A Better Way to Market Sustainable Products
Overview
Consumer demand for sustainable products is growing. Many companies struggle to use this green demand well. They must show business value, mix sustainability with other features, and send messages that people trust. Many claims and certifications crowd the market.
Research from NYU Stern’s Center for Sustainable Business and PwC guides these ideas. This article gives clear, research-based tips. Marketers can use these tips to boost the impact of sustainable products.
The Business Case for Sustainable Products
• Strong Market Growth
Data from 12 years and 36 consumer packaged goods categories show that sustainable products grew 12.3% each year from 2019 to 2024. They grew more than twice as fast as regular products.
• Growing Market Share
In 2024, sustainable products made up 23.8% of total sales. They cover about 40% of the consumer packaged goods market (not including alcohol and tobacco).
• Price Premiums
A PwC survey in 2024 shows buyers pay about 9.7% more for sustainable products. In practice, premiums average 26.6%. In some areas like paper products, the premium is over 100%. In coffee, cereal, and chocolate, it is about 50%.
Actionable Insight: Identify customer groups such as millennials, college graduates, urban residents, and high-income buyers. Focus your marketing on the groups most drawn to sustainable products in your field.
Amplifying Appeal by Connecting Sustainability to Core Product Qualities
Marketing sustainable products needs clear messaging. Start with the product’s main quality, like taste or effectiveness. Then add one or two sustainability points that link to that quality. This mix lifts consumer appeal by about 30 percentage points.
For example, in skincare, say "made with sustainable ingredients that benefit your skin." This ties sustainability directly to the benefit.
Actionable Insight: Create messages that merge sustainability with the key product benefits. Keep the ideas close so that customers can easily connect them.
Credibility and Trust in Sustainability Claims
Not every sustainability claim gains trust. Six qualities show strong appeal when linked to sustainable claims:
- Protection of human health (no harmful ingredients)
- Savings for money
- Support for local farms and food systems
- Care for children and future generations
- Care for animal health
- Local or sustainable sourcing
Other claims lose their weight. These include biodegradability, climate neutrality, traceability, general packaging claims (except for all-recycled content), and many certification seals.
Regulatory Environment: Companies now face stricter rules. The EU’s Corporate Sustainability Reporting Directive and Green Claims Directive demand strong scientific proof and clear evidence for claims.
Actionable Insight: Use claims that are precise and backed by evidence. Build systems to trace the value chain and support your claims. This strengthens both consumer trust and legal compliance.
Conclusion
Marketers can thrive by using these ideas:
• Know your target customer groups well.
• Use clear, strong messages that link sustainability with core benefits.
• Make claims that are precise, credible, and evidence-based.
• Stay updated on sustainability rules to avoid legal issues.
By following these steps, companies can grow their business, justify price premiums, and earn lasting customer trust.
About the Authors
• Tensie Whelan: Distinguished Professor of Practice at NYU Stern and Founding Director of the Stern Center for Sustainable Business.
• David Linich: Principal at PwC US and expert in decarbonization and sustainable operations.
This summary is based on research from NYU Stern CSB and PwC as shown in their joint May 2025 publication.
Design Delight Studio curates high-impact, authoritative insights into sustainable and organic product trends, helping conscious consumers and innovative brands stay ahead in a fast-evolving green economy.
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