Green

Just because the label says that a product is environmentally conscious, or eco friendly, doesn’t mean it’s necessarily true.

Here’s the thing about greenwashing: companies promise sustainability loudly, but deliver little. And it’s no longer just clever packaging; it’s become a systemic problem baked into entire industries.

Product-level accountability means embedding traceable, verifiable sustainability data into each product, not just publishing broad ESG reports. It’s about proving claims at the unit level: where materials came from, how much carbon it emitted, and whether it can be recycled.

The scale of the problem

In 2024, over 90% of UK environmental‑sector professionals said greenwashing is still on the rise. Far too many companies still make unsubstantiated eco‑claims yet awareness of the issue is growing fast.

Survey data showing 40% of green claims in the EU lack supporting evidence, and over 50% of labels are weakly verified or unverifiable.

Why it matters

  • Consumer trust: Consumer behavior is shifting towards sustainability, with 72% of global consumers willing to pay more for sustainable products.
  • Reputation takes a hit: Consumers don’t just feel duped, they act on it. Companies widely perceived as greenwashing see a 1.3% drop in customer satisfaction, which hits earnings and brand loyalty over time.
  • Legal risks: Meanwhile, mislabelled products bring legal risk, Volkswagen alone paid over $30.3 billion for emissions fraud in 2020.

Connecting information transparency with product trust

Here’s what this means in practice

Today, there’s growing recognition: traceability matters for every product in use. When you can track materials, processes, and certifications for every item, it cuts through the green marketing noise. 

When a product offers verifiable, tamper‑proof records of origin, composition, lifecycle impact, and energy or emissions data, it’s harder for superficial green claims to thrive. This will align with new systems aimed at embedding trust directly into product info.

When consumers or corporate buyers can scan a code, access certified supplier data, and crosscheck carbon footprints or recyclability info, green claims need actual evidence or they’ll unravel. Companies that rely on vague, unverified marketing will struggle; those investing in traceable transparency gain a real competitive edge.

Sector Company Greenwashing claims Exposure
Automative Hyundai NEXO (2020– 2021) Advertised hydrogen cars as purifying air, omitting particulate emissions from tyres and brakes. Advertising Standard Authority (ASA) UK banned the ad in 2021; marked increased scrutiny of clean vehicle marketing.
Fashion H&M Conscious Collection (2023) Made vague sustainability claims; many items made from polyester. Faced a class-action lawsuit
Food & Beverage Coca-Cola  2024 Claimed reduced plastic use while pouring from disposable bottles into reusable cups. Criticised by environmental NGOs; faced public and media backlash.
Consumer goods Procter & Gamble 2025 Marketed eco-sourced tissue; used logos despite sourcing from clear-cut boreal forests Lawsuit filed in Seattle; accused of misleading use of sustainability certifications

Pulling it all together

In 2024-25, greenwashing remains widespread: billions of dollars of misleading eco‑claims, eroded trust, legal and reputational fallout. Millions of products carry vague or false sustainability labels. At the same time, consumers and professionals are demanding proof, and regulatory regimes are moving toward requiring it.

What this really means

The path forward lies in systems that tie evidence to a product’s lifecycle, creating transparency by design. The ability to access verified, specific sustainability data turns vague marketing into accountable information. 

This not only helps reveal and punish greenwashing, it also gives credible brands a way to stand out.

The takeaway: statements like natural, carbon‑neutral, or green leaf icons aren’t enough. If those claims can’t be linked to audited, traceable data on materials, sourcing and impact, they risk exposure. In contrast, brands embedding verifiable records into their product flow will earn trust, meet tougher regulations and avoid getting burned.

Greenwashing may be ubiquitous, but so is the demand for real proof. And the companies that bake transparency into the product itself, not just its packaging will be the ones consumers believe.

Are your product claims backed by data or just design?

Reference

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