“I am mindful that I need to live
more responsibly; I want to make
better choices that make a
difference without having to
compromise”
1
“I am mindful that I need to live more responsibly; I
want to make better choices that make a difference
without having to compromise”
•
Social and environmental concerns remain of
high importance for people even as the economic
climate has become harsher. But high priority
does not always mean the top priority and, many
people seek to balance the issues of ethics and
finances as well as they can.
•
Affordable choices and easy to do actions
resonate with people wanting to live more
responsibly; small things can seemingly add up
into something bigger and some choices are just
not worth the compromise (or the scrutiny they
receive from others).
2
“I am mindful that I need to live more responsibly; I
want to make better choices that make a difference
without having to compromise”
•
When considering more responsible choices,
where the outcome is more tangible, the benefit
is clearer. Where the outcome leads to a local or
personal benefit (as well as a wider social or
environment benefit), the choice is more
motivating.
•
Some social and environmental issues seem too
hard to grasp or beyond the reach of the
everyday person. As concern is heightened
through either direct exposure or media
attention, many people are increasingly looking
toward companies and institutions to lead the
way; expecting real proof of the positive impacts
they claim to make.
3
For many consumers living an environmentally
conscious life is important but is not a top priority
„I have made it a top priority to live an environmentally
conscious lifestyle1‟
(summary of top 3 boxes on 10 pt scale)
% Agree
2008
2009
2010
2011
70
59
60
48 48
50
40
57
48
46
In January 2007, 57% of US voters
rated the environment as a top issue
for the President and Congress to
deal with. That number has dropped
to 43% in 2012.
41
36
34
32 33
30
31
26
24 25
20
29
27 26
21
In the same trended survey, only onequarter of voters now rate global
warming as a top priority, down 13
points from five years ago.2
10
0
55
Ireland
UK
Western Europe
USA
BRIC
Source: 1. Global MONITOR. See appendix for base sizes; 2. United States Pew Research Centre, January 2012
4
Key actions within people‟s control remain the primary
way people engage with social and environmental
issues, and often reflect a balance of good ethics and
financial sense
„How important are these social, environmental and
economic behaviours in your personal life today? 1‟
% Agree that the below are extremely/ very in their life
Reducing the amount of energy you use in your home
Recycling your rubbish
100
90
Reducing the amount of water you use in your home
87
82
80
70
74
77
76
78
72
73
71
66
63
60
70
62
57
54
50
40
30
20
10
0
Ireland
UK
Western Europe
USA
BRIC
Source: 1.Global MONITOR. See appendix for base sizes.
5
People are becoming increasingly sceptical of
companies, expecting them to do more and demanding
more tangible proof of the positive impacts they claim
to make
„I don't believe the claims made by environmentally
friendly products1‟
% Agree
.
2009
2010
2011
70
60
50
40
45
45
44
36
38
50
48
44
52
46
37
36
39
“People believe there is an ethical
option. The fact these companies are
doing deals with unethical businesses
shows how limited their ethical
commitments are. This will wake
people up to how these companies‟
ethical policies are only skin deep.”
41
30
30
20
10
0
Self proclaimed ethical companies like
The Co-operative, Marks and Spencer
and Waitrose have come under media
spotlight for their partnerships with
companies such as BP, Shell and
Chevron. Marks and Spencer, whose
aim is to become „the world‟s most
sustainable major retailer‟, has a
partnership with BP, who were
responsible for one the world‟s largest
ever oil spills in the Gulf of Mexico in
2010.
Greg Muttitt, War on Want, February
2012
Ireland
UK
Western Europe
USA
BRIC
Source: 1. Global MONITOR. See appendix for base sizes.
6
Key takeaways
•
Social and environmental issues are still critical areas for businesses to
address, expectation is rising that companies are tackling and making
progress against these issues without passing on the burden of extra cost to
the consumer.
•
Companies wishing to stand out on this agenda or build brands around social
and environmental stances need to show tangible proof of their efforts to be
believed, and should expect to be scrutinised for all their business impacts
(not just the issues they highlight). Standing out is becoming harder as
expectations increase and consumers expect more than just companies
making change that makes good business sense, e.g. recycling more or
reducing energy and waste.
