Consumer demand drives business strategy and product development. But do consumers actually buy sustainable products and are they willing to pay a premium for them? Which messages resonate most?
CSB has explored more than a decade of empirical research that moves beyond consumers' stated preferences to examine actual purchasing behavior and messaging effectiveness.
CSB's Sustainable Market Share Index™ (SMSI) tracks annual purchasing data donated by Circana across 36 consumer packaged goods (CPG) categories, comparing the sales of products marketed as sustainable versus conventional alternatives. The findings are clear: sustainable products have grown market share year over year, at a significant price premium, despite recent inflationary pressures, and political polarization.
Key insights:
- Products marketed as sustainable grew from 14.6% of market share in 2013 to 23.8% in 2024.
- Sustainable products were responsible for 41% of growth in CPG from 2013 - 2024.
- Products marketed as sustainable enjoy an average of 26.6% price premium over conventional counterparts.
- US sustainable market share pales in comparison to UK and Germany.
- All cohorts are increasingly purchasing products; this is not a niche market.
In addition to tracking actual purchases annually, we have researched which specific communications move consumers. Together with Edelman, we have published Effective Sustainability Communications reports on which environmental and social messages resonate most with consumers—both independently and alongside product category claims. The research, undertaken in partnership with iconic consumer-facing brands, reveals which sustainability messages amplify brand appeal for consumers across demographics.
Key insights:
- Category claims are paramount. However, certain social and environmental sustainability claims appeared among top performing messages overall, and significantly amplify brand appeal when laddered upon the core attribute claim.
- Universal appeal. Certain sustainability messages were embraced by all demographics including political party, age, gender, and urbanicity.
- My health, my wealth, my personal world. Top environmental messages revolved around health benefits, attributes that save money, and the consumers' local community.
- Social Sustainability ABCs. Top social sustainability messages included themes related to Access, Basic needs, Crisis response, Disability and veteran communities, and Economic status.
Overall, our research finds that sustainability delivers measurable competitive advantages when backed by authentic action— providing consumer appeal, premiums, and market share growth. Discover more by exploring our research findings below.
