Quicktake: Consumers weigh in on the ESG responsibilities of brands
Three-quarters (76%) of consumers agree that companies have a general responsibility to ‘do the right thing’ for the environment and society.
When it comes to matters of environmental and social responsibility, consumers acknowledge that they have personal roles to play, but are also looking to companies, including brands, to do their part as well. As it turns out, action isn’t necessarily about converting to B-Corp status – consumers are looking to brands to take smaller, more reasonable steps to make a big impact.
Making an effort
From consumers’ POV, some of the most influential steps brands can take to become responsible are relatively … basic. Offering eco-conscious products, using recycled shipping materials, etc. could be easy wins for brands wanting to make a big impact with shoppers.
Most influential ways brands are becoming more responsible
All respondents
- Offering environmentally-conscious products, 82%
- Using recycled or recyclable shipping materials, 81%
- Demonstrating efforts toward energy conservation, 79%
- Offering products that support a cause, 78%
- Partnering with relevant cause, 76%
Driving stickiness
While supporting environmental or social causes has its own merits, these efforts could pay dividends with shoppers (particularly younger cohorts) via enhanced loyalty and more frequent purchases.
ESG factors that influence shopping decisions
Strongly agree/agree
Communicating effectively
Eighty-eight percent of consumers indicated that they want to hear about brands’ responsibility efforts. However, preferred avenues for updates vary by age.
Preferred communication channel for updates
Select channels shown
Key takeaway: Starting small to make a big impact
Consumers have indicated that reasonable, achievable actions to promote environmental and social responsibility are crucial. While ‘small’ steps like sustainable sourcing, using greener shipping materials and authentically supporting causes still take an investment to undertake, these are initiatives that leave consumers with visual cues that a company is doing the ‘right thing.’
Source: Bread Financial proprietary study, Consumers + ESG survey, Aug-23.
About Bread Financial®
Bread Financial® (NYSE: BFH) is a tech-forward financial services company that provides simple, personalized payment, lending and saving solutions to millions of U.S. consumers. Our payment solutions, including Bread Financial general purpose credit cards and savings products, empower our customers and their passions for a better life. Additionally, we deliver growth for some of the most recognized brands in travel & entertainment, health & beauty, jewelry and specialty apparel through our private label and co-brand credit cards and pay-over-time products providing choice and value to our shared customers.
To learn more about Bread Financial, our global associates and our sustainability commitments, visit breadfinancial.com or follow us on Instagram and LinkedIn.