•
Issues local to home resonate more strongly. Tangible benefits are appreciated
especially when they can be seen to impact directly in the community and may
even reward the consumer themselves.
7
Drivers
Sub-trends
Conserving resources
Continuing economic
uncertainty
Growing awareness of
environmental and social
issues
Growing impact of resource
shortages
Declining trust in governments
and big business
Living in a world where resources are
increasingly in short supply
War on waste
Reducing the wasteful results of
consumption
Climate conscious
Protecting the world‟s environment and
biodiversity
Good causes
Supporting a worthy cause through
purchase choices
Fair treatment
Treating animals and people fairly in the
production process
8
SUB-TRENDS
9
HOW IS THE SUB-TREND EVOLVING?
Conserving resources
TOWARD
Living in a world where
resources are increasingly in
short supply
Heightened focus on saving
resources with increased
efficiency, particularly at the local
level
Peoples‟ appetite for saving resources has
grown as solutions have migrated from the
fringes to the mainstream, reinforced by
rising resource costs. More sophisticated
solutions are emerging that help people
and companies use fewer resources, from
packaging design to new farming methods.
FROM
New farming method
uses a tenth of the
amount of water to grow
crops, Dubai
Danone Brazil‟s 100% renewable
plastic packaging is made from
sugar cane, a locally available
resource, Brazil
Saving resources at the
Cookit uses solar energy to
heart of the product or
cook food, reducing reliance
brand idea and alternative
on solid fuels, Global
sources become
mainstream
Samsung‟s Blue Earth
Waitrose delivers
orders by bike, GB
mobile phone avoids
traditional power sources
by using an in-built solar
panel to provide its power,
South Korea
10
SUB-TREND: Conserving resources
Living in a world where resources are increasingly in
short supply
Solar cooking kit, Global
The CooKit is becoming
increasingly relied upon in a
number of emerging markets,
and areas where solid fuels are
scarce. It is made of cardboard
foil and is shaped to reflect
sunlight onto a cooking pot
where it is converted into
thermal energy. A heat-resistant
bag surrounds the pot, acting
like a greenhouse to preventing
heat from escaping.
Renewable packaging,
Brazil
Danone‟s 100% renewable
plastic packaging for its Activia
yoghurts and fermented milks is
made from sugar cane. In
addition to using a locally
available resource, its production
process also ensures lower
carbon emissions than traditional
plastics.
Water conserving
agriculture, Dubai
Dubai-based Agricel recently
launched a farming system that
uses a film-like material instead
of soil and allows farmers to use
90 percent less water. Plants are
cultivated in a hydromembrane
composed of a water-soluble
polymer and hydrogel. The
membrane is said to protect
against microbial attack.
11
HOW IS THE SUB-TREND EVOLVING?
War on waste
Reducing the wasteful results of
consumption
A renewed focus on making the most of
what we have is emerging. Waste is
becoming less acceptable across the board,
and innovations are emerging to help
prevent waste in the first instance. People
too, are using strategies such as more
effective meal planning to avoid food
waste.
Mos Burger recycles
used oil and food
rubbish into plant food,
Japan
Innovation and packaging design that
helps prevent waste in the first place
Smart fridge keeps food
fresh longer and tell
consumers which items are
about to go off, South
Korea
Development of nano-silver
coated packaging to extend
shelf life of products, Israel
FROM
Closing the loop and
finding ways to usefully
repurpose waste
TOWARD
Traffic-light style food label
indicates freshness more efficiently
than use by dates, helping reduce
food waste, UK
Nescafé‟s innovative
packaging to reduce
carbon footprint, Global
12
SUB-TREND: War on waste
Reducing the wasteful results of consumption
Food freshness label, UK
Open Life Packaging, a UK based
company will soon launch its
time, temperature and enzyme
pH measuring labels. The label
remains green when the product
is good to consume, amber when
the best by date has passed and
red when the use by date
arrives. This helps consumers
and retailers to judge the
freshness of a product and to
reduce food waste.
