Singapore has established itself as a global sustainability leader, with 100% of its top 100 companies achieving sustainability reporting—a distinction shared by only seven nations worldwide.
Over three-quarters of these companies recognize climate change as a financial risk, exceeding the global average of 55%.
Singapore’s Green Plan 2030 outlines a comprehensive strategy for achieving net-zero emissions, emphasizing urban greening, sustainable living, and renewable energy.
The push toward sustainability is also reflected in consumer behavior. Our study on sustainability across ten countries, The Green Brand, reveals that 24% of Singaporeans strongly agree they choose products or services based on environmental credentials, emphasizing the importance of sustainability in purchasing decisions.
This unwavering commitment to sustainability, driven by government initiatives and corporate responsibility, has fostered a thriving green market in Singapore. Conscious consumerism is reshaping the way corporations and individuals approach environmental impact.
The Growth of Sustainability in Singapore
Government policies have laid a strong foundation for this transformation. Initiatives like the carbon tax—the first in Southeast Asia—have encouraged brands to reduce emissions, while programs such as Eco Fund grants support community-led sustainability projects. These efforts are shaping corporate strategies and cultivating eco-conscious habits among residents.
Corporate engagement is another key driver. Major companies in Singapore have integrated sustainability into their business models. For instance, CapitaLand launched its 2030 Sustainability Master Plan, which outlines ambitious goals for carbon reduction, energy efficiency, and adopting green building technologies.
On the consumer front, demand for eco-friendly products has surged. Singaporean consumers consider sustainability a critical factor in their purchasing decisions, making the green market an essential brand focus. This shift is particularly pronounced among younger generations, who are more likely to support brands that align with their environmental values.
Key Drivers of Conscious Consumerism in Singapore
Environmental awareness is fueling conscious consumerism in Singapore, reshaping purchasing behaviors and lifestyle choices. By understanding and addressing these drivers, brands can position themselves as leaders in sustainability, building trust and loyalty among eco-conscious consumers while contributing to Singapore’s vision of a greener future.
Generational Influence
Millennials and Gen Z drive this transformation, showcasing a strong commitment to environmental sustainability. A Deloitte survey found that 60% of Gen Z and 79% of millennial Singaporeans are willing to pay a premium for sustainable products or services. These figures reflect a significant shift in consumer priorities, with sustainability becoming a key factor in purchase decisions.
Shifting Consumer Behaviors
Beyond the willingness to pay, Singaporean consumers are actively aligning their actions with their values. The same study shows nearly 29% of Gen Zs and 28% of millennials in Singapore have stopped or reduced relationships with businesses whose practices harm the environment. Personal actions such as avoiding fast fashion, reducing air travel, and adopting plant-based diets are increasingly prevalent, signaling a broader cultural shift toward sustainability.
Increased Awareness and Education
Public awareness of climate change and environmental challenges continues to rise, supported by initiatives like the Sustainable Singapore Movement. Educational programs and campaigns have equipped Singaporeans with the knowledge to make informed decisions, empowering them to choose products and services aligned with eco-conscious principles.
The Role of Social Media
Social media has become a powerful catalyst for driving sustainability conversations. Influencers advocating for green lifestyles amplify messaging and connect with audiences, while hashtags like #SustainableLivingSG regularly trend, showcasing reusable products, zero-waste efforts, and plant-based diets. Social platforms have effectively turned sustainability into a shared community value.
Shifting Cultural Norms
Cultural attitudes toward consumption are also evolving. While traditional preferences emphasize cost and convenience, modern Singaporean consumers increasingly prioritize long-term environmental benefits. This change has encouraged second-hand shopping, product sharing, and the adoption of circular economy principles, particularly among younger demographics.
Support from Policy and Industry
Singapore’s government plays a pivotal role in nurturing this movement. Policies such as subsidies for electric vehicles, incentives for green certifications, and public waste management reforms create a robust ecosystem for sustainable practices. Companies are also stepping up, integrating green strategies to resonate with consumer values and align with national goals, such as the Green Plan 2030.
Consumer Trends in Singapore’s Green Market
Singapore’s green market is evolving rapidly, driven by consumer demand, innovative business practices, and government initiatives. The following trends highlight how sustainability shapes industries and consumer behavior in the city-state.
