73% of Gen Z are willing to pay more for sustainable products — and we're here for it

Written by Nicole Braganza

"No cap, sustainable businesses are giving main character energy right now."

And not just in likes or vibes. Brands that take sustainability seriously are attracting higher-value customers, charging more per transaction, and building loyalty with the fastest-growing consumer group in the U.S.: Gen Z.

For restaurants, cafés, offices, and retailers, sustainability isn’t a trend anymore. It’s a competitive advantage.

For business owners across America, this shift represents both a challenge and an opportunity. Investing in sustainability–such as switching to more responsible, eco-friendly products–does require operational changes and higher upfront costs.

But the upside is significant.

Sustainable practices open doors to a growing customer base that's willing to pay more for what they believe in and greater profitability in the long run.

The data makes this clear:

• More than 60% of diners say sustainability influences where they choose to eat

• 84% of consumers are more likely to recommend a brand based on shared values

• 55% report stronger brand loyalty when businesses publicly commit to those values

• Harvard Business School research shows companies with strong sustainability practices outperform peers in long-term stock performance

In other words, sustainability isn’t just an ethical decision—it’s a growth strategy.

Let’s take a closer look at what’s driving Gen Z’s expectations and how your business can meet them in ways that build trust, loyalty, and long-term profitability.

Who are these green-loving Gen Z customers?

Born between 1997 and 2012, Gen Z has never known a world without climate change conversations at the dinner table. Unlike their parents or grandparents, they've grown up watching content about plastic-filled oceans and hearing about rising global temperatures since elementary school.

In an interview with Yale Environment 360, Britt Wray, a postdoctoral fellow at Stanford University’s Center for Innovation in Global Health, Wray explains how climate anxiety is greatest for Gen Z.

This generation has been bombarded with news of climate disasters on social media. They feel betrayed, she says, by government inaction and dismayed when told they are overreacting to what they see as an existential threat.

“I’m from an outdoorsy family and we’ve seen the landscape around us changing for the negative as fast as within four or five years,” says Victoria Muharsky, a 24-year-old ESG Specialist with Green Builder Media who lives in Grand Junction, Colorado. “We’ve always gone to the Acadia National Park in Maine, and we’ve seen the leaves change color more quickly in recent years. That’s a catalyst for a lot of people in my generation. First there’s a personal impact, and then they want to advocate for change.”

Sustainability is important to 19-year-old Trinity Gbla. Having grown up experiencing wildfires and extreme heat near her home in Southern California, Gbla said these past few years have highlighted climate change as an increasingly pressing issue.

According to a recent Deloitte survey, climate change/protecting the environment was the No. 1 concern for Gen Z, followed closely by unemployment and health care/disease prevention.

While boomers prioritize convenience (plastic straws, anyone?) and millennials try to balance being eco-friendly with practicality, Gen Z is putting their money exactly where their values are.

Research shows that sustainable products are growing 2.7 times faster than their conventional counterparts. And guess who's driving that growth? You got it — Gen Z.

Gen Z has zero patience for fakery

Here's where things get really interesting. Gen Z doesn't just care about sustainability; they're equipped to fact-check your claims in real time from their smartphones.

What makes Gen Z truly different is they'll Google your eco-claims while standing in your restaurant. If you're talking the sustainability talk but still using plastic disposables when sustainable food service supplies exist, they'll call you out — and not just to your face, but to their entire TikTok following.

Remember the 2022 Starbucks reusable cup program controversy?

When Gen Z discovered that the company's heavily marketed reusable cup initiative actually represented less than 1% of beverages sold, they mobilized on platforms like TikTok and Instagram.

The hashtag #StarbucksGreenwashing generated over 7 million views, with young consumers sharing videos of themselves bringing their own cups or choosing local cafés with legitimate sustainable practices. It translated to measurable financial impact, with the company reporting a temporary 5% drop in Gen Z patronage during the peak of the controversy.

For small and mid-sized businesses, this is actually good news.

You don’t need a massive PR campaign to win Gen Z. You just need visible, verifiable changes—especially in the products customers interact with every day.

Sustainable Food Service Businesses Winning with Gen Z Customers

These forward-thinking businesses are effectively connecting with Gen Z and earning their trust and loyalty through meaningful sustainability practices.

Sweetgreen 

Sweetgreen has built their whole vibe around sustainability, from local sourcing to earth-friendly packaging. This fast-casual salad chain uses plant-based bowls and compostable utensils, and prominently communicates their carbon footprint reduction strategies.

