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Unpacked Report 2019/20 3 Summary Introduction What Is Unpacked? Customer Thoughts Customer Behaviour Environmental Findings Success Factors What's Next?

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Unpacked Report 2019/20 3 Summary Introduction What Is Unpacked? Customer Thoughts Customer Behaviour Environmental Findings Success Factors What's Next? ETHICS & SUSTAINABILITY UNPACKING UNPACKED 2019/20 SUMMARY INTRODUCTION WHAT IS UNPACKED? CUSTOMER THOUGHTS CUSTOMER BEHAVIOUR ENVIRONMENTAL FINDINGS SUCCESS FACTORS WHAT'S NEXT? SUMMARY INTRODUCTION We have been reducing the We know that plastics and packaging are a serious concern for both our Partners amount of physical waste our (staff) and customers. Figures show that business produces through its plastic in our oceans will outweigh fish by operations and sale of goods 20503 and in 2019 alone Waitrose received 100% over 7,000 customer queries regarding of our operational waste across and services for many years. our use of plastics and packaging materials. the Partnership will be diverted We know this is vital to prevent These are all reasons why reducing single- In 2019 we launched an 11-week Unpacked from landfill by the end of use plastic and removing unnecessary test in our Waitrose Botley Road shop, taking further environmental damage, January 2021. packaging are crucial elements of our more than 200 products out of packaging using food scarcity and climate approach to minimising waste. At Waitrose a ‘Reduce, Reuse, Refill’ model. The aim was breakdown. we have set a specific target to reduce the single-use plastic packaging in our own- to see where we could remove unnecessary 4 In October 2020 we launched two bold brand ranges by 20% by the end of 2021 . packaging and test how customers might be new commitments: 85% prepared to shop differently. We must also keep in mind that plastic and • In addition to our commitment to halve packaging serve several important functions of all operational waste food waste in our own operations by in retail, including protecting products in across the Partnership will be 2030, we’ve extended this to our supply transit from damage, helping preserve food recyclable by 2028. chain too. for longer and preventing food waste. During the test we captured customers’ reactions and behaviour changes. We also commissioned an environmental assessment • We will help halve our customers’ For more information on how we are to calculate indicative packaging reductions and an estimate of household food waste by 2030. tackling single-use plastic, packaging and Unpacked’s overall impact on greenhouse gas emissions, when food waste, see our Ethics & Sustainability compared to a conventional shopping model. In summary, we found: At a Partnership level we also have the Progress Report and Waitrose’s Taking 50% 1 existing targets : Action On Plastics Report. • Customers showed clear signs of behaviour change. 72% were By 2030 Waitrose will reduce very satisfied shopping Unpacked and 80% said they would be • 100% of our operational waste across operational food waste by 50% very likely to shop it again. It was encouraging that customers the Partnership will be diverted from against a 2018 baseline. commented that they would like to see more products included landfill by the end of January 2021. in the range. • 85% of all operational waste across the 2 • 98% of single-use plastic packaging was eliminated across Partnership will be recyclable by 2028 . Unpacked products. • All own-brand product packaging across • The Unpacked proposition has the potential to reduce our two brands will be widely recyclable, greenhouse gases, but this is significantly dependent on whether reusable, or home compostable by 2023. food waste is increased either in the supply chain or in our • By 2030 Waitrose will reduce customers’ homes. operational food waste by 50% against a This report describes the Unpacked test, details the findings and 2018 baseline. suggests key success factors for industry progress. 1 For our progress against these targets please see our 2019/20 72% 80% 98% Ethics and Sustainability Progress Report. of customers were very satisfied of customers said they would be of single-use plastic packaging 2 Our operational waste target has been revised from a 75% shopping Unpacked very likely to shop it again was eliminated across Unpacked target by the end of January 2021 to a target of 85%. 3 products If current trends continue. Figures from WEF http://www3.weforum.org/docs/WEF_The_New_Plastics_ Economy.pdf. 4 In 2019 Waitrose reduced single-use plastic packaging in our own-brand ranges by 2% against a 2018 baseline. Our target is a10% reduction by the end of 2020 and a 20% reduction by the end of 2021. 