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Center for Sustainable Business | Sustainable Market Share Index™

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Sustainable Market Share Index™

CSB partnered with Circana (formerly IRI) for its annual analysis of consumer purchasing data for  consumer packaged goods marketed as sustainable.


Sustainable Market Share Index™

The Sustainable Market Share Index is an annual analysis of the latest national purchasing data for consumer packaged good (CPG) products marketed as sustainable. NYU Stern Center for Sustainable Business (CSB) partners with Circana (formerly IRI), who generously donates the purchasing data of products marketed with sustainability attributes in 36 CPG categories (excluding alcohol and tobacco), comprising ~40% of the total US CPG market in sales from 2013-2024. CSB uses this data to report on the market share for sustainable products and what factors are contributing to its continued growth. Pioneered by Senior Scholar Randi Kronthal-Sacco, each year's report builds on previous analysis and addresses new research questions based on current trends. For the first time in 2024, CSB applied the methodology to two European markets, analyzing 34 categories in Germany and the U.K. Click here to read the full 2024 report.

 

The 2024 Sustainable Market Share Index™ finds that products marketed as sustainable are responsible for 41% of the growth in consumer packaged goods (CPGs) from 2013 to 2024, and market share growth continues year over year.

  • Branded products marketed as sustainable now hold a 23.8% market share, up +2.6 percentage points versus the prior year despite continued high inflation and strong store brand performance. The market share of sustainable products have increased 9.2 percentage points since 2013.
  • Products marketed as sustainable achieved a 5-YR CAGR of 12.4% vs. 6.8% for the total CPG market and just 5.4% for conventionally marketed products.

*excludes alcohol and tobacco sales, share of branded products only

Our annual research shows products marketed as sustainable continue to grow in share alongside store brands, at the expense of conventional product growth,” said Randi Kronthal-Sacco, Senior Scholar at the NYU Stern Center for Sustainable Business (CSB), who pioneers the research initiative. "With price premiums stabilizing, sustainable products demonstrate an opportunity for value creation for brands. Predictably, European markets studied for the first time have much higher market share in the UK and Germany compared to the US.

Despite sustainable products account for 23.8% of the market, they delivered an outsized 41% of the CPG market growth (2013-2024).

Two pie charts showing sustainable products making up 23.8% share of market, but contributing 41% of growth.

Sustainable products enjoy 12.4% 5-year CAGR, significantly higher than conventionally marketed products and the total market (5.4% and 6.8% respectively).

graph showing Sustainable products have higher CAGR than market and conventional

 

Sustainable products enjoy an average of 26.6% price premium over conventional counterparts, but that number has decreased and stabilized since its peak. 

 

The UK and Germany, have significantly higher shares of branded products marketed as sustainable (36.8% and 42% respectively) compared to the US.

SMSI 2024 European data

*UK and German share based on analysis of 34 categories


Report Graphic

View the Full Research Findings

Questions about the research?

Contact Randi Kronthal-Sacco

Green Chemistry

Leveraging CSB's point of sale consumer purchase analysis in addition to case studies, economic value-add analysis, and prior research, this multi-method study draws findings from the recent and projected growth of green chemistry as a fast-growing investment opportunity.

Research Questions

To conduct the research, CSB analyzed data from across 36 product categories, representing approximately 40% of total CPG sales, excluding tobacco and alcohol (34 categories in European markets). Click on the research questions below for data findings.

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