Generation Z in Canada driving demand for healthier food choices

Gen-Z consumers in Canada are pushing for healthier food choices, which will have greater implications for grocers in the years to come.

That’s one of the findings of PwC Canada’s Voice of the Consumer Report 2025, which analyzed survey results from more than 21,000 consumers across 28 countries, including 1,020 Canadian consumers.

It found 20% of gen-Z Canadians follow vegetarian or vegan diets compared to 12% of the overall population, 22% of generation Z eat more alternative meats compared with 13% of Canadians overall, and nearly 48% of gen-Z Canadians are cutting back on alcohol versus 43% of the overall population.

As generation Z “become the heads of families, they’re going to become one of the most important segments of clients the grocery chains and the food industry will deal with,” explains Sebastien Doyon, partner and Canadian strategic operations leader at PwC Canada.

Doyon notes that generation Z is more concerned than previous generations with, “How do I feed myself? How do I maintain or improve my health?”

In response, grocers will need to provide better product information including traceability, improved ingredient and nutritional value information, details on where and how food is grown, how it’s been handled, greater in-store signage and richer content online, he says.

Doyon cautions that as gen-Z consumers start to build families, they’ll still be looking for healthier options, but will have limited budgets and will seek cost savings. “If I’m a retailer, I need to be careful I’m not expanding my assortment too much, that I’m not adding costs to my business that, in turn, is transferred to consumers.”

As trade tensions with the United States continue, the survey found lower prices override “buy local” sentiments: While 75% of Canadians say they’re willing to pay a premium for locally produced food, 62% say they will still choose a lower price imported product over a more expensive domestic equivalent.

“Despite everybody saying they want to buy more local foods, they’re not ready to do it that much at a higher price,” Doyon says. “A sliver of the population is going to be ready to pay a premium, a large portion won’t.”

The survey also found 6% of Canadian respondents are taking GLP-1 weight-loss drugs. Among those respondents, 76% say they’re making healthier food choices and 50% say they’re spending less on food. Of those not taking the drugs, 38% say they’re open to taking them in the future, which can have major effects on the food industry.

These drugs have “a ripple effect” on what people eat and how much they consume, Doyon says.

This article was first published in Canadian Grocer’s August issue.