Nano coated „killer‟
paper, Israel
Scientists at Bar-llan University
in Israel have developed a
method for quickly coating paper
with anti-microbial silver nano
particles using ultrasonic
radiation. The process will have
significant implications for
creating packaging that extends
the shelf life of foods by
exploiting the bacteria killing
properties of silver particles
embedded within it.
Smart fridge, South Korea
LG‟s recently developed smart
fridge sends alerts to consumers
when food items are about to go
off and suggests personalised
recipes for items that should be
used soon. LGs linear
compression technology also
helps preserve food longer.
13
HOW IS THE SUB-TREND EVOLVING?
Climate conscious
TOWARD
Protecting the world‟s
environment and biodiversity
Carbon emissions continue to receive
attention and media coverage is ensuring
that issues such as sustainability of fish
stocks are starting to appear on peoples‟
radar. Brands and retailers are responding
to this by making it easier for people to
make choices they can feel good about.
Carbon neutral juice company
reconverts its fruit waste into
organic fertiliser for its own crops,
Australia
Smart phone app connects
consumers to local farms
and markets in their area,
USA
FROM
Rising transparency around carbon
impacts and a move to low impact
solutions with niche appeal
Acai Vodka
produced from
the fruits of the
rainforest and
supporting the
rainforest,
Brazil
Locating low impact products
more easily, and their expansion
into more categories
Max Burgers, a fast food
chain displays the carbon
impact of food items on its
menus, Sweden
A carbon neutral beer
where the impacts
have been reduced
before offsetting, UK
14
SUB-TREND: Climate conscious
Protecting the world‟s environment and biodiversity
Carbon conscious fast
food chain, Sweden
Max Burgers displays the carbon
footprint of its products on its
menus and sources locally raised
beef and chicken. It also plants
89,000 trees every year to offset
its carbon impact. They
showcase their ongoing efforts
with the slogan “We are going to
be the best burger chain in the
world.”
App to locate low impact
food, USA
MI Farm Market Finder is a free
smart phone app that helps
Michigan based consumers locate
farms and markets in their area
and buy products directly from
the grower. The app helps locate
the closest market, helping to
minimise transportation and
travel carbon impacts.
Zero carbon juice,
Australia
Found Organic claims to be the
first carbon-neutral juice
company in the world. All fruit
waste from the cold pressing
process is converted into organic
compost that is used to fertilise
future harvests. They contribute
funds to local carbon offsetting
projects to reduce their footprint
to zero.
15
HOW IS THE SUB-TREND EVOLVING?
Good causes
Supporting a worthy cause
through purchase choices
Supporting good causes through
purchasing behaviour has become easier
for people as more brands and retailers
offer the opportunity to give something
back. People are scrutinising who really
benefits, and directing support to the local
issues or where the benefit can be seen.
TOWARD
Supporting local businesses and integrating local
producers into supply chains
SABMiller‟s cassava beer integrates
the produce of local subsistence
farmers into its supply chain,
Mozambique
Japan promotes the
localisation of agriculture in its
national school feeding
programme, Japan
FROM
Supporting issues further afield
Madeine France connects
with businesses helping consumers
consumers to French
offer support with limited effort
producers to protect local
Snickers offers
to pay for 2.5
million meals
from the
proceeds of the
„Bar Hunger‟
campaign bar
sales, USA
jobs, France
Waitrose give the
customer the
choice of local
causes to support,
GB
16
SUB-TREND: Good causes
Supporting a worthy cause through purchase choices
Buying local to protect
jobs, France
Madine France is a recent
initiative started by consumers
that promotes the purchase of
French products. Its website
connects people to French
producers and encourages them
to buy local in order to protect
local industries and suppliers in
difficult economic times.
Promotion of local
agriculture, Japan
„Chisan chishou‟ - literally, local
production and local consumption
- has become an important trend
in Japan. The government is
promoting it in the national
school feeding programme. It
connects schools directly with
local farming and fishing
communities to support local
businesses and to nurture
children‟s awareness of local food
industries and the environment.
