As consumer awareness grows, brands must adapt their strategies and innovate sustainable solutions that align with eco-conscious values, ensuring a balance between luxury and environmental responsibility.

As the dialog around sustainability intensifies, brands are increasingly recognizing the need to adapt to eco-conscious consumer expectations. Today’s consumers are not just passive recipients of products; they are informed, engaged, and expect brands to reflect their values, particularly when it comes to environmental responsibility.

At London Packaging Week, a panel discussion featuring Cory Connors, director of Sustainable Packaging at Orora Packaging Solutions; Michelle Atkinson, senior global breakthrough innovation lead – Sustainable Solutions at Diageo; and Sarah Flower, senior product manager – Luxury Packaging & Technical Solutions at Fedrigoni, presented insights on how brands can align their offerings with the evolving demands of eco-aware consumers.

Understanding the eco-conscious consumer

To effectively cater to eco-conscious consumers, brands must first understand their motivations and behaviors. Atkinson acknowledges that consumers are now more aware than ever of climate change and its implications. “Consumers care about the planet, they care about climate change, and they want to be more sustainable in the way they live, but there’s a gap between what they say they want and what they actually purchase,” she says. “In the drinks industry, we’ve seen that while 68% of consumers express a desire to buy sustainable products, only 12% do so.”

This discrepancy raises important questions for brands, specifically “what prevents consumers from following through on their intentions?” One significant barrier is the overwhelming array of choices available in the marketplace. For many consumers, the sheer volume of options can lead to decision fatigue, making it challenging to prioritize sustainability amidst a myriad of factors such as price, convenience, and brand loyalty.

Underscoring the need for brands to ensure that sustainability does not come at the expense of quality or enjoyment. Atkinson adds, “When enjoying a gin and tonic with friends on a Friday evening after a long week, nobody wants to risk compromising that experience.”

Atkinson suggests that the onus is on the industry to create sustainable products that enhance rather than detract from the consumer experience. “We must step up and create these sustainable products that are still luxurious and don’t compromise the consumer experience,” she explained. This highlights the dual challenge facing brands: they must not only innovate sustainable options but also ensure these products resonate with consumers’ expectations for luxury and quality.

The importance of clear communication

Effective communication is pivotal in bridging the gap between consumer intentions and actions. Atkinson raises the issue of how brands communicate their sustainability efforts, noting that clarity is essential. “We must ensure that our packaging reflects our sustainable efforts clearly and that consumers understand what they are purchasing,” she asserts. The challenge, however, lies in the diverse regulations governing sustainability messaging across different markets.

Connors highlighted the clutter of symbols often found on packaging, which can confuse consumers rather than aid them. “During an event last year, a poll asked consumers about 27 different packaging symbols, and the only one they recognized was the chasing arrow. We have these symbols now that are on packaging because people assume they will mean something to somebody but actually all it does is create a lot of noise,” he recalls. This lack of recognition illustrates the urgent need for standardization in sustainability messaging. “We’re hoping that standardization becomes a norm in the industry,” Connors states, advocating for clear and consistent communication that empowers consumers to make informed choices.

“Regional variations in consumer expectations mean we must tailor our messaging accordingly,” Atkinson notes, indicating that the nuances of sustainability may resonate differently depending on where a product is sold. For instance, while European consumers may be more familiar with specific sustainability symbols, American consumers might be less aware of the implications of certain materials. This inconsistency calls for a careful, targeted approach in educating consumers about what makes a product sustainable.

The role of consumer feedback cannot be understated in the development of sustainable products. Atkinson recounts Diageo’s trial of a paper bottle for Baileys, which was produced using dry mold fiber and included a thin PET liner. The bottle received a commendable score of 8.1 out of 10 for likability from consumers during feedback sessions. “At Diageo, we classify 8.1 as excellent, so we were absolutely delighted with the feedback. But one of the learnings from the trial was that it was apparent that consumers are looking for clearer information on what makes this bottle a sustainable option,” Atkinson observes, highlighting the need for ongoing dialog with consumers as products evolve. By incorporating consumer insights, brands can better align their products with expectations and preferences, thereby fostering stronger connections with their audience.

Flower reinforces the importance of consumer feedback in shaping product development. “It’s not just about creating a product that’s sustainable; it’s about ensuring it meets consumer needs and expectations,” she states. By actively seeking out and responding to consumer opinions, brands can develop more effective and appealing sustainable solutions.

Progress over perfection: A journey toward sustainability

One of the recurring themes throughout the discussion was the understanding that the journey toward sustainability is ongoing. Atkinson articulates this by saying, “It’s the first step on a much bigger journey.” The industry must recognize that achieving sustainability is not a destination but rather a continuous process of improvement.

Reflecting on the luxury market, Flower says, “We’ve been looking to eliminate microplastics going forward and talked a lot about progress over perfection. It is our way of trying to get one step ahead of the game,” underscoring that incremental improvements are crucial as the industry moves toward greater sustainability. This approach allows brands to celebrate their achievements while remaining committed to ongoing innovation and refinement.

Flower also notes the importance of a long-term perspective. “Sustainability underpins everything we do, and we are trying to develop products from the very outset that are designed to be circular,” she says.

This reflects a fundamental shift in thinking about product lifecycle and materials, as brands aim to create solutions that are not only sustainable but also capable of being reused or recycled. Innovation in materials is central to meeting eco-conscious consumer expectations. The luxury packaging sector has witnessed a notable shift toward alternative materials, particularly in response to consumer demand for reduced plastic usage. Flower discusses Fedrigoni’s commitment to developing paper-based packaging solutions as part of this trend. “We recognize that single-use plastics have devastating lifespans that far exceed their utility, and we must do better,” she explains.

The development of paper products with water-resistant and anti-scratch properties is one example of how technology is evolving to meet market demands. “We’re committed to developing solutions that enhance functionality while reducing environmental impact, and we are keen to collaborate with brands to create innovative solutions,” Flower states. Connors echoes this focus on innovation, highlighting the growing array of sustainable materials available to brands. “The future will see us exploring new options that align with our commitment to luxury while reducing our environmental footprint,” he affirms.

Collaboration across the industry is essential to fostering a culture of sustainability and driving meaningful change. Atkinson points out that this collaboration must occur at multiple levels, particularly within organizations where cross-functional teams can work together toward common sustainability goals. “We work cross-functionally with legal, regulatory, and R&D teams to ensure our innovations are viable and meet consumer needs,” she explains. Flower concurs, stressing that creating awareness of sustainability within organizations is critical. “If we are to achieve meaningful change, we need everyone to understand their role in this journey,” she states. This collaborative mindset can help brands harness collective expertise to innovate and implement sustainable solutions more effectively.

Another vital aspect of aligning with eco-conscious consumers is education as many consumers today are eager to learn about sustainability and the implications of their purchasing decisions. However, there remains a knowledge gap that brands must address. “Many people may not be aware of the gravity of our environmental situation,” Flower points out.

Brands have an opportunity to educate consumers about the impact of their choices, empowering them to make informed decisions. Connors underscores the importance of this educational role, stating, “It’s crucial for brands to engage consumers in a dialog about sustainability, helping them understand the benefits of choosing eco-friendly options.”

Atkinson adds that transparency is key, “Consumers are increasingly demanding to know the story behind the products they buy, and brands must be prepared to share that story,” she states. This transparency can foster trust and loyalty, encouraging consumers to support brands that align with their values.

The economic case for sustainability

While sustainability is often framed as a moral imperative, it is increasingly being recognized as an economic opportunity. The panelists discussed the shifting landscape of consumer preferences, where sustainability is becoming a crucial factor in purchasing decisions. “Our commitment to sustainability is not just about compliance; it’s about leading the way in creating a better future for our consumers and the planet,” Atkinson affirms. As brands adopt sustainable practices, they can also tap into new markets and attract a growing demographic of eco-conscious consumers.

“Sustainability is becoming a key differentiator in the marketplace,” Connors notes. “Brands that prioritize sustainability are likely to find themselves ahead of the curve, appealing to consumers who are willing to pay a premium for eco-friendly options.” Flower echoes this sentiment, highlighting that as consumer preferences shift, brands that fail to adapt risk being left behind. “It’s not just about meeting current consumer expectations; it’s about anticipating future trends and staying relevant,” she states.

The future of sustainable luxury packaging appears a place to be optimistic about but realistic in terms of the challenges yet to be overcome. Connors expresses his enthusiasm for the ongoing innovations in the sector. “It’s an exciting time to be focused on sustainable packaging. The future will be sustainable, whether we like it or not,” he affirmed, emphasiszng the industry’s need to embrace this transformation fully.

The journey toward sustainable luxury packaging may be challenging, but with commitment and innovation, brands can not only meet but exceed the expectations of eco-conscious consumers, paving the way for a more sustainable future. In a world where sustainability is no longer a niche concern but a mainstream expectation, the luxury packaging sector is at a crossroads. By embracing the principles of sustainability and aligning their strategies with consumer values, brands can navigate this transformation and emerge as leaders in the new era of eco-conscious consumption.