Popular Trends in Consumer Behavior
- Reusable and Sustainable Products: From reusable bags and tumblers to biodegradable packaging, consumers opt for eco-friendly alternatives that reduce waste.
- Plant-Based Diets: The popularity of plant-based diets continues to grow, with an increasing number of restaurants and retailers offering vegan and vegetarian options. Local startups like Shiok Meats, specializing in cultivated seafood, are gaining traction.
- Conscious Fashion Choices: Consumers are steering away from fast fashion, favoring sustainable brands and second-hand clothing platforms like Style Theory and Refash.
Rise of the Circular Economy
Circular economy principles are gaining momentum in Singapore. Platforms for renting, reselling, or repairing products have become more prominent, allowing consumers to maximize the lifecycle of their purchases. For example:
- Rental Models: Businesses like Retykle, focusing on pre-loved children’s clothing, make sustainable consumption more accessible.
- Repair and Refurbish Services: Retailers now offer repair services to extend product lifespans, reducing the need for replacements.
Technology-Driven Sustainability
Innovative technology is transforming sustainability practices across industries:
- Green E-Commerce: Companies are adopting eco-friendly packaging and carbon-neutral delivery options to reduce environmental impact.
- Smart Energy Solutions: Companies and residential buildings are embracing energy-efficient technologies, such as smart grids and renewable energy installations, to reduce carbon footprints.
Corporate Sustainability Initiatives
Major corporations are leading by example, integrating sustainability into their operations. Committed to becoming carbon-neutral by 2022, DBS has introduced green loans and sustainable investment products for consumers. The real estate giant CapitaLand has rolled out its 2030 Sustainability Master Plan, focusing on reducing emissions, improving energy efficiency, and fostering innovation in green building technologies.
Expanding Green Food Options
Sustainability in food is another notable trend. The rise of urban farming initiatives, such as Edible Garden City, and plant-based food innovations are transforming the culinary landscape. These efforts support Singapore’s food security goals while catering to environmentally conscious consumers.
Focus on Electric Mobility
The adoption of electric vehicles is accelerating, supported by government incentives and infrastructure development. Initiatives like the Electric Vehicle Common Charger Grant encourage businesses to install EV chargers, making sustainable mobility more accessible.
These trends showcase how sustainability has permeated every aspect of Singapore’s market, from consumer behavior to business operations. For brands, staying ahead means embracing these shifts and finding innovative ways to deliver value while contributing to a greener economy.
Initiatives from both local and international brands exemplify Singapore’s commitment to sustainability.
The following examples highlight how brands align with the nation’s environmental goals and consumer expectations.
FairPrice’s ‘No Plastic Bag’ Initiative
NTUC FairPrice, Singapore’s leading supermarket chain, has implemented several measures to reduce plastic bag usage. Through its year-long “No Plastic Bag” initiative, FairPrice saved over 57 million plastic bags—almost double its annual target of 30 million. Since the introduction of a mandatory 5-cent charge for disposable carrier bags, more than 90% of customers now bring their own bags to FairPrice, a significant increase from 61% prior to the charge. Additionally, starting July 2023, most medium to large FairPrice stores have introduced bag-sharing racks for customers to use, typically located near the checkout area.
Tesla’s Entry into Singapore’s EV Market
Tesla’s expansion into Singapore aligns with the government’s push for electric vehicle (EV) adoption. The introduction of Tesla’s EVs has been well-received, supported by government incentives such as the Electric Vehicle Early Adoption Incentive (EEAI), which offers rebates to encourage EV purchases. Tesla’s presence has accelerated the shift towards sustainable transportation in Singapore.
Shiok Meats’ Cultivated Seafood
Shiok Meats, a Singapore-based startup, is pioneering cell-based seafood production. Shiok Meats addresses overfishing and environmental degradation by developing cultivated shrimp and lobster, offering sustainable alternatives to traditional seafood. This innovation positions the company at the forefront of sustainable food technology.
Opportunities and Challenges for Brands in Singapore’s Green Market
Singapore’s green market presents unique opportunities for brands to align with sustainability goals and capture the loyalty of conscious consumers. However, navigating this landscape also comes with its challenges.
