Household budget squeeze stalls sustainable choices in APAC | WARC | The Feed

Household budget squeeze stalls sustainable choices in APAC

Brand owners must prioritise and communicate the affordability of sustainable products and services to reduce pollution and waste, and accelerate decarbonisation, according to *Kantar’s “Sustainability Sector Index 2022” study.

Why it matters

Brands must deliver on price to avoid sustainability being seen as a luxury for the wealthy; offering a sustainable product with a price point that more people can afford will drive mass market adoption and help brands grow their value.

Takeaways

• 98% in APAC want to live a sustainable life but the rising cost of living is preventing 67% from acting on their good intentions.
• People in Thailand (76%) feel the most impact on their sustainable behaviour because of cost-of-living issues.
• 29% of consumers in APAC are among the most active when it comes to sustainability.
• 77% of APAC’s “actives” – those prepared to spend more to reduce their impact on the planet – are hit by rising cost of living.
• 66% of APAC shoppers say products that are “better for the environment and society” are more expensive.
• 40% who are “struggling” with household budgets actively seek brands offering ways to offset their impact on the environment.
• 84% of sceptical consumers say they have seen misleading information about sustainable actions taken by companies.
• 45% worry brands are involved in environmental and social issues just for commercial reasons.

Key quote

“APAC’s unique make-up of diverse economies mean affordable price points are an imperative to ensure shoppers convert their intentions into action when it comes to sustainability, especially as most of us want to do good” – Trezelene Chan, Head of Sustainability APAC, Kantar

*Kantar interviewed 33,000 consumers in 32 countries in the Americas (6,007), APAC (11,020) and Europe (16,017) in June 2022. APAC covered Australia, China, India, Indonesia, Japan, South Korea, Malaysia, the Philippines, Singapore, Thailand and Vietnam.