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Beauty Industry's Green Push Hampered by Patchwork Efforts and Lack of Standards

The $500bn beauty industry faces sustainability challenges, but inconsistent efforts and missing standards fuel greenwashing and consumer confusion, experts say.

A 2021 study by strategy and consulting firm Simon Kucher found that 60% of consumers worldwide rate sustainability as an important purchasing criterion, and 35% are willing to pay more for sustainable products. This shift has pushed many beauty brands to set environmental goals, such as reducing single-use plastics, using recyclable or refillable packaging, and disclosing more ingredient information.

However, the British Beauty Council says consumers still struggle to understand the sustainability credentials of many products because the industry's efforts are inconsistent. In a 2021 report, the council called for companies to have "the courage to change," noting that even natural ingredients can involve over-consumption, non-regenerative farming, pollution, and waste.

There is no international standard for how much ingredient information beauty brands must share, allowing companies to set their own rules and fueling confusion and unsubstantiated sustainability claims. Millie Kendall, CEO of the British Beauty Council, told CNN that the term "clean beauty" has become "quite dangerous" and is used to sell more products, adding that customers need better marketing and certification information.

Discussions about natural versus synthetic ingredients also add to the complexity. Jen Lee, chief impact officer at US-based Beautycounter, said natural ingredients are not always safer, as heavy metals can occur in natural components. Sasha Plavsic, founder of ILIA Beauty, explained that organic materials often break down under high manufacturing temperatures, leading to inconsistent results, so "not every synthetic is bad."

Plastic packaging remains a major concern. According to the British Beauty Council, 95% of cosmetic packaging is thrown away, and most is not recycled. The cosmetics sector is the fourth largest user of plastic packaging globally, with plastic accounting for about 67% of its packaging volume, per Vantage Market Research. In 2021 alone, L'Oreal used 144,430 metric tons of plastic in packaging, and Estee Lauder Companies reported 71,600 metric tons, according to the Ellen MacArthur Foundation.

Global plastic recycling rates are low, with only 9% of plastic waste recycled worldwide and just 4% in the United States, according to the OECD. Many brands are adopting post-consumer recycled (PCR) plastic, with L'Oreal targeting 50% PCR usage by 2025 and Estee Lauder aiming for 25% or more. But both remain far from reaching those goals. Ellen MacArthur Foundation's Sander DeFruyt said 60 to 70 major global brands have made "unprecedented progress" in PCR plastic usage, yet stressed that such efforts must accompany broader reductions in single-use plastics.