Why sustainability matters more than ever

Why sustainability matters more than ever by Dan Holland

As an industry, we all have a critical role to play in making choices that will positively impact our shared tomorrow. We asked Director of Corporate Affairs and Sustainability, Dan Holland, about Endeavour’s latest initiatives and to share his perspective on how we can all leave a positive imprint on our industry.

Dan Holland Director, Corporate Affairs and Sustainability

Corporate social responsibility and sustainability have increased in importance, evolving rapidly as ESG (environmental, social and governance) factors become central market trends. People want to work for companies that they can be proud of, and customers and investors are increasingly choosing to support businesses that align with their values.

Endeavour Group’s purpose is to create a more sociable future, as our people come together with friends and families in a range of different ways. “Our desire is to think about sustainability across all parts of our operations and stakeholders, from practices in our vineyards to how we promote a culture of responsibility,” Dan explained. “Working across the industry, we have the opportunity to make a bigger impact, and we’re excited that so many of our industry colleagues are focused on that change. Working together, the positive imprint we leave can be even more powerful,” he added. In Endeavour Group’s sustainability strategy, launched in October 2021, we set a range of goals and commitments anchored to its purpose of ‘Creating a more sociable future together’. The strategy is built around three core principles - Responsibility & Community, People, and Planet.

"The partnership between producers and our merchandise teams has created amazing choices for customers.”

“Our brands and team have led great progress in sustainability for some time. Our opportunity now as Endeavour Group is to accelerate that progress by establishing our own, standalone plans that reflect our relatively new company.” “Some of what we’re doing is about establishing our baselines and our approach for the first time. While in other areas, such as Responsibility, we’re building on years of leadership and innovation.”

Collaboration is key

Under the Responsibility and Community Principle, Endeavour has made a comprehensive effort to go beyond regulatory compliance and to promote a responsibility culture among its 30,000 team members. Responsible service and the continued culture shift to greater responsible consumption is the key sustainability priority for us.

These commitments and programs are continually evolving, building on unique retail and hospitality initiatives as well as supporting industry standards. The long term commitment is to enhance the cooperation and dialogue across the community to encourage greater responsibility and reduce harm.

“By showing leadership, we aim to engage a range of stakeholders in an effort to support whole-of-society approaches to improving responsible service and consumption,” he explained. An Australian-first instore pilot saw Endeavour and DrinkWise Australia partner to investigate the role of in-store layout, category positioning and product marketing plays in changing awareness, consideration and purchase behaviours. The trial put zero, low and mid strength products at the front and centre of store design in BWS stores – improving awareness of and access to lower ABV and zero alcohol products available on the market.

The effort of suppliers in low/no alcohol drinks innovation is a great example of the collective effort to increase options for moderation. This enables a growing range of quality lower and zero alcohol drinks now available in Dan Murphy’s and BWS stores. “We now have more than 300 different lower and zero alcohol SKUs across our range, which is an incredible result. The partnership between producers and our merchandise teams has created amazing choices for customers,” he said.

“There is a role for the industry to encourage the enduring consumer trend of greater moderation by these new offers to cater to consumers seeking out lighter options,” Dan added.

“We need to first listen and learn, and we’re committed to listening and engaging with local communities to find local solutions.”

Listening to locals

Under the Responsibility and Community principle, Endeavour Group is increasingly focused on the local community level. “With our retail and hotels network, we are part of more than 2,000 communities across the country. To make a meaningful difference to the communities we engage with, we know we need to first listen and learn, and we’re committed to listening and engaging with local communities to find local solutions,” Dan explained. Endeavour has established its first locallyled sustainability plan – a Community Advisory Committee (CAC) – in Darwin, Northern Territory (NT). The CAC is composed of diverse representatives across the city, reflective of the community it represents, and contributes a range of experience and professional expertise. In place now nearly a year, Endeavour has been engaging diligently with stakeholders from health, police, academia and

“We have seen some great examples among our suppliers that have created delicious drinks for a good cause.”

Government to first listen and learn before moving to recommending how we could play a greater role in the Darwin community. “We’re fortunate that such a high calibre group of leaders is working so closely with us, with considerable insights already gathered this year and deeper relationships and connections being established,” he said. Through its products and services Pinnacle arm, Endeavour Group has also partnered with suppliers to launch a range of products that support important community initiatives. For example, the Loud & Proud wine, beer, and seltzer range raises money for Proud Foundation Australia; Hughie beer supports Aussie communities in need via donation platform GIVIT; while Sit Stay Society Wines raise funds for charity PetRescue. “We have seen some great examples among our suppliers that have created delicious drinks for a good cause, from Jim Barry’s rose range that raises money for the McGrath Foundation to Taylors Wines that works alongside the Sydney Institute of Marine Science to help save endangered White Seahorses,” he added.

