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Sergey Shvets
Written by
Sergii Shvets
Founder & CEO at Gepard
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compliance data regulations ESPR

Ecodesign for Sustainable Products: Impact on Businesses & Consumers

5 min read
Published: January 20, 2025

What if everyday products lasted longer, wasted less, and were easier to recycle? That’s the goal of the Ecodesign for Sustainable Products Regulation (ESPR) — a key step in the EU’s plan to cut waste by 30% by 2030 and build a greener, circular economy.

The Ecodesign for Sustainable Products Regulation (ESPR), proposed in March 2022, expands on previous EU ecodesign rules by covering almost all physical goods sold in the EU, not just energy-related products.

It entered into force on 18 July 2024. It aims to improve product durability, reusability, repairability, and recyclability.

In early 2025, the EU will adapt its first ESPR plan, deciding which products to focus on first. The next steps will include research, expert feedback, and planning through the Ecodesign Forum.

ESPR Directive: Key Features

Here are some key features of the ecodesign ESPR regulation:

  • Product Longevity and Sustainability: Items must be built to last, with improved ease of repair and increased use of recyclable materials.
  • Environmental Impact Reduction: Companies are required to monitor and minimize carbon emissions throughout the product lifecycle.
  • Digital Product Passports (DPPs): These will provide clear details on product materials and their origins, its technical performance, sustainability credentials, and recycling opportunities.
  • Use of Recycled Materials: Businesses must incorporate and disclose recycled content in their products.
  • Waste Reduction Measures: The regulation bans wasteful practices like the destruction of unsold items. For the first time in the EU, large and medium-sized companies will need to report yearly on discarded products, including quantities and reasons.

 How ESPR Directive Impacts Businesses Selling in the EU

The Ecodesign for Sustainable Products Regulation (ESPR) is here, and it’s set to transform the way businesses operate in the EU. Whether you’re selling electronics, clothing, or furniture, ESPR sustainability means your products must be greener, longer-lasting, and easier to recycle. Ignoring it isn’t an option—falling behind could mean fines, legal risks, and even market exclusion.

But here’s the upside: adapting early can give your business a powerful edge. With 88% of EU consumers demanding more sustainable choices, companies that embrace ecodesign ESPR can build trust, attract eco-conscious customers, and secure a stronger position in sustainability-focused marketplaces. Think about it—would you rather buy a product that lasts and is easy to repair, or one that ends up in the landfill after a year? Your customers are already making that choice.

80% of a product’s environmental impact is determined during the design phase. To stay competitive, businesses need to rethink their approach. Products must be designed to last longer, be easier to repair, and incorporate recycled materials. Imagine a smartphone with a replaceable battery or a pair of jeans made with less water and energy—these are the kinds of innovations consumers are looking for.

Another key aspect of ecodesign ESPR is the Digital Product Passport (DPP), which will provide transparency like never before. With a simple QR code, customers and regulators can access essential product information—materials used, carbon footprint, repair options, and recycling guidelines. This means businesses will need to ensure their entire supply chain is aligned with ESPR sustainability goals, working closely with suppliers to meet new standards.

For small and medium-sized enterprises (SMEs), the challenge lies in meeting new reporting requirements. Companies will have to disclose details on unsold stock and sustainability efforts, requiring better tracking and documentation systems. While this might seem overwhelming, the EU is offering support and gradual implementation to ease the transition.

ESPR directive isn’t just about compliance—it’s an opportunity. Businesses that act now can turn sustainability into a competitive advantage, cutting costs, improving brand reputation, and staying ahead in a market that’s rapidly going green. So what are some challenges awaiting you?

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Challenges in Implementation

Adapting to the Ecodesign for Sustainable Product Regulation (ESPR) comes with challenges, but understanding them can help businesses stay ahead and thrive. Here’s what you need to know:

  • Managing Product Data Can Be Tricky

Keeping track of a product’s entire lifecycle – from raw materials to recycling – isn’t easy, especially when working with suppliers from different countries.

Imagine you’re a smartphone maker, sourcing parts from Asia and Europe. Each supplier has their own way of tracking materials, which can create a mess when trying to meet ESPR rules. Big companies like IKEA are already tackling this by carefully mapping their supply chains to make sure everything meets sustainability goals.

  • You’ll Need the Right Tech Tools

Think of a fashion brand like H&M—they need to know exactly where their fabrics come from and how sustainable they are. A Compliance Tracker system helps them collect all this info and share it with customers through the Digital Product Passport (DPP).

  • Upfront Costs Can Be Tough

Making products more sustainable costs money — whether it’s redesigning items, training your team, or upgrading your systems.

Picture a small home appliance company switching to recyclable packaging and repairable parts, just like Dyson did with its vacuum cleaners. It’s an investment, but one that pays off in customer loyalty and brand trust.

Preparing Your Business for Ecodesign Compliance

Preparing for the Ecodesign for Sustainable Product Regulation may seem challenging, but breaking it down into simple, actionable steps can make it easier to tackle. Here’s how you can get started:

Step #1: Conduct a Product Audit

Take a close look at your products and supply chain to see where you stand. Are your materials sustainable? Can your products be repaired or recycled easily?

For example, a furniture company might discover that their current materials aren’t meeting ESPR’s recyclability standards and need to switch to FSC-certified wood.

Step #2: Invest in Digital Solutions

Managing sustainability data manually is nearly impossible. Tools like Product Data Compliance systems can centralize product details, making it easier to track materials, carbon footprints, and compliance efforts.

Think about a clothing brand needing to prove the origins of their fabrics — having all data in one place simplifies reporting and boosts transparency for eco-conscious customers.

Step #3: Collaborate with Stakeholders

Work closely with suppliers and partners to ensure they understand and support your sustainability goals. Building a strong network can help you meet ESPR requirements faster.

A great example is Unilever, which collaborates with suppliers to reduce packaging waste and improve recyclability across their entire product line.Or hosting eco-friendly fundraisers with stakeholders can be a creative way to raise awareness and funds for sustainability initiatives while showcasing your dedication to eco-conscious practices.

Step #4: Educate Your Team

Your employees play a key role in compliance. Organize training sessions to help them understand ESPR guidelines and their role in achieving them.

Companies like Patagonia have seen success by making sustainability a core value, training teams to focus on eco-friendly practices at every stage.

Step into the Future: Embracing Sustainable Business Success

The Ecodesign for Sustainable Products Regulation isn’t just another rule — it’s your chance to lead the way in a greener economy. By making products more durable, repairable, and recyclable, you can attract eco-conscious customers and fortify your business. Don’t wait until it’s too late—start preparing now, explore innovative solutions, and turn sustainability into your strength.

Contact Gepard to learn more about how our compliance system can help you with a better ecodesign. The future is green — make sure your business is part of it!

Sergey Shvets
Written by Sergii Shvets
Founder & CEO at Gepard
IT entrepreneur with a deep technical background. Founder & CEO at Gepard, the product information management & delivery platform, helping to centralize diverse product data and deliver complying content to sales channels. Director Of Technology at Icecat, the global open catalog with more than 27K brands onboard. Sergii Shvets is an expert in the field of product data management and optimization, who has set up product content delivery across multiple platforms for a wide range of companies, including HP, MIGROS, and more.

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