Around 80% of European consumers started purchasing sustainable products less than five years ago and 57% plan to spend more on them in the future. This is according to a report from consultancy firm Bain & Co, which concludes that young European consumers with greater purchasing power are the most likely to increase their spending on these types of products. 65% of members of the Generation Z (born in the late 1990s and early 2000s) hopes to increase its investments in sustainable developmentagainst 53% of baby boomers. And 63% of high-income consumers plan to spend more on sustainable products, compared to 49% of those with low incomes. Visit elEconomista ESG, the green portal of elEconomista.es.
Ibon García, partner at Bain & Company, emphasizes: “This trend is not only observed in Europe, but also in the United States, where Consumers are willing to pay up to 10% more for products with minimal impact on the environment and up to 15% more for those that offer health benefits. » In Europe, natural products are particularly in demand and animal welfare is highly valued, as is locally sourced food. be an obstacle to this sustainable consumption. To draw these conclusions about how consumers understand and engage with sustainability, this international consultancy surveyed nearly 19,000 people in 11 countries.
The study highlights that the energy crisis caused by the war in Ukraine has accelerated the transition to renewable energies (especially in Europe), due to the need to reduce dependence on Russian gas. In addition, Global solar capacity installed in 2023 was three times higher than estimates made in 2015 for this year, thanks to technological advances and public subsidies. Nearly 60% of investors will maintain their commitment to sustainable investing despite geopolitics.
“Public policies indeed play a crucial role in the adoption of sustainable technologieslike electric vehicles,” emphasize the authors of the study. “In the case of Norway, for example, government support has promoted the mass adoption of these vehicles. “In contrast, the reduction of subsidies in Germany in 2023 caused a decline in sales, demonstrating the importance of prolonged support to ensure the sustainable growth of this market,” they add.
The study warns that a 2 degree Celsius increase in global temperature could have very serious consequences for people, the environment and the economy. In line with this warning, the International Monetary Fund points out that this warming could also increase the cost of capital by more than 1%, which would result in in a $6 trillion drop in the value of the S&P 500. Fifty Spanish investment funds have “sustainable” names that the CNMV will monitor.
The growing interest in sustainability is, however, reflected in the way companies around the world choose their suppliers. While 85% of suppliers claim to integrate sustainable criteria into their offers, only 53% of customers believe that these options meet their expectations. Actually, 36% of customers would be willing to change suppliers if they do not meet their sustainability requirements.
