Consumer Discretionary

<p style="text-align: justify;"><strong>It's all About Wake-up Calls !</strong></p><p style="text-align: justify;">"Climate change is happening now, which means that we must all take responsibility and action quickly," says George Clooney while he roams the fields of Puerto Rico with the coffee farmers showing an active interest in their lives and Nespresso's initiatives to support them in producing high-quality, sustainable coffee and enhancing their welfare. According to CEO Guillaume Le Cunff, Nespresso promises to serve carbon-neutral cups of coffee by 2022.</p><p style="text-align: justify;">But, it's not only <a href="https://www.sustainability.nespresso.com/">Nespresso</a> and coffee being a force for good! In setting the sustainability benchmark high for international companies, the well-known soft drink manufacturer Hell Energy Group, announced the release of the "greenest beverage in the world." Hell Energy has pledged to use premium quality recycled aluminium in its new "green" cans, which include 75% recycled post-consumer waste.</p><p><strong>The Trend is Evident !</strong></p><p style="text-align: justify;">Global awareness of environmental sustainability is accelerating among business magnates. The Davos Agenda 2021, under the notion of the Great Reset, is all about business leaders across sectors working in unison to reshape an inclusive, cohesive, and sustainable future. &nbsp;</p><p style="text-align: justify;">The linear "take-make-waste" pattern has dominated the industry for years, with surprising results. Microplastics, a by-product of the synthetic fibers in our clothing, are flushing pipelines and ending up in the most remote corners of the ecosystem. The main culprits, polyester, acrylic, and nylon, are not biodegradable and at best, continue to break down into small, invisible particles but remain in our ecosystem.</p><p style="text-align: justify;">In a bid to protect the environment and address future generations with sustainability requirements, companies across all industries are introducing new terms such as "circular consumer experience" or promoting circular business models. Brazilian <a href="https://www.the-future-of-commerce.com/2020/01/08/circular-economy-examples/">Natura, aka Body Shop, and Levi's</a> are among the game changers in the industry, following best practices and constantly re-evaluating business models.&nbsp;</p><p style="text-align: justify;">So, what does a circular consumer experience look like?</p><p style="text-align: justify;">From entering a store to drop off your recyclable clothing to standing next to a glass partition to watching a recycling machine in action and then visiting the "Digital recycling center."&nbsp;</p><p style="text-align: justify;">H&amp;M's <a href="https://about.hm.com/news/general-news-2020/recycling-system--looop--helps-h-m-transform-unwanted-garments-i.html">Loop Machine</a>, Nike's "<a href="https://www.nike.com/help/a/recycle-shoes?CP=EUNS_AFF_AWIN_DE_78888_Skimlinks_300417&amp;utm_source=Skimlinks&amp;utm_medium=affiliate&amp;utm_campaign=78888&amp;utm_content=300417&amp;awc=16329_1609950186_bd144718d3fc39949194dd7ab8bc3557">Reuse A Shoe" initiative</a>, and Apple's <a href="https://www.apple.com/recycling/nationalservices/">numerous recycling programs</a> are offering in utero circular consumer experience worldwide.</p><p style="text-align: justify;">Circularity is predicted to be the next big disruptor according to the <a href="https://www.mckinsey.com/industries/retail/our-insights/state-of-fashion">State of Fashion 2021 McKinsey report</a>, increased digitalization, diminished consumer demand, and social justice are among the ten factors shaping the industry's new era.<br />This is only the start!!</p><p style="text-align: justify;"><strong>Sustainability at Heart !</strong></p><p style="text-align: justify;">What unifies the ten components' central idea?&nbsp;</p><p style="text-align: justify;">Sure, sustainability! The phrase frequently appears in titles, forums, and agendas! With only one click, the words "Achieving a Sustainable Recovery," "Sustainability Strategy 2030," and "Technology as vital to a thriving and sustainable society" may all be found on <a href="https://global.abb/partnership/world-economic-forum/en/2021/davos-agenda">Global ABB's</a> World Economic Forum Davos Agenda 2021.</p><p style="text-align: justify;">The truth is that every facet of the business, including the much-desired brand love and loyalty, will be inextricably related to green imperatives!</p><p style="text-align: justify;">No consumer will support a brand without being aware of the product's history! The businesses must address the bases' "green worries" if they want to win over the audience.</p><p style="text-align: justify;"><span style="font-size: 10pt;"><em>This article was contributed by our expert <a href="https://www.linkedin.com/in/hana-visviki/">Hana Visviki</a></em></span></p><p style="text-align: justify;">&nbsp;</p><h3 style="text-align: justify;"><span style="font-size: 18pt;">Frequently Asked Questions Answered by Hana Visviki</span></h3><h2 style="text-align: justify;"><span style="font-size: 12pt;">1. Why is environmental sustainability important in business?&nbsp;</span></h2><p style="text-align: justify;"><span style="font-size: 12pt;">An environmentally conscious company thinks about its impact on society and the environment in addition to its financial performance. Such a business is sustainable because it helps maintain the integrity of the building in which it works, creating a setting in which the business can thrive.</span></p><h2 style="text-align: justify;"><span style="font-size: 12pt;">2. What is the impact on the environment created by microplastics in clothing?</span></h2><p style="text-align: justify;"><span style="font-size: 12pt;">The problem is that washing clothing causes microplastic fibres to be emitted into the streams, air and marine environment. These microplastic fibres add to the serious issue of microplastic pollution, which is responsible for more than 80% of coastal pollution globally.&nbsp;</span></p><h2 style="text-align: justify;"><span style="font-size: 12pt;">3. What do we mean by circular consumer experience?</span></h2><p style="text-align: justify;"><span style="font-size: 12pt;">A circular consumer experience model articulates the logic of how an organization creates, delivers, and captures value to its broader range of stakeholders while minimizing ecological and social costs.&nbsp;</span></p><p style="text-align: justify;">&nbsp;</p>