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RESEARCH ARTICLE

Digital Greenovation: Exploring the Nexus of Industry 4.0

and Consumer’s Perception towards Sustainable Products.
Raghav Jhawar

Abstract
The emergence of new advancements in manufacturing processes and automation has ushered
in a transformative industrial era known as "Industry 4.0." This transformative era is
characterized by the seamless integration of digital technologies, automation, data analytics,
and connectivity within industrial processes. It heralds a new age of smart factories, where
machines, systems, and humans collaborate in unprecedented ways, leading to increased
efficiency, flexibility, and innovation across various industries. Sustainability has become the
focal point of corporate strategies, prominently emphasized in the United Nations (UN)
Sustainability 2030 agenda. This research delves into the emerging paradigm of "Digital
Greenovation," which embodies the synergy between Industry 4.0 advancements and the
imperative for sustainable product development. Through a comprehensive survey and a
thorough review of pertinent literature, this study aims to elucidate consumers' perceptions
regarding sustainable products in the context of Industry 4.0-driven innovations. By
examining the multifaceted dimensions of consumer attitudes, preferences, and awareness,
we seek to uncover valuable insights that can guide businesses in harnessing the potential of
digital transformation to meet evolving sustainability demands. As sustainable products
increasingly shape market dynamics, this research contributes to a deeper understanding of
the evolving landscape where technology-driven green initiatives intersect with consumer
behaviour, ultimately fostering a more environmentally conscious and sustainable future.
A significant accomplishment was showcasing a notable degree of consumer contentment
when purchasing sustainable products, underscoring the favourable influence of personalized
production on sustainable consumption. Simultaneously, the study underscores the
significance of advancing the Industry 4.0 concept to facilitate consumer behaviours aligned
with sustainable consumption.

1. Introduction
One of the foremost challenges facing developing economies today is
striking a delicate balance between the imperative of rapid economic growth and
society's aspiration for prosperity, all while safeguarding the environment. This
necessitates an ongoing enhancement of product quality and the optimization of
production processes to generate high-performing products with minimal resource
usage and environmental consequences, all while ensuring economic feasibility.
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Sustainability is a concept widely addressed in numerous international agreements

and documents. In response to the urgency posed by climate change and the escalating
demand for energy and resources, governments on a national scale are enacting
various strategies and initiatives geared toward achieving sustainable consumption
and production. The extent of environmentally friendly processes encompasses a
broad spectrum of operations, spanning from the initial stages of product development
to the comprehensive management of a product throughout its lifecycle. These
processes incorporate various environmentally-conscious practices, such as eco-
design, clean production, recycling, and reuse, all oriented towards the goal of
minimizing expenses associated with the production, distribution, utilization, and
disposal of products [1]. In the pursuit of environmental responsibility, enterprises
endeavour to repurpose, renovate, and recycle used products as a means to mitigate
their adverse environmental consequences [2]. The notion of green processes and
technologies garnered significant attention, particularly in the wake of key
international events such as the adoption of the Kyoto Protocol, as well as the
conferences in Copenhagen and Paris, all of which centered around addressing the
issue of climate change.
One of the paramount challenges of our contemporary world lies in the
imperative to curtail consumerism, which is a significant driver of excessive natural
resource consumption. The possibilities afforded by the Industry 4.0 concept should
be harnessed to develop innovative marketing strategies that are designed to promote
equilibrium and mitigate the consequences of overconsumption [3]. In paragraph 28
of Agenda 2030, member states have pledged to undertake "fundamental changes in
the way our societies produce and consume goods and services[4]". Upon reviewing
the existing research, it's evident that there's a significant gap in understanding of how
sustainable products impact customer satisfaction and the choices people make when
buying things sustainably, especially in the context of Industry 4.0 development. In
our research, we aim to investigate the consumer behaviour regarding sustainable
products in the context of Industry 4.0. Our primary hypothesis centers on the
notion that consumers are more inclined to opt for sustainably produced and
environmentally-friendly products when they are easily accessible and offered at
competitive prices in comparison to non-sustainable alternatives. This hypothesis
underscores the critical interplay between accessibility, affordability, and sustainable
consumption choices, shedding light on the factors that influence consumers'
decisions in an era marked by technological advancements and evolving
environmental concerns.

