Shoppers want sustainable retail, and they’re watching closely

While retailers continue to lean into sustainability, many apparel brands haven’t greatly reduced their carbon use recently. And per a new report by SE Advisory Services, consumers are taking note as their expectations around sustainability rise.

In fact, 46% of those surveyed said that they’d be less inclined to shop with a brand after finding out their supply chain is not environmentally sustainable. For younger consumers, this was even more pressing, with 61% of Gen Z and 57% of millennials saying the same thing.

The report, which included responses from 1,000 US adults, additionally found that shoppers were also concerned about the use of AI in retail. Nearly half of US consumers (48%) said AI’s energy consumption influences whether they’re comfortable using AI-driven tools, with Gen Z (62%) and millennials (59%) expressing the greatest concern. And when consumers were asked which factors they believe contribute most to carbon emissions, 28% cited gas-powered vehicles, while 27% pointed to manufacturing.

Moreover, the majority of respondents (58%) believe companies should be responsible for ensuring their supply chains, technology practices, and resource usage are environmentally sustainable.

Growing consumer desire for sustainability is hardly new. A 2023 Harris Poll/Retail Brew survey noted that 63% of consumers valued shopping with retailers that make sustainability a priority. Meanwhile, a 2024 PwC report found that even with economic concerns top of mind, shoppers remain open to paying a 9.7% markup for products they view as sustainable.