Convincing consumers of your organization’s progress

Countering, correcting, encouraging

Convincing consumers of your organization’s progress

Countering, correcting, encouraging

In 2024, more than half of executives (62%) expressed concern about the public perception of their sustainability efforts. This represents a huge jump from only 11% in 2023. Even as executives recognize the danger of greenwashing, consumers are increasingly skeptical of corporate claims around eco-initiatives. We also found that increased greenwashing regulation brings more scrutiny and litigation with it across all countries and industries. In 2024, India joined the EU, US, UK, and Australia in making greenwashing illegal, becoming the latest country to join a global trend.¹²Violations of greenwashing laws are fodder for media attention, and result in costly fines and penalties, as well as negative public perception and damage to a business’s reputation and prospects.

62% of executives are concerned that their organization’s sustainability efforts might appear insincere to the public

_{Source: Capgemini Research Institute, Sustainability transformation trends survey, August–September 2023, N = 2,151 executives; June–July 2024, N = 2,152 executives.}

Such cases have become ubiquitous: according to Columbia University’s Sabin Center for Climate Change Law, at least three greenwashing cases were filed every week throughout 2023.¹³

_{12 Forbes, “Businesses beware: greenwashing is the new goldmine for litigators,” April 2024.
13 Down to Earth, “In 2023, at least 3 cases challenging climate inaction were filed every week,” December 2023.}

Regardless of age group, consumers have become more distrustful of corporate sustainability claims. Half of those surveyed this year believe companies are practicing greenwashing, up from one in three in 2023. And 53% of consumers who never, rarely, or only sometimes trust an environmental claim will not purchase a product they have doubts about. Furthermore, 39% of them will inform friends and family if they do not trust a company.

At the same time, most consumers of all ages and genders agree that corporations must play a greater role in reducing emissions.

75% of consumers globally believes corporations must do more to reduce emissions

_{Source: Capgemini Research Institute, Sustainability consumer survey, June 2024, N = 6,500 consumers}

62%

of executives expressed concern about the public perception of their sustainability efforts

Environmental leadership:
Capgemini’s industry insights

Now that consumers, especially Gen Z and Millennials, can verify corporate claims from their smartphones, executives are advised to be extra cautious. More than half of all consumers surveyed never, rarely, or only sometimes trust environmental claims about a product.

When devising sustainability strategies and initiatives, companies should aim to prioritize customer centricity to about sustainability, companies should aim to build trust. Strive to always focus on the customer when designing and building products and services and communicating and marketing to them. Claims must be supported with evidence-backed data to build credibility.

Providing accurate, reliable information of this kind will not only foster trust among customers, it will also strengthen your organization in the eyes of regulators. We found in our research that frontrunner organizations adhere to external guidelines from third parties to further diminish the risk of greenwashing.

To what extent are you concerned that your organization's efforts towards sustainability might appear insincere to the public? % of executives concerned

Aerospace and defense	Agriculture and forestry	Automotive	Consumer products
56%	56%	65%	58%

Energy	Financial services	Healthcare and life sciences	Industrial manufacturing
61%	65%	53%	67%

Public/ Government	Retail	Telecom	Utilities
57%	64%	65%	63%