2. Review of the Literature

Sustainable consumption, characterized by responsible resource utilization and
environmental consciousness, has become increasingly relevant in the modern era.
While the concept of sustainability has deep historical roots, its manifestation in
consumer choices gained notable attention during the latter half of the 20th century.
The environmental awakening of the 1960s and 1970s, symbolized by events like the
inaugural Earth Day in 1970, ushered in a new era of environmental awareness,
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bringing issues such as pollution, deforestation, and resource depletion to the

forefront of public consciousness.
As societal consciousness grew, the 1980s and 1990s witnessed the emergence of
early sustainable consumer initiatives. Products labelled as "eco-friendly" or "green"
began to proliferate in the market, reflecting a shift in consumer preferences toward
environmentally responsible choices. Subsequently, the late 20th century saw the
widespread adoption of eco-labels and certifications, providing consumers with
tangible indicators of a product's sustainability attributes. These labels, including the
Fair Trade label and ENERGY STAR certification, bolstered consumer trust in
sustainable choices.
In the 21st century, sustainable consumption transitioned from a niche market to the
mainstream. Major corporations incorporated sustainability practices into their
operations, driven in part by growing consumer demand for ethical and eco-conscious
products. Simultaneously, the advent of Industry 4.0 introduced advanced
technologies that enable the tracking of a product's environmental impact throughout
its lifecycle.
These are primarily review papers that delve into various aspects of green processes
within different domains. These include green processes related to electronic waste
recycling [5], sustainable techniques for food processing [6], eco-friendly practices in
supply chain management [7], sustainable logistics processes [8], processes utilizing
supercritical fluid carbon dioxide [9], environmentally-conscious approaches in
electrical discharge machining [10], and sustainable chemical processes and synthesis
methods [11].

The nexus between sustainable products and consumer behaviour within the ambit of
Industry 4.0 represents a contemporary research frontier. This review identifies a
critical gap in the literature: a lack of comprehensive investigations into how the
ready availability and competitive pricing of sustainable products, facilitated by
Industry 4.0, influence consumer choices. To address this gap, our research
endeavours to uncover insights into whether consumers are more likely to select
sustainably produced and environmentally-friendly products when these products are
easily accessible and competitively priced compared to non-sustainable alternatives.
In today's world, customers have elevated their expectations when it comes to
products. They desire products that are customized to their individual preferences,
tastes, unique needs, and lifestyle. They seek the ability to have a say in how products
are designed and configured to meet their specific requirements, ultimately aiming for
the delivery of high-quality products that align with their desires.

2.1 The link between Industry 4.0 and Sustainable Manufacturing and Consumption.
The relationship between Industry 4.0 and sustainable manufacturing and
consumption is a dynamic and mutually reinforcing one. Industry 4.0,
characterized by the integration of advanced technologies like IoT, AI, and data
analytics into manufacturing processes, has ushered in a new era of sustainable
practices. It enables businesses to optimize resource utilization, minimize waste,
and enhance energy efficiency, thereby aligning with the principles of sustainable
manufacturing. The advent of smart data-driven business models, closed-loop
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supply chains, and digitalization in small and medium enterprises (SMEs)

represents innovative opportunities emerging from Industry 4.0, which contribute
to sustainability efforts. Moreover, the training of employees using information
and communication technologies (ICT) fosters a culture of sustainability within
organizations. Concurrently, sustainable product design and decentralized
manufacturing lines are empowered by Industry 4.0 technologies, allowing for the
creation of eco-conscious products and flexible, efficient production systems. This
symbiotic relationship is underpinned by a wealth of research that highlights how
Industry 4.0 technologies can enhance resource efficiency, reduce waste, and
improve energy consumption, all of which are central to the broader goals of
sustainable manufacturing and consumption [12]. The relationship between
Industry 4.0 and sustainable product consumption is integral to the future of
manufacturing and consumption patterns. Industry 4.0, characterized by the
integration of digital technologies, automation, and data-driven processes, offers a
transformative framework for businesses to enhance sustainability. By leveraging
IoT devices, AI-driven analytics, and smart manufacturing techniques, companies
can optimize their production processes, reduce waste, and minimize resource
consumption. This leads to the creation of eco-friendly products that cater to the
growing demand for sustainability among consumers. Moreover, Industry 4.0
enables greater transparency in the supply chain, allowing consumers to make
informed choices about the products they buy, thereby promoting a culture of
responsible consumption.

