Our Approach

We combine two key strengths—consumer understanding and science—to deliver sustainable innovations that don’t require trade-offs in performance or value.

Consumer Insight

At P&G, every Sustainability innovation begins with a deep understanding of consumers. Because we are in touch with the consumers’ reality, we can make innovation decisions based on their needs. We know that most consumers are unwilling to make trade-offs on performance or value in an effort to be more sustainable. This insight is consistent across regions throughout the world.

We have found that two relatively small groups exist on the ends of a decision-making spectrum. On one end, “niche” consumers are willing to sacrifice performance or value for a more sustainable product. On the other, a small segment is focused on providing “basic living” for their families and do not make purchases based on Sustainability factors. But between these segments lie the vast majority of consumers: the “sustainable mainstream.”

Consumer Types: U.S. 17% Niche, 74% Sustainable Mainstream, 9% Basic Needs; Europe: 18% Niche, 74% Sustainable Mainstream, 8% Basic Needs; Japan: 12% Niche, 81% Sustainable Mainstream, 7% Basic Needs

Amounting to 70% of consumers overall, this sustainable mainstream group wants choices that have demonstrated improvements to their environmental profile. But they will only alter purchasing decisions when they can have the performance they require and the value they need. They won’t—and can’t—sacrifice performance or price for environmental benefits, especially in tough economic times.

At P&G, the sustainable mainstream is the focus of our Sustainability efforts. This largest consumer segment matters most to us, because meeting their needs lets us deliver the greatest positive impact.

Technology Insight

In addition to consumer insights, we apply a second key element to making Sustainability decisions: a unique, holistic view of technology. We use life-cycle thinking, a discipline we helped pioneer, to determine a product’s entire environmental footprint, from the procurement of raw materials to the product’s use by consumers and ultimate disposal. By examining multiple factors in each step, we assess the product’s overall environmental impact.

Life Cycle Assessment: Materials, Manufacturing, Packaging, Distribution, Usage, Disposal

With this holistic insight, we can then find opportunities where a sustainability improvement can have the biggest positive impact. In the case of laundry detergent, for instance, our life cycle assessment revealed that one step of the product’s life cycle consumed far more energy than any other: the heating of wash water during its use in the home. As such, this step clearly offered the biggest opportunity for energy reduction—so that is where we focused our Sustainability efforts, first with Ariel in Western Europe and then with Tide in North America. We introduced a formulation of Ariel and Tide that is optimized for use in cold water, avoiding the need to heat water for washing altogether.

Finding Opportunity: Energy Analysis graph showing biggest need in "Use For Home" as compared to Materials, Manufacturing, Packaging, Distribution and Disposal.

Sometimes, like in the case of Tide Coldwater, our technology insight reveals that changing a product’s formulation will yield the biggest impact. Other times, our assessment provokes a new approach to packaging. The Ariel brand has examples of both kinds of improvements in action.