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

Introduction

Consumers now prefer sustainable products. Companies face hard tasks to market these goods well. They must prove that sustainability drives profit. They must join eco-friendly features with product performance. They must share clear, trusted claims in a maze of competition.

Key Findings from Research

NYU Stern’s CSB and PwC teamed up. Their work gives simple ways to sell sustainable products.

Growth and Price Premiums in Sustainable Products

• Sales of sustainable consumer goods grew 12.3% each year from 2019 to 2024. This pace is 2.3 times that of regular products.
• By 2024, sustainable goods made up 23.8% of sales in 36 key categories.
• Consumers are ready to pay more. A PwC survey shows they will pay 9.7% extra for these products.
• Often, sellers charge even more. Research shows an average premium of 26.6%. For paper goods, the premium can top 100%. For coffee, cereal, and chocolate, it is about 50%.

Practical Guidance for Marketing Leaders

1. Understand Your Audience and Category Reach

• Sustainable goods appeal most to millennials, urban dwellers, college graduates, and high-income buyers.
• These items hold strong shares in staples like dairy.
• Knowing which groups care most helps you target promotions better.

2. Connect Sustainability with Core Product Qualities

• Link one strong product feature with one or two sustainability claims.
• This mix boosts appeal by about 30 percentage points.
• For example, join sustainable ingredients with skin health benefits in skincare items.

3. Prioritize Claims Consumers Value and Trust

• The best messages highlight:
  • Protection of human health (no chemicals or harmful ingredients)
  • Direct cost savings
  • Support for local farms and food systems
  • Clear benefits for children and future generations
  • Care for animal health
  • Local or sustainably sourced origins
• Claims focused only on science or certifications work less well.

4. Ensure Precision and Evidence in Claims

• Vague words like "natural" or "safe" can trigger legal issues, especially for products for children or skin care.
• Companies must watch new rules like the EU Corporate Sustainability Reporting Directive, the EU Corporate Sustainability Due Diligence Directive, and the upcoming EU Green Claims Directive, which needs solid proof.
• Strong traceability and clear value chain links build trust and meet rules.

Conclusion

Successful sustainable product marketing needs a clear, business-focused view. It mixes product strengths with eco-friendly attributes. It uses claims that are clear, true, and trusted. Following these steps can boost growth and build lasting trust with eco-conscious consumers.

About the Authors

• Tensie Whelan: Distinguished Professor of Practice, NYU Stern; Founding Director, Stern Center for Sustainable Business.
• David Linich: Principal at PwC US; Expert in decarbonization and sustainable operations.

This summary builds on 12 years of consumer data. NYU Stern CSB and PwC studied the numbers closely. Their work gives clear steps for brands to win in the sustainable products market.

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.