3. Research Gap
In the existing body of literature, there appears to be a notable research gap in the
exploration of sustainable product’s consumption behaviour within the context of Industry
4.0, specifically regarding the influence of readily available and competitively priced
sustainable products on consumer choices. While numerous studies have examined the
factors affecting sustainable consumption, there is a lack of comprehensive investigations
into how Industry 4.0's capabilities to provide easy access to sustainable products at
competitive prices impact consumer decision-making. Addressing this research gap is
essential for a more thorough understanding of how Industry 4.0 technologies can shape
sustainable consumption patterns and inform marketing strategies in the modern era.

4. Research Objectives
The objective of this research is to comprehensively investigate the intricate interplay
between Industry 4.0 and sustainable manufacturing and consumption. We aim to explore
how Industry 4.0 technologies are reshaping the landscape of sustainable practices in
manufacturing and influencing consumer behaviour towards more eco-conscious choices. In
the era of Industry 4.0, where advanced technologies are reshaping industries and supply
chains, understanding consumer perception on sustainable consumption becomes more
critical than ever. Our overarching objective is to investigate how the principles of Industry
4.0, encompassing digitalization, automation, and data-driven decision-making, intersect with
consumer behaviours and attitudes toward sustainability. We aim to discern whether the
Fourth Industrial Revolution influences consumers to make more environmentally conscious
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choices and how it affects their preferences for sustainable products. By bridging the gap
between these two domains, we aspire to provide businesses with valuable insights into how
Industry 4.0 technologies can be harnessed to align with evolving consumer values and
sustainability goals. This research seeks to uncover opportunities for companies to optimize
their operations, develop eco-friendly products, and meet the growing demand for
sustainability in the context of Industry 4.0.

5. Research Methodology
In this research study aimed at substantiating our adopted research hypothesis and fulfilling
the primary objective of the article, we leveraged the results obtained from a survey, titled
"Industry 4.0—Consumer Perception on Sustainable Products." The research was executed in
two distinct stages, each meticulously designed to provide a comprehensive view of
consumer attitudes toward sustainable products within the context of Industry 4.0.
The first stage of our study was dedicated to diagnosing the broader consumer sentiment
surrounding sustainable products. To achieve this, we employed a purposive sampling
method, strategically selecting participants based on specific criteria through an online survey
form. This form was thoughtfully designed as a research tool, comprising a set of 10 closed-
ended questions meticulously crafted to elicit insights into various facets of consumer
behaviour. In the second stage, we rigorously analysed the results from our initial survey,
aiming to understand consumer attitudes towards sustainable products. This involved
quantitative analysis of closed-ended question responses to identify trends and patterns
The questionnaire's content delved into crucial aspects such as price sensitivity, sector
preferences, and the challenges associated with sustainable product choices. Prior to its
application, the questionnaire underwent a rigorous validation process. A pilot study was
carried out among an expert with a profound understanding of Sustainability and Industry 4.0
personalization. Their invaluable feedback was utilized to refine and enhance the
questionnaire, ensuring its effectiveness in capturing pertinent data.
Our study's respondent pool was carefully selected, only consisting of individuals aged 15-
25, predominantly students. This demographic not only holds relevance to sustainability
topics but also offers a glimpse into the future of consumer behaviour, making their input
invaluable. This purposive selection process, combined with the methodical approach
outlined in our research methodology, ensures a robust foundation for our study, facilitating
the acquisition of diverse and insightful perspectives crucial for the survey's success.

