The 2026 Sustainable Global Leaders Conference and the Second Green Industry and Sustainable Consumption Expo were held in Shanghai from October 20 to 22. Representatives from L'Oreal Co., McDonald's, Accor SA Ltd., and Royal Philips NV discussed how green consumption can move from an idea into daily life, how companies can turn environmental responsibility into business value, and how China's experience can reach the world.
Lauren Chung, CEO of strategic communications for Asia-Pacific at consulting firm Teneo, said at the opening that the question consumers face has shifted from "why should we consume sustainably" to "how can we consume sustainably." In her view, what companies really need to solve is removing the obstacles consumers encounter when making green choices, so that sustainable consumption becomes a natural and convenient daily habit.
Making consumers willing to choose, and making green choices easier
Piao Zhixian, chief sustainability officer for L'Oreal Co. in China and North Asia, said data shows that 84% of consumers are willing to make sustainable green choices and 89% are willing to buy products made with recycled materials, but there is still a clear gap between willingness and actual behavior. "The gap does not come from consumers themselves. Manufacturers and brands need to make sure they do a good job in product design and in communicating with consumers," she stressed.
Observations shared by Gu Lei, chief impact officer of McDonald's China, also confirmed this. McDonald's has more than 8,000 restaurants in China and receives about 1.4 billion customer visits each year. Analysis of consumer discussions shows that people are increasingly paying attention to concrete actions such as green supply chains and environmentally friendly packaging, but supporting environmental protection does not mean they are willing to sacrifice familiar consumption experiences. Gu Lei believes that green actions can improve brand favorability and consumer trust, but they do not necessarily directly lead to purchases. Green practices that allow participation, experience, and sharing are more likely to resonate with consumers. This also means companies cannot rely only on publicity to persuade consumers. They must start with products and services themselves so that sustainable choices are more convenient and better fit daily needs.
Starting with product design so environmental protection becomes part of daily life
Yang Donglan, vice president of Royal Philips NV Greater China, believes consumers may agree with the idea of sustainability but may not be willing to pay an extra premium for environmental innovation. Therefore, companies need to integrate sustainability into product design so consumers do not have to make an additional choice at the point of purchase. Taking Philips electric toothbrushes as an example, Yang Donglan said 70% of brush heads are made from renewable materials. The company hopes that while consumers meet their daily needs, they will naturally choose products that already incorporate sustainability. Philips is also exploring product recycling. In the European market, some returned products are cleaned and processed before being resold, with a two-year warranty. Consumers can buy processed products at lower prices while receiving corresponding usage guarantees. This both extends product life cycles and makes circular consumption more attractive.
L'Oreal Co., meanwhile, advances product innovation in areas such as raw materials, formulas, and packaging. Piao Zhixian said the group uses environmental impact assessments to integrate sustainability into product design and explores the use of renewable raw materials through "green science." At the same time, the company reduces the environmental impact of products from production to use and recycling by reducing mixed packaging materials, encouraging consumers to choose gift packaging according to need, and improving empty bottle recycling channels. The practices of the two companies point in the same direction: rather than asking consumers to take on more environmental responsibility on their own, it is better to improve products at the source so green consumption becomes an easier choice.
From supply chains to hotel operations, sustainability can also create business value
Sustainable transformation is not only about a single product; it also involves the operating efficiency of the entire industrial chain. Gu Lei introduced that McDonald's incorporates green development into its business strategy and advances the transition through four areas: green supply chains, green restaurants, green packaging, and green recycling. At present, McDonald's has more than 5,000 restaurants in China certified as green restaurants and has built several zero-carbon restaurant projects. On the supply chain side, McDonald's promotes regenerative agriculture practices. After five years of effort, it has completed training for 9,000 farmer partners and established 10 pilot units across product categories. The company also recycles some waste plastics through its "Re-Made" project, processing them into new products and exploring resource circularity.
Zhang Rui, senior vice president of design and technical services for Accor SA Ltd. Greater China, approached the issue from hotel operations and argued that environmental protection and comfort are not contradictory. For example, by installing water-saving devices, hotels can reduce water use without noticeably affecting the shower experience; by adjusting breakfast supply methods, they can balance guests' diverse needs with reducing food waste. Accor SA Ltd. also plans to cut meat supply by 35% by 2030 and increase the share of vegetables and plant-based foods. In Zhang Rui's view, whether sustainability can be advanced over the long term depends on whether it can be linked to financial performance. Hotel water and energy use together account for about 10% of operating costs. By installing sensors, optimizing air conditioning and lighting, and upgrading water-saving equipment, hotels can reduce resource consumption. He gave an example: some shower water-saving devices have a payback period of only about three months. For Accor SA Ltd., which uses an asset-light model, such quantifiable returns are especially important. Through the CLEAR Path assessment system, the group helps hotels evaluate energy efficiency, formulate operational improvement plans, and calculate the payback period of capital investment. As of the time of this discussion, about 70% of managed properties had completed relevant self-assessments. The system was developed in Greater China and is planned for rollout to other markets in the future. These cases show that environmental protection does not necessarily mean higher costs. Through reasonable technological investment and operational improvements, companies can reduce resource consumption while improving efficiency and turn environmental goals into long-term business value.
Royal Philips NV: Technological innovation addresses both medical needs and environmental challenges
In the healthcare sector, sustainable transformation has even more direct practical significance. Yang Donglan pointed out that with population aging and growing medical demand, healthcare systems must not only improve diagnosis and treatment capacity but also pay attention to resource consumption and carbon emissions. Royal Philips NV hopes to balance clinical value and environmental benefits in product design. She cited magnetic resonance imaging equipment as an example. Traditional equipment requires large amounts of helium to cool magnets, while a new Philips design can reduce helium demand from about 1,500 liters to about 7 liters. This innovation not only helps reduce resource consumption but can also ease the impact of helium supply difficulties in some regions on equipment operation. Yang Donglan noted that the value of corporate innovation is not only in reducing the environmental burden of products, but also in enabling medical technology to better serve real needs. From the recycling of consumer electronics to energy-saving renovations in hotels, and then to medical equipment reducing dependence on scarce resources, sustainability is becoming an important opportunity for companies to rethink product value, operational efficiency, and long-term competitiveness.
Making green choices a natural daily habit
At the end of the dialogue, Lauren Chung invited the guests to share which sustainable practices in China are worth learning from in other markets. Piao Zhixian cited the view of the CEO of L'Oreal Co. during a visit to China earlier in the year, saying China is an important window for observing the world. She believes China has a vibrant innovation ecosystem and a large number of consumers and industrial partners, providing conditions for sustainable transformation. Gu Lei said McDonald's hopes to integrate green concepts into business links such as food, restaurants, people, and supply chains, so consumers naturally encounter green practices throughout the complete consumption journey without feeling they are paying an extra price for environmental protection. Zhang Rui stressed that China's market scale and innovation speed have unique advantages. A huge market provides space for the application of new technologies and new models, and operational experience formed in China also has the opportunity to be promoted to other countries and regions. Yang Donglan summarized her observations with the word "resilience." She pointed out that sustainable transformation is a long-term task, and whether in China or global markets, it requires continuous investment and constant adjustment. In her summary, Lauren Chung emphasized that companies need to turn sustainability into actions that consumers can understand, accept, and continue to participate in. From product design to supply chain management, from consumption experience to business models, brands need to work together to lower the threshold for green choices.
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