Opportunities for Brands
- Growing Consumer Demand
The increasing willingness of Singaporean consumers, particularly Millennials and Gen Z, to pay a premium for sustainable products and services provides a lucrative market. By incorporating sustainability into their offerings, brands can attract eco-conscious customers and build long-term loyalty. - Government Support
Singapore’s pro-sustainability policies, such as subsidies for electric vehicles, tax incentives for green businesses, and initiatives under the Green Plan 2030, create a favorable environment for brands to invest in sustainable practices. Collaborating with government programs can enhance brand credibility and reach. - Innovation in Products and Services
Brands can innovate by adopting circular economy principles or leveraging green technology. Examples include creating biodegradable packaging, introducing sustainable product lines, and using AI-driven tools to optimize supply chain sustainability. - Regional Leadership
As one of Asia’s most advanced markets, Singapore can act as a springboard for brands aiming to expand sustainability efforts across Southeast Asia. Success in Singapore could position a brand as a regional leader in green innovation.
Challenges for Brands
- High Costs of Sustainability Initiatives
Implementing sustainable practices often requires significant upfront investment. From sourcing eco-friendly materials to adopting green technologies, the costs can be prohibitive, particularly for small and medium enterprises. - Consumer Skepticism About Greenwashing
With rising consumer awareness comes increased scrutiny. Brands must ensure their sustainability claims are genuine and backed by evidence, as any perceived greenwashing could damage their reputation. - Balancing Profitability with Sustainability
Maintaining a balance between profitability and sustainable practices remains challenging for many brands. Ensuring eco-friendly products are competitively priced while maintaining margins is a delicate task. - Adapting to Rapidly Changing Consumer Expectations
Sustainability trends are evolving quickly, and brands must remain agile to meet new demands. Failing to keep pace with consumer expectations could result in lost market share to more innovative competitors.
The Path Ahead for Brands
To thrive in this market, brands must adopt strategies that embed sustainability into their operations. Here are actionable insights based on our findings:
Make Sustainability a Core Pillar of Growth
Sustainability must move beyond being a value proposition to becoming a foundational aspect of business strategy. Brands should prioritize long-term environmental goals over short-term financial pressures.
How to achieve this: Foster company-wide investment in sustainability by regularly communicating goals, showcasing results, and encouraging innovative ideas from employees.
Set and Review Quantifiable Targets
Targets serve as the compass guiding your sustainability efforts. They lend credibility, streamline initiatives, and enhance accountability.
Why it matters: Regularly reviewed and adjusted targets ensure alignment with current capabilities and emerging best practices.
Best practice: To enhance transparency and trust, use globally recognized frameworks, such as the G20 Financial Stability Board’s Task Force on Climate-related Financial Disclosures.
Measure Performance and Communicate Progress
Tracking performance against targets is essential for continuous improvement. Transparency in reporting achievements fosters internal commitment and strengthens consumer trust.
How brands can do this: Share progress through internal updates and public reports to demonstrate accountability.
Invest in Supply-Side Solutions
Finding environmentally friendly alternatives is critical in industries reliant on single-use plastics, such as hospitality and food. Brands should collaborate to develop innovative materials and infrastructure.
Example: Partnerships with the government to build missing infrastructure like reverse logistics systems, battery charging networks, and renewable energy solutions can have a transformative impact.
Leverage Technology for Sustainability
Technology is a key enabler of sustainable practices. From reducing waste to optimizing supply chains, digital solutions provide brands with tools to achieve meaningful change.
Opportunities: Explore advancements in e-commerce logistics, AI-driven supply chain management, and renewable energy integration to maximize sustainability gains.
Collaborate for Impact
Collaboration between the private sector and government is essential for creating a sustainability-supportive ecosystem. This includes developing infrastructure like waste management systems and renewable energy networks.
Next steps: Join public-private initiatives to co-create solutions that address immediate and systemic sustainability challenges.
Sustainability is no longer optional for brands operating in Singapore—it’s an expectation. By embedding sustainable practices into their operations, setting clear goals, and leveraging technology, companies can build trust, foster loyalty, and lead the green transition.
Read ‘The Green Brand’ report today to learn more about consumer attitudes toward sustainability and gain insights from nine other countries.
Get regular insights
Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.
Senior Marketing Executive
Sales & Marketing
General Manager PR -Internal Communications & Government Affairs
Vital Strategies
Customer Intelligence Director