Do Sustainability Labels Actually Boost Sales? Research Explained | ESG Decoded #202

That small green leaf next to certain Amazon products may be doing more work than shoppers realize.  Emma Cox is joined by Dr. Sherry He, Assistant Professor of Marketing at Michigan State University, to unpack her research on Amazon’s Climate Pledge Friendly program. Her findings show that sustainability labels were associated with a 13–14% average increase in product demand—but the reason may not be what brands, retailers, or consumers expect.  The lift did not come from Amazon’s search algorithm or from shoppers actively filtering for more sustainable products. Instead, Dr. He explains what may be happening at the point of purchase, when a credible sustainability signal appears alongside a product. In this episode, learn: - Which sustainability labels showed no measurable demand lift—including one of Amazon’s own. - The two product characteristics associated with a stronger consumer response. - Why credible third-party certification could become even more important as AI increasingly shapes product discovery and purchasing decisions. - What brands, sellers, retailers, and certification organizations can take from the findings. If you buy, make, sell, market, or certify products, this episode offers a practical look at when sustainability claims can influence demand—and when they may not. Don't miss an episode—subscribe to ESG Decoded on your favorite podcast platform and follow us on social for the latest updates! **Episode Resources** - Harvard Business Review - Research: Products Labeled as Sustainable Sell Better: https://hbr.org/2025/06/research-products-labeled-as-sustainable-sell-better - Do Judge a Product by Its Sustainability Label: Evidence from the Amazon Marketplace: https://papers.ssrn.com/sol3/papers.cfm?abstract\_id=5009666# - Amazon Climate Pledge Friendly:  https://www.aboutamazon.com/planet/climate-pledge - Stand Out on Amazon as ClimeCo Certified™ Product: https://www.climeco.com/stand-out-on-amazon-as-a-climeco-certified-product/ **Disclaimer: This episode was recorded in May 2026. It references the Harvard Business Review article, “Research: Products Labeled as Sustainable Sell Better,” published in June 2025, and the paper “Do Judge a Product by Its Sustainability Label: Evidence from the Amazon Marketplace,” originally published in November 2024. Please note that findings, market conditions, and related developments may have changed since those publication dates.**  \- **About ESG Decoded** ESG Decoded, powered by ClimeCo, is a podcast for business leaders navigating sustainability, innovation, and the evolving expectations shaping organizations today. Hosted by Emma Cox, Erika Schiller, and Anna Stablum, the show features candid conversations with sustainability leaders and subject-matter experts across industries. Each episode cuts through the noise to explore the ideas, challenges, and actions moving sustainability forward—giving listeners practical insights to turn ambition into meaningful impact. **ESG Decoded Resource Links**  - Site:  https://www.climeco.com/podcast-series/ - Apple Podcasts: https://go.climeco.com/ApplePodcasts - Spotify: https://go.climeco.com/Spotify - YouTube Music: https://go.climeco.com/YouTube-Music - LinkedIn: https://www.linkedin.com/company/esg-decoded/ - IG: https://www.instagram.com/esgdecoded/ *\*This episode was produced by* Singing Land Studio **About ClimeCo**ClimeCo is an award-winning leader in decarbonization, empowering global organizations with customized sustainability pathways. Our respected scientists and industry experts collaborate with companies, governments, and capital markets to develop tailored ESG and decarbonization solutions. Recognized for creating high-quality, impactful projects, ClimeCo is committed to helping clients achieve their goals, maximize environmental assets, and enhance their brand. **ClimeCo Resource Links** - Site: https://climeco.com/ - LinkedIn: https://www.linkedin.com/company/climeco/ - IG: https://www.instagram.com/climeco/