Post by account_disabled on Feb 22, 2024 4:21:03 GMT -5
One of the most significant projects in sustainable food in was unveiled last week. The news is important in part because of the company involved: CPG behemoth Unilever, which reaches 2.5 billion consumers every day through 400 brands, ranging from Ben & Jerry's to Hellmann's and appearing on shelves in 190 countries. The other reason is that the plan is genuinely ambitious. The company is committed to achieving net-zero emissions from all products by 2039, spending $1 billion on climate and environmental projects over 10 years and including information on the labeling of each of its products. carbon emitted in its creation. This last point is particularly significant. Consumers, especially young adults, consistently say that climate concerns influence their purchases. However, this influence is diluted because most people have little information about the emissions linked to specific products. Clearly communicating the emissions of each product would allow those concerns to be exploited by boosting sales of low-carbon products and punishing high-emissions options. So will Unilever's labeling decision change the way people shop? We can't say for sure, because most consumers have never seen a carbon label. But there are reasons to be optimistic.
There is information about the impact of other types of labels, for example, in the last five years several countries, including Chile, Mexico and Israel, have attached health warnings to soft drinks and other sugary drinks. A meta-analysis of 23 studies of these initiatives, published last month, showed that the labels work: Consumers who see them are less likely to buy drinks high in sugar. When carbon tags have been deployed, usually in small experiments, they also seem to work. Researchers at Chalmers University of Technology in Sweden, in particular, examined the impact of emissions information on meal choices in their institution's cafeteria. Sales of high-carbon meat dishes fell almost 5%, a modest but significant drop for an initial Bulgaria Mobile Number List experiment based on a simple intervention. A final reason for optimism is that while Unilever is by far the largest food company to implement carbon labels, it is not the only one. Oatly and Quorn recently announced plans to start displaying carbon footprint data on their products. Twelve food and beverage brands have also obtained the new Climate Neutral certification and have begun displaying the corresponding label. All this together looks as if Unilever's move could trigger structural change. But before we get excited, let's look at two factors that could undermine its impact: 1. The label itself In an email, Rebecca Marmot, Unilever's CSO, said the company is focusing on collecting footprint data and once that is ready, they will use the tags.
How Unilever eventually communicates carbon levels will be critical. How big will the label be? Where will it appear? Will consumers be able to understand it? It will not be an easy challenge. Space on food packaging is extremely limited, and consumers are already exposed to multiple labels related to sustainability. (457, by count) 2. Cost One of those 457 labels, organic is probably the best known. Demand for organic foods has shown double-digit growth in recent years, however, it still represents only about 5% of food sales in the US and less than 1% of planted acreage. Cost is critical here: Surveys show organic foods cost 7.5 percent more, with some products, including milk, eggs and bread, costing almost twice as much. This is a reminder that for many consumers, cost outweighs environmental concerns. In a way, though, that's what makes Unilever's announcement so exciting. We are talking about the company behind Knorr, Lipton and Magnum . These are not niche brands aimed at wealthy, sustainability-minded consumers willing to pay more. By introducing carbon labeling on everyday products found in larger chains and smaller corner stores, Unilever is testing whether environmental concerns resonate with a much, much larger segment of consumers.