The transition to a sustainable economy is becoming increasingly important for governments. They have to take measures to achieve the net zero objectives that have been set at the European level, and at the same time follow the line of each country. However, this transition cannot be achieved without users participating in this change. One of the most effective ways for them to contribute is through consumption and for this reason, in recent years priorities have also been changing. Today, 61% of Europeans are already beginning to demand more ‘green’ information when making a purchasing decision.
Segment A study carried out by the consultancy Ey called ‘Sustainable Consumption in the EU: Circular and Ecological Economy’, it is key for companies to begin to integrate the needs of consumers to create more value and support the sustainable future and ensure that one of Each European ten requests more information and that there is a high interest in knowing what type of products they are acquiring and what ‘green’ conditions they have. Along the same lines, EU citizens believe that companies are the ones that have to promote sustainability by 72%.
Thus, there is great pressure that has been created in Europe to achieve sustainable objectives and regulations have prompted a new step to be raised in these surroundings. Even, according to the ‘big four’ document, 80% believe that the new regulations and industry standards are accelerating the energy transition. While 78% think that public-private partnerships make it possible to establish the “fair and necessary ESG regulatory framework” for this green path.
But 55% say that deceptive marketing discourages them from buying certain products, so they seek more exhaustively clear information to ensure about the merchandise they are purchasing. On the other hand, the study highlights the regulatory landscape that Brussels has created in recent years. First, the European Green Pact, better known as the Green Deal, which seeks to transform the economy of the European Union into a modern, resource-efficient and competitive one. Secondly, the taxonomies and then the Fit for 55 plan that seeks to reduce emissions by at least 55% by 2030. And finally the circular economy plan.
According to EY, the Circular Economy is one of the fundamental pillars of the European Green Pact. This is why they say that it must be scaled up and made mainstream in Europe, because they help preserve resources, “including some that are increasingly scarce or subject to price fluctuations.” It also serves to discover new business opportunities, cost savings for European industries, and mainly climate neutrality by 2050.
The European Commission has launched a project called ‘Digital Product Passport’ (DPP) which aims to create this official document for products in order to provide consumers with transparent information on origin, environmental impact and product safety. Specifically, it seeks to have complete traceability on the composition of the products in the European market. This passport, according to EY, will create more value for the client experience through the connection with the various business initiatives. You will have key data that will be required such as raw materials; their production; the potential damage to materials or product; use and specifications for recycling.
As a final conclusion, the experts say that there are still many unknowns and unresolved issues, but it is true that “we are moving towards a more regulated world in the field of sustainability” and a world where consumers are more concerned about these areas. The partner responsible for EY Transforma and the Business Consulting practice, Javier Vello, adds that sustainable consumption has become a decision factor for users: “This has led to the appearance of new forms of consumption, such as circular fashion that “It has begun to gain momentum to give new life to garments. We are at the beginning of a paradigm break in many industries. In the coming years we will have to adapt to the new way of playing,” he says.