People often say they will pay a premium for sustainable products.

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  • 28 Aug 2018
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Will Sustainability Ever Trump Price for Asian Consumers?

Half of consumers in Southeast Asia would pay more for environmentally-friendly products, according to a global survey conducted by Nielsen in 2017. That alone might suggest that sustainable products are taking off in the region. But are Asian consumers putting their money where their mouth is? “Consumers voice positive opinion for sustainable products but do not always back it up at the check-out counter,” said Regan Leggett, executive director of thought leadership and foresight at Nielsen, a global measurement and data analytics company. “But if the price is competitive for two brands, sustainability could be the deciding factor.” He added that while there has been positive momentum for sustainable products in Asia, it is difficult to accurately measure how well they’re selling. In many industries, the definition of what makes a product sustainable is often fuzzy. Furthermore, consumers are often unaware of a brand’s true sustainability credentials. According to Leggett, global demand for more environmentally-friendly and ethically-made products should influence more companies to drive sustainability initiatives and make their claims more public. However, as climate change and other environmental issues such as waste and plastic pollution become a growing concern for Asian consumers, sustainable products are now more popular in the region than ever before.

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