Economic pressure has been the main driver of consumers’ sustainable behaviours, according to a new study by Beko Smart Living Index. Consumers are currently more motivated to adopt sustainable practices and technology due to the high costs associated with energy and their financial situation, rather than for environmental reasons. Financial concerns related to the rising cost of living and increasing energy prices are prompting consumers across all demographics to make different purchasing and lifestyle choices, according to one of the major media outlets.

Study Overview and Major Conclusions

To gain insights into sustainable behaviour, consumers from a wide range of demographic groups across 12 countries were surveyed using the Beko Smart Living Index. Approximately 6,000 participants from key markets across Europe (the UK, France, Germany, Italy and Spain), Asia, Africa and the Middle East were allowed to share their views on sustainable behaviours, energy consumption, and their choices related to the purchase of smart home appliances over the previous 12 months. Through this extensive global study, researchers identified the dominant influence of economic and environmental factors on consumer adoption of both types of technology in the home.

The majority of respondents believe that although long-term affordability and sustainability are important, their decisions are largely shaped by the current economic situation. In eight of the twelve surveyed countries, rising energy costs were identified as the most prominent environmental issue affecting daily life. As a result, households are influenced by their financial situation when making decisions about how to implement sustainability in their consumption and utility choices. Demographic differences in sustainable behaviours were also identified. Individuals aged 45 years and older were reported to engage in energy-saving actions more regularly than those aged between 25 and 44. Additionally, individuals with a household income of less than USD 20,000 tend to use energy-conserving methods more frequently than those with household incomes between USD 60,000 and 80,000.

Concerns regarding higher energy costs across the surveyed regions were strongly correlated with individuals’ awareness of environmental issues and their understanding of how utility bills reflect purchasing decisions. Higher levels of consumer interest in, and knowledge of, energy-saving appliances and related technologies were identified in Thailand, Pakistan and Turkey. In contrast, consumers in the UK, Germany and France showed lower levels of engagement with these technologies. These findings illustrate how regional economic conditions and familiarity with smart technologies influence how households implement sustainability measures.

Overall, the findings of this report align with a broader body of research indicating that economic conditions have a significant influence on consumer sustainability behaviour. Further analysis supports the conclusion that multiple factors shape how consumers engage with and transition towards environmentally friendly behaviour, with economic challenges being a key determinant. Financial circumstances strongly affect the extent to which consumers engage in sustainable practices, as those experiencing financial pressure often prioritise immediate affordability over long-term sustainability commitments.

Globally, consumer research suggests that while cost pressure plays an important role in shaping consumer behaviour, a significant number of consumers are still willing to pay a premium for sustainable products. Others, however, only choose sustainable products when they are financially affordable. This complexity highlights the relationship between economic pressures, perceived value, cost considerations and environmental factors in shaping sustainable consumer choices.

Policy and Sustainable Practice Implications

The study’s finding that economic pressure is a primary driver of sustainable behaviour has important implications for policy development and business strategy. If affordability is the key decision-making factor in sustainable choices, policymakers are encouraged to develop strategies that remove financial barriers to sustainability, such as subsidies and incentives for energy-efficient products and technologies aimed at low-income consumers. Policies that take consumers’ financial constraints into account are likely to lead to higher adoption rates of energy-saving practices and technologies.

Businesses should focus on aligning sustainable product development with cost targets. Manufacturers of energy-efficient appliances and smart technologies should prioritise affordability, as consumers are more likely to purchase these products when they fall within an acceptable price range.

Consumers seeking sustainable technologies that offer measurable savings on energy bills or provide other financial incentives are likely to accelerate the adoption of such technologies within households.

Demographics

The demographic trends identified in this research indicate opportunities for targeted outreach and education related to sustainability. Consumers over the age of 50 and those on limited budgets are more likely to engage in energy-conserving practices, suggesting that sustainability initiatives emphasising cost savings may resonate strongly with these groups.

Global research on environmental attitudes continues to show that while individuals do consider environmental issues when deciding to act sustainably, these concerns are generally not the primary motivating factor. Instead, consumers tend to weigh the costs of environmentally sustainable products or services against factors such as convenience and availability.

Economic factors, including household income and expenditure, will therefore continue to play a critical role in shaping consumer decisions related to sustainable products and services. To bridge the gap between consumers’ willingness to purchase environmentally sustainable options and the associated costs, policymakers should implement measures that improve access to and affordability of eco-friendly products and services.

According to the Beko Smart Living Index, there is a clear correlation between household economic conditions and the sustainability initiatives implemented at home. Furthermore, the index suggests that ongoing economic pressures will continue to influence the feasibility of environmental goals set by governments, businesses and advocacy organisations that promote sustainable household practices.