BUILDING BACK BETTER

OPINION: LIZZIE BARTHOLOMEW, COMMUNICATIONS MANAGER, TOMRA COLLECTION SOLUTIONS UK & IRELAND

BUILDING BACK BETTER

IS A RESURGENCE IN INTEREST IN SUSTAINABILITY ON THE CARDS AS THE CORONAVIRUS PANDEMICBEGINS TO RECEDE, AND WHAT WILL IT MEAN FOR LOCAL RETAILERS, ASKS LIZZIE BARTHOLEMEW?

Much has been said of a ‘green recovery’ for the economy after the Covid-19 pandemic, but what does this mean for retailers? Rightly, the focus for rt the beginning of the pandemic was on keeping shelves stocked, colleagues and customers safe and business running. Now, as we begin the slow exit from lockdown, it is becoming clearer that sustainability remains high on the agenda for consumers.

In July, Zero Waste Scotland outlined its five-point plan for a green recovery from Covid-19. These measures focus on ‘building back better’ to create a robust and green economy in Scotland. The message here is clear: any sustainability initiatives must work hand in hand with getting business moving again. Here, we identify three areas where consumers are showing an increased interest in sustainability following the impact of Covid-19, and how this could translate to business benefits.

MINDFUL SHOPPING

One trend emerging from the pandemic is consumers becoming more conscious of where they spend their money, not just what they spend it on. While value, convenience and availability are key drivers for buying certain products, research by McKinsey highlighted that 44% of shoppers are now more mindful of where they spend their money compared to before the pandemic. This naturally represents a huge opportunity for local retailers who can highlight their strong connection to the community. The same research also showed that consumers are likely to spend more with a company who take care of their employees’ safety. This is a good reminder that sustainability is about people and community, as well as the planet.

When it comes to making environmentally conscious choices, research by Accenture has highlighted that 45% of consumers say they are now making more sustainable choices when shopping and will likely continue to do so. Therefore, retailers who can offer a range of sustainable food choices are likely to be preferred by many shoppers.

EMBRACING LOCAL

A shift to local shopping has been clear, necessitated by travel restrictions, long queues at supermarkets and a general preference for staying close to home. Supporting local businesses has also become increasingly important for consumers, something which will continue to benefit convenience stores in the coming months.

Many stores have also seen success by offering home delivery and click & collect services. The rise in these offerings has been huge, with the Association of Local Convenience Stores estimating that around 65% of convenience stores are now offering them in some form. This has further fostered a sense of community support, with the services largely aimed at those isolating or vulnerable. The popularity of this offering means it looks set to stay, with research by HIM & MCA Insight UK showing that around 70% of consumers are planning on using convenience store delivery services more in future.

There is now an opportunity for local stores to become even more central to their community, by supporting wider sustainability initiatives which will further benefit the local area. According to YouGov, 70% of consumers who shopped locally during the pandemic say that they will continue to do so, making it a chance to reap the business rewards too.

A RENEWED FOCUS ON RECYCLING

While the perceived hygiene of packaged goods is appealing to many consumers, a new poll by Populus found that two in three Scots are concerned about an increase in plastic waste following lockdown. Litter has become a huge issue, with people now spending more time in parks and outside spaces, as well as consuming more on-the-go food and drink. This has prompted a new joint anti-littering campaign by Zero Waste Scotland, Keep Scotland Beautiful and the Scottish Government.

One of the interventions to reduce littering and improve recycling rates in Scotland is the introduction of a deposit return scheme (DRS) for drinks containers in 2022. The scheme has now been voted through as law, with a delay to the launch date from April 2021 to July 2022 to give retailers more time to prepare.

Consumer support for a DRS remains higher than ever. In June, a survey by Nature 2030, showed that 84% of respondents supported an ‘all in’ deposit return scheme covering drinks containers of all sizes. This was up from 69% in 2019, highlighting that public appetite for sustainability continues to increase following Covid-19.

Across Europe, deposit return schemes have continued to operate safely throughout the outbreak with adjustments to maintain social distancing and provide ‘touch free’ operation. In some markets, the volume of containers returned is now higher than pre-Covid-19 levels, highlighting that if consumers feel safe, they are happy to recycle.

IN SUMMARY

Covid-19 has been an unexpected crisis for retailers, but they have demonstrated just how resilient they are over the past few months. As we begin to slowly exit from the toughest lockdown measures, for many it will be a time to think about what ‘building back better’ looks like for their own businesses.

For some, this will mean fostering a stronger connection than ever to their local community. For others it may mean stocking more local foods. Looking further ahead, some retailers will be looking at plans to create a great recycling experience, as the deposit return scheme approaches. One thing we know for certain is that the challenges facing the environment have not gone away, and the appetite from both retailers and consumers to make a difference, has only been strengthened.