US Sustainability and Online Shopping Market Report 2022

Overview

• What you need to know
• This Report looks at the following areas
• Definition
• Market context

Executive Summary

• Top takeaways
• Market overview
  • Figure 1: Sustainability outlook, 2022-27
• Opportunities and challenges
• Sustainability won’t beat out price, quality
• Help consumers understand their direct environmental impact
• Focus on delivering sustainability in last mile services
• Key consumer insights

Market Landscape

• By working together, brands and consumers can make the online shopping process more sustainable
• Pesky plastic produces problems, pollution
• Emissions ignite issues
• Returns lead to reduced sustainability
• What this means

Market Factors

• Economic turbulence shouldn’t detract from sustainability efforts
  • Figure 2: Consumer Price Index change from previous year, 2020-22
  • Figure 3: Consumer Sentiment Index, 2010-22
• A growing younger population will emphasize the need for sustainability
  • Figure 4: Population by generation, 2026 estimates
• Tech enables greater participation, education in sustainability

Competitive Strategies and Market Opportunities

• Browser extensions help consumers shop consciously online
  • Figure 5: Goodbuy helps consumers buy better
• Packaging steps away from waste, dives into sustainability
  • Figure 6: Boox showcases the ugly side of delivery while offering solutions
• An Amazon update: trying to lead the way but challenged by its size
• A new payment option rewards consumers for shopping sustainably
• • Figure 7: FutureCard keeps consumers updated with sustainable brands to shop
• Collaborate with suppliers to provide eco-friendly options to shoppers

The Sustainability-conscious Consumer – Fast Facts

Sustainability Knowledge

• Education is still critical for many consumers
  • Figure 8: Sustainability knowledge, 2022
• Younger consumers are knowledgeable shoppers
  • Figure 9: Sustainability knowledge, by generation, 2022
• Multicultural consumers are aware of brands’ sustainability efforts
  • Figure 10: Sustainability knowledge, by race and Hispanic ethnicity, 2022
• Consumers look to expand their sustainability knowledge
• • Figure 11: Sustainability interest, 2022
• Shoppers need education around delivery and return practices
  • Figure 12: Microinfluencers can reach a niche audience
  • Figure 13: Sustainability interest – Deliveries and returns, 2022

Attitudes toward Sustainability

• Consumers intend to get involved with a variety of sustainability initiatives
  • Figure 14: Attitudes toward sustainability, 2022
• Younger consumers want to shop sustainably but budgets can be a barrier
  • Figure 15: Attitudes toward sustainability, by generation, 2022
• Traditional purchase factors still drive interest over sustainability
  • Figure 16: Sustainability versus other purchase drivers, 2022
• Women are more likely to try a sustainable brand outside their comfort zone
  • Figure 17: Sustainability versus other purchase drivers, by gender, 2022
• Younger consumers are split between focusing on sustainability and price
  • Figure 18: Sustainability versus ecommerce traits – Price, by generation, 2022

Sustainable Shopping Behaviors

• Consumers remain interested in sustainable services, albeit a bit less than last year
  • Figure 19: Services of interest, 2022
• Younger generations are more conscious of their sustainable shopping behavior
  • Figure 20: Services of interest, by generation, 2022
• Reward frequent online shoppers for sustainable shopping behavior
  • Figure 21: Services of interest, by online shopping frequency, 2022

Sustainability Research Behaviors

• Transparency, authenticity must be at the heart of sustainability marketing
  • Figure 22: Vital Farms show a day in the life of its egg-laying chickens
  • Figure 23: Attitudes toward sustainability marketing, by generation, 2022
• Sources of information
• Consumers want to trust sources for brands
  • Figure 24: Sources of information, 2022
• Multicultural consumers actively research sustainability across a myriad of platforms
  • Figure 25: Sources of information, by race and Hispanic ethnicity, 2022
• Regulation knowledge and sustainability claims of interest
• Brands can be leaders in sustainability education
  • Figure 26: Claims knowledge, 2022
• Tangible claims remain most sought after
  • Figure 27: Allbirds highlights product impact with carbon impact labels
  • Figure 28: Claims of interest, 2022
• Younger consumers look for a wider range of claims from brands
  • Figure 29: Claims of interest, by generation, 2022
• Time spent researching
• Consumers are looking for quick consumable content
  • Figure 30: Patagonia takes to longer-form content to provide more in-depth sustainability education
• • Figure 31: Time dedicated to research, 2022
• Younger consumers are willing to spend more time on sustainability research
  • Figure 32: Time dedicated to research, by gender and age, 2022

Important Sustainability Factors

• Consumers shift slightly to focus on implications of last mile services
  • Figure 33: Important purchase factors, 2022
• Hispanic consumers need transparency about product materials
  • Figure 34: Important purchase factors, by race and Hispanic ethnicity, 2022
• Parents consider a variety of sustainable factors
  • Figure 35: Important purchase factors, by parental status, 2022

Influence of Price

• Willingness to pay more for eco-friendly products wanes
  • Figure 36: Willingness to pay more, any category, 2022
• Consumers are open to higher prices within certain categories
  • Figure 37: Willingness to pay more, by category, 2022
• The intent to purchase at a higher price doesn’t mean consumers actually will
  • Figure 38: Willingness to pay more, any category, by generation, 2022
• Likewise, ability to pay a premium doesn’t mean that consumers are willing to do so
  • Figure 39: Willingness to pay more, by household income, 2022

Brands’ Role in Sustainability

• Consumers look to brands to lead sustainability initiatives
  • Figure 40: Attitudes toward sustainability – Brands’ role, 2022
• Returns, waste weigh on consumers’ minds
  • Figure 41: Brands’ responsibilities, 2022
• Generations prioritize different sustainability initiatives from brands
  • Figure 42: Brands’ responsibilities, by generation, 2022
• Parents look for assistance when disposing of packaging, items no longer in use
  • Figure 43: Brands’ responsibilities, by parental status, 2022

Appendix – Data Sources and Abbreviations

• Data sources
• Consumer survey data
• Consumer qualitative research
• Abbreviations and terms
• Abbreviations
• Terms