A new report from digital marketing company Bazaarvoice has found consumer demands for environmentally friendly products has led to an increased investment in remanufacturing.
The research found that in Britain, France and Germany, 55%, 49% and 40% of retail marketers and supply chain managers surveyed considered consumer demands around environmentalism to be the top challenge they faced. Consequently, in the face of these challenges, companies are investing in the remanufacture of products to more environmentally friendly standards, with £2mn, €3.5mn and €1.6mn being spent on the process in the UK, France and Germany.
Joe Rohrlich, Chief Revenue Officer, Bazaarvoice said: “The figures highlight the expense associated with driving the green agenda higher up the supply chain. It’s clear that the process of remanufacturing products is not to be taken on lightly and where businesses are prioritising consumer demands for greener products, we’re seeing the highest cost figures.”
The study found that 75% of European manufacturers have been investing in higher quality materials in line with the drive for increased product life cycles. Other findings included the fact that 90% of respondents are using customer ratings and reviews to inform their relationships with manufacturers.
“These findings attest to the power of ratings and reviews in helping businesses to drive transformation through the supply chain. Brands and retailers that harness this rich customer content will be best placed to meet the environmental demands placed on them by consumers”, said Rohrlich. “Only by listening to customers can businesses deliver what they want, leading to reduced costs and increased loyalty.”