British consumers and biodegradable bottles: they are willing to pay more, but it is not enough

By: Trademagazin Date: 2025. 03. 14. 11:25

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British consumers are willing to pay a higher price for water packaged in biodegradable plastic bottles, but the premium does not cover the significant additional cost of production, according to new research from Corvinus University of Budapest. The researchers, including Professor Matthew Gorton and Associate Professor Áron Török, investigated how the packaging material, the origin of the product and the charitable donation influence consumers’ purchasing decisions, writes Agrárszektor.

Demand for biodegradable bottles and the role of price

According to the results of the research, British consumers are willing to pay an average of 49 pence (about 240 forints) more for water packaged in biodegradable bottles than for the traditional PET bottle version. Despite this, the production cost of biodegradable packaging often exceeds this price premium, so manufacturers cannot fully pass the costs on to consumers.

The Paradox of Sustainability

There is an interesting paradox among environmentally conscious consumers: those who truly value sustainability often avoid buying bottled water altogether, regardless of the packaging it comes in. This is partly due to the fact that most consumers who follow sustainable purchasing habits prefer tap water, minimizing the waste associated with packaging.

Local product or biodegradable packaging?

The research also showed that local origin has less of an impact on purchasing decisions than the sustainability of the packaging itself. This means that consumers are more likely to pay more for a sustainably packaged but imported product than for a traditional PET bottle of water produced locally.