Reconciliation and First Nations partnerships

Under the People principle, Endeavour Group recently launched its first Reconciliation Action Plan (RAP), which is a Reflect level RAP. “The Reflect RAP stage is a privileged opportunity for all Endeavour team members and partners to take the time to consider where we are in reconciliation and our own connection to First Nations culture and community,” Dan said. “As a company of our size and reach, we recognise and celebrate that everyone will be at different stages of learning about Aboriginal and Torres Strait Islander culture. Our biggest opportunity is to support and encourage the voice of our First Nations team members through our efforts in reconciliation,” he added. Endeavour is also excited by the growing number of First Nations products available to range. “Suppliers including Munda Wines, Sobah Brewery and Seven Seasons distillery are already among our valued supply partners, and we intend to grow our relationships with First Nations suppliers across the company,” he added.

“Our biggest opportunity is to support and encourage the voice of our First Nations team members through our efforts in reconciliation.”

Doing the right thing

Endeavour Group is committed to doing the right thing by every worker in our business and supply chain. In August, Endeavour released its first Modern Slavery Statement. “We’ve taken time to understand the range of behaviours that could indicate modern slavery risk, as well as determine the areas we can make the most impact. And we expect the same respect and values from our suppliers, especially in the way they do business on our behalf,” Dan said. “We know there’s much more to do. We believe one of our biggest opportunities is greater partnership with our suppliers on the common topics we’re facing,” he added. “We will look forward to more collaboration with suppliers through the coming year.”

Reimagining packaging

Under the Planet principle, Dan highlighted the collaboration in the industry, in particular in the packaging space. “We are seeing great innovation coming out of this field. Packaging is a big category where there is huge potential, and the outcomes can even be greater when we work together as an industry,” he said. In October, The Australian Packaging Covenant Organisation (APCO) and Accolade Wines announced it had together developed the first Australasian Recycling Label (ARL) of its kind for the Australian wine industry as part of the nationwide drive to encourage greater recycling among consumers. In a similar vein, Vinpac International has partnered with sustainable packaging leader Orora to create lighter weight bottles for wine producers to use. “Almost 30 percent of a wine’s carbon footprint comes from the glass bottle alone through its production and transportation, so the lighter weight options can create big carbon emission savings while still maintaining the look and feel of the bottle,” he explained.

Renewable energy

Using renewable energy across its operations is something both Endeavour and suppliers are embracing. “We now have 104 sites including retail stores, hotels and wineries across the Group that have solar panels installed, reducing energy consumption and costs, and supporting our plans to achieve our renewable energy target,” Dan said. Earlier this year, Victoria Bitter partnered with Dan Murphy’s to bring its first-of-akind Solar Exchange program to even more Aussie households across the country, allowing for the in-store collection of their hard-earned solar slabs. The Solar Exchange program launched in 2021, enabling Aussies to exchange the credit on their household power bill obtained from generating excess solar VB, via Diamond Energy. “This was a great idea supported with a fantastic campaign that celebrated solar generation with a big audience.”

“We now have 104 sites including retail stores, hotels and wineries across the Group that have solar panels installed, reducing energy consumption and costs, and supporting our plans to achieve our renewable energy target.”

“As a business and as a wider industry, we have a responsibility to manage natural resources in a way to save water, protect soils and improve biodiversity.”

How we produce

Dan highlighted the new environmental practices and leading innovation across the drinks industry, which is providing inspiration for all producers. Our inaugural Sustainability Supplier of the Year - Young Henrys - has partnered with climate change scientists from UTS to develop a microalgae bioreactor that eats up CO2 from the brewing process and churns out fresh oxygen. The craft brewery also distributes spent grain with added algae to farms as cattle feed, which reduces methane burps and flatulence, also resulting in cutting emissions.

“Young Henrys is a great example of a producer that has gone above and beyond with research-led innovation to create a more sustainable future for our industry,” he said. “This is world leading and something the entire Young Henrys team should be proud of,” he added.

Endeavour Group’s Chapel Hill is an organically certified winery that also has achieved certification under the Sustainable Winegrowing Australia (SWA) Program. The winery and vineyards are supported by solar power and are sustainably farmed using lowimpact techniques. This includes the use of reclaimed water for irrigation, the minimal use of synthetic fertilisers and herbicides as well as on-site composting of all grape stems and grape marc. “As a business and as a wider industry, we have a responsibility to manage natural resources in a way to save water, protect soils and improve biodiversity,” he said. Find out more information Endeavour Group’s approach to sustainability, and read the latest Sustainability Report on: www.endeavourgroup.com.au/sustainability

QHow you can

partner with us

Do you have innovative ideas around how we can continue to lean into the positive trend of moderation, and help Australians consume more responsibly? Do you have an innovative product that lives up to the ambition of