By Mark Seavy

Sustainability is increasingly a key ingredient within the home goods business, but how far that travels along the supply chain is open to question.

At the recent NYNow show, dozens of companies promoted products billed as being made with some level of sustainability. That could be everything from the materials used in creating the products to the manufacturing process itself.

That is the fine line the companies walked in meeting retail demand which turns on consumer interest in buying sustainably made products. In terms of licensing, the royalties and minimum guarantees required are additional costs for a sustainable product that typically carries a 20-30% premium, industry executives said.

“I prefer to have a better product and the premium isn’t that much really,” said Riccardo Halac-Ruggeroni, founder of Luxury Home Fragrances, whose candles ($110-$130) are made using both coconut and soy, fitted inside a crystal container and topped by a gold-plated lid that doubles as a coaster. “Everybody has their own spin on sustainability and the additional cost doesn’t affect retail that much because I am competing with more-established brands at the same price point whose markups are more than mine. It’s the point of view of the brand to be sustainable and traceable and slightly better than the competition at the same price.”

In the case of candles, for example, which are a key item for the many gift retailers prowling NYNow, suppliers have shifted toward using soy or coconut oils and away from solvents like phthalates, which are used to extend the aromatic strength of candle fragrances, and parabens that are designed to extend candles’ shelf life and prevent bacteria growth.

In the case of handbags, totes, crossbody bags and hats there has a movement to using natural fibers like raffia, which is derived from Raphia palm trees in countries like Madagascar.

At Zanatany Concepts that means cross body ($175) and tote ($145) bags that are produced using artisans in Madagascar. And at Ella Stein it means using stones salvaged from the diamond making process to create jewelry that is sold through the likes of the 37-store Von Maur department store chain. And Noir Lux Candle Co., which uses both soy wax and wooden wicks, part of its selling proposition is a candle “bar” in Seattle, WA which allows customers to pour their own products.

“Sustainability is table stakes these days because consumers want to know the products’ origins, that it’s fashionable, lasts and doesn’t harm nature,” said Nashwa Hassanaly, the owner/designer at Zanatany Concepts. “But it also depends on the retailers because some buyers are not as concerned about sustainability as they are the design.”

Yet, while sustainability was the clear trend at NYNow, new licenses were in evidence. There also were continued concerns about shipping as the industry heads into the fall and holiday selling season.

Suppliers are continuing to face shipping delays – a week to 10 days – but well short of the weeks-long period that marked the pandemic. More importantly, pricing for 40-foot containers is on the rise although again not to the level of pandemic when they hit $20,000 and more. In the case of Yottoy Productions, the cost has risen from $4,300 for a container earlier this year to $13,000, said Kate Clark, Founder and President of toy supplier Yottoy.

“We are not sure how all this will play out, but it is going to make for a very interesting fall, and everyone is trying to get everything shipped earlier to avoid any delays,” a licensing executive said.

In terms of licensing there were some new deals on display and one with a new twist. Vera Bradley’s Pura Vida, best known for its bracelets and anklets, is headed into the collegiate category  with 33 33 SKUs nylon string bracelets across eight sororities. Yottoy, meanwhile, has new 11-inch plush and book products for Sony’s “Lyle, Lyle Crocodile” and similar products for author Ian Falconer’s “Olivia the Pig.” And Haute Diggity Dog continued to extend its line of parody pet products with a Pink Check Chewy Vuitton “handbag” and a Dogior Saddle Bag.