The Kantar Better Futures 2026 report has been released. While environmental concern remains high, the cost-of-living crisis has become the dominant lens through which Kiwis view sustainability. The takeaway is clear: the "green premium" is evaporating.

Consumers still want sustainable solutions, but they increasingly expect brands - and by extension, their supply chains - to absorb the cost of the transition rather than passing it on to the household budget.

A significant shift highlighted in the report is the growing scepticism among younger generations. While Gen Z and Millennials remain ethically driven, they are increasingly weary of "greenwashing." Importantly, the report identifies a "commitment gap" where these consumers’ stated values don't always match their supermarket baskets, and there is limited brand loyalty.

For PNZ members, the opportunity exists in how you position yourselves to your brand partners. Brands are under immense pressure to deliver on sustainability targets while keeping prices competitive. By offering innovations like circular design, high-quality recycled content, or lightweighting, you are helping brands bridge the commitment gap. When you provide a sustainable packaging solution that is price-parity or "default" (requiring no extra effort from the shopper), you become an indispensable partner in protecting that brand’s reputation among a sceptical youth audience.

The report also suggests that the definition of sustainability is broadening to include social equity. Younger cohorts are increasingly linking environmental issues with fair labour practices and corporate ethics. This means your "social licence to operate" is now a key part of your brand partners' value proposition. Companies who can demonstrate tangible, verifiable progress in both social responsibility and circularity provide the "radical transparency" that modern brands need to satisfy their most demanding (and most sceptical) customers.

Ultimately, the 2026 findings serve as a call to action to move from marketing-led to performance-led sustainability.

Read more about the latest trends in sustainability here: https://www.kantarnewzealand.com/latest-thinking/better-futures/

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