• 07/25/2024
  • Article

Customers are Adapting Their Consumption

Sustainability is an important purchasing criterion despite inflation-related increases in the cost of living. This is confirmed by a consumer survey conducted by PricewaterhouseCoopers (PwC). According to the survey, in addition to measures to avoid food waste, customers particularly want better packaging labeling and brand communication.

Milk packaging in the refrigerated section.
Customers are more aware of sustainability and are demanding better packaging labeling and discounts for expiring products.

According to a recently published report by the United Nations Environment Programme, an average of 79 kilograms of food was wasted per capita worldwide in 2022. An enormous amount that would have been even higher without the use of high-quality packaging, experts agree. But how can this problem be tackled?

One answer is to reduce prices. 70 percent of consumers in Germany would be prepared to buy edible food for a reduced price, which would otherwise be at risk of being disposed of in organic waste. This is the result of a survey by PricewaterhouseCoopers (PwC) entitled “Voice of the Consumer 2024.” The auditors surveyed around 20,000 people in 31 countries, including more than 1,000 consumers from Germany. According to the study, consumers in Germany are more willing to do so than internationally, where the average figure is only 60 percent.

Food Retailers Have a Duty to Act

“Sustainability is an important purchasing criterion, but is in conflict with the inflation-induced rise in the cost of living,” believes PwC sustainability expert Emanuel Chibesakunda. With one simple measure, food retailers could immediately counteract both consumers' concerns about inflation and food waste: by consistently lowering the prices of items that are approaching their best-before date.

As this approach is still too rarely implemented in the opinion of the Citizens’ Council for Food appointed by the Bundestag, it recently recommended that supermarkets with a sales area of 400 square meters or more should be obliged not to dispose of edible products in organic waste but to pass them on to organizations such as food banks. Otherwise, retailers would face fines.
However, it is not only the food retail sector that is called upon to act, but also consumers – by changing their shopping habits. The PwC study shows that around four in ten of those surveyed are prepared to do this. They are already reducing their overall consumption or buying more sustainable goods with a lower carbon footprint, including second-hand items or products made from recycled materials. However, the remaining 60 percent or so still need to be won over to this approach.

Packaging and Labeling Improve Sustainability

According to the survey participants, packaging and labeling also need to be improved to achieve this. Around half of those surveyed are in favor of independent sustainability labeling. And 46 percent state that they would rather buy products from a brand that is committed to reducing waste and promoting recycling. “Retailers also have the opportunity to positively influence sustainable purchasing decisions by making targeted adjustments to their product range and focusing even more on corresponding product variants,” says Chibesakunda.
According to the PwC expert, brand communication that builds trust also plays a major role. Such measures could generate more transparency and credibility in the supply chain – for example through eco-labeling formats – and consistently communicate their own sustainability goals. At the same time, it would be possible to show to what extent one's own ambitions have already been achieved.

According to the expert, the focus should not only lie on climate protection in production, but also on what a retailer or manufacturer is doing to reduce waste or protect water bodies. It also makes sense to involve customers in product development processes via social media in order to take regulatory requirements and customer needs into account in equal measure.