Like Peas and Carrots: Millennials and Sustainability
Regardless of your age, the societal shift towards sustainability has undoubtedly progressed during your lifetime. Many of the environmental issues that once may have been popularly interpreted as ‘a bunch of hippie crap’ are now at the forefront of the collective global mind.
Millennials, in particular, have played a huge role in the growth of the sustainability movement, in part because we came into being around the same time it did (we were born in it…molded by it).
It’s true, though — the growing importance of sustainability has impacted Millennial lives significantly. Our habits have perhaps been shaped, in part, by a desire to be more environmentally and socially conscious than our predecessors. We chatted a few weeks back about Millennial spending habits in relation to investing — let’s now go over some other Millennial habits that have been shaped by sustainability:
1. Consumption
Generation Y plays an enormous role in today’s consumer-centric world; we are the target audience for a good chunk of the fashion world, for many TV programs and movies, and for virtually every innovative technology update (just to mention a few). Our consumption habits have been noticeably impacted by our collective attention to sustainability — for example, 72% of Millennials say they would pay extra money for an environmentally/socially sustainable product. Gen Y’s three biggest factors in deciding whether or not to buy a product? Whether or not the company is trustworthy, the product has health & wellness benefits, and the product is made with natural, local, and/or organic ingredients.
2. Work
Work is an extremely important part of life for most Millennials, particularly those in the startup community, whose passion and creativity leads them to put in unimaginable hours in pursuit of their dreams. We generally tend to view work as something that should have meaning and long-term significance, and we strive to work for companies that will cater to our eco/socio-conscious concerns; in fact, more than 50% of Millennials say that they would take a pay cut to find a job that matches better with their values. Like investors, employees are encouraging their companies to embrace today’s need for better environmental and social policies (even if that means quitting and finding employment somewhere more sustainable).
3. Home
For those of you born in the last 25 years, it may be hard to imagine that there was once a time when leaving the faucet running while brushing your teeth was not frowned upon. You’re probably no stranger to important conversations like energy efficient appliances or household carbon footprints. Also, you’ve likely grown up feeling comfortable drinking water from the tap, reducing time spent in the shower, washing your clothes in cold water, or purchasing furniture second-hand from online marketplaces like Craigslist. Your daily habits are near-subconsciously driven by principles of sustainability. In addition, Millennials aren’t afraid to live in smaller and/or shared spaces. “Millennials are willing to give up large space for smart space,” says home designer Bobby Berk. This trend can be significant in reducing US’s carbon footprint per capita. The list goes on!
4. Ownership
The last few years have seen a remarkable surge in the popularity of the ‘share-economy’, a.k.a., companies like Uber, Airbnb, Rent-A-Runway, PostMates, etc. Uber is a great example of how awesome the share economy is; rather than buy a new car for yourself — the production of which has a massive carbon footprint — and only driving it to/from work every day, you can hop in a car that will be much more efficiently used and that you won’t even have to imagine paying the lease on every month. Luckily for us 2016-ers, there is now an “Uber for everything,” meaning you can take advantage of the share economy across a vast array of services. This ends up being both cheaper than the alternative (owning everything yourself) AND more sustainable. Win win.
5. Wellness
Last but not least (and definitely not a secret), Millennials are obsessed with wellness! More so than any generation before us, we are on the front lines of the eco-yoga-kale-vegan movement (no, that’s not a real thing, but it probably will be at some point). Our preoccupation with wellness stems both from a desire to be healthy as well as a desire to keep our planet healthy; for example, almost 23% of Millennials either bike or walk to work — these alternatives are healthy, financially savvy, AND environmentally beneficial.
So What??
We get it — Millennials are collectively on-board with sustainability. Why does that matter? Well, by forming our different habits and life trajectories around the idea of sustainability, we are effectively reshaping the economy and the general way of life in the U.S. — that’s exciting! One of the other ways many Millennials are beginning to implement sustainable practices in their lives is through ESG investing; like we discussed in one of our previous articles, this form of investment is both fiscally sound and environmentally / socially conscious. Hopefully, as Millennials (slowly but surely) begin to think more about investing, they will apply to it the sustainability-lens that they have used in so many other facets of life. Interested in learning more about sustainable investing? Check out Grow’s homepage for more information!
Sources:
- Green Generation: Millennials Say Sustainability Is A Shopping Priority
The Nielsen Company - What Millennial Employees Really Want
Adam Smiley Poswolsky (Fast Company) - What Millennials Want In Home Design — Wood, Stone, And Purple Rain
Michele Lerner (The Washington Post) - Commuters In These Cities Bike And Walk To Work More Than Everyone Else
Alicia Adamczyk (Time)
