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Speakers at two recent Sustainable Cosmetic Summits, including L'Oreal execs, say that consumers' behavior is a barrier to sustainable development.
December 9, 2013
By: Jamie Matusow
Editor-in-Chief
One of the key messages from the European and Asia-Pacific editions of the Sustainable Cosmetics Summit, where over 150 senior executives recently convened, was that consumer behavior needs to change. A number of speakers suggested that consumer behaviour was becoming a major barrier to sustainable development of the cosmetics industry. Organic Monitor, organizer of the summits that were recently held in Paris and Hong Kong, says that although brands are implementing a raft of sustainability initiatives, consumer education and recognition of such remains low. The lack of consumer demand for green products and ingredients is discouraging brands to make greater commitments. However, awareness of biodiversity, as well as green issues, is rising in Asia, Organic Monitor says. Over 70% of Chinese and Korean consumers state they are aware of such issues – but, this awareness is not translating into demand. The Asia-Pacific comprises less then 10% of global green cosmetic sales, and there are many ethical questions about cosmetics there, including the use of animal ingredients and animal testing methods. Speakers at the summit, including executives from L’Oreal, discussed how consumer awareness is an issue in Europe. The company started to include environmental data on some products in accordance with the Grenelle law, however it was discouraged by despondent consumers. As a result, L’Oreal has decided to halt environmental product labeling because consumers couldn’t relate to footprint data. With companies spending thousands of dollars on life-cycle analyses, panelists asked if it was worth it considering, when consumers are showing such little concern. Lack of consumer awareness was also cited as a factor behind the low take-up rate of sustainable palm oil. Although the industry is calling for more sustainable production, demand is not keeping with supply: only half of RSPO palm oil is sold as sustainable palm oil. Higher consumer awareness of sourcing issues could put pressure on companies to ethically source the vegetable oil, especially in Asia where palm oil plantations are causing deforestation and air pollution. Discussions also centred on marketing and consumer issues related to green cosmetics. According to Havas Media Group, 88% of European consumers are hungry for information about how cosmetic companies source natural ingredients. However, 45% of consumers believe natural & organic claims by cosmetic brands are not credible. The media agency called for brands to inspire consumers by communicating their sustainability efforts more effectively. The 2014 editions of the Sustainable Cosmetics Summit aims to address more issues, including these:
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