A Better Way to Market Sustainable Products: Key Insights and Strategies

Overview

Consumers seek sustainable products. Companies try to sell them. They face hard choices. They must show that green is good for business. They have to mix eco features with other product benefits. They must send clear, honest messages.

Research from NYU Stern’s Center for Sustainable Business (CSB) and PwC gives clear steps. This work links sustainable features with sales success. It shows how to build credible claims and choose the best messages.

Strong Business Case for Sustainability

• Robust Sales Growth:
  Data from 12 years in the US shows that sustainable products grew by 12.3% each year (2019-2024). These products now make up 23.8% of total sales across 36 CPG categories. Each number ties product claims to growth.

• Significant Price Premiums:
  PwC’s 2024 survey of 20,000 consumers shows they agree to pay 9.7% more for green products. In practice, data shows a 26.6% price premium. Some paper products show premiums over 100% while coffee, cereal, and chocolate see about 50%.

Targeting and Messaging for Maximum Impact

Recognize Key Customer Segments

• Millennials, college graduates, city dwellers, and high earners buy more sustainable goods.
• All age groups buy dairy, which shows that green works in many markets.
• Knowing which group buys what is key.

Amplify Product Appeal Through Messaging

• Start with one main product feature, like taste or scent.
• Add one or two green claims to that idea.
• This mix boosts appeal by nearly 30 percentage points.

Examples:

• For skincare: "Formulated with sustainable ingredients that are good for your skin" ties green to a benefit that matters.

Credibility: The Keystone of Sustainable Claims

Which Claims Resonate?

Consumers lean toward claims that help people and communities. They like messages that say:

• The product is free from harmful ingredients.
• It saves money.
• It supports local farms and food systems.
• It helps children and future generations.
• It keeps animals healthy.
• It is sourced locally or sustainably.

Less Effective Claims Include:

• Claims about biodegradability and climate neutrality.
• Details on traceability.
• Packaging claims, except those that mention “all-recycled content.”
• Sustainability seals. They help but do not stand alone.

Recommendations for Marketers:

• Keep claims clear and back them with proof.
• Avoid vague words like “natural” or “clean.”
• Watch new rules such as European Corporate Sustainability Reporting and the Green Claims Directive.
• Use clear, scientific support for every claim.

Building Strong Capabilities

To succeed in green marketing, companies should:

• Study every link in their value chain for clear proof.
• Monitor laws and rules around sustainability.
• Understand customer needs to guide their message.

Conclusion

Sustainable products bring strong sales and higher prices. A smart marketing plan makes green a market winner. Companies win when they show clear links between green claims and product benefits. With precise claims, smart targeting, and full transparency, green can be a strong market edge.

Authors:
Tensie Whelan, Distinguished Professor of Practice & Founding Director, NYU Stern Center for Sustainable Business
David Linich, Principal, PwC US, Expert in Decarbonization and Sustainable Operations

For marketers wanting to improve sustainability messages, these clear steps can build trust and boost business.

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.