Two-thirds of consumers are concerned about climate change, but only 15 per cent are prepared to pay extra for environmentally friendly food and drink, according to a survey carried out by Euromonitor International, highlighting how that consumers continue to make choices that positively impact the environment but are adopting an affordability mindset.
Eco Logical is one of Euromonitor’s five Global Consumer Trends for 2025 and comes as the debate on climate change hots up after recent major weather events around the world. The survey found that more than 63 per cent of consumers have tried to adopt habits that are positive for the environment in 2024 due to worries about climate change.
“Spending on sustainable products remains a conscious decision based on personal values, but consumers also pay close attention to the key benefits these products deliver. Sustainability claims require tangible evidence,” said Inga Klebanskaja, senior research consultant at Euromonitor International.
“The Eco Logical trend challenges businesses to create the right claims on the right products for the right audience. Sustainability is no longer brand-enhancing but a prerequisite for innovation that drives growth.”
Klebanskaja added, “Trust in green labels hasn’t wavered over the years, but affordability continues to be the top barrier. Some 40 per cent of consumers said high price prevented them from making sustainable purchases. In 2024, 52 per cent of consumers considered eco-friendly labels trustworthy. Only 15 per cent would pay more for these food and drink products.”
Euromonitor found that the number of online Stock Keeping Units (SKUs) with sustainability claims increased from 4 million in 2022 to 5 million in 2024 across 11 FMCG industries and 25 countries.
Klebanskaja concluded, “Brands with a tangible sustainable proposition saw a 1.5 per cent higher growth rate over the same period compared to non-sustainable equivalents.
“Beauty and personal care brands’ enhanced offers in this space have generated more than US$120bn in 2023, the highest industry by sales. Pet care products with sustainability claims recorded the strongest compound annual growth rate (CAGR) from 2020 to 2023.”
Klebanskaja concluded: “Businesses need to use sustainability claims to show the value of their product and connect those features to qualities that drive consumers’ buying decisions – efficacy, quality or safety. They should build sustainability into products or services that are familiar to their target audience for easier adoption.”
Footfall took a "disappointing tumble" in November, shows recent industry data, as retailers remain hopeful that the Black Friday and Christmas sales will help to turn things around for good.
According to BRC-Sensormatic data, total UK footfall decreased by 4.5 per cent in November (YoY), down from -1.1per cent in October. High Street footfall decreased by 3.7 per cent in November (YoY), down from -3.6 per cent in October.
Retail Park footfall decreased by 1.1 per cent in November (YoY), down from +4.8 per cent in October. Shopping Centre footfall decreased by 6.1 per cent in November (YoY), down from -1.6 per cent in October.
Footfall decreased year-on-year for all four nations, with Northern Ireland falling by 2.8 per cent, England by 4.2 per cent, Scotland by 6.8 per cent, while Wales experienced the biggest decline at 7.1 per cent.
Helen Dickinson, Chief Executive of the British Retail Consortium, said, "Footfall took a disappointing tumble in November, as a later-than-usual Black Friday and low consumer confidence meant customers were hesitant to hit the shops. Some northern cities also suffered particularly badly due to Storm Bert, which caused travel disruption towards the end of the month.
"Retailers remain hopeful that the Black Friday and Christmas sales will help to turn around the declining footfall seen through most of 2024, crucial as we enter the “golden quarter”.
"Retail not only contributes to the economy of local areas but is essential to everyday life in communities across the country. New costs bearing down on retailers in 2025, including from rises in Employer National Insurance, National Living Wage, and packaging taxes, means investment in jobs, stores, and high streets will likely be curtailed.
"If the Government wishes to bolster footfall and the growth and investment that would come with it, it must help retailers mitigate the impact of the £7 billion additional costs they face from next year.”
Andy Sumpter, Retail Consultant EMEA for Sensormatic, commented, "Retail store visits dipped in November as consumer confidence remains volatile, perhaps not helped by post-Budget spending jitters and shoppers withholding festive purchases, opting instead to shop around for the best prices or hold out for further discounting.
"This lacklustre footfall performance will have come as a blow for many retailers, who would have been counting on getting early Christmas trading results under their belts before the start of advent.
