Background: Macroenvironmental effects are causing change in consumers decision making. These changes can affect the consumers choice of groceries, hence also the purchasing of sustainable groceries. Generation Z are perceived to be environmentally conscious, however the cohort choosing the sustainable choice of groceries are both rejected and accepted by previous literature. Further, Swedish students are facing budget austerity during the autumn of 2022 as the CSN grant and loan isn’t raised until the spring of 2023. With increased inflation, rising living costs, students are forced to make choices that are not entirely up to them.

Purpose: The aim of the research is to investigate which factors influence the decision making for Swedish generation Z students when grocery shopping for sustainable food. Further also to research if budget austerity has an impact on choosing the sustainable option when shopping for groceries.

Method: The method explains how the qualitative, exploratory interviews were conducted, and the study chooses a non-probable, convenience sample to be able to gather as much data as possible from the students and investigate what the deciding factors are.

Conclusion: The findings indicate that there are many factors influencing the decision making for Swedish generation Z students. However, the main factor is the price affecting the generation Z students to not choose the sustainable groceries, one reason could be budget austerity. It is also observed that generation Z students are not as sustainable conscious as the literature reveals.