There’s always more room up market. If you can convince people that they will be able to buy a story and status, there will be people who care enough about “improving” their life to pay.
Does it really make sense to pay $50 more for something that will be slightly more sustainable than your usual purchase? From an environmental perspective, probably not. But from a status and story perspective, it’s well worth the money. Think about the pride you can have knowing you’re the most hip, socially conscious person in your circle. That feeling is worth paying more for.
You could buy a $2 can opener, or you could buy a $10 can opener from Oxo. No doubt the Oxo would be better, but is it 4x better? Probably not. Is it $8 better? Potentially.
It’s the un-commoditization of everything. An equal and opposite reaction from the race to the bottom. We made everything as cheap as possible, and now brands are taking the shelves back with high status, higher cost alternatives.