Two-thirds (66%) of consumers believe that by 2030 a company’s reputation will depend on the action it takes to address climate change, according to dentsu's recent research. (1)
This means that brands must take fast action to meet these expectations. Digging deeper into implications for the Consumer Packaged Goods (CPG) sector, it's clear that these climate concerns will have a big impact on what people choose to buy. For instance, in the UK, nearly two-thirds (67%) of consumers say that by 2030 they will not buy products that they know have a negative environmental impact or that are single use. (2)
Many businesses are already taking concrete steps to secure a greener future. And there are clear potential business benefits for those CPG companies that do so.
One of the key areas under scrutiny for sustainability is food waste. Brands helping consumers with correct portion size or the usage of leftovers or random ingredients will gain their favor. One example is U.S. retailer Kroger, which has created Chefbot, a Twitter bot designed to help make tasty recipes from ingredients and leftovers to minimize food waste. (3)
CPG brands are also preparing for sustainability-focused consumer expectations by becoming more sophisticated in terms of telling the story behind their products. Brewer ABInBev, for example, has highlighted how it reduced water usage across its 12 flagship breweries by more than 25% since 2010. (4)
Above all, it's vital that CPG companies master the importance of providing clear information to consumers about their supply chain process, packaging and product delivery. This clarity will empower the growing numbers of ‘activist’ shoppers to optimize their orders for environmental purposes.
To learn more about how consumer expectations for the future will transform the CPG sector, download the full CPG 2030 report here.