The $500 billion global beauty industry has set ambitious environmental goals, promising to move away from single-use plastics, increase recyclable packaging, and provide more transparency around product ingredients. However, despite these efforts, the industry's sustainability credentials are falling short.
According to Simon Kucher's Global Sustainability Study 2021, 60% of consumers worldwide consider sustainability an important purchase criterion, and 35% are willing to pay more for sustainable products or services. This shift in consumer preferences has prompted many beauty brands to set environmental goals, but the industry's efforts have been inconsistent.
The biggest challenge facing the industry is plastic packaging, which accounts for about 67% of its packaging volume. The cosmetics business is the fourth largest plastic packaging user globally, and only 9% of global plastic waste is recycled. Beauty giants like L'Oréal and Estee Lauder Companies are trying to phase out harmful plastics from their operations, but they face challenges in sourcing post-consumer recycled (PCR) plastic.
Many brands have set targets for PCR plastic usage, but these goals are often far from being achieved. For example, L'Oréal aims to reach 50% PCR plastic usage by 2025, while Estee Lauder is targeting 25%. However, the high cost of PCR plastic and limited supply make it difficult for brands to meet their targets.
The missing piece in the industry's sustainability puzzle is standardization. While certifications like B Corp can provide some assurance about a brand's environmental credentials, they are voluntary and not widely recognized. Governments and multinationals enforcing regulations and setting a baseline for brands to operate from would go a long way in making change.
Retailers also play a crucial role in promoting sustainability in the industry. Sephora launched its "Clean + Planet Positive" initiative in 2021, which labels products that meet its criteria. Target has also introduced a similar program featuring a "Target Zero" icon for products with reduced plastic packaging.
Ultimately, market leadership is key to driving change in the beauty industry. As consumers increasingly prioritize sustainability, brands must respond by providing clean and sustainable products. Without collective advocacy and initiative from both brands and customers, meaningful climate-conscious change will be difficult to achieve.
In the absence of global standards or regulations, companies like Provenance are stepping up to provide tools for brands to display their sustainability credentials. However, more needs to be done to address the industry's significant environmental impact.
As Susanne Kaufmann, founder of her namesake beauty brand, notes, "Regulation can raise the floor a bit. But that's never going to be what the market can do." The beauty industry must lead the way in promoting sustainability and reducing its environmental footprint.
According to Simon Kucher's Global Sustainability Study 2021, 60% of consumers worldwide consider sustainability an important purchase criterion, and 35% are willing to pay more for sustainable products or services. This shift in consumer preferences has prompted many beauty brands to set environmental goals, but the industry's efforts have been inconsistent.
The biggest challenge facing the industry is plastic packaging, which accounts for about 67% of its packaging volume. The cosmetics business is the fourth largest plastic packaging user globally, and only 9% of global plastic waste is recycled. Beauty giants like L'Oréal and Estee Lauder Companies are trying to phase out harmful plastics from their operations, but they face challenges in sourcing post-consumer recycled (PCR) plastic.
Many brands have set targets for PCR plastic usage, but these goals are often far from being achieved. For example, L'Oréal aims to reach 50% PCR plastic usage by 2025, while Estee Lauder is targeting 25%. However, the high cost of PCR plastic and limited supply make it difficult for brands to meet their targets.
The missing piece in the industry's sustainability puzzle is standardization. While certifications like B Corp can provide some assurance about a brand's environmental credentials, they are voluntary and not widely recognized. Governments and multinationals enforcing regulations and setting a baseline for brands to operate from would go a long way in making change.
Retailers also play a crucial role in promoting sustainability in the industry. Sephora launched its "Clean + Planet Positive" initiative in 2021, which labels products that meet its criteria. Target has also introduced a similar program featuring a "Target Zero" icon for products with reduced plastic packaging.
Ultimately, market leadership is key to driving change in the beauty industry. As consumers increasingly prioritize sustainability, brands must respond by providing clean and sustainable products. Without collective advocacy and initiative from both brands and customers, meaningful climate-conscious change will be difficult to achieve.
In the absence of global standards or regulations, companies like Provenance are stepping up to provide tools for brands to display their sustainability credentials. However, more needs to be done to address the industry's significant environmental impact.
As Susanne Kaufmann, founder of her namesake beauty brand, notes, "Regulation can raise the floor a bit. But that's never going to be what the market can do." The beauty industry must lead the way in promoting sustainability and reducing its environmental footprint.