The importance of traceability for good consumer relations.

Traceability solutions such as FibreTrace® closes the gap between corporate and personal social responsibility by giving consumers and companies the tools to be environmentally sustainable in their production and consumption.

May 25th, 2021

Written by FibreTrace®

Today, consumers are more aware and concerned than ever about the social and environmental impacts of the products they purchase. Correspondingly, consumers have become more reactive to accidents, transgressions and worker exploitation in brands’ supply chains. The opacity of supply chains significantly increases the risk for companies as they are held accountable by consumers regardless of whether they were aware of issues or not – and consumer expectations and brand accountability are only continuing to expand in scope. 

A consumer report shared by Affirm found that 76 percent of consumers say it is important that the fashion item they purchase is sustainable. As consumers demand more social responsibility, transparent communication is becoming more mainstream. Research shows that 30% of consumers struggle with a “value-action gap” when consuming services and products. In particular, the green consumer struggles to translate their own environmental concerns and civic responsibility into their consumerist habits. 

Traceability solutions such as FibreTrace® closes this gap between corporate and personal social responsibility by giving consumers and companies the tools to be environmentally sustainable in their production and spending habits. Traceability allows consumers to track the end-to-end lifecycle of their clothing in real-time. By granting consumers immediate and tangible access to this information, they can visually see the positive impact of their spending and be encouraged to continue in this pattern of consumption. The Harvard Business Review confirms this notion by emphasizing how continued consumer behaviours in purchasing sustainable products is dependent on emotional appeal and tangibility. 

One of the first studies on traceability labelling and consumers was conducted by Bradu, Orquin and Thøgerson in 2013. This study contrasted the effect of a traceability label on bars of chocolate, controlling all other product features such as health disclaimers and product quality. Their study confirmed the hypothesis that a traceability label on a product would influence a consumers’ willingness to buy a labelled product as opposed to a generic, non-labelled product. The label made consumers feel better about their purchase by buying an ethical product, and processed their choice through a peripheral route, making a fast, frugal, affect-based judgement, rather than one based on elaborate reasoning. This is an important insight for brands looking to make the switch to a transparent business model and supply chain, as it reveals that even at first glance, and with all other variables the same, consumers have a predisposed bias and interest in products that are traceable and promise to disclose all information for the benefit of the consumer, and subsequently the planet.

Traceability helps create mindful, environmentally conscious consumers by educating their customers on the processes used by the textile and fashion industry. Traceable technology compels companies to become accountable for their own environmental impact and consequently hold them to a much higher ethical standard. As a result, consumers are given the opportunity to become active and informed participants in this endeavour to produce a more environmentally sustainable industry.

The antidote to greenwashing in the marketing world, traceability roots itself in clear facts and irrefutable detail to ensure an ethical and sustainable world is forced to fruition. There is no room for growth in the modern world for businesses who are not able to be honest and own their current transgressions, to move forward into a future of climate stability. Radical transparency through traceability technologies such as FibreTrace® are paving the way for change in the textile industry.