"However, it’s worth noting that these figures do not include Black Friday and the Saturday of the Black Friday weekend - tipped as one of the top busiest days for store shopping during peak trading - which will hopefully jump start seasonal shopping. Now, all eyes turn to December, where retailers hope to make up for lost ground and turn around their festive fortunes.
"This will rely not only on effective merchandising and shored up inventory availability, but on building the compelling and immersive experiences that bring the seasonal magic to life in-store.”
Consumer confidence is subdued as the key festive shopping season approaches, with households concerned about the economy following last month’s Budget, suggests new data from the British Retail Consortium (BRC) and Opinium.
BRC’s Consumer Sentiment Monitor, which surveyed people between 12 and 15 November, showed a slight improvement in personal financial expectations, from -4 to -3. However, expectations for the wider economy worsened to -19 compared to -17 the previous month.
Meanwhile, personal spending on retail saw a small increase, rising to +3 from +2 in October. Overall personal spending remained stable at +17, and personal saving expectations remained unchanged at -9.
“There was little shift in consumer confidence since the Chancellor’s Budget, with many worried about the economy in the lead-up to Christmas,” Helen Dickinson, Chief Executive of the BRC.
“While there was a very slight improvement in people’s expectations of their personal financial situation, this was offset by declining expectations of the wider economy. Personal retail spending remained positive, edging up slightly, though this was to be expected as consumers prepare for the festive season.
"Within this, non-food spending expectations remained low, though expectations of spending on eating out improved the most out of all categories, as people prepare for Christmas catchups with friends and relatives.”
She added: “The last month clearly did little to shift the dial for households either positively or negatively, however, the same cannot be said for the retail industry. With over £7bn in additional costs in 2025 resulting from the Budget, retailers will have little choice but to raise prices or reduce investment in jobs and shops.
"To mitigate this, the government must ensure that changes to the business rates system, planned for 2026, bring about a meaningful reduction in bills for all retailers.”
The dominance of retail on high streets is something of the past. Whilst shopping will still be a key feature, there is greater demand and opportunity for restaurants and leisure activities, as well as for more public services, such as health centres and libraries, in town centres, points out a recent report by House of Lords.
The Built Environment Committee's report, "High Streets: Life beyond retail?", published today (28), sets out how high streets can be regenerated and become more resilient, emphasising that retail will remain vital but must be part of a broader mix including leisure, services and community spaces.
The committee found that local authorities often lack adequate resources and skills to support high streets, recommending investment in training town centre managers and highlighting the need for greater coordination between Government departments.
The report states that what communities want and what can be sustained on the high street is constantly evolving, so a fixed vision and monolithic approach to their future should be avoided. Local authorities, communities and businesses need to work together to shape high streets that are reflective of local conditions, adaptable, and resilient.
High streets will only thrive if people can get to them easily and safely. Access by car and sufficient parking are necessary for commercial sustainability, though their adverse consequences can be mitigated by better public transport connectivity, particularly through improved bus networks, states the report.
As retail occupancy declines and leaves behind vacant units, cafés and restaurants have taken their place. There has also been a rise in the number of charity shops, which benefit from substantial business rates relief and often have lower staff costs, making them more able to afford high street rents. Public authorities are also tentatively moving public-facing services (such as surgeries and libraries) on to high streets. This can both improve access to those civic functions and increase footfall to sustain local businesses, states the report.
Leading trade association British Independent Retailers Association (Bira) has welcomed a major new report from the House of Lords that calls for empowered local leadership and simplified funding to help revive Britain's high streets.
"People, particularly young people, value having space to socialise and spend time without spending money on the high street. They also value green spaces on or near the high street. More green space and an improved public realm should be a key consideration in proposed regeneration programmes.
"Local authorities and the Government create the structures for high street renewal. The planning system, taxation and funding can all impact the success or failure of projects to revive local places. But, the previous Government's plans to revive high streets were not well co-ordinated.
"The new Government's local growth funding reforms must ensure that high streets are enabled to flourish in the long term, and that those responsible for their future have enough expertise to deliver improvements. The Government should recognise that local authority bidding for central funding has become expensive and wasteful and should consider replacing that approach with a transparent system of funding distribution that commands greater confidence," states the report.