2 JOHN LEWIS PARTNERSHIP PLC ETHICS & SUSTAINABILITY UNPACKED REPORT 2019/20 3 SUMMARY INTRODUCTION WHAT IS UNPACKED? CUSTOMER THOUGHTS CUSTOMER BEHAVIOUR ENVIRONMENTAL FINDINGS SUCCESS FACTORS WHAT'S NEXT? WHAT IS WHAT DID CUSTOMERS THINK? One element of our approach In June 2019 we launched our Unpacked • Customers were encouraged to bring Analysis was carried out during the 11-week test Suggested improvements: test at our Waitrose Botley Road shop their own containers to take home loose to reducing the physical waste in Oxford with the principle of ‘Reduce, items, or were able to buy or borrow on customer behaviour and their experience • Customers commented that they would like to see a broader our business produces has Reuse, Refill’. The aim was to reduce reusable boxes in store. We offered a of shopping Unpacked. Customer insight was range of Unpacked products, including more brands, more been to work with customers unnecessary packaging and test how 10% discount to incentivise customers collected through in-store interviews (90), products for special dietary requirements (e.g. gluten-free) and customers might be prepared to shop to bring their own containers when extensions to more categories (e.g. health and beauty). to understand which single- differently. To do this, we introduced a shopping at our counters. exit surveys (400), comment boards in-store, • Feedback suggested Unpacked would be even better if there use plastics and packaging are range of initiatives: a dedicated online form (740 responses), our were options for convenience and eating on the go. deemed unnecessary and trial • Impactful branding, ambassadors and social media channels and a focus group of 30 • More than 200 products were removed extra signage were introduced to • Some customers missed the nutritional information which is new ways of shopping that from their packaging including, the help customers understand and shop customers. normally provided on pack. have a positive impact on the largest range of loose fruit and veg of Unpacked and provide feedback. any national supermarket. environment. The 11-week test had such an Overall, 72% of customers were very satisfied shopping Unpacked • 28 varieties of dried goods, from pasta overwhelmingly positive response that a and 80% stated that they would be very likely to shop Unpacked 5 5 Unpacked online feedback form. 740 respondents, 3 week rolling average. Questions: Overall, how to cereal, were available in dispensers. number of the initiatives were introduced again . satisfied or dissatisfied were you with your experience of the Unpacked areas when you visited the in three further Waitrose stores: store? How likely or unlikely are you to shop in the Unpacked areas of Waitrose Botley Road again in the future? • Customers could choose from six types Cheltenham in September 2019, followed Positive feedback: of loose frozen fruit to pick and mix. by Wallingford and Abingdon in November 2019. • Shoppers liked the look and feel of the Unpacked branding and • We offered four beers and four wines displays. CUSTOMER QUOTES on tap. • Feedback showed that the buzz and Partner interaction in the I love the concept and how refreshing it is to see • We introduced four blends of coffee shop created a sense of community and had a positive impact on action being taken rather than just words being which could be dispensed and ground in customers' shopping experience. spoken about making changes” store. • Customers liked being able to buy smaller or exact quantities “ • One detergent and one washing up Unpacked would be even better if and the potential to reduce the cost of their shop and food more products were available” liquid to dispense and refill. waste. • We tested a ‘Veg Kitchen’ where • Shoppers loved that Unpacked helped them do their bit for the I like that Waitrose“ is reducing plastic and trying Partners could prepare vegetables to environment and feel better about their purchases. to do the right thing for the environment” customers’ requirements. “ 4 JOHN LEWIS PARTNERSHIP PLC ETHICS & SUSTAINABILITY UNPACKED REPORT 2019/20 5 SUMMARY INTRODUCTION WHAT IS UNPACKED? CUSTOMER THOUGHTS CUSTOMER BEHAVIOUR ENVIRONMENTAL FINDINGS SUCCESS FACTORS WHAT'S NEXT? HOW DID WHAT WERE THE 98% of single-use plastic packaging CUSTOMERS BEHAVE? ENVIRONMENTAL was eliminated across Unpacked products. FINDINGS? OUR TOP TEN FINDINGS Environmental consultancy • Greenhouse gas emissions decreased in Operationally food waste did increase Over time more customers remembered to bring There were varying degrees of success for those shopping eight out of the nine Unpacked product at the start of the test while we were 1 their containers from home. By week 10 of the test, 5 Unpacked with children. For some it proved more Resource Futures was categories11 modelled but increased in understanding the demand for loose produce 45% of Unpacked customers were bringing their own challenging to keep children entertained while others said commissioned to do the the soft fruits category. This was due to compared with packed. One product container and on average 33% of customers took their it provided an opportunity for the children to get involved environmental modelling of over-ordering at the start of the test and category that was particularly affected was products home without using any packaging at all. and to educate them. damage to some of the soft fruit causing soft fruits, where more customers switched However, the preference or default was to use ‘back-up’ the 11-week test to calculate more food waste than we would have to Unpacked than we originally envisaged, packaging provided by Waitrose such as paper or home Unpacked improved the perception of food quality, however, the indicative amount of plastic 6 liked.
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