While consumers consistently say they want to buy more sustainable products from more sustainable companies, those aspirations do not always correlate with sales. This apparent paradox and how retailers manage it was the topic of a seminar at the 2025 International Sleep Products Association Industry Conference. The session addressed how consumers and retailers define sustainability and talk about sustainability, and how retailers sell sustainability.
Defining Sustainability
A March 2025 survey from Blue Yonder, a supply chain management company, reports 74 per cent of American consumers claim sustainability is somewhat or very important when selecting a product or retailer, only slightly below 78 per cent of global consumers that say the same. Younger generations like Gen Z, born between 1997-2012, rank sustainability considerations as a higher priority (88 per cent), while the baby boomer generation ranks it lower (66 per cent). Globally, more than half of Gen Z and millennial consumers claim to be willing to spend an additional five to 9.9 per cent on more sustainable products.
While these survey responses have been consistent for the past several years, the increase in sales of sustainable products following the pandemic does not reflect rising consumer interest. One reason is everyone — individual consumers, retailers and manufacturers — has different criteria for defining sustainable products. Some prioritize the kinds of materials used, while others focus on the energy efficiency of the factory, climate change impacts, the ability to repair, refurbish or recycle products, chemical emissions during manufacturing or product use, product ingredients or financial sustainability (affordability).
The National Retail Federation defines sustainability as the retail industry’s ability to affordably deliver net positive environmental, social and community benefits. While useful from an industry-wide perspective, the definition is less meaningful for consumers trying to buy or retailers trying to sell more sustainable products. As a result, how manufacturers, brands and retailers talk about sustainability is incredibly important.
Talking Sustainability
The biggest challenge when talking about sustainability is to ensure all sustainability claims are accurate, relevant and meaningful. Claims failing to meet these criteria are likely to be considered ‘greenwashing.’ Greenwashing is a false or misleading statement about the environmental or broader sustainability practices of a company, product or service. Classic greenwashing phrases like ‘eco-safe’ or ‘earth-friendly,’ for example, create opportunities for consumers to make inaccurate assumptions about what the phrases mean.
In Canada, the Competition Bureau regulates ‘truth in advertising’ claims. Last June, amendments were made to the Competition Act that target the prevention of greenwashing. These changes mandate that retailers and other value chain partners provide evidence to support any environmental claims. Specifically, claims must be supported by third-party testing or internationally recognized methodologies.
Previously, the onus was largely on the Competition Bureau to demonstrate an environmental claim was misleading but with these amendments, the burden of proof has shifted to the company itself. This means that, if challenged, a company making green claims must provide evidence proving the accuracy of their statements in the form of proper testing or substantiation.
Companies engaged in and found ‘guilty’ of deceptive marketing practices like greenwashing face a maximum fine of $10 million for a first offence and $15 million fine for any subsequent infractions. Alternatively, the fine can be set at up to three per cent of the company’s annual global revenue, whichever amount is higher.
The Competition Bureau is currently in the process of developing enforcement guidelines. It held public consultations to inform these, which concluded Feb. 28.
Selling Sustainability
Retailers recognize that while consumers claim sustainability is important, other more crucial factors could drive their purchasing decisions. Consumers are looking to optimize price, quality and convenience. Sustainability is rarely the primary reason for a purchase, although younger consumers increasingly consider sustainability as an indicator of quality. They are also more likely to purchase sustainable options when it is convenient, including having easy access to sustainability-related information about the products they are considering.
To make it simpler for consumers to find more sustainable products, including sleep products, many retailers are soliciting sustainability information from their suppliers and making the information available on their websites to consumers. With mattress and bedding products, retailers are recognizing and sharing certification status from more than a dozen independent certification programs, such as B Corp, Climate Neutral, Global Organic Textile Standard (GOTS), Greenguard, Made Safe and Oeko-Tex. B-Corp certifies companies that meet environmental and social criteria. Climate Neutral certified recognizes companies that offset the carbon footprint of their products. GOTS is a certification program for organic cotton, wool and other natural fibres. Greenguard certifies that products have been evaluated to ensure they are not emitting hazardous chemicals. Made Safe is a certification that screens out products that contain more than 6,500 banned or restricted chemicals. And Oeko-Tex is an independent certification that ensures the absence of harmful substances in raw material and the final product.
As this kind of information proliferates on retailer websites, it makes it easier for consumers to compare products on sustainability along with traditional cost, quality and convenience. This makes sustainability an important differentiator among similarly priced products.
These kinds of considerations are likely to become even more important as Gen Z begins buying and furnishing their first homes and having children. This generation already cares more about sustainability than previous ones and retailers can make it easier for them to shop accordingly.
Scot Case is vice-president of corporate social responsibility and sustainability at the National Retail Federation (NRF), and executive director for the NRF Centre for Retail Sustainability. He also leads NRF’s sustainability council and supports retailer efforts to use their businesses to make the world a better place for everyone. Scot has focused on the intersection of business, environmental and social concerns since the mid-1990s. He can be reached at sustainability@nrf.com.