Commenting on the report, Andrew Goodacre, CEO of Bira, which represents 6,000 independent retailers across the UK, said, "This report has identified some of the key elements to a successful high street, whilst recognising that each place needs to find its identity and solution to create a vibrant high street.
"For some time Bira has been saying that retail is no longer the dominant feature of high streets, with consumers looking for more services and leisure opportunities. We also agree with the conclusion that high streets need diversity and adaptability, - characteristics often delivered by independent retailers and independent business in general.
"It is also good to see recognition of the need for good accessibility by investing in infrastructure where possible and highlighting the importance of good car parking.
"Finally, we absolutely support the idea of local business leaders and local communities being involved with future plans to regenerate a place. Funding can also then be devolved to a local level, supporting coherent plans. Independent retailer care about their high street and the their communities, and all too often their voice can be ignored," he added.
The report urges the Government to provide local authorities with more targeted support and calls for a radical simplification of the current funding landscape, which it describes as "patchy and uncoordinated."
It also emphasises the importance of providing resource funding alongside capital investment to ensure sustainable regeneration.
Britons are splurging this Christmas on their pets with a huge spike seen in the demand of pet food, treats and toys. show multiple reports across the industry.
Brits' love for their pets can be seen in the recent trends. Sales of Christmas pet lines are up 964 per cent year-on-year at Waitrose online. The food ranges have had some of the biggest increases. Visits to the Waitrose online mince pies for dogs page have risen by 351 per cent in last 30 days.
At John Lewis, sales of seasonal themed dog toys have increased 98 per cent compared with this time last year.
According to Emma Clifford, associate director of food and drink research at Mintel, this trend can, in part, be put down to the trend of pet humanisation.
“The ongoing ‘humanisation of pets’ means pets are increasingly seen as family members, and stress relievers – with many owners willing to spend more on their pets’ care,” The Guardian quoted Clifford as saying.
“We’re known as a nation of pet lovers … nearly three-quarters (73 per cent) of pet owners who use and buy household care products say that looking after their pet’s health is more important than keeping their homes clean."
In 2023, a survey found that 18 per cent of Britons planned to spend more on their pet at Christmas than on their significant other. Meanwhile, research by Mintel found that more than half (56 per cent) of pet owners would rather cut back on money spent on themselves than on their pets.
Industry reports state that the majority of owners spend about £26–£50 on their pets per month while the UK spends £10 billion a year on their pet dogs. 58 per cent of owners buy birthday and Christmas presents for their pets.
Families are set to splash out on Christmas this year as expected spending hits a three year high as the cost-of-living pressure eases, according to RSM UK’s latest Consumer Outlook.
Families expect to spend an average of £760 on Christmas this year, up £158 or 26 per cent on £602 last year; and £694 in 2022. Last year consumers spent on average around a third more than expected, so 2024 average spend could break the £1,000 mark if the same overspend happens again this year.
A third of families (33%) plan on using some form of credit, including a credit card, buy now pay later arrangements, a loan or using overdraft, to fund Christmas this year. Half of all families (50%) plan on bringing forward their Christmas spending to spread the cost of purchases and take advantage of discounts such as Black Friday and Cyber Monday.
The EY Holiday Shopping Survey has also found that the consumers have started their holiday shopping earlier this year, driven by a desire to spread out their spending.
The top three categories that families plan on spending more on include Christmas presents (33%), Christmas dinner (33%) and food and drink at home (32%). Whereas the biggest cutbacks will be homeware (42%), eating and drinking out (40%) and adult fashion (37%).
“Expected Christmas spending hitting a three year high will be welcome news to retailers as families look set to splurge on Christmas presents and food and drink at home. Consumer confidence improved for the first time in three months in November, but it remains fragile and any further dips in confidence could derail expected spending,” Jacqui Baker, partner and head of retail at RSM UK, commented.
“Many retailers will be hoping that Black Friday deals can kickstart sales throughout the Golden Quarter to ensure they are in the best possible financial position going into 2025 to help offset the looming uplift in costs post-budget.”