Figure 1. Theoretical and conceptual framework of research

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The primary objective of this survey was to uncover authentic customer requirements
concerning the acquisition of sustainable products available from various companies. The
survey was designed to address the following inquiries:
1. What do consumers anticipate and favour when it comes to sustainable products
within the framework of Industry 4.0's advancement?
2. How do customers perceive their participation in the development of sustainable
products?
3. Does the purchase of sustainable products contribute to the promotion of sustainable
consumption

5.1 Result and Discussion

A significant 95% of respondents demonstrated a commendable awareness of the term
"Sustainable Product," signifying a well-informed audience. Furthermore, a substantial 75%
of participants affirmed that they have either bought or considered purchasing products
designed with environmental concerns in mind, reflecting a notable degree of eco-
consciousness among the surveyed group. When it comes to the frequency of sustainability
consideration, the data revealed a range of attitudes, with 50% usually considering
sustainability, 29% rarely doing so, and 15% always prioritizing it in their purchasing
decisions.

Fig 2. Declaration of respondents about their awareness and their consideration while buying sustainable products.

Notably, 48% of respondents emphasized the "extremely important" role of eco-friendly

packaging when purchasing sustainable products, reflecting a growing emphasis on the
holistic sustainability of a product, from its core design to its packaging.
A majority of 66% expressed a willingness to pay a slightly higher premium for sustainable
products compared to conventional alternatives, indicating a clear market for eco-conscious
products.

Fig 3. Consideration of eco-friendly packaging and premium paying for sustainable products
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Exploring the factors influencing their choices, respondents identified three primary
influencers: product reviews and recommendations (54%), personal values and
environmental concerns (53%), and environmental certifications (47%).
Regarding product categories, personal care products (71%) and food and beverages (70%)
emerged as the top two areas where consumers frequently opt for sustainable alternatives,
driven by a perceived direct benefit to their well-being and the environment. This consumer
preference underlines the significance of offering eco-friendly options in these categories.
Despite the evident demand for sustainable products, the survey also illuminated persistent
challenges, including limited availability (53%) and higher upfront costs (66%),
underscoring the need for strategic measures to overcome these barriers and make sustainable
products more accessible. Additionally, addressing the issue of a lack of information about
product sustainability (46%) and trust issues with green claims (27%) is crucial to foster
consumer confidence in sustainable choices

Fig 4. Factors influencing the decision to buy green and sustainable products

Fig 5. Top Categories for Sustainable Shopping

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Fig 6. Challenges faced while buying Sustainable products

The data indicates a significant preference for sustainably sourced or organic food products,
with 61% of respondents choosing them occasionally. This suggests that a considerable
portion of consumers integrates sustainable food choices into their grocery purchases but not
consistently. However, 25% opting for them "always" indicates a strong commitment to
sustainability in food consumption.

Fig 7. Respondents who choose sustainably sourced or organic food products when making grocery purchases

Discussion – Analysis note

The comprehensive analysis of the survey questions unveils a nuanced portrait of consumer
perception and behaviour regarding sustainable products. The scope of these findings extends
far beyond individual preferences and choices, offering significant opportunities and a pivotal
role for Industry 4.0 in the realm of sustainability.
At the core, the data showcases a commendable awareness of sustainable products, with a
substantial majority of respondents indicating familiarity with the term. This presents a ripe
opportunity for businesses and organizations to capitalize on this awareness by developing
and marketing sustainable products that align with consumer expectations. Furthermore, the
willingness of a substantial portion of consumers to pay a premium for sustainable items
emphasizes the potential for market growth in this sector. Industry 4.0, with its advanced
technologies and data-driven insights, can play a pivotal role in optimizing production
processes, reducing costs, and making sustainable products more accessible and
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affordable to consumers. This includes everything from eco-friendly packaging solutions to

efficient supply chain management. The challenges and barriers identified in the survey,
including limited availability and higher upfront costs, underscore the need for innovative
solutions. Here, Industry 4.0 can facilitate the development of smarter, more efficient
production and distribution systems that reduce costs and enhance the accessibility of
sustainable options. Automation, real-time data analytics, and the Internet of Things
(IoT) can contribute to more sustainable practices while mitigating these challenges.
The strong correlation between eco-friendly packaging and consumer choices highlights an
opportunity for Industry 4.0 to revolutionize packaging processes, making them more
sustainable and appealing to eco-conscious consumers. The integration of smart packaging
solutions, such as biodegradable materials and technologies that monitor product
freshness, can resonate with consumers and bolster their trust in sustainable claims.
Moreover, the data signifies that personal care products and food and beverages are the most
frequented categories for sustainable choices. Industry 4.0 can empower businesses to
optimize their processes, supply chains, and sourcing strategies in these specific sectors,
aligning with consumer preferences and capitalizing on the identified opportunities.
Leveraging data-driven insights and automation, businesses can make informed
decisions to enhance sustainability in these high-demand categories.
CORRELATIONS IDENTIFIED
1. Eco-Friendly Packaging and Willingness to Pay: There is a positive correlation
between the importance of eco-friendly packaging and the willingness to pay a
premium for sustainable products. Those who find eco-friendly packaging "extremely
important" are more likely to be willing to pay more for sustainable items.

