Around a third of German consumers are willing to spend more on sustainable products, the latest edition of The Global Sustainability Study 2021 has revealed.
The study, conducted by the strategy and marketing consultancy Simon-Kucher & Partners, included over 10,000 participants across 17 countries, with more than 1,000 respondents in Germany.
The study also noted that the clear signal from consumers is that sustainability will be the norm in the future, not the exception.
Around 88% of German consumers have become more sustainable in their consumption behavior in the recent years.
The study revealed that baby boomers, born between 1946 and 1964, and Generation X, born between 1965 and 1975, each with 33%, were more likely to actively opt for sustainable purchase alternatives than the millennials, born in the early 1980s to late 1990s, with a 28% share.
For 58% of Germans, sustainability is a relatively important purchase criterion (consumers worldwide: 60%) and is therefore quite relevant, but less than other factors such as price and quality.
According to the results of the study, sustainability plays a major role in purchasing decisions in the energy/utility (75%), construction/house (64%), travel and tourism (63%), consumer goods (62%) and automotive (54%) sectors.
In the financial services sector, on the other hand, the topic seems to be less important for consumers.
Dr Andreas von der Gathen, Co-CEO of Simon-Kucher, said, "The importance of sustainability in the purchasing process will continue to increase. Already, half of consumers cite sustainability as one of the most important value drivers."
"Consumers' expectations of sustainability are increasing: In the future, sustainability will be the norm, not the exception. Correspondingly, companies have to rethink and make it a central component of their value proposition."
Premium For Sustainable Products
On average, just under a third of respondents in Germany (worldwide: 34%) are willing to pay more for sustainable products or services, and those who are willing to spend more would on average pay a premium of 18% (worldwide: 25%), the study highlighted.
Consumers are particularly willing to pay a premium for sustainable products or services in the consumer goods sector (40%), followed by automotive, construction/home and energy/utilities (31% each).
The willingness to pay more for sustainability is particularly pronounced in the consumer goods industry (40%), followed by cars, and lowest in financial services.