But Sweetgreen understands that their consumers won’t just “Take their word for it”. Their app actually allows customers to track the environmental impact of their orders.

Co-founder Nathaniel Ru says, “We've always believed that the future of dining lies at the intersection of health, sustainability, and community. We wanted to create a movement, not just a restaurant.”

Just Salad

Just Salad's reusable bowl program is genius in its simplicity. Buy a reusable bowl, get discounts on future salads, and feel good about not contributing to landfill waste. Gen Z customers are eating it up (pun absolutely intended).

Want to start with a low-risk switch? Check out our plant-based compostable utensils and make an immediate impact on your business sustainability.

Imperfect Foods  

Imperfect Foods’ business model reduces food waste by selling "imperfect" produce in minimal, recyclable packaging.

The brand sources directly from producers to rescue food rejected by retailers due to cosmetic flaws, surplus production, packaging changes, or short dates. They deliver these perfectly good items directly to consumers at roughly 30% below retail prices, reducing waste while creating value for both farmers and customers.

Keep an eye out for sustainable packaging options to keep plastic waste to a minimum.

Do Sustainable Food Service Supplies Actually Pay Off?

I know what you're thinking: "Do sustainable supplies actually pay off?"

According to business owners who've made the switch, the answer is a resounding yes.

Besides, sustainability-focused businesses like Plastic Detox offer a free sample kit for food businesses focused on swaps customers actually notice (and care about).

Sabine Durand-Hayes, Global Consumer Markets Leader, PwC France, said, “Consumers are increasingly feeling the squeeze of inflation and rising prices in essential goods such as groceries; however, in that context, they are prioritizing products that are sustainably produced and sourced.

Even as consumers look to cheaper, generic options for essentials, they nevertheless cite a willingness to pay 9.7% more for sustainability. In the year ahead, companies must achieve a delicate balance between consumer affordability and environmental impact if they are to source and retain consumers.”   

Making the switch: Practical steps to implement eco-friendly business practices

• Make visible product changes first: Swap out the obvious plastics. Compostable cups, bamboo utensils, and biodegradable straws send an immediate signal about your values.

  
  

• Keep it real: Marketing expert Devon Riley warns, "Gen Z has a remarkable radar for insincerity. Don't just make changes—explain why they matter to you as a business owner."

  
  

• Get your team on board: When your staff understands why you're making these changes, they become your best sustainability ambassadors.

  
  

• Show local love: Gen Z cares about community impact, so highlight your connections with local suppliers and farmers. 

The future of sustainable purchase

As Gen Z grows up and their spending power increases (they'll represent 27% of consumer spending by 2030), their influence will only get stronger.

Gen Z isn’t waiting for businesses to catch up.

If you’re ready to make sustainability visible—without blowing up your budget—start with the products your customers touch every day.

Frequently Asked Questions

Does Gen Z care about sustainability when choosing restaurants and cafés?

Yes. Gen Z strongly considers sustainability when deciding where to eat, work, and shop. Research consistently shows that Gen Z prioritizes environmentally responsible businesses and actively seeks out restaurants and cafés using sustainable food service supplies like compostable cups, biodegradable utensils, and eco-friendly packaging.

Are people willing to pay more for sustainable food service supplies?

Yes. Studies show that consumers, especially Gen Z, are willing to pay more for businesses that use eco-friendly restaurant supplies and compostable food service products.

For restaurants and cafés, this often translates into higher perceived brand value, stronger customer loyalty, and more repeat visits when sustainability efforts are visible and authentic.

How much more expensive are sustainable food service supplies compared to plastic?

In many cases, compostable food service products and biodegradable disposable items cost only slightly more than traditional plastic alternatives, often just pennies per unit. Many businesses offset this cost through:

• Small menu price adjustments

• Increased repeat visits from environmentally conscious customers

• Reduced waste-hauling and landfill fees

For many restaurants and cafés, switching to sustainable food service supplies results in neutral or improved margins within a few months.

What are the best sustainable food service supplies to switch to first?

The most effective place to start is with the items customers interact with daily. Popular entry-level swaps include:

• Compostable paper cold cups and insulated hot cups

• Biodegradable disposable utensils and plates

• Plant-based or compostable takeout containers

These changes are highly visible, easy to implement, and clearly signal your commitment to sustainability.