Eco-Friendly Holiday Spending: How to Be Green and Frugal

If you’ll be shopping a more than usual during the winter holidays, you may be extra conscientious of the environmental impact.

A Capgemini Research Institute’s 2024 sustainability report found that 79% of consumers are now modifying their buying behavior, focusing on the social and environmental implications of their purchases.

When you’re an environmentally conscious shopper, cash flow is also a common concern, especially during the holidays, since green items typically cost more.

In addition, a 2024 PwC survey revealed that 59% of consumers say inflation will probably influence their spending this year.

Here’s how to shop with both your budget and a healthy environment in mind.

Look for Labels to Ensure You’re Buying Eco-Friendly

While a product’s packaging may sport a beautiful picture of an ocean or use the words “clean,” “cruelty-free,” “bio” or “conscious” on it, it may not be eco-friendly. Marketing strategies can exploit consumers’ desires to buy sustainable products, then charge a premium. It’s called greenwashing.

“Lots of companies claim to be ‘green,’ but all they are doing is pricing the item higher,” says Chad Olivier, a certified financial planner and CEO of the Olivier Group in Baron Rouge, Louisana, explaining that it’s easy to be duped.

“I once bought a pair of jeans from a little boutique in Florida, because they said they were green-friendly but may not have been. I paid three times as much as I should have,” he says.

As a general principle, eco-friendly goods are produced from sustainable and recyclable materials. They also have a low carbon footprint, which means their production emitted fewer emissions that contribute to climate change.

For example, apparel and bedding may be made from bamboo, which grows quickly and requires little water and few pesticides, as opposed to petroleum-based synthetic fibers, which are derived from fossil fuels.

To reduce confusion, look for certifications:

Green Seal: The nonprofit organization Green Seal scientifically evaluates the environmental impact of a wide range of products. Its seal indicates that the product has met stringent criteria for health and environmental excellence.

ENERGY STAR: The distinctive blue and white logo shows that the Environmental Protection Agency considers it energy efficient.

Forest Stewardship Council: When a wood product shows a green tree logo from this nonprofit organization, it comes from responsibly managed forests.

EPEAT: The Global Electronics Council gives Electronic Product Environmental Assessment Tool (EPEAT) certifications, which measures the social and environmental impact of products from extraction to end of life.

Also, check that the products are certified compostable by the Biodegradable Products Institute. And a Fair Trade or B Corp certification indicates a positive environmental and global economy standard.

Prepare for Higher Prices on Eco-Friendly Goods

“This year, we’re seeing a noticeable shift in holiday shopping behavior,” Solomon Joseph, an account executive at The Fletcher Group, a marketing agency based in Austin, Texas, said in an email interview.

“Shoppers are finding creative ways to combine sustainability with smart spending. It’s no longer just about hunting for deals; people want their holiday dollars to make sense for both their wallets and their values,” he said.

Unfortunately, some items that really are sustainably produced do cost more than those that are traditionally produced.

A 2022 NYU Stern report found that the price on sustainability-marketed products was 27.6 percent higher compared to their conventional counterparts. For good reason. They may involve expensive plants such as organic cotton or recycled materials that add processing steps to ensure sustainability.

The higher cost is often passed on to shoppers. And although PwC’s 2024 Voice of the Consumer Survey did find that consumers are willing to spend an average of 9.7% more on eco-friendly goods, when cash is tight you may not be so eager.

The key, then, is to prepare and prioritize.

“High priced items that are green-friendly, made in America go on sale like anything else,” Olivier says. “But you have to start with an overall budget of what you realistically want to spend on the season. After that you can look out for discounts.”

Consider Gifting Intangibles

You can take the mystery out of which products are or aren’t sustainable by avoiding them entirely. Instead, you may consider giving experiences as gifts rather than tangible items. Just a few examples:

Digital gift cards. “Digital gift cards are having a moment, and their appeal isn’t limited to younger shoppers,” Joseph said. “Everyone from Gen Z to Boomers is embracing them. The reasons are clear. No plastic waste, instant delivery and zero shipping emissions. It’s a simple switch with a meaningful impact.”

Tickets to a show. You may be able to score well-priced tickets to local comedy nights, theater productions or up-and-coming bands.

Memberships. Consider giving entry into places the people on your list like to go. “We give gifts of membership to the local art museums,” Olivier says, explaining that it’s perfect for the person who has everything, and who doesn’t need more stuff.

