Beauty Industry’s ‘Green’ Aspirations Fall Short: A Patchwork Solution Worth $500 Billion

We are an awesome company that provides complete software development activities utilizing nearshore and offshore resources, including mobile app development, technology maintenance, web server development, and many other technology development activities. In today’s world, the escalating climate crisis is causing a shift in people’s purchasing patterns, and the $500 billion dollar global beauty industry is no exception. Sustainability challenges have emerged across product manufacturing, packaging, and disposal, leading to changes in consumer preferences.

According to a Global Sustainability Study conducted by strategy and consulting firm Simon Kucher, 60% of consumers around the world consider sustainability an important criterion when making purchases, with 35% willing to pay more for sustainable products and services. As a result, many beauty brands are setting environmental goals to move away from single-use and virgin plastics, offer recyclable and reusable packaging, and provide more transparency about their products’ ingredients.

However, consumers still struggle to understand the sustainability credentials of many beauty products. This is because the industry’s clean-up efforts have been inconsistent, and there is a lack of collective goal-setting, global strategy, and standardized regulations. Many brands set their own rules and goals, leading to confusion and “greenwashing,” where sustainability claims are made without substantiation.

To address this issue, customers need better marketing information and certification information. The term “clean beauty” has become dangerous as it is often used to sell more products. Customers are becoming more aware of these shortcomings and are demanding better information.

Transparency is the key to overcoming these challenges. Customers need to know the ingredients used in beauty products and how they are sourced. For example, natural ingredients may still have a toxic load if they are not responsibly sourced. Moreover, purely organic materials may not perform well in high-temperature manufacturing processes, leading to inconsistent results.

Another significant sustainability challenge in the beauty industry is plastic packaging. Currently, 95% of plastic packaging is thrown away, and the majority is not recycled. As one of the biggest plastic packaging users globally, the beauty industry is responsible for approximately 67% of packaging volume. Beauty brands like L’Oreal and Estee Lauder Companies are trying to phase out harmful plastics and adopt post-consumer recycled (PCR) plastic, but low recycling rates and growing demand make it challenging to find and source enough PCR plastic.

Beauty retailers play a crucial role in driving sustainability practices by setting standards for the brands they sell. Smaller businesses tend to be more agile and climate-friendly as sustainability is often part of their setup. However, larger brands need to work harder to change their supply chains and practices.

Certifications such as B Corp can help fill the gaps in standardization in the beauty industry. These accreditations score companies on ethics and sustainability criteria and are beneficial for eco-conscious consumers. However, it is currently voluntary for brands to apply for these certifications.

While government regulations can raise the minimum requirements for sustainability practices, the private sector’s market leadership is key. Brands and customers need to take the initiative and advocate for meaningful climate-conscious change in the beauty industry.

At our company, we understand the importance of sustainability and can help beauty brands develop software solutions to address these challenges. Whether it’s developing mobile apps for ingredient transparency or implementing technology for sustainable packaging, we have the expertise and resources to support beauty brands on their sustainability journey. Trust us to be your software outsourcing partner for all your technology development needs.