Over the next five years, governance and cost will likely force manufacturers, brands, and retailers to transform and commit to sustainable business models to mitigate short- and long-term risk, according to "The Changing Climate of Sustainability,” research from NielsenIQ.
"Sustainability has been on the corporate agenda for some time, as a slow burn priority where some businesses have made proactive decisions to get ahead of the pack and others have taken a wait and see approach," said Regan Leggett, foresight leader at NielsenIQ, in a statement. "Exploding energy costs, crop failures, and supply chain disruption are all forcing companies to future-proof existing business models or bear uncertainty and increased cost implications."
Amid today’s supply chain challenges, inflationary pressures, and cautious consumer spending, the report suggests that consumers are more informed about sustainability and demand corporate action and accountability.
"Consumers want help to live and consume sustainably; however, not all corporations have sustainable practices," said Nicole Corbett, VP of thought leadership at NielsenIQ, in a statement. "Over the past decade, consumers have been calling for a green revolution that has not materialized, and greenwashing and inaction from brands and retailers has left consumers with varying levels of trust in these parties to deliver."
The shift toward sustainability has reached a critical moment: NielsenIQ advises that authentic action from companies will see a strategic advantage as industries work to meet requirements and mandate sustainable efforts.
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