Exal Study: Most Will Pay More for Eco-Friendly Packaging
YOUNGSTOWN, Ohio – A study conducted by Exal Corp. and Boston Consulting Group shows that a majority of Americans are willing to pay more for beverages with eco-friendly packaging.
According to the report, 55% of survey participants said they are willing to pay least 5% more for beverages contained in green packaging, while 47% were willing to pay that much more for personal care products that come in environmentally friendly packaging.
Moreover, about 25% of consumers were willing to pay up to 20% more for these products if they were packaged in eco-friendly containers, according to the report.
Nearly 60% of consumers say they were less likely to buy products that are packaged with materials deemed harmful to the environment, the report shows, while 37% responded that they wouldn’t buy them at all.
“The research shows us that being green isn’t just a trend,” said Michael Mapes, CEO of Exal. “Consumers are translating their beliefs into action and are willing to speak with their wallets.”
Exal, based in Youngstown, designs and manufactures aluminum containers for beverages and household items at its plant along Poland Avenue. The company also has two other operations in Brazil and Argentina.
Other notable results of the survey include:
- Nearly half (44%) of respondents say the sustainability of packaging is a factor in their product selection decision.
- Millennials (between the ages of 26 and 25) are among the most likely group to seek information on recyclability and sustainability (48%).
- Consumers are more than three and a half times more likely to associate plastic with “ocean pollution” and two and a half times more likely to associate plastic with “waste” compared to aluminum.
- Conversely, consumers are significantly more likely to associate aluminum with recyclability and eco-friendliness than plastic.
“This research points to the role retailers and manufacturers need to play in the education of the end consumer,” Mapes said. “We are in a position to ensure customers have the information they need to make and educated decision at the store shelf or online. Additionally, manufacturers, brand owners, and retailers need to ensure consumers have the sustainable options for products and packaging that they so clearly desire.”
To download the full report, CLICK HERE.
Copyright 2020 The Business Journal, Youngstown, Ohio.