Exactly 3 years ago on the cusp of a pandemic, Underlines spoke with leading underwear brands who regarded sustainability and their strategy to it as key to the brand’s long-term operations and viability. The term sustainability can take to mean all sorts of social and environmental concerns along the full supply chain – from materials and yarn sourcing, product design and business models to manufacturing, transport and a product’s use at the end of life. We review how the last 3 years have changed our perceptions of both responsibility and sustainability.
Little did we know that this shift to sustainable practices and manufacturing would be seismically affected within the space of just a few years. Avenues of supply (primarily China) were completely closed (and only now reopening!), travel was strictly prohibited for sourcing or sampling, one-to-one physical business meetings a no-no and human interaction for many, many months via only digital means and at a distance.
Consumers forced to stay at home but realising the benefits of only essential air and road traffic began to appreciate the world around them – the planet seemed to recuperate and indeed many would suggest that COVD helped save the planet. Unfortunately the reopening of borders and countries soon negated these short-term gains but consumer consciousness was aroused to a new level – it gave us a glimpse of what the world might be like without fossil fuels.
Simultaneously, companies around the world discovered new ways of maintaining and running business between the start/stop of various lockdowns. A hiatus gave many brands time to reassess their operations, business managers were less able to travel and fabric sourcing and design took a dramatic step towards 3D – eliminating the need for costly (both in production and transport) samples.
Of course this euphoria or eureka moment was never going to last – barely a year after the first lockdowns came the harsh realities of living sustainably with the extra cost of adopting sustainable practices against the backdrop of record inflation. According to a report by Deloitte*, the percentage of customers (between Sep 2021 and March 2022) purchased sustainably produced goods or services slipped across more than a dozen countries. Finances replaced COIVD as the leading driver of consumer anxiety globally. By September 2022 this downward trend has accelerated virtually everywhere (except Australia) – see Figure 1.
From diverse purchases such as plant-based laundry detergents to eco-friendly clothing and apparel, there is no shortage of options to be found. Even amidst the ongoing supply challenges there are few instances where there is a scarcity of sustainable alternatives – rather green premiums are likely becoming unsustainable for consumers facing increasing financial challenges.
The Income Gap and Sustainability
Higher income consumers are more likely to ignore the higher price tags associated with sustainable goods and clothing. In developed countries, the consumers with more disposable income realised the extra costs involved but were happy to pay significantly more. Of course the inability of lower income consumers to afford sustainable products should not come as a surprise – similar to the pandemic, inflation disproportionately impacts lower-oncome consumers.
However innovation in creating sustainable goods and bringing green products to market often requires companies and brands to work without the decades of innovation around materials, manufacturing processes, packaging or global supply chains that helped make traditional products cheap to begin with!
So where now and can sustainable clothing become truly affordable?
A recent drop in sustainable shopping can be viewed as an opportunity – if money is the main obstacle, it does mean that many consumers are begrudgingly buying traditional products that they know full well are not the best option for the planet. Retailers are looking to pass on inflationary pressures to consumers through price hikes but the future may bring the opportunity to inflate the price of unsustainable goods and services and hold steady on sustainable products and choices effectively evening out the playing field.
So how does the consumer perceive product sustainability?
Generally speaking, consumers consider products to be sustainably produced when they are made from recycled or renewable materials, using less energy and with minimal or biodegradable packaging and they know these attributes will cost more. Of course sustainability is about much more than buying green products – reducing the use of energy and water use at home, fly and travel less, buy local and order fewer home deliveries.
So who bears the extra costs of producing sustainable clothing?
In an era where the fast fashion sector has become notorious for giving us ultra-cheap, disposable apparel at an immense ecological and social cost, can consumers realistically expect ethically sourced and produced garments to cost the same? Of course the answer is no.
However when the fashion segment was highlighted as a major culprit responsible for 10% of the world’s greenhouse gas emissions, companies and brands around the world sat up and took notice (December 2018). Many brands such as Patagonia, Panagia and People Tree were already well ahead of the curve on this but many others were paying ‘lip service’ to what they regarded as a trend and in some cases were busy ‘greenwashing’.
In a recent report by Kantar**, 29% of consumers are very aware of the power and the responsibility they have as regards clothing purchases (classified as actives). They are well versed in the sustainability aspects of each purchase and often willing to pay more. However by contrast 71% are unlikely to pay more (either because they cannot afford it or don’t feel strongly enough about sustainability issues).
In June 2022, Westminster gave the industry a rare fiscal boost when Boris Johnson pledged £80million of public funding to the cause of making fashion more sustainable. Led by the British Fashion Council in partnership with a range of industry bodies and government agencies, the fashion industry sustainable change programme is a 10-year plan to create a ‘world-leading circular fashion and textiles ecosystem.’
Wolford is the first and only company in apparel textiles to hold two certificates affirming that they are Cradle to Cradle Certified™ at gold level.
Ultimately, the burden of bearing extra costs for sustainable clothing will have to fall more or less equally between the supply chains (brands, retailers, wholesalers) and demand (consumer purchasing).
*Deloitte ‘Going Green can come at a high price’
**Kantar ‘Sustainability and Consumers’ Behaviour’
Visit Underlines tomorrow to see how intimate apparel companies are wrestling with environmental responsibility and sustainability.
