
Gen Z reshapes packaged food market with sustainability, health, and digital demands
Generation Z’s evolving priorities around sustainability, health, and digital engagement are radically transforming packaged-food purchasing habits, challenging brands to offer authentic, quality products that align with their values and convenience needs amid shifting loyalty patterns.
Generation Z, typically aged between 16 and 25, represents a distinct and influential cohort for packaged-food manufacturers. This generation brings specific priorities and preferences that continue to evolve, shaped by environmental awareness, health consciousness, and a deep engagement with digital technology. However, understanding how to capture their loyalty requires navigating complexities and shifting behaviours that differ markedly from previous generations.
A defining aspect of Gen Z’s relationship with food is their heightened environmental and social consciousness. Many young consumers are strongly motivated by sustainability, ethical sourcing, and the environmental impact of their food choices. Surveys show that over 70% of Gen Z value sustainability, with a significant portion willing to pay a premium for ethically sourced products. This group often incorporates concerns about food waste and sustainable packaging into their purchasing decisions. Importantly, these values are not mere marketing trends but reflect authentic engagement with wider societal issues such as climate change. That said, while environmental and social values are important to Gen Z, these factors are not always the primary drivers behind their food purchases. Quality, brand reputation, and value for money remain paramount considerations.
Health and wellness are also central to Gen Z’s food preferences. Many young consumers exhibit a strong interest in nutrition, self-care, and fitness, often influenced by social media and health trends that promote clean eating, high-protein diets, and moderation. Nearly three-quarters of Gen Z have followed a specific diet or eating pattern recently, ranging from plant-based diets to mindful eating. There is also a noticeable trend towards experimenting with enhanced nutrition products that combine taste with health benefits. While some in this generation continue to consume processed foods reminiscent of their upbringing, a surprising number are pivoting towards healthier options, with a willingness to invest more in products perceived as better for their wellbeing.
Digital engagement fundamentally shapes how Gen Z discovers and consumes food. Platforms such as TikTok, Instagram, and YouTube play an outsized role in food discovery, with around 60-70% of young consumers using social media and online reviews to inform dining and purchasing decisions. Viral food trends proliferate rapidly on these channels, with more than 80% of Gen Z having tried at least one trendy new food. Brands that successfully integrate social and experiential elements into their marketing strategies—such as collaborations and activations—can capture the imagination and loyalty of young consumers. This digital savviness extends to purchasing behaviour as well; Gen Z prefers ordering food via apps and digital wallets rather than traditional in-store shopping, underscoring the importance of digital convenience.
Convenience continues to be a key factor but is nuanced by Gen Z’s living situations. With many delaying home ownership and living with parents or in rental accommodations, their food purchases often prioritise ease and accessibility. As takeaway meals dominate, younger consumers heavily rely on delivery platforms such as Uber Eats and Deliveroo. Meanwhile, traditional supermarket shopping, especially involving large trolley shops, is less attractive due to lower rates of car ownership among this demographic. Ready-meal kits and accessible healthy options appeal especially to those living away from home for the first time.
A notable challenge for food brands lies in building lasting relationships with Gen Z consumers. While open to experimenting with new and emerging brands—which they often find more engaging and authentic—this generation displays less brand loyalty than previous ones. Many purchases are exploratory or one-off trials, making some brands vulnerable to the risk of being perceived as fads rather than staples. Successful brands will need to balance innovation with authenticity and ensure their products deliver on quality and consistency to foster habitual consumer behaviour.
Legacy brands, some dating back to the mid-20th century, are finding it increasingly difficult to resonate with younger audiences unless they adapt authentically. Attempts to “modernise” older brands superficially tend to fall short, as Gen Z demands genuine alignment with their values and lifestyles. Meanwhile, private label or house brands are gaining traction among younger consumers, particularly when these brands offer healthier or more affordable alternatives. Despite economic challenges faced by many young people—such as inflation and job market difficulties—health and wellness products appear more price resilient than expected. Some Gen Z consumers are willing to invest in premium products like pasture-raised eggs or high-protein cereals, reflecting a complex interplay between cost sensitivity and value perception.
Social media also acts as a double-edged sword for food brands. There is intense scrutiny and a high risk of exposure if brands engage in greenwashing or fail to deliver on advertised health or environmental claims. Young consumers are savvy and quick to call out inauthentic marketing, often amplified through social channels. This calls for greater transparency and accountability from food producers looking to engage this discerning demographic.
In conclusion, food brands aiming to capture Gen Z must navigate a terrain marked by environmental consciousness, health and wellness prioritisation, and digital immersion. Success hinges on authenticity, digital engagement, and delivering convenience without compromising on quality or values. While the path to sustained loyalty is more challenging than with previous generations, the potential rewards for brands that understand and respond to these complexities are significant.