Why generational differences matter to environmental claims

Have you noticed a shift in your consumers’ needs??

The inevitable march of time means your customer base is changing. Millennials have joined baby boomers and Generation X as your primary consumers, leading to a change in the things customers expect from your products.??

Baby boomers (born 1946 – 1964) and Generation X (born 1965 – 1980) grew up in a time when unbridled consumerism was to be applauded, but now, of course, we know there is a price to pay in terms of its impact on our planet. It is not surprising that as we gain a greater understanding of our negative impact on the environment, sustainability has become a key driver in all consumer product markets. Being eco-friendly is no longer a marginal consideration for consumers, it is a primary concern and, while all generations think about the environment, it is especially true of millennials (born 1981 – 1996).??

Millennials – a truly eco-friendly generation??

Brought up with access to the resources of the internet, millennials are the first truly global generation. While it would be wrong to say baby boomers and Generation X have ignored the environment, survey data from across the generations clearly shows a shift in intent and action, with millennials defining themselves as an eco-friendlier generation.??

A 2021 study found that 61% of core millennials (aged 27 to 32) want to buy from environmentally conscious companies, 59% looked to buy biodegradable or eco-friendly products, and 60% intentionally wanted less packaging or more environmentally preferable packaging. In comparison, among baby boomers, only 47% looked to buy from environmentally aware businesses, 47% wanted biodegradable or eco-friendly products, and 51% considered the environmental impact of packaging. (1).

If you run a business, this is important. Baby boomers are now in their 60s and 70s and, if the preceding generation is a good indicator of future trends, their percentage of the total market spend will soon begin to decrease. The good news is, both millennials and the next generation, Generation Z, are willing to pay more for sustainable goods.??

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This is not surprising, as they typically espouse social consciousness and environmental justice and, when making purchasing decisions, they look for evidence of biodegradability, ethical business practices, environmentally preferable materials, local production, lower carbon footprint and traceability/transparency. How much they are willing to pay varies but, according to a 2023 study that showed 80% of consumers would pay more for products at a farmers’ market, bespoke items or products manufactured with a lower carbon footprint, 40% said they were willing to pay up to 10% more and 10% said they would pay up to 30% more. (2).

For businesses, this means there is opportunity, but only if it is done correctly.?

The threat of greenwashing?

Where there is opportunity there is always risk. With consumers actively looking for evidence of sustainability in the products they buy, there is the possibility unsubstantiated and ambiguous environmental attribute claims will fill the void. For industry as a whole, this has a long-term negative effect because, although consumers want sustainable products and are willing to pay for them, if they cannot believe to claims then the sector as a whole will suffer a crisis of trust.?

A European Union (EU) study from 2022 found that 75% of products now carry an environmental claim or label. However, it is one thing to make a claim to gain sales but another to actually live up to the claim, and research by the European Commission found 42% of green claims were potentially false or deceptive. (3).??

The above statistic highlights the prevalence of greenwashing. Greenwashing comes in many forms, with environmental claims being either lies, unsubstantiated, vague (‘natural’, ‘sustainable’, etc.) or irrelevant. There are also instances where factual statements are misleading or legitimate certifications are being applied to products erroneously.??

For consumers, this just creates confusion and distrust. For businesses, it will ultimately hit their bottom-line.??

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Finding a trusted solution??

One way to build trust is through independent, scientific evaluation of products against internationally recognized standards, such as ISO 14021 for environmental labels and declarations, EN 16640 for biobased content and ASTM D6400 for compostability. To ensure consumers engage with the certification, it must be relevant to the product and include a way for them to confirm environmental attribute claims.??

SGS solution?

Currently encompassing seven claims – PFAS assessed, hazardous substances assessed, recycled content, PVC free, industrial compostable, biodegradability and biobased – the SGS Green Mark demonstrates to an increasingly attentive audience the environmental attribute(s) of your product. Manufacturers and suppliers choose the claims they want to make before we independently evaluate and/or audit their product and/or facilities in accordance with recognized standards. Once compliance has been confirmed, the product can then carry the SGS Green Mark.??

The SGS Green Mark is a proven way to demonstrate the validity of environmental attribute claims. Utilizing the SGS logo, which is recognized around the world, they demonstrate compliance with standards relating to claims such as hazardous substances assessed, recycled content, PFAS-assessed, biobased, PVC-free, industrial compostable and biodegradability.

?Visit sgs.com/green-mark to learn more.

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