% of LOHAS respondents paying more for sustainable products, it might be time to rethink testing price premium on eco-friendly offerings.
4. Build loyalty through consistency: LOHAS consumers are savvy - they value brands that consistently demonstrate a genuine commitment to sustainability. To build loyalty within this demographic, sustainability efforts need to be embedded in the brand's DNA. When communicating, repetition is key to building consistency. Tony's Open Chain is a great example - long-term commitments, frequently repeated across many formats.

?? The survey captured a diverse group of participants, with the following demographic breakdown:

• Age Distribution: 25-34 years: 50%, 35-44 years: 28%, Other age groups: 22%
• Gender Representation: Male: 58%, Female: 42%
• Geographical Spread: United States: 23%, United Kingdom: 23%, India: 10%, France, Canada, and Australia: 6% each, Other countries: 26%
• Residential Setting: Urban dwellers: 70%, Other settings: 30%
• Household Income: $40,000 - $99,000 range: 70%, Other income brackets: 30%
• Dietary Preferences: No dietary restrictions: 65%, Vegetarian: 19%, Other dietary choices: 16%

Events

?????Packaging & Sustainability Roundtable

Are you based in (or near) Chicago? We're hosting a small, vendor-free event for sustainability and packaging professionals. Featuring an expert panel and peer-to-peer workshops, we’ll explore Product Carbon Footprints (PCFs) and the pivotal role packaging will play as a key collaborator for sustainability teams in 2025.

?? Date: 5th December

??Location: Chicago

Register

The First Week of COP29 at A Glance

COP29?is the 29th United Nations Climate Change Conference, a global summit where governments, businesses, and stakeholders convene to address the climate crisis.

The summit runs from 11-22 November in Baku, Azerbaijan, with over 50,000 delegates registered to attend.

As we head towards the end of COP29, here's a quick reflection on the first week of negotiations.

???The Good

• Progress has been made on carbon market rules, marking a significant step in climate negotiations.
• Azerbaijan has unveiled a comprehensive transport management plan for COP29, including dedicated lanes and increased public transport options.
• The conference is focusing on finalising a new, more ambitious climate finance goal to succeed the previous $100 billion per year target.

???The Bad

• Many world leaders from major economies like the US, China, and India are not in attendance, with a significant number of late drop-outs reported.
• Discussions about operationalising the Loss and Damage Fund, including eligibility criteria and funding mechanisms, are still ongoing without clear resolutions.

???The Ugly

• The conference is taking place against a backdrop of record-breaking temperatures and extreme weather events, offering a very meta reminder of the inadequacy of current efforts.
• There are ongoing concerns about human rights in Azerbaijan, with calls for guarantees of safe and open participation for all attendees.
• The gap between the urgency of climate action needed and the pace of negotiations and commitments remains stark, highlighting the challenges in achieving meaningful progress.

Other News

• ??????Jeff Bezos announces ￡7 million grant to slash cattle emissions by over 30% (farminguk): This funding is part of Bezos’ commitment to tackle climate change through innovative agricultural practices. The initiative will focus on developing sustainable solutions to lower methane emissions from cattle, potentially with the use of a new vaccine.
• ??????Bees are solving the elephant-human conflict in Kenya as part of a conservation project (The Guardian): The "Save the Elephants" charity is using beehive fences to protect crops from elephants. This smart approach not only safeguards farmland but also provides farmers with honey, creating a win-win for conservation and local communities.
• ??????New UK target is set during COP29 pledging 81% emissions cut by 2035 (BBC): UK Prime Minister Sir Keir Starmer announced a new climate change target at COP29, aiming for an 81% cut in emissions by 2035. This updates the previous government's 78% pledge and goes beyond the 68% reduction target for 2030. Starmer emphasised the target's importance for UK's prosperity and energy security, basing it on recommendations from the Climate Change Committee.

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