Working Papers

Does Sustainability Sell? The Impact of Sustainability Claims on the Success of National Brands’ New Product Introductions

Jenny van Doorn

University of Groningen

Hans Risselada

University of Groningen

Peter C. Verhoef

University of Groningen

Dec 16, 2020

Combines household panel data, consumer and expert surveys and advertising spend to find that “sustainable” new product introductions achieve lower sales than their conventional counterparts. While investing in corporate social responsibility and making sustainable new products clearly innovative can mitigate this negative effect, price promotions aggravate it. The effect of sustainability on sales becomes more negative over time.

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