Assurant Q&A: How to Shop Sustainably for Tech Gifts

In the USA, 50 million people bought a smartphone as a gift in 2022. 

In the same year, the world produced 62 million tonnes of e-waste. Each new mobile device manufactured can contribute more than 100kg of CO₂e emissions to the atmosphere. 

Assurant is a global business services company that protects, supports and connects major consumer purchases, headquartered in Georgia, USA. 

It partners with world-leading brands to develop smart solutions and an enhanced customer experience, for instance through mobile device solutions and vehicle protection services. 

Rebekah Griffiths is VP, Product Management and Strategy for Device Lifecycle Solutions at Assurant. 

This department provides end-to-end solutions to maximise the useful life of mobile devices and improve the circular economy. 

Her passion lies in bringing together business and technology to solve complex problems, enhance customer experience and drive positive social and environmental change.

Rebekah shares her expertise with Sustainability Magazine.

Why are consumers interested in sustainable tech?

According to a recent Assurant study of retail shoppers, consumers are increasingly seeking out sustainable alternatives when purchasing electronics. From refurbished smartphones to eco-friendly gift giving, 74% of US shoppers are leveraging the circular economy in both personal and shared technology decisions.

This shift is due, in part, to the rise (close to 20% of all shoppers) of environmentally and ethically conscious consumers when purchasing their tech. For another large segment of consumers (42%), the ongoing global cost of living crisis is pushing them to consider alternatives to new, more expensive tech purchases. This switch in buying patterns has created a clear need for retailers to offer consumers sustainable, affordable options throughout their shopping experience. 

Do consumers look to gift sustainable tech? 

Retail brands and their partners, like Assurant, have been digging deep into consumer demographics, psychographics and behavioural data for years. As trends across global sustainability, the circular economy and buying power continue to shift, understanding what drives sustainable purchases has become a huge part of this research.

The sustainable shopping study found that 76% of buyers would purchase a used device for themselves and 54% for a spouse. However, only 9% would consider gifting a used device to a friend, indicating that second-hand devices may come with an attached stigma that limits the market today.

To successfully respond to these evolving behaviours, companies will need to enact collaborative eco-solutions across the supply chain. Strategies like opting for more robust consumer technology product designs and the collection and refurbishment of pre-owned devices help encourage sustainable purchasing decisions, while making the entire supply chain more eco-friendly. With environmental stresses mounting, meeting this consumer need could help businesses future-proof with planet-positive values. 

How do consumers feel about certified pre-owned products?

While past buying habits have centred around product quality, buying pre-owned devices has steadily become the go-to choice for consumers looking for affordability or to limit their e-waste and their environmental footprint. Tech products designed with the staying power to withstand the yearly upgrade cycle allow such devices to have several life cycles rather than quickly becoming obsolete in the eyes of consumers. 

Retailers have taken note, expanding their ‘certified pre-owned’ (CPO) product suites–which guarantees devices are refurbished to some standard–and assuring quality with short-term warranties. This gives price-conscious and values-aligned buyers attractive, trusted choices to extend the useful life of a device.

As sustainable purchasing options multiply, consumer awareness of reuse certifications, like CPO for smartphones, has steadily grown. The majority (68%) of consumers say they have a clear understanding of whether a smartphone is classified as CPO. Over recent years, major carriers have answered demand by boosting pre-owned promotions and trade-in programs to repurpose or recycle old devices. Such opportunities make it easy for consumers to participate in the circular economy without feeling like they’re falling behind in the annual technology upgrade cycle.

How will this play into tech gift-buying?

If you’ve noticed more brands promoting their sustainable product options, that’s no accident. And if you’ve seen marketing campaigns for those sustainable products featuring Gen Z and Millennial consumers, that’s intentional too. It’s no secret that younger consumers are often in the driver’s seat when it comes to sustainable buying shifts. 

According to consumer trends, Gen Z and Millennials prioritize brands that address social and environmental issues and expect brand action on sustainability. Gen Zs, along with Millennials aged 35-44, were the most likely to consider sustainability when gift-giving last holiday season. Their climate-conscious mindset demonstrates how younger consumers increasingly drive demand for eco-friendly options in all aspects of life, including technology devices.

Of consumers who are open to purchasing preowned and/or refurbished goods, a majority (81%) are interested in second-hand health and fitness appliances or technology. Personal technology is a close second, with 75% of sustainability-focused shoppers interested in buying used tech. Used electronics (68%), kitchen appliances (68%), and smart home tech (63%) also have large potential consumer bases. 

Explore the latest edition of Sustainability Magazine and be part of the conversation at our global conference series, Sustainability LIVE. 

Discover all our upcoming events and secure your tickets today.

Sustainability Magazine is a BizClik brand