Of the 12,000 adults recently surveyed by YouGov, 36% said that they are more worried about how climate-related risks will impact humanity, while 34% ranked the COVID-19 pandemic’s impact higher. However, a clear generational gap emerged, as U.S. adults categorized as Generation Z (ages 6 to 24) were far more concerned about the impacts of climate change (50%) than the impact of the pandemic (22%).
As this generation enters the consumer market and demonstrates these sentiments, companies are paying more attention to sustainable products. Recent data show that millennials and Generation Z are willing to spend more on products from companies that align with their values and put greater importance on environmental concerns than previous age groups.
Companies that demonstrate higher ESG performance are more likely to have better employee engagement and greater attractiveness to new talent. To meet these new consumer needs, “forward-looking companies are already integrating environmental and social commitments into their core business, thus positioning themselves for these impending generational shifts.”