A Better Way to Market Sustainable Products

Key Insights on Marketing Sustainable Consumer Goods

NYU Stern’s Center for Sustainable Business and PwC conducted research. They show that sustainable products succeed when marketing keeps messages clear, builds trust, and drives business growth.

The Business Case for Sustainability

• Sales grow fast.
Between 2019 and 2024, sustainable products grew at 12.3% each year in the US. This rate more than doubles that of conventional goods.

• Market share rises.
By 2024, sustainable products reached almost 24% of sales in major consumer packaged goods categories. (This excludes alcohol and tobacco.)

• Prices may be higher.
In 2024, some consumers said they would pay nearly 10% more. In practice, data shows, these products earned a 26.6% premium on average. In some cases, like paper goods, the premium exceeds 100%.

Targeting the Right Consumer Segments

Millennials, college-educated buyers, city dwellers, and high-income earners buy sustainable products more often.
Certain items like dairy sell well to all age groups. The appeal goes beyond niche markets.
Knowing customer details and buying habits helps target marketing efforts.

Crafting Effective Marketing Messages

• Start with the core.
A good message links the product’s main benefit—like taste or effectiveness—with one or two key sustainability points.

• Layer your claims.
Research finds that adding two sustainability claims to a main benefit can boost appeal by 30 percentage points.
For example, skincare products work best when they mention sustainable ingredients and link them to skin health.

Prioritize Trustworthy and Valued Claims

Strong claims point out clear benefits:
• They protect human health (for example, by avoiding harmful ingredients).
• They help save money.
• They support local farms and future generations.
• They protect animal health.
• They come from local or sustainable sources.

Claims that focus on technical details like biodegradability or climate neutrality do not work as well on their own. Even certification seals need extra details to appeal to buyers.

Ensuring Clarity and Compliance in Claims

Vague words like “clean,” “natural,” or “safe” can create legal issues. This is especially true for products used by children or applied to skin.
Companies must follow changing sustainability rules. In the EU, these include:
• The Corporate Sustainability Reporting Directive
• The Corporate Sustainability Due Diligence Directive (updated under EU Omnibus legislation for 2025)
• A possible Green Claims Directive that will need scientific proof for environmental claims
Strong traceability and value chain analysis support claim checks and legal compliance.

Conclusion

Successful marketing of sustainable products balances true sustainability claims with main product benefits. Clear messages target the right buyers and build trust. Brands that craft precise messages and follow new rules can grow and win customer confidence in a competitive market.

Authors:
• Tensie Whelan, Distinguished Professor at NYU Stern and Founding Director of NYU Stern CSB
• David Linich, Principal at PwC US, expert in decarbonization and sustainable operations

Related Reading

• How the EU’s Green Deal is driving business reinvention
• The CEO’s sustainability checklist for climate-transition strategies
• Regenerative products and their potential for planet and profit

This summary helps organic and sustainable product brands improve their marketing. The insights are clear, linked closely, and designed to build both growth and customer trust.

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.