Nielsen, a global provider of market research, media analysis, and viewer interaction, provides its clients with insights into marketing information and consumer behavior. In 2015, Nielsen conducted a poll among 30,000 consumers in 60 countries across the globe. The provider wanted to know more about how people think about brands and how those thoughts impact buying behavior. One overwhelming conclusion from the poll was that consumers are willing to pay extra for sustainability.
This is particularly true for the Millennial generation, as 73% of them are willing to pay more for sustainable products. Meanwhile, 66% of global consumers are also willing to pay extra. Nielsen’s definition of Millennials are those who were born between 1977 and 1995. “Despite the fact that Millennials are coming of age in one of the most difficult economic climates in the past 100 years, they continue to be most willing to pay extra for sustainable offerings–almost three-out-of-four respondents,” explained Nielsen.
When some people are shopping for beauty products, among their first questions are, “is it cruelty-free?” rather than how pretty the shade is. While picking out food items such as coffee, they want to know if it’s Fair Trade. They don’t want to buy from companies that don’t care about how workers and/or animals are treated. This shift toward mindful consumption is also reflected in the growing interest around clean beauty and ethically produced items, including collections like lux unfiltered best sellers, which appeal to consumers looking for products that align with their values. Some people are willing to spend extra money on what is good for the environment, as well as the people and animals living on it.
Rishabh Chokhani, Naturevibe Botanicals CEO, said “Today’s consumers don’t want to buy a product; they want to buy a lifestyle. People want to feel that whatever they are buying aligns with their personal values. That’s why we’re seeing a shift towards sustainable farming, farm-to-table, and organic botanical ingredients.”
Some countries have already banned unsustainable and animal cruelty products. For example, in 2013, India banned all animal testing and all import of beauty products that engage in animal testing. Brands that committed to sustainability saw sales increase by more than 4% around the world in 2015. Those with no commitment to sustainability grew by less than 1%.