Locally sourced beer,
Mozambique
SABMiller has become the first
brewer to produce cassava
lager. The lager, available in
Mozambique, is created from
the root of the cassava shrub,
which is widely cultivated in
Africa. The beer uses locallysourced raw materials, and
offers opportunities for
subsistence farmers in the
company‟s value chains to
generate an income.
17
HOW IS THE SUB-TREND EVOLVING?
Fair treatment
Treating animals and people
fairly in the production process
Fair treatment is moving from a niche
concern impacting a few products and
categories to a more mainstream
movement, particularly as retailers are
now making some Fairtrade product
choices the default option.
FROM
Fairtrade is increasingly becoming a default
choice and is expanding into a range of
categories
Walmart has recently announced
plans to offer 500 fairtrade
products in its stores by 2016,
Global
Fairtrade Finder, a crowdsourced app helps consumers
locate fairtrade products in their
area, USA
Increased transparency and
pressure on the mainstream to
adopt fair practices
The campaign
for
supermarkets
and fast food
outlets to
adopt better
welfare for
chickens, UK
TOWARD
Clothing company works only
with designers who use no
animal materials and fair labour
practices, Belgium
McDonald‟s, now the
biggest coffee seller in
the UK, uses Rainforest
Alliance certified coffee,
GB & Global
18
SUB-TREND: Fair treatment
Treating animals and people fairly in the production
process
Fair clothing brand,
Belgium
New Belgian clothing company
HonestBy only collaborates with
designers that are open about
where their material and labour
are sourced, and have a
preference for no animal
products where possible. In a
bid to be fairer to customers
too, they claim to be the first
company in the world to share
the full cost breakdown of its
products.
Fairtrade finder app, USA
There are now more than 10,000
Fairtrade certified products
available in the US, and the
Fairtrade Finder app allows
smartphone users to locate
Fairtrade products in stores near
their location using crowd
sourced data.
Walmart goes Fairtrade,
Global
Walmart, the world‟s largest
retailer is planning to introduce
500 Fairtrade products made by
20,000 women from more than
.
20 countries in its shops by
2016. Products will be one-of-akind handicrafts, such as
jewellery and clothing made by
women in emerging markets
such as Guatamala and
Thailand.
19
COUNTRY RELEVANCE
How does this trend play out in Ireland and GB?
Continuing economic uncertainty has been driving increasing concern with waste reduction and efficient
resource use. As a result, a more responsible outlook to consumption has emerged, though not all consumers
connect this directly to sustainability.
Ireland
• Responsible consumption has an established
tradition in Ireland with a longstanding
consciousness about food waste. The
recessionary environment has further ingrained
this trend with people increasingly looking for
ways to plan meals and food purchases
efficiently.
• Sustainability is not a top level concern for most
people, however, shoppers are willing to engage
with environmental and social causes when
brands and retailers provide opportunities for it.
• Ireland‟s ongoing economic difficulties have
further strengthened the perception that
supporting the domestic economy by buying
Irish is a worthy social cause. Building local and
national resilience is a particularly strong
dimension of this trend.
Great Britain
• Buying British is emerging as an important
trend though for most consumers this means
supporting the local economy rather than a
commitment to environmental concerns, such
as reducing carbon footprints.
• Animal welfare is a growing concern for many
people. Because of higher perceived animal
welfare standards vis-à-vis the rest of Europe
this also drives a preference for British
products.
• Fairtrade is becoming a default choice in many
categories, with more and more retailers
providing this choice to consumers.
• Similarly to Ireland, food waste is becoming a
key concern and people are looking for ways to
use their food purchases with increased
efficiency.
20
COUNTRY RELEVANCE
How does this trend play out in Ireland and GB?
