Green Retail: How retail benefits from the trend towards sustainable products

Sustainable products are good for the environment – ​​so far, so undisputed. But why should retailers rely on them? Are there benefits that go beyond ethically correct behavior? Why retailers benefit from ecologically compatible products on several levels.

 

There is a great need for action – and people know it. Nine out of ten Germans want a more environmentally and climate-friendly economy ; for them, protecting the climate and the environment is the fifth most pressing issue that (economic) policy should address.

 

And it is by no means only young people who see it this way. Environmental awareness is highest in two age groups : 14 to 29 year olds and older people aged 65 and over. So much for the common prejudices.

 

Sustainable Products: Here to Stay

 

Things get interesting, of course, when it comes to consumer behavior. There are no restrictions on fundamentally considering environmental protection important. But do consumers act accordingly? Are they prepared to make compromises and even pay more for this noble goal?

 

The REWE Group, GfK and the German Sustainability Award Foundation investigated this question in a joint study . Their conclusion: “ The results give cause for long-term optimism.”

 

·      The trend towards more sustainable products is long-term and unbroken, across all generations.

·      GenZ and Millennials in particular are putting pressure on us: they will ensure that the relevance of and demand for more sustainable products will continue to increase.

·      Despite difficult economic times, the trend towards organic food remains unbroken, meat consumption is declining and shifting to higher-quality products. Milk substitutes are also gaining acceptance.

·      More than two-thirds of consumers say they prefer regional products when shopping.

 

And what about the willingness to pay?

 

However, there are two shadows cast over this positive picture. Firstly, sustainable packaging and, above all, reusable to-go solutions are not gaining acceptance among consumers as quickly as would be desirable.

 

And above all: the willingness - or the possibility - to pay more for ecologically compatible products is relatively low. Corresponding studies come to different results. The GfK Sustainability Index from January 2024 shows that three quarters of those surveyed are in principle willing to spend more money on a sustainable purchase .

 

However, the 2024 study “ Attitude-Behavior-Gap in the Food Retail Sector ” by the Baden-Württemberg Cooperative State University paints a different picture: According to the study, agreement with the statement “The idea of ​​sustainability influences my eating and purchasing behavior” has continuously declined from 2021 to 2024.

 

In other words, consumers are well aware that sustainable purchasing behavior is important – but many of them are not willing or, for financial reasons, unable to implement this knowledge.

 

How Retail Can Best Integrate Green Products

 

The study authors at DHBW derive some interesting recommendations from the results, including:

 

👉 “Sustainability must be a basic attitude and part of the purpose of companies. The responsibility for this should not just be delegated to a sustainability department.”

👉 “In addition to price, brand loyalty is an obstacle to more sustainable consumption in habitual purchasing decisions. The branded goods industry is required to make products and packaging more sustainable.”

👉 "In the product range policy, the corresponding range of sustainable items must be created through new listings of brands and also own brands. Sustainable products must not only address sustainability, but should contain a value proposition that serves all of the customers' needs. The elimination of non-sustainable products and non-sustainable supply chains should be implemented industry-wide."

👉 “Sustainable products must be easy to find at the POS as an alternative to conventional products.”

👉 "Packaging sizes must be adapted to the actual quantities required. In addition, the ecological balance and recyclability of the packaging should be transparent for customers."

 

Image and sales: Sustainable products give retail a boost

 

Retailers who credibly integrate sustainable products into their traditional product range demonstrably benefit on several levels. Credibility is of central importance: Consumers have been bombarded with greenwashing for so long that they are now very sensitive to implausible or unsubstantiated promises. The European Commission's proposal for a directive on green claims was as logical as it was long overdue.

 

One of the most important effects of sustainable products on retail is image transfer. According to a study by the ECC Cologne, 48 percent of German consumers believe it is important that retailers and manufacturers take a clear stance on sustainability issues. They see plastic-saving or plastic-free packaging as the most important feature.

 

The market and opinion research institute YouGov specifically asked about attitudes towards retail : According to the survey, 25 percent of Germans consider sustainability in retail to be important. More than three quarters of this group say they have no problem paying a little more for sustainable products. Young women are significantly overrepresented here.

 

But the listing of sustainable products also has a tangible impact on sales and growth. A comprehensive study by Simon-Kucher provides a clear picture: 19 percent of consumers buy less and 8 percent buy nothing at all if no sustainable products are offered. 43 percent are willing to pay more for ecologically compatible products. For a whopping 45 percent, sustainability is a decisive factor in choosing a retailer.

 

How retailers and consumers benefit from EccoClean

 

And what does all this have to do with EccoClean? A lot, in fact! The Swiss start-up produces sustainable washing powder in sustainable packaging. A product that is ideal for retailers who want to expand their green range.

 

🧩 Product : Michael and Jason Zimmerer produce the washing powder themselves in Switzerland. They completely avoid additives such as fillers or flow agents - so consumers receive the pure active ingredient.

🧩 Packaging : Each paper sachet contains seven grams of washing powder. This dissolves in water after a few seconds without leaving any residue. The outer packaging (24 sachets each) is made of cardboard, which is disposed of with the waste paper.

🧩 Shelf : The packaging is designed (incidentally, based on extensive feedback from retailers) in such a way that the retailer generates more sales per shelf meter. It is wide enough to attract attention, but at the same time narrow enough and oriented vertically so that it takes up little shelf space. This means that hundreds of loads of laundry fit on the shelf.

🧩 Pricing: The EccoClean washing sticks are deliberately designed to be inexpensive; they are in the lower middle range compared to the competition – regardless of whether they are green or conventional detergents.

🧩 Convenience : The packaging in paper sticks makes handling extremely easy for consumers and also prevents skin contact, which is an important criterion for allergy sufferers. The boxes with the sachets are small and light and not a millimeter too large. They are also ideal for the growing number of single households.

🧩 Certificates : All information provided by EccoClean is independently confirmed. Biodegradability, skin compatibility, washing effect and raw material origin: EccoClean has recognized certificates for all dimensions of sustainability.

 

Is EccoClean also interesting for your detergent range?

 

Let’s talk about possible collaborations – we look forward to hearing from you!