Streaming subscriptions. If you have people on your list who have been pinching pennies so have cut out subscription services, consider prepaying it for them. Gift cards come in increments that almost everyone can afford. For example, Netflix gift cards cost between $15 and $200.

Education. Lifelong learners may value a monthly or annual subscription to something like The Great Courses, so they can listen to lectures given by the world’s most esteemed professors.

A meal out. Everyone has to eat, so why not give a voucher for a terrific restaurant in that person’s community.

[READ: Gift Card Do’s and Don’ts]

Shop for Preloved, Vintage and Returned Items

“There are many ways to try to get really nice green gifts,” Olivier says. “I get notices of estate sales and they are just incredible. Generations of items are beautiful and well made, a fraction of the cost. Something new that’s the same quality can be 10 times more expensive.”

The holidays are often great time to scour thrift stores, antique shops and flea markets searching for one-of-a-kind presents.

[Related:Use These Expert Thrifting Tips to Find the Best Buys]

Sagi Solomon, CEO and founder of resale platform The Again Co. in San Jose, California, says you can satisfy your desire to be sustainable by buying things that people return to stores that normally become trash.

“A lot of times these are completely new items,” Solomon says.

“People buy multiple sizes to see what fits and send the rest back. The sad reality is that what happens with the surplus is the companies bundle them up into bales and people sort out the best. They ship the rest overseas. It ends up as landfill in poor developing countries, or is burned for fuel,” he adds.

Although used items aren’t for everyone, Solomon says many will be appreciative, especially those who are also interested in preserving the environment.

Avoid E-Waste

If you’ll be shopping for electronics this year, your first step should be to explore trade-in options, Stephen Wise, global marketing director at Alchemy Global Solutions in the United Kingdom, said in an email.

“Trading in old devices and purchasing refurbished ones can save a ton of money; up to 70% on smartphones and 50% on laptops,” Wise said.

“It’s not only light on budgets, it reduces the environmental footprint. Opting for refurbished devices can avoid 64kg of CO2 emissions created when purchasing a newly manufactured device. You’ll also save 244kg of raw materials, conserve 76,000 liters of water, and reduce e-waste by 200g per device,” he added.

According to Wise, refurbished products are not classified as new, but they have never been used and still come with a manufacturer’s warranty.

“These items often come from returns due to buyer’s remorse, providing an opportunity to obtain new, unused devices at a lower cost,” he said.

“Refurbished tech undergoes stringent testing — often more rigorous than new products — and typically batteries have at least 80% capacity. Many refurbished devices still feature the latest technology, typically only a generation or two behind the newest releases,” he added.

The savings can be compelling, too. For example, a refurbished iPad Wi-Fi 64GB – Silver (10th Generation) is currently $299 on Apple.com, a $50 discount.

Shop Locally

According to data from Circana’s latest Holiday Purchase Intentions report, 83% of holiday shoppers plan to shop online this year.

Yes you can have everything produced and shipped from great distances, but it’s not necessarily best for the environment. You may want to turn your attention to your community this holiday season.

Shopping locally is the easiest and most sustainable choice for holiday gifting, says Jennifer Jones, founder and principal designer of the San Francisco-based Niche Interiors.

“Purchasing goods crafted from local makers reduces the carbon footprint of purchases, eliminates packing waste and supports local small businesses,” says Jones.

“It’s a triple win! Keep an eye out for local holiday makers markets in your area, these are fantastic ways to connect directly with artists and designers and score special deals,” she adds.

[READ: Why You Should Frequent Small Businesses – And Pay With Cash]

Reduce Packaging and Deliveries

Whether you shop locally or online, chances are you’ll be shipping some items to loved ones. You can lessen the environmental as well as the financial costs with these tips:

Seek compostable packaging. Consider plant-based materials, such as corn, sugar cane, bamboo or glassine which is manufactured from wood pulp.

Use free recycled boxes. Ask stores or friends if they have any to spare, or reuse boxes from items you received.

Consolidate orders. Combine as many purchases into one delivery to reduce the number of shipments.

Arrange for local pickup. Choose in-store or local pickup to decrease delivery vehicle emissions.

Create Joy With Mindful Spending

Eco-friendly holiday spending can elevate the spirit of the season, enhancing it with thoughtful, sustainable choices. When you focus on experiences, responsible purchasing, repurposing and mindful packaging and shipping, you can celebrate the holidays in a way that respects both your finances and the health of the planet.

More from U.S. News

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Eco-Friendly Holiday Spending: How to Be Green and Frugal originally appeared on usnews.com

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