It has been observed over the years that buying and spending behaviors of consumers have changed. For example, millennials especially, are becoming more conscious when it comes to spending their money. They generally spend more carefully than previous generations. However, when they do spend, they prefer brands that care about social issues, apply sustainable production practices and implement ethical business standards.
A report published by Shelton Group revealed that it’s important for brands to take a stand on social issues. “Brands & Stands: Social purpose is the new black” found that 86% consumers want companies to stand for social issues. Moreover, 64% of them are likely to buy from such companies. According to Nielsen’s 2015 Global Corporate Sustainability Report, 66% of consumers would spend more on a product if it came from a sustainable brand.
In today’s world, consumers have far more greater awareness about the impact the products they buy on environmental systems and social welfare; therefore, it’s essential for consumer brands to invest in sustainability for the long term success. Brands that master sustainability will not only be rewarded with consumer loyalty and goodwill, but can also carve out a competitive advantage by contributing to build a better world.