View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
January 17, 2019

Sustainability top of mind for Gen Z consumers

By Beth Wright

Sustainability is driving demand and customer loyalty, according to a new survey, with more than two-thirds of respondents saying they consider sustainability when making a purchase and are willing to pay extra for more eco-friendly products.

Free Report
img

What are the key consumer trends driving FMCG in 2022?

The consumer landscape has permanently changed since the COVID-19 pandemic began, prompting trends to emerge or accelerate, causing subsequent macro-economic shifts. In order to stay relevant, Consumer Packaged Goods companies must stay abreast of these developments. It is here that GlobalData can offer valuable assistance. Download GlobalData’s Trendsights: Trends to Watch in 2022 report to:
  • Gain insight into the 12 most important trends across the FMCG value chain
  • See the consumer survey data that underpins these insights
  • Learn what early-movers are already doing in terms of NPD and product marketing
Take a look at this report to give yourself the best standing in this developing market.
by GlobalData
Enter your details here to receive your free Report.

The study by software provider CGS found that despite being a relatively new buying group, Gen Z shoppers make up some of the most conscious buyers, with 68% having made an eco-friendly purchase in the past year.

CGS surveyed more than 1,000 US individuals (ages 18-65+) on how sustainable products and business practices are driving their buying preferences.

Among the key findings of the ‘2019 Retail and Sustainability Survey’ were that despite price still being a big factor in purchasing decisions, consumers are putting an emphasis on sustainability, and are also increasingly focused on shopping with brands whose mission they care about.

Across the US, businesses are taking action to implement more eco-friendly processes and products as consumers begin to demand more eco-friendly products. Almost 70% of CGS survey respondents said that sustainability is at least “somewhat important” to them when making a purchase and 47% would pay more for a sustainable product.

While consumers are most likely to return to a brand for the product’s quality, according to CGS, the second highest reason consumers return to a brand is its sustainable/ethical business practices. Brand name and brand mission closely followed in third and fourth place, respectively.

In addition, although Gen Z is still a rising economic force, this generation is far more aware of the environmental effects of their purchasing decisions than their elders. The survey showed that Gen Z ranks ethical business/manufacturing as one of its top factors when purchasing, while the general public is more concerned about product price and availability. Yet, the general public is more likely to return to a brand based on the quality of the product, rather than sustainable practices.

In fact, more than 50% of Gen Z would be willing to pay more for a sustainable product, slightly higher than expressed by the general population (47.3%). 

“Today’s buyers are driven by more than price – they’re looking for brands that align with their own values and needs,” says Paul Magel, president, business applications division, CGS. “To create a loyal customer base, brands must be transparent about the materials and development behind their products.”

Related Companies

Free Report
img

What are the key consumer trends driving FMCG in 2022?

The consumer landscape has permanently changed since the COVID-19 pandemic began, prompting trends to emerge or accelerate, causing subsequent macro-economic shifts. In order to stay relevant, Consumer Packaged Goods companies must stay abreast of these developments. It is here that GlobalData can offer valuable assistance. Download GlobalData’s Trendsights: Trends to Watch in 2022 report to:
  • Gain insight into the 12 most important trends across the FMCG value chain
  • See the consumer survey data that underpins these insights
  • Learn what early-movers are already doing in terms of NPD and product marketing
Take a look at this report to give yourself the best standing in this developing market.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The industry's most comprehensive news and information delivered every quarter.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Style