Rising concerns about climate change and environmental sustainability has impacted affluent consumers, particularly millennials. The Green luxury is catching on fast in China, where consumers are embracing the benefits of living green, not simply for egalitarian purposes, but for their own happiness.
According to market research firm Mintel, Chinese consumers are more likely to purchase ethical brands at a premium price. Fifty-eight per cent of surveyed consumers indicated that they are willing to pay more for ethical brands.
International luxury group Kering, which owns brand such as Gucci and Yves Saint Laurent, is leading the green movement in China. It recently launched a WeChat mini-program named “My EP&L” (Environmental Profit & Loss), an environmental impact measurement tool that informs consumers of the environmental cost of their purchases, and allows them to make ethical choices based on the calculated cost. The lower the cost, the greener the luxury.