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Writer's pictureSusan Harris

Higher sales growth maintained by consumer products with green claim branding



A recent joint study from McKinsey and NielsenIQ (February 2023) found that in the USA market, sales growth over the past five-year period for consumer packaged goods (CPG) making environmental-social-governance (green)-related claims averaged 28 percent cumulative growth versus 20 percent for products that made no such claims.


 

The clarity and reliability of the claim was crucial for sales success.




A growth difference of +1.7% represents significant revenue gain for fast-moving-consumer-packaged-goods in markets where margins are normally very tight.




The higher growth product sales are consistent, if somewhat less, than that achieved with Green Tick® Certified branding. Green Tick® - certified food and and laundry care products attracted markedly better sales than non-certified products. Certified meat sold out before being introduced to market in Queensland Australia; laundry product sale increases in New Zealand averaged 52% above historical; and certified beverage holders were immediately accepted for use at Australian rugby league venues.

 

 

Most notably, consumer trends towards purchasing clearly-identified green products are being maintained into the 21st Century as sustainability issues remain in the front of consumer minds.

 

Powerful and obvious Green Tick® Certification branding supported by well-targeted marketing are keys to success.



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