The calls for sustainability action are getting louder
Consumers spent over $4 trillion on online shopping in the last year, almost a third more than the year before. Shopping is going through a radical shift and the global pandemic has sped this up. Retailers have been forced to adapt and innovate.
Consumers have more choice than ever, it's down to the producer and the retailer to meet customer demand. A good product is no longer enough to win a consumer's pound. Shoppers want more than just quality, often looking for products and brands that align with their personal values. In a recent Deloitte survey, over a third of consumers claim to have stopped purchasing certain brands due to ethical and sustainability issues. This is a huge hit off the bottom line.
Further to consumer demands, Governments are also putting the squeeze on the retail sector with the introduction of key regulations. The Circular Economy Action Plan in the European Union, or the “Expended Producer Responsibility” aiming to support the development of circular production business models and reduce wastage of resources are shaping the industry and defining the sustainability strategies of global retailers.
The retail sector faces unprecedented challenges due to climate change. The imperative to take action to limit warming to 1.5°C has never been higher. All eyes are on retailers and manufacturers to reduce greenhouse gas emissions by optimising production processes to reduce energy, water and by-products.
The climate emergency, together with the loss of nature and rising inequalities, are the greatest and most complex challenges of our time. Consumers are aware of this, for retailers to thrive they must adopt innovative sustainable business models and align with the new green paradigm.
Latest Sustainabilty News For
Consumer Goods and Retail
Grappling with complex sustainability issues in the consumer goods & retail sector
Consumer goods carry a significant environmental impact. This impact is forcing responsible retail businesses to consider various aspects of their complex supply chains - raw material sourcing, production processes & labour conditions, transportation, marketing and end-of-life.
With a growing appetite for transparency and disclosure of carbon, water and waste footprints at product-level, retail consultants have an essential role to play in this transition by embedding sustainability effectively into their value chain.
Solutions such as green deliveries, recyclable packaging and a surge in product sustainability credentials (organic, fair trade, free of harsh chemicals etc.) are helping retailers to meet the demands of the rising green tide, but their key challenge is to also carefully manage consumer expectations of product quality, price, convenience, ethics (social and environmental) and transparency.
Client success Stories
Bunzl, the leading FTSE 100 company and global distributor defines its strategic sustainability framework for action.
UK fashion brand Seasalt addresses the key environmental hotspots across its value chain by measuring its carbon, water and waste footprint, resulting in the creation of a strategic sustainability roadmap.
Oak Furnitureland understands the importance of improving its ESG performance and has been implementing a range of initiatives across the company to drive positive change.
In November 2020, the UK announced that reporting in line with the recommendations of the TCFD will become mandatory by 2025 across the economy, with premium listed companies expected to comply by the end of this year.
Download our guide for expert insights on TCFD disclosure.
Consumer Goods and Retail
With a specialist consumer goods and retail sustainability team, Avieco is well placed to support your business, your impact, and your sustainability challenges, to help you identify what really matters to you in your journey to becoming sustainable.
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