2022 outlook: what’s top of mind for income & growth?
We share our perspectives on the investment landscape for 2022 and the opportunities for income and growth.
Consumption in a greener world
The shared creation, distribution and consumption of goods and services is a rising trend among economies3. Digital sharing platforms and mobile apps for ride-hailing and home-sharing services are disrupting some industries such as transportation, hospitality and payments.
Like businesses that are seeking sustainability, the consumer sector is no exception. Retailers are innovating through the use of environmentally friendly technologies and initiatives to sustain business growth and to build a better world.
Some textile makers are setting up sustainable technology solutions to reduce their carbon emissions, reduce the use of hazardous chemicals and better conserve energy and water in the manufacturing process4. Others are also using innovation to cut food waste from farm to fork and are part of a global initiative to create a sustainable food system5.
Alongside growing interest in sustainable living, consumers are also willing to pay a premium for convenience and personalisation2.
Some retailers have been developing a seamless shopping experience through digital platforms and in-store offerings, enabling more comfort and choices for consumers6.
Other companies are investing in technologies to understand more about their customers. Some mobile apps, for example, have customised landing pages, with recommendations based on previous searched or ordered items2.
Some retailers in Asia, for example, have been arranging personalised services for their VIP customers, including fashion consultants and ‘style ambassadors’ for one-on-one assistance, alongside exclusive brands and limited-edition product sales2.
A new generation of consumers are increasingly shaping consumption trends and behaviours. Personalisation and exclusivity in consumption may continue to drive business growth as consumers want more choices, comfort and convenience. We also believe companies that are investing in innovative green services and products are presenting long-term growth opportunities for some investors1,7.