According to a new survey by the consulting firm, Bain & Company, sustainability is a growing concern for Indian consumers who are gradually moving towards environment and socially conscious choices. Around 60 per cent of the Indian consumers are willing to pay a premium price for products that are sustainable.
The report highlights how sustainability is a growing concern for Indians; 20 per cent are environment conscious while 49 per cent are health conscious. The awareness and the intention to make mindful choices have motivated consumers to opt for environment-friendly products and decisions.
Among those surveyed, 43 per cent highlighted sustainability as the top key purchasing criteria. However, the fact that sustainable products comprise only a five per cent market share in packaged goods reveals a gap that might arise due to challenges in the purchase journey and pricing factors.
“There is a latent demand for sustainability products which consumers are not acting on – the ‘say- do’ gap. his presents a huge market opportunity and a consumer trend that is value accretive, not just good for the planet or good for investors but good for investors but good for the consumer and business” said Ravi Swarup, Partner at Bain & Company in India.
In the Asia-Pacific region, among the 16,000 consumers surveyed, 15 per cent choose not to buy sustainable products due to the lack of information and the lack of trust in the credibility of the products. 10 per cent cited low availability and 16 per cent price as deterrents.