Indian Shoppers Prefer Sustainable Products, Few Buy Consistently: SPJIMR
Indian consumers show rising demand for sustainable products but cost, access and trust issues hinder consistent green choices.
Eighty-four percent of urban Indian consumers prefer sustainable products when given a choice, but only 27 percent consistently buy responsibly, according to a new white paper from SPJIMR WISE Tech, an innovation hub at Mumbai-based S.P. Jain Institute of Management & Research.
The survey of 2,200 respondents across 10 major cities found that while willingness to pay a premium is strong — up to 25 percent for electronics, personal care and consumer goods — high costs, limited access and lack of trust in claims often prevent action.
Research Approach and Scope
The study, conducted between November 2024 and January 2025, combined a survey of consumers aged 25 to 40 with insights from 40 industry leaders at a Chatham House-style roundtable in Mumbai. The two-pronged approach aimed to bridge the gap between consumer attitudes and practical industry solutions.
Key Findings
The report highlights four themes shaping sustainable consumption in India:
- Intent versus action: While awareness is high, with 62 percent familiar with sustainability concepts, affordability and availability hinder consistent behavior.
- Willingness to pay more: Consumers are ready to spend extra for products with clear health and environmental benefits.
- Employment choices: Nearly 79 percent of respondents assess a company’s sustainability credentials before accepting a job, and more than 40 percent have rejected offers over poor environmental practices.
- Regional variations: Cities such as Ahmedabad and Pune showed strong alignment between consumer and corporate sustainability practices, while Delhi and Lucknow respondents believed firms lag behind citizens.
Recommendations for Industry
The report urges companies to move beyond corporate social responsibility optics and embed sustainability into their culture.
Suggested measures include adopting visible labeling such as a “Blue Dot” system, standardizing supplier certifications, and leveraging technology like blockchain for supply chain transparency.
Industry leaders emphasized authenticity over “greenwashing” to build trust with consumers and employees.
Policy Recommendations
Policymakers are advised to provide fiscal incentives such as targeted tax reductions and procurement benefits for sustainable businesses, roll out localized public awareness campaigns, and mandate standard sustainability metrics and third-party audits.
The report also calls for integrating sustainability education into school curricula to build long-term behavioral change.
Respondent Demographics
The survey drew 53 percent of its respondents from metropolitan areas and 47 percent from mini-metros.
About two-thirds were employed in private or government jobs, with 25 percent identifying as business owners.
Men accounted for 67 percent of participants, and the largest age cohort was 35- to 40-year-olds, representing 38 percent of the sample.
The Road Ahead
The report concludes that India, projected to be the world’s third-largest consumer economy by 2030, faces both an opportunity and a challenge.
Addressing barriers to sustainable consumption, it says, will require coordinated action from businesses, policymakers, educators and civil society to make sustainability accessible, aspirational and affordable.