Jason clay
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This document discusses trends in global population, consumption, and sustainability in retail. It summarizes: 1) By 2050, global population is projected to increase by around 35% while consumption is expected to increase by over 150% based on UN projections, highlighting the unsustainability of current resource use and production patterns. 2) Several case studies show how sustainability commitments from large retailers and consumer brands, when implemented at scale, have led to significant environmental and social impacts across global supply chains. 3) To drive further progress, the document argues that retailers need to move beyond niche certified products and make sustainable choices the norm by changing how the industry thinks about and prioritizes sustainability.
Jason clay
- 1. Sustainability in Retail Jason Clay SVP Markets, WWF-US
- 4. Global trends by 2050 200 Income 180 160 percent increase 140 120 100 Consumption 80 60 40 Population 20 0 2010 2050 Source: United Nations
- 5. x 1 =6 x 2 = 18
- 6. The China phenomenon Population at start Years to double China doubling of GDP of growth period GDP per capita1 was 12x the speed of Britain (1700-1855) 9M 155 Britain during the Industrial Revolution at US (1820-1873) 10M 53 100x the scale China (1983-1995) 1,023M 12 400 million India (1989-2006) 822M 17 lifted out of poverty 1 Time to increase GDP per capita (in PPP terms) from 1,300 to 2,600 USD Source: Angus Maddison, University of Groningen
- 7. Countries with >5% GDP growth (2010- 2011) (2010- Countries where China is a top trading partner Source: UN Comm Trade
- 8. 2 1 1 2 4 3 1 1 5 palm oil cotton biofuels sugarcane pulp & paper 1 10 3 1 3 5 1 5 1 sawn wood dairy beef soy fishmeal and oil 1 1 3 6 6 1 farmed salmon farmed shrimp tropical shrimp tuna whitefish Priority commodities 1 China 1 India
- 9. global food 40 years = 8,000 years
- 10. on a finite planet, should consumers have a choice about sustainable products? or should all choices be sustainable?
- 12. Unilever’s commitment: 100% sustainable ingredients
- 13. performance & results not practices
- 15. IKEA and BCI Cotton—2005-10 IKEA Cotton Use • 100,000 MT/yr (24% verified) • 400,000 producers (10% verified) Producer Impacts of BCI & BMPs • 60% less pesticide • 40% less water • 30% less synthetic fertilizer • 15-20% more income
- 17. Mars won’t buy certified poverty
- 18. Tetra Pak and embedded CO₂e emissions 2020 Goal = 10.8 MT CO₂ raw materials, brands, retailers, end of production, processing consumer use life 45% 38% 10% 6% Tetra Pak direct emissions
- 20. CGF – Precompetitive approaches • 57 companies • Deforestation out of supply chains • 4 commodities, 4 countries • By 2020 • Impact on BEI
- 21. illegal illegal SPECIES MINERALS FISH FOREST PLANTATION tigers gold bluefin tuna pulp palm oil elephants coltan demersal fishes timber soy rhinos diamonds shrimp and prawns mangroves beef
- 22. Performance curve government voluntary regulation standards number of producers performance shift worse average better
- 23. move certified commodities from niche to norm
- 24. Necessary but insufficient • Credible certification standards ‒ Science based ‒ Performance based ‒ Focused: 6-8 impacts reduced • Certification increases producer profits • Change the market, don’t create a parallel one
- 25. Reduce transactions and costs purchases Year 1 Year 2 Year 3 Year 4 Year 5
- 26. Pool sustainability commitments purchases Year 1 Year 2 Year 3 Year 4 Year 5
- 27. ,, Age of Damage ,, David Jones, Havas International 93% of people are prepared to boycott a company for irresponsible behavior “2011 Cone/Echo Global Corporate Responsibility Opportunity Study,” Cone Communications and Echo Research
- 28. “Millennials: The Challenger Generation” Euro RSCG Worldwide, Prosumer Report, Vol 11, 2011 48% of Millennials agree with this statement: “The things I consume have more power to change things than the people I vote for.”
- 29. the issue in retail is about change not change
- 30. it’s about how you make money, not how you spend profits
- 31. It’s about exceeding consumer expectations Supply Walmart & Mars: 100% of seafood from certified sources (MSC & ASC) by 2020
- 32. It’s about exceeding consumer expectations in the South, too Product origin Carrefour in China: product origin on tags
- 33. Providing the unexpected to consumers Recycling M&S Shwop: change the behavior of 21 million customers Goal: Recycle as many clothes as M&S sells every year
- 34. Create a conversation with consumers Issue awareness “Arctic Home”
- 35. the issue isn’t what to think about sustainability, it’s how to think about it
- 36. think about it