Data: Gen Z’s sustainability ‘Intention Gap’ widens due to ultra-fast fashion purchases

With consumer confidence subdued, concerns over rising costs and new technology redefining customer expectations, 2025 was a rollercoaster for all aspects of the retail sector.
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New research has identified a significant “intention gap” in Gen Z’s sustainable shopping habits, with almost six in 10 (59%) young consumers admitting their generation talks more about sustainability than they practise.

The RSM UK and Retail Economics study, which was based on a survey of 1,500 Gen Z shoppers, revealed nearly a third (29%) consider themselves committed to sustainable consumption, a larger group (43%) fall into what researchers call “aspirational intention”, they value sustainability but frequently compromise on it when faced with price or convenience barriers.

The divide becomes sharper with age, with commitment rising to 39% among 24–28 year-olds, but dropping to 20% among 18–21 year-olds.

Meanwhile, more than a quarter (28%) admit sustainability ranks low in their buying decisions.

The data also highlights the influence of fast-moving retail trends, with 40% of Gen Z confessing to buying items they will only wear or use once.



Cathy Faria, ESG associate director at RSM UK, said the findings expose “clear contradictions” between Gen Z’s values and behaviours.

“Ultimately, they face a trade-off between values, budgets and desires for instant consumption,” she said.

“Gen Z grew up in the era of ultra-fast fashion with the likes of Shein and Temu. In a world where budgets are being increasingly squeezed, low-cost products and convenience can be hard to resist.”

However, Faria stressed that the tension also represents a strategic opportunity for retailers.

Gen Z, particularly those with greater financial security, remain highly engaged with sustainability as a concept, creating demand for natural fabrics, recycled materials, ethical sourcing, and improved supply-chain transparency.

She noted growing momentum behind pre-loved retail, where major brands are experimenting with curated second-hand collections, and pointed to M&S’s recent partnership with eBay to create a takeback and resale programme as an example of how big retailers are innovating in this space, ensuring unsellable items are repurposed or recycled.

Jacqui Baker, head of retail at RSM UK, said sustainability cues resonate differently across retail categories.

“Affordability and quality dominate most Gen Z purchasing decisions, but sustainability rises sharply in importance in health and beauty,” she said.

“Natural and ethical credentials are tied directly to safety, well-being and self-care, here, sustainability is not just a bolt-on, it’s integral to the product.”

Baker said the sector continues to benefit from the “lipstick effect”, with consumers willing to pay a premium for sustainable credentials even as they cut back in other categories.

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Data: Gen Z’s sustainability ‘Intention Gap’ widens due to ultra-fast fashion purchases

With consumer confidence subdued, concerns over rising costs and new technology redefining customer expectations, 2025 was a rollercoaster for all aspects of the retail sector.

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New research has identified a significant “intention gap” in Gen Z’s sustainable shopping habits, with almost six in 10 (59%) young consumers admitting their generation talks more about sustainability than they practise.

The RSM UK and Retail Economics study, which was based on a survey of 1,500 Gen Z shoppers, revealed nearly a third (29%) consider themselves committed to sustainable consumption, a larger group (43%) fall into what researchers call “aspirational intention”, they value sustainability but frequently compromise on it when faced with price or convenience barriers.

The divide becomes sharper with age, with commitment rising to 39% among 24–28 year-olds, but dropping to 20% among 18–21 year-olds.

Meanwhile, more than a quarter (28%) admit sustainability ranks low in their buying decisions.

The data also highlights the influence of fast-moving retail trends, with 40% of Gen Z confessing to buying items they will only wear or use once.



Cathy Faria, ESG associate director at RSM UK, said the findings expose “clear contradictions” between Gen Z’s values and behaviours.

“Ultimately, they face a trade-off between values, budgets and desires for instant consumption,” she said.

“Gen Z grew up in the era of ultra-fast fashion with the likes of Shein and Temu. In a world where budgets are being increasingly squeezed, low-cost products and convenience can be hard to resist.”

However, Faria stressed that the tension also represents a strategic opportunity for retailers.

Gen Z, particularly those with greater financial security, remain highly engaged with sustainability as a concept, creating demand for natural fabrics, recycled materials, ethical sourcing, and improved supply-chain transparency.

She noted growing momentum behind pre-loved retail, where major brands are experimenting with curated second-hand collections, and pointed to M&S’s recent partnership with eBay to create a takeback and resale programme as an example of how big retailers are innovating in this space, ensuring unsellable items are repurposed or recycled.

Jacqui Baker, head of retail at RSM UK, said sustainability cues resonate differently across retail categories.

“Affordability and quality dominate most Gen Z purchasing decisions, but sustainability rises sharply in importance in health and beauty,” she said.

“Natural and ethical credentials are tied directly to safety, well-being and self-care, here, sustainability is not just a bolt-on, it’s integral to the product.”

Baker said the sector continues to benefit from the “lipstick effect”, with consumers willing to pay a premium for sustainable credentials even as they cut back in other categories.

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