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

Sustainability matters more each day in consumer product marketing. Companies face challenges. They try to connect with customers and justify sustainable investments. NYU Stern’s Center for Sustainable Business (CSB) and PwC offer research. Their insights show clear steps to grow sales of sustainable products.

The Business Case for Sustainable Products

• Strong Sales Growth
Twelve years of US point-of-sale data help us see that sustainable products grow sales by 12.3% every year from 2019 to 2024. Conventional products grow much slower.

• Market Share
By 2024, items advertised for sustainability make up nearly 24% of total sales.

• Price Premiums
PwC’s 2024 survey tells us that shoppers pay an average of 9.7% more for sustainable goods. In some cases, such as paper products, the premium exceeds 100%.

Key Insight:
Sustainable products can bring strong growth and profit when marketing is clear.

Identifying and Engaging Target Consumer Groups

Some people buy sustainable items more often.
Marketers notice that millennials, college-educated shoppers, urban dwellers, and high-income buyers often prefer sustainable choices. Major sales also come from categories like dairy that span many ages.

Action:
Marketers should first find the customer groups that buy sustainable products. They then tailor messages and offers to these groups.

Crafting Effective Sustainable Marketing Messages

Marketing successful products mixes the core quality with a strong sustainability claim. Think of it like a good song.
• First, show a main feature. For example, a chocolate bar offers rich taste or soap gives a clean scent.
• Next, add one or two clear sustainability messages. These messages tie directly to the product’s benefits.

This method can lift product appeal by about 30 percentage points.

Best Practices:
• Link sustainability to the product. For instance, say “formulated with sustainable ingredients that benefit your skin” when talking about skincare.
• Keep claims few, clear, and strong.

Prioritizing Trustworthy and Impactful Sustainability Claims

Research points out which claims work best:
• Claims that protect human health by keeping harmful ingredients away
• Saving money
• Supporting local farms and food systems
• Helping children and future generations
• Preserving animal health
• Sourcing from local or sustainable origins

Other claims, such as biodegradability and traceability—or multiple certification seals—do not build as much consumer trust. Their role often serves regulations more than trust-building.

Recommendation:
Focus on clear claims. These claims must give real, visible benefits to customers.

Ensuring Precision and Compliance in Sustainability Messaging

Use clear language in all messages. Do not use vague words like “clean” or “natural.” These words may trigger legal issues.
Take extra care with products used by children, applied to the skin, or eaten.
Watch for changes in regulations. In the EU, new rules demand strong evidence for environmental claims.
Build clear links in the product value chain. This transparency helps make credibility claims strong.

Conclusion

The research from NYU Stern CSB and PwC shows that sustainable products can grow fast. With clear, simple, and honest marketing, these products can also earn a higher price and gain trust. By understanding the buyers, linking core product quality with sustainability, and proving claims with facts, brands use sustainability to win and keep customers.

Authors:

• Tensie Whelan
 Distinguished Professor of Practice at NYU Stern and Founding Director of the NYU Stern Center for Sustainable Business

• David Linich
 Principal at PwC US and expert in decarbonization and sustainable operations

This summary relies on wide US market data and surveys through 2024. It gives solid advice to marketers and business leaders in organic and sustainable product fields.

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.