What’s a Sustainability Report Got to Do With it?

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[N]ielsen has released “What’s Sustainability Got to Do With It?”, a new report that delves into sustainability trends and the effect that key terms have on sales in the cocoa, bath, and coffee industries.

While the report shows that the global coffee market dollar value declined 1% from March 2017–March 2018, coffee products with environmental and fair trade claims grew more than 20% during the same period. Nielsen found that not only are consumers purchasing a larger volume of coffees with environmental, fair trade, and “clean” labels, but that consumers are willing to pay more for products that they perceive to have a positive impact on the environment.

With the fast rate of sales growth in retail outlets, coffee brands with sustainability claims also have greater negotiating power and are now requesting better shelf placement in stores to reach customers who are increasingly seeking out these products.

Nielsen also shares words of wisdom when applying the lessons learned in its report: “Sustainability claims on packaging must also reflect how a company operates inside and out. Winning requires making sustainability a key part of your business strategy from beginning to end.”

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