Consumer behavior is changing, according to a Kantar study, driving the development of sustainable consumer technology and a greener future.
New York City was recently covered in smoke from wildfires in Canada, highlighting yet another natural disaster linked to the planet’s rising temperatures. Emergency situations far away evoke sympathy, while those close by evoke fear. Consumer concerns are expanding along with the number of climate-related emergencies.
The statement “There is a need for urgent action to address climate change” is agreed upon by 86% of consumers, according to Kantar’s Sustainable Transformation paper. This feeling is anticipated to grow as more customers experience the effects of global warming firsthand. In addition, 45% of respondents to Worldpanel’s Who, Cares? Who Does? survey indicated that they agree or strongly agree with the statement, “I have recently found it harder to act sustainably due to social or financial constraints.”
Consumers in the technology sector, however, have other concerns besides sustainability. Up until May 2023 in Europe and the US, Kantar’s Worldpanel ComTech continuous, longitudinal tracker provides sales data for the previous month. Only 3% of consumers bought their phones with the goal of reducing their impact on the environment. Only 3% of consumers were swayed by a company’s environmental commitment, and only 1% of consumers chose their phones because of their phones’ repairable parts or use of recycled materials.
Although consumers who purchase technology may not think about sustainability first, it is frequently a side benefit. Consumer technology differs from many other sectors in terms of pricing and sustainability. For the majority of FMCG categories, consumers must fork over more money if they value sustainability.
However, refurbished smartphones give budget-conscious buyers the chance to purchase a smartphone at a lower price point; as a result, popularity is rising and sales are up 24% year over year. Consumers can save €52 by purchasing a refurbished smartphone, which typically sells for €366 (European 5: France, Germany, Italy, Spain, and the UK). Consumers are more likely to choose these devices as a cost-saving measure as inflation rises. In fact, the rate of adoption of refurbished/used items is higher among those who are Feeling the Pinch and Cautiously Coping.
