From regenerative to organic: How eco-friendly claims fuel growth

Wooden organic stamp on yellow background. Horizontal composition with copy space.
Sales of food and beverage products labeled '100% Organic' rose 16% in dollar terms versus a year ago. (Getty Images)

Natural food and drink products with sustainable label claims are flying off the shelves in the US: here’s why

Key takeaways

  • Sustainable label claims such as ‘non-GMO’ and ‘organic’ significantly drive sales in the natural food and beverage sector by fostering trust and credibility.
  • Despite price premiums, consumer demand for natural products continues to grow.
  • Animal welfare claims, including ‘Grass Fed’ and ‘Free Range,’ show substantial sales growth, indicating strong consumer interest in ethical production practices.
  • Shopper education and accessibility of sustainable products are crucial for expanding the market, particularly for price-sensitive consumers.

Despite being a small category, natural food and beverage products continue to drive outsized growth in the US – but items that also leverage sustainable label claims such as ‘certified organic’ or ‘grass-fed’ are in even greater demand.

This is according to retail data captured by market intelligence agency SPINS and presented in its Sustainability Signals report.

The report highlights a long-term trend for healthy and sustainable products; suggests that consumer understanding of terms like ‘regenerative’ has improved, and provides insights on how brands can leverage eco credentials to drive sales.

What’s driving natural food and beverage sales?

To gauge the performance of sustainable foods in the US, the report zeroes in on natural food and beverage – the category with the largest share of items marketed as sustainable.

70%

That’s the share of natural products sold in the US in the past year that carried sustainability-related claims, according to SPINS.

According to SPINS, sales of natural products are surpassing $73bn, with growth in both dollar (+8%) and unit (+6%) terms versus a year ago.

Notably, unit sales have increased while distribution has remained flat – meaning that products are selling well despite a lack of growth in retail availability.

Consumers have also been undeterred by price premiums – natural food and beverage products carried a 25% premium over conventional products on average, with ARP also climbing 2% in the period.

So what’s driving sales in the natural category? Sustainable label claims such as ‘non-GMO’ and ‘organic’ have played a crucial part by fostering trust and credibility and allowing brands to position their products as eco-friendly – whether as good for the planet (e.g. Regenerative Organic, Non-GMO), people (Fair Trade, Antibiotic-Free), or animal welfare (Pasture Raised, Grass Fed).

Shoppers are also becoming more knowledgeable of the different types of label certification schemes, suggesting that getting certified is a smart investment for brands.


Also read → How retailers miss out on sustainable food and drink sales

Food and beverage products with animal welfare claims consistently see double-digit growth according to SPINS, with Grass Fed (+40%), Free Range (+38%) and Cage Free (+31%) driving the biggest dollar sales increase versus a year ago.

Regenerative Organic Certified (ROC) products have seen a dollar sales increase of 21% in the period, with ROC buyers also up by 30% year over year. ROC highlights climate-friendly practices such as investment in soil health, ecosystem restoration, and ethical farm practices. Products that carry the label go through third-party verification, which further improves consumer confidence according to SPINS.

But not all sustainable claims have the same impact. While animal welfare claims generated double-digit sales, those labeled vegan drove single-digit (+6%) sales, for example.

“More sustainable and animal-friendly production practices inspire trust in the shopper that the products will be better for the planet, for their health, and the animals involved in the process,” said Brittany Moore, SPINS’ Product Intelligence Program Manager and a contributor to the Sustainability Signals report. “Over the years, shoppers have become more educated and knowledgeable about production practices from farm to table.”

Top claims driving dollar growth in dairy

Products labeled Grass Fed, Pasture Raised, and Animal Welfare have grown the most in the dairy category in the past year, according to SPINS.
In milk, Grass Fed and Pasture Raised lead the way.

Dairy is the category that has not only embraced sustainable claims, but is driving strong dollar growth.

According to SPINS Natural Channel + Multi-Outlet (MULO) (Powered by Circana) data covering the 52 weeks ending June 15 2025:

  • dairy creams and creamers [e.g. organic (+20%) or Certified Greener World (+20%)] grew by 5% in dollar sales;
  • ice cream and frozen novelties - by 3% [with claims like Grass Fed (+28%) and Regenerative Organic (+98%) leading the way],
  • and butter rose by 9%, driven by Certified Non-GMO (+37%) and Grass Fed (+30%).

In dairy and plant-based, yogurt is ripe for expansion through sustainable claims, according to the report.

“Yogurt is a category that already benefits from a health halo,” Moore said. “How do you improve on a product that already provides protein, probiotics, and more? You lean into other features that display the benefits of yogurt across the spectrum - from functionality to better-for-the-planet label claims and certifications.

“Brands like Alexandre Family Farm are leading the way in sustainable yogurt, leaning into third-party certifications and taste-forward features like cream-top yogurts and A2 milks.”

In Regenerative Organic Certified, there are fewer than a handful of dairy brands – namely Alec’s Ice Cream, Alexandre Family Farm and Origin – but the label enjoys cross-aisle presence. “ROC appears across aisles but is heavily focused in pantry items and refrigerated staples. Sweeteners, Oils, Chocolate, Eggs, and Ice Cream are just a few of the segments seeing growth in ROC,” Moore told us.

“A prime opportunity for Certified Regenerative Organic is the continuation of shopper education and the accessibility of these products on shelf. Regenerative Organic shoppers are generally price-sensitive and looking for ways to nourish their families. Price-conscious and health-forward products will continue to create pathways for more shoppers to shop sustainably for their families at all stages.”

Who is the Regenerative Organic Certified shopper?

SPINS calls them ‘true believers’ – in other words, consumers whose food and beverage choices resonate with their values and convictions about sustainability.

There are two main types of consumers shopping ROC – Millennials with no children, or young families with children under 12 years of age. The former category has more disposable income, meaning it’s better equipped to pay the price premiums; while the latter prioritizes nutrition in spite of the higher price tag.

Both cohorts are price-sensitive, however. “Regenerative Organic shoppers are generally price-sensitive and looking for ways to nourish their families,” SPINS’ Brittany Moore said. “Price-conscious and health-forward products will continue to create pathways for more shoppers to shop sustainably for their families at all stages.”

“A prime opportunity for Certified Regenerative Organic is the continuation of shopper education and the accessibility of these products on shelf,” she added.

Across board, products that displayed both ROC and another certification claim drove higher growth than those that sported a single sustainable claim.

How can food and drink brands grow sales through sustainability?

So what can food and beverage brands do to better appeal to eco-conscious consumers – and in turn, grow sales within the $70bn+ US natural food and beverage space?

Get certified, SPINS suggests. Sustainable claims act as a recognizable visual cue for eco-conscious shoppers; drive measurable growth, and boost brand credibility.

Shopper education will also continue to be important, and so will the use of promotions to increase both awareness and household penetration.

With the natural foods category commanding a hefty price premium, there’s room for affordable products that tick the right sustainable boxes.

And finally, packaging – brands are urged to design with circularity in mind and clarify sustainable packaging claims in order to lead the way in their respective categories.

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