A Better Way to Market Sustainable Products: Insights from NYU Stern and PwC Research

Consumers care about sustainability. Companies face a hard task when they market sustainable products. NYU Stern’s Center for Sustainable Business (CSB) and PwC share clear research. Their work helps firms unlock the full value of green goods.

The Business Case for Sustainability in Consumer Products

Data and evidence link sustainability to strong sales and higher prices:

• Sales Growth: CSB worked with 12 years of US point-of-sale data from Circana. Their work shows sustainable products in 36 CPG categories grew at an annual rate of 12.3% between 2019 and 2024. These products grew 2.3 times faster than regular goods. In 2024, sustainable products held a 23.8% market share.
• Price Premium: PwC’s 2024 survey asked 20,000 shoppers if they would pay 10% more for green goods. CSB’s data backs this up. The research shows green products carry a 26.6% price premium on average. Sometimes, the premium exceeds 100% in paper goods or reaches about 50% in coffee, cereal, and chocolate.

Identifying Key Consumer Segments

Research links specific groups to sustainable purchases. Millennials, college graduates, city dwellers, and high-income buyers show a clear preference for green items. In one example, sustainable dairy products find buyers in all age groups. Marketers should target these groups to boost appeal and drive sales.

Crafting an Effective Marketing Message

A great message bonds product strengths with green claims. Like the close link between two musical notes, a pitch should unite a product’s key benefit with one or two green claims. CSB and Edelman found that green messages can boost appeal by 30 percentage points. For example, skincare products that state “formulated with sustainable ingredients good for your skin” mix a product’s core benefit with a green claim.

Prioritizing Trustworthy Sustainability Claims

Not every green message works the same. Claims that speak to real consumer benefits—such as protecting human health, saving money, supporting local farms, helping future generations, or caring for animals—are most persuasive. Claims based solely on scientific terms like “biodegradable” or “climate-neutral” need extra care. Vague words like “clean” or “natural” bring legal risks, especially for products used by children or on skin.

Meeting Regulatory Expectations

Green claims come under growing regulatory watch. New EU rules, like the Corporate Sustainability Reporting Directive and Due Diligence Directive, mean firms must check their value chains for environmental and social issues. There is a proposed EU Green Claims Directive. This rule will require scientific proof based on recognized standards. Companies should build strong skills in value chain analysis and traceability to stay credible.

Conclusion

Companies need a clear business case, a close blend of product strengths and green claims, and solid proof for their messages. Insights from NYU Stern CSB and PwC help firms build trust with buyers, justify higher prices, and speed up growth in a green market.

Authors:
Tensie Whelan, Distinguished Professor and Founding Director, NYU Stern Center for Sustainable Business
David Linich, Principal and Sustainability Expert, PwC US

For brands that believe in organic and sustainable products, these ideas build real links with mindful buyers and drive long-term value.

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.