Perception versus reality is a tale as old as time: consumers say one thing and their wallets say another.
The British Standards Institution (BSI) ’s latest survey data all but confirmed the aphorism, as the business improvement and standards firm found consumer expectations concerning sustainability increasingly at odds with willingness to pay for those expectations.
BSI’s 2025 Global Circularity study, “The Tipping Point: Building Trust in the Circularity Economy,” was developed in partnership with the Cambridge Institute for Sustainability Leadership (CISL)— an impact-led institute within the university that leverages its corporate network to drive circular engagement and action—and identifies how building trust in quality and reliability can drive consumer uptake of circular behaviors.
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“The circular economy presents an immense opportunity for both people and the planet, enabling us to protect natural resources and reap economic benefits,” Susan Taylor Martin, BSI’s chief executive, said. “Yet trust remains a crucial barrier to adoption.”
Fueled by lack of trust, fears about the hygiene and quality of reused or repaired products are holding back global efforts to move to a circular economy and minimize the impacts of consumption on the planet, the UK government-appointed body found. That’s because building trust is rather complex, involving “multiple dimensions and numerous actors,” the report reads. For example, consider the consumer who is thinking about leasing a solar panel. That consumer needs to not only trust the supplier but the technology itself and, potentially, that the government will “maintain consistent supportive policies.”
“Therefore, building trust demands a holistic strategy that identifies and addresses potential confidence gaps across the entire network, encompassing regulators, suppliers, technology performance, data security and partners throughout the value chain,” per the report. “A breakdown in trust at any single point can potentially undermine everything.”
The research also isolated consumer concerns about safety and reliability as “critical barriers” to the adoption of circular practices amongst consumers, despite widespread awareness of the eco-gains of keeping (rather than discarding) products after use. Despite more than three-quarters of respondents (76 percent) understanding this—that their behaviors and purchasing decisions contribute to circularity—the share of reused materials entering the global economy dropped from 7.2 percent to 6.9 percent in recent years, according to the Circle Economy’s Circularity Gap Report.
“While consumers routinely weigh price and quality in their purchasing decisions, reused, repaired or recycled goods introduce new questions around quality, safety and reliability,” Martin said. “For circularity to thrive, businesses must move beyond sustainability messaging and bolster it by demonstrating genuine value, durability and trustworthiness—convincing consumers that circular options are as reliable as traditional products.”
Three critical concerns “fuel the gulf” between perception and reality: an absence of trust in quality (56 percent), safety (51 percent) and reliability (49 percent). According to the business improvement and standards company, overcoming these trust barriers is essential to disrupting the ingrained inertia of linear consumption: buy new, use briefly, discard easily.
“We need circular products and services with quality, safety and reliability fully embedded and organizations that act decisively to introduce these solutions will facilitate an economic transformation whilst unlocking a wealth of opportunities,” Lindsay Hooper, CEO of the University of Cambridge’s Institute for Sustainability Leadership, said. “Our report provides essential guidance for driving meaningful change, outlining the conditions necessary for accelerating adoption and catalyzing tipping points, [to] offer a strategic blueprint for organizations ready to lead.”
The research asked respondents to rate themselves along a scale of adoption for 10 circular behaviors—including recycling, reusing packaging or purchasing secondhand goods—with more than half (53 percent) identifying as early adopters or early majority.
Lack of trust in environmental claims was a barrier to purchasing circular products for one in three respondents, while 59 percent said a recognized label to support claims would build confidence.
“There is a role here for transparent, credible certification to provide people with that necessary assurance,” Martin said. “Ultimately, disrupting the linear economy will require agreement on a common language, with harmonization through standardization central to creating the clarity and coherence that can build trust.”
The duo’s research revealed high hopes for sustainable materials across the board. Forty percent of respondents have strong expectations for luxury brands, 37 percent for high street and 29 percent for discount online fashion, suggesting a “clear and growing demand that will inevitably put pressure on sourcing and manufacturing practices.”
Take Chanel, for example. The luxury label’s classic products—often resold or passed down through generations—gain sentimental and financial value over time, per the report. Ralph Lauren, too, has embraced circular principles that reinforce the value of craftsmanship and legacy and demand for vintage products.
“Luxury fashion brands are also repositioning circularity as it further promotes the exclusivity and uniqueness of products,” the report reads. “These examples speak to what [Malcolm] Gladwell calls the ‘stickiness factor’: the emotional resonance and memorability that drive adoption and advocacy.”
Another key finding impacting the cost structures and investment decisions within the supply chain was the lack of increased consumer willingness to pay a premium for these sustainable products. The data shows that the respondents “Net Likely” to spend over £200 pound (around $275) on a regular clothing item (39 percent) was virtually the same as for an upcycled/recycled item (38 percent) or one with third-party verified sustainability credentials (41 percent).
“Companies grapple with ensuring product longevity amid operational complexity and supplier challenges, while striving to balance the costs of investing in new processes or reshaping supply chains,” Martin said. “And although consumers display high awareness of the benefits of sustainability, there is still a gap between ambition and action.”
