By Sudip Ghose,
Consumers are changing…. sustainability is no longer a concept, it’s a reality. Being sustainable is need of the hour, and the market sure is expanding. But what exactly is sustainability? Sustainability, in a broader sense, seeks to prevent the depletion of natural or physical resources so that they will remain available for a longer term for the coming generations. Since the global population is growing rapidly, it is important to preserve our natural resources. Keeping the objective in mind, the brands across domains are venturing into the D2C space.
When it comes to waste generation, the tourism industry plays a huge role and accounts for about 30% of waste in India. To cater to the issue ‘sensibly’, travel brands are coming up with sustainable solutions and disrupting the D2C space. “uppercase” is one such brand. At “uppercase” we not only focus on customer satisfaction but also on replenish and help Mother Earth heal by not adding to the waste.
As per estimates, over 800 D2C brands are operational in India, with market size of around $44.6 billion as of 2021. The same is expected to double and reach the $100-billion mark by 2025.
After the pandemic, people have become more conscious about what and how they use and consume. As per a recent report by Booking.com, around 91% of Indian travellers want to travel sustainably, which is a 15% increase compared to 2021.
The report added that 94% of Indian travellers think sustainable travel is very important, and 68% of them cited that recent news about climate change has influenced them to make more sustainable travel choices.
Travel is a leisure activity but can generate tons of waste if not done consciously. Sustainable tourism is one economic sector in India that is growing rapidly and contributes to the development & protection of the environment, taking one step at a time.
To cater to the growing demand for sustainable travel, travel accessories brands are coming up with eco-friendly luggage using recycled plastic bottles solving two problems at a time. One of plastic recycling, two of producing sustainable gears.
Future Of Sustainable D2C Travel Segment
With the market size set to double in the next few years, and a steady rise in customer numbers in the foreseeable future, the sustainable D2C economy in India is well set for spectacular growth. Going forward, proactively addressing customer concerns and unmet demand will be crucial for retailers. This is where digital D2C brands, with their product and service innovations, will increasingly gain market share, and we can see numerous unicorns emerge from the segment in the years ahead.
Challenges of Sustainable Travel
With a bright future, the sustainable D2C travel segment has many challenges. With the growing demand, the supply is increasing. However, with the industry still in this nascent stage, there are challenges with technology and innovations and, more importantly, when it comes to pricing.
To combat these challenges, the government’s support & policies to promote sustainable tourism will prove beneficial.
To conclude, D2C space is growing a rapid pace especially after the covid-19, now that people have become cautious of their habits and what they use, sustainable travel D2C segment is thriving to grow, businesses across the globe are coming up with innovation technologies and solutions to combat the challenges our environment is facing. With the growing advancements a new a era has begun.
So come let’s change the world one bag at a time.
(The author is Founder & MD, uppercase. Views expressed are personal and do not reflect the official position or policy of the FinancialExpress.com.)