2. Product Categories and Frequent Purchases: Personal care products and food and
beverages show a strong correlation with frequent purchases of green products.
Consumers tend to choose sustainability more often in these categories, possibly due
to perceived direct benefits.

6. Conclusion
In an era characterized by growing environmental consciousness and an increased emphasis
on sustainability, the consumer perception of sustainable products holds paramount
importance. Sustainable consumption and production (SCP) is a key focus within the EU's
array of priorities [13]. It seeks to strike a balance between meeting essential needs,
enhancing the overall quality of life, while simultaneously advancing resource efficiency,
amplifying the utilization of renewable energy sources, and mitigating waste generation. "In
the midst of a rapidly evolving landscape, businesses are compelled to seek out the most
efficient means of monitoring and identifying shifts in their surroundings. This proactive
stance enables them to initiate adaptive measures that result in the sustained development of a
competitive edge [14-16]. This research paper embarked on a comprehensive exploration of
consumer perceptions and behaviours in the realm of sustainable consumption, shedding light
on critical insights that are instrumental for businesses, policymakers, and society at large. As
the global shift toward sustainability accelerates, understanding the multifaceted dynamics
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underlying consumer choices is paramount for fostering a more ecologically responsible and
economically viable future.
The study commenced by gauging the awareness of sustainable products, revealing a
commendable 95% recognition among respondents. This high level of awareness has laid the
foundation for further exploration into the intricacies of sustainable consumer behavior. The
data unveiled the intricate nexus between awareness and purchase intent, with a significant
majority expressing a willingness to pay a premium for sustainable products. This dynamic is
both promising and challenging for businesses. It presents a burgeoning market for
sustainability but also necessitates a strategic alignment between consumer expectations and
product offerings.
Eco-friendly packaging emerged as a critical determinant in purchase decisions, with a
significant positive correlation between the importance of eco-packaging and the willingness
to pay more for sustainable products. This underscores the necessity of holistic sustainability
practices that encompass not only product design but also packaging solutions. Industry 4.0,
with its transformative technologies and data-driven insights, is poised to lead the way in
optimizing production processes, reducing costs, and making sustainable products more
affordable to consumers. The seamless integration of advanced packaging solutions in
Industry 4.0 can cater to the ever-evolving consumer expectations. Industries are embracing
IoT technologies to enhance production quality and minimize downtime through the
digitalization of manufacturing processes [17].
Nonetheless, the survey highlighted various challenges and barriers encountered by
consumers in their pursuit of sustainable consumption. Limited availability and higher
upfront costs are the most prominent hurdles. These findings underscore the critical role of
Industry 4.0 in revolutionizing production, supply chain, and distribution systems.
Automation, real-time data analytics, and the Internet of Things (IoT) can contribute to more
sustainable practices while mitigating these challenges.
The patterns of consumer scepticism, driven by a lack of information about product
sustainability and a lack of trust in green claims, are challenges that can be effectively
addressed through Industry 4.0's capabilities. By ensuring transparency, traceability, and
credibility in sustainability claims, Industry 4.0 can play a pivotal role in instilling consumer
confidence. In developed nations, industries have been investing in employee training for an
extended period, resulting in a proficient workforce capable of seamlessly transitioning to the
Industry 4.0 landscape. However, developing nations still need to cultivate a highly skilled
workforce to effectively execute tasks and navigate the evolving terrain introduced by
Industry 4.0 technologies [18-20].
In short, he future of sustainable consumption is promising, but it requires the collective
efforts of industries, policymakers, and consumers.
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