Born between 1997 and 2012 and aged 13 to 28, Generation Z (Gen Z) is a receptive and digitally savvy group that grew up with the internet and is highly dependent on social media and trusted sources such as family and influencers. For this generation, transparency is more important than marketing, especially when it comes to environmental issues. More than half of Gen Z and millennials see climate change as a key issue. For them, sustainability is much more important than a recognizable brand.

Gen Z has zero tolerance for companies that make sustainability claims without supporting data, and contempt for greenwashingThey want corporate actions that demonstrate carbon neutral impacts, and they make purchasing decisions based on personal, social and environmental values. 73% of Gen Zers are extremely concerned about current and future environmental damage caused by human activity and climate change. They are willing to pay more for sustainable products (73 %) and 62 % of Gen Z shoppers prefer sustainable brands. In addition, 46 % of Gen Z have already changed or plan to change jobs or industries by 2023 due to climate concerns. As many as 54 % are pressuring their employers to adopt sustainable practices, and 61 % believe they have the power to drive change in their organizations. Of all generations, Gen Z bears a disproportionately large personal and emotional burden of the climate crisis.

The importance of Scope 3 emissions for Gen Z

Scope 3 emissions are those produced by a company’s customers and supply chain – both upstream and downstream of its own operations. They typically account for around 80 % of a company’s carbon footprint. Scope 3 emission categories include upstream activities (e.g. purchased goods and services, capital goods, transportation, waste), downstream activities (e.g. use of sold products, end-of-life management, investments), and employee-related activities (e.g. business travel, commuting). Gen Zers do not argue that carbon emissions are inevitable; instead, they are looking for tools to mitigate the effects of a circular economy. They want to see business operations that demonstrate direct and indirect emission reductions and demonstrate real environmental progress.

To meet these requirements, companies can implement environmental management system (EMS). EMS is a proactive approach that helps organizations systematically and cost-effectively achieve environmental goals, such as energy conservation. The basic elements of EMS include analyzing environmental impacts, setting targets for reducing them, creating programs to meet those targets, monitoring progress, and ensuring environmental awareness among employees. Companies that follow these EMS guidelines gain competitive advantages through better risk management, regulatory compliance, and cost savings.

Gen Z concerns in the food industry

In the food and consumer packaged goods industries, it is evident how businesses are trying to meaningfully track their environmental impact. Gen Z is very aware of food misinformation thanks to their digital savvy. More than 60% of Gen Z consumers report stronger feelings about food sourcing and ingredient transparency than they did five years ago. Approximately 68% of Gen Z consumers seek sustainability information when shopping for food, and 75% see reducing food waste as essential to sustainability. They expect brands to advocate for responsible sourcing changes (69% of Gen Z consumers) and support their employees (71% of Gen Z consumers). Promises from “Big Ag” will no longer be enough to keep Gen Z loyal; businesses must take responsibility for their emissions and meet mitigation goals.

The young generation is full of innovators, activists, and entrepreneurs who are not only speaking out against the oil and gas industry, but they also offer solutions that lead us to a more inclusive, sustainable and resilient worldIf they are willing to pay more for products with verifiable environmental benefits, it is time for their demands to be heard and supply chains to be reshaped. The consequence of inaction would be a loss of consumer trust, leading to brand damage and a shift to their competitors. It is time for us to listen carefully to Gen Z. Spring