Ireland
Great Britain
Conserving Resources
Conserving resources
Living in a world where resources are
increasingly in short supply
Living in a world where resources are
increasingly in short supply
War on waste
War on waste
Reducing the wasteful results of
consumption
Reducing the wasteful results of
consumption
Climate conscious
Climate conscious
Protecting the world‟s environment
and biodiversity
Protecting the world‟s environment
and biodiversity
Good causes
Good causes
Supporting a worthy cause through
purchase choices
Supporting a worthy cause through
purchase choices
Fair treatment
Fair treatment
Treating animals and people fairly in
the production process
Treating animals and people fairly in
the production process
Strength in 2012:
Cooling
Still warm
Heating up
21
SHOPPER DIMENSIONS
22
SHOPPER DIMENSION
How does this trend play out for shoppers?
Retailers are adopting a holistic approach
to sustainability from supply chains to
store design
Glimpses of the future
Shoppers increasingly expect retailers to be leading the way
with ethical and sustainable practices. Increasingly, this
means taking a holistic, „cradle to grave‟ approach, beginning
with ensuring suppliers have sound sustainability credentials,
or even helping them improve the sustainability practices of
their own businesses. In January 2012, Asda announced it
was creating a peer to peer online collaboration space called
Sustain & Save Exchange where suppliers can share best
practice techniques and explore opportunities to work with
the grocer.
Following smaller sustainable store
trials, in 2012, Marks and Spencer
will launch its largest and most
sustainable store to date, where the
design strategy will address several
sustainability issues, including;
carbon, waste, biodiversity, and
access across the 209,068 sq ft
store.
Store design is another area of focus, where a growing
number of retailers are recognising the environmental impact
and high energy use of formats, such as department stores.
Here, innovative architecture and design is facilitating large
scale sustainable retail outlets that minimise a broad
spectrum of sustainability impacts.
M&S flagship
eco store, UK
Celebrating
sustainable
supply, Mexico
Retailers are rewarding more ecofriendly suppliers. Walmart Mexico
has introduced a Sustainable
Provider Award, which in 2012 was
won by Unilever Mexico for the
reduction of the phosphate content
of their detergents and for their
efforts to use water efficiently at
production plants in the MexicoCentral America region.
23
SHOPPER DIMENSION
How does this trend play out for shoppers?
In store initiatives and smartphone apps
are making it easier for shoppers to make
more responsible choices
Both new technologies and in-store initiatives are making it
simpler for shoppers to make more informed and responsible
choices in store, without having to make sacrifices or
compromises. Smartphone apps such as the Good Guide
(shown right) now allow products to be compared on a range
of ethical and sustainability credentials at the point of
purchase.
In store, retailers are employing simple solutions, such as the
own-brand refill station in Asda supermarkets, that encourage
shoppers to reduce packaging waste and save a little money
in return. Positioning in store also raises shopper awareness
of the issue, as well as making it an easy choice. Retailers
have a significant opportunity to encourage shoppers to
behave more sustainably by offering more responsible
choices as the default choice.
Glimpses of the future
Good Guide,
sustainability
rating app, USA
With the Good Guide mobile app,
shoppers can scan products and
receive ratings on a scale of 10
about the environmental, social
and health impact of over 120,000
products.
Refillable
packaging, UK
Asda supermarkets are trialling instore refills for their own brand
fabric softener. Consumers can
refill their own packets in-store
and the scheme reduces packaging
waste as well helping shoppers to
save money.
24
POINTS TO PONDER
Consumer
•
•
How could you encourage or facilitate people to
use less resources in their everyday lives? How
might your products or brands be made in a less
resource intensive way?
How could you help people to reduce the
amount of waste they create? Can you support
strategies such as batch cooking?
•
Could you make it easier for people to
understand the carbon and climate impact of
your products? How can this be communicated
in a meaningful way to consumers who may
have competing priorities?
•
What local causes could your brands support?
Which causes would your brands have most
permission to align with?
Shopper
•
How can you better align with or
demonstrate your sustainability credentials
to retailers?
•
How can sustainability commitments be
effectively communicated to shoppers in
store?
•
What elements of your retail model be made
more sustainable? E.g. reducing pack sizes
by concentration to save distribution costs or
moving to refill models
25