The Generation Z users are the most serious allies in the cause for sustainability

Will consumer loyalty increase with the adoption of the new ESG standards?

Businesses have an incentive to be more socially responsible and conscious because nearly two-thirds of the economically active population confirm that they would make changes to their consumer behavior to improve climate conditions.

As early as the end of 2019, studies have shown that young and socially active demographic groups would be willing to spend more on products from sustainable brands. This conclusion is also supported by Dan Berthiaume, an expert in retail technology, based on research from the First Insight platform, highlighting the leading role in the choices made by the youngest consumers.

"Generation Z is the most inclined to engage with brands and companies that it considers ethical."

The data confirms that the real need for transforming businesses, both on a global and local level in Bulgaria, will come from the largest market force – the customers.

Consumers are the most serious allies in the sustainability cause, and their behavior will significantly influence the implementation of the new ESG standards in the European Union.

Will consumer loyalty increase with the introduction of ESG standards by all brands?

Giving a definitive answer is difficult. It primarily depends on the actions of the company itself. Recent studies by IPSOS, one of the three largest global consumer insight agencies, alert that consumers are not willing to change their behavior solely for the sake of sustainability, and poor implementation of ESG standards leads to reputational risks.

Consumer choice should be motivated by additional "shared benefits" because people are highly sensitive and negatively inclined towards formal and self-serving promotion of corporate social responsibility. They often turn their own social media platforms into channels for serious corporate pressure.

We will help you avoid the risks of greenwashing by offering a meaningful set of solutions in the context of the new standards.

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