Many of our clients are grappling with sustainability and regulation, but lack clarity on what truly moves the needle. They’re asking: Will our sustainability claims actually drive preference and pricing power, or are we just adding buzz? Our role is to separate real consumer value from perceived greenwashing.
Brands with credible sustainability positions are 1.4–2.0x more likely to see above-average growth, and “ESG-leading” portfolios have outperformed the market in multiple global studies.
BUT THE QUESTIONS FOR MOST LEADERS ARE STILL THE SAME:
- Which specific sustainability claims will actually shift choice or justify a price premium in my category?
- Where is the line between a strong claim and a potential “greenwashing” or compliance risk?
- How do we prioritise and scale only those initiatives that are both commercially proven and regulator-ready?
Unilever has reported that its “Sustainable Living Brands” (such as Dove, Hellmann’s, Ben & Jerry’s) have grown faster than the rest of its portfolio, contributing a disproportionately high share of growth. In practice, these brands don’t use vague “eco-friendly” language but very specific benefits (e.g., reduced plastic, responsibly sourced ingredients) backed by visible actions and certifications, which are then tested in-market to confirm uplift in penetration and loyalty before scaling the narrative globally.
Coca-Cola, PepsiCo and other beverage players have moved to higher recycled content and lighter-weight bottles in multiple markets, not just for compliance but after consumer and regulatory analysis showed growing sensitivity to plastic waste. These changes are typically validated via shopper research (shelf tests, price tests) to ensure that altered pack, on-pack recycling cues and “% recycled” claims do not hurt shelf impact or volume, while also reducing exposure to future plastic taxes and extended producer responsibility (EPR) costs.
Multiple global investment houses now integrate ESG scores into portfolio construction, and several studies of listed companies have found that firms with stronger sustainability profiles are more resilient in downturns and more likely to attract long-term capital. For brands, this translates into a dual benefit: well-substantiated sustainability commitments can increase trust and stickiness with conscious consumers, while also improving access to lower-cost capital. The key is rigorous measurement—tracking how sustainability credentials influence NPS, pricing power and investor conversations—rather than relying only on brand image surveys.
Focus on specific, provable sustainability claims instead of generic “eco-friendly” language, and pre-test them using robust consumer research (conjoint, shelf tests, price tests) to see which 2–3 levers actually move choice and willingness to pay. Link every claim to hard evidence (certifications, audited data, lifecycle metrics) and run periodic tracking to quantify impact on sales, pricing power, and risk exposure, so sustainability becomes a measurable growth driver, not PR.
Many leaders assume “sustainability” is just PR and doesn’t really change customer behaviour or hard numbers. In reality, vague green claims don’t work—but that’s a messaging problem, not proof that sustainability itself has no commercial value.
When sustainability is specific, credible and backed by data (e.g., lower waste, traceable sourcing, regulatory readiness), it can lift preference, justify price premiums, reduce compliance risk and protect margins—turning what was seen as a cost into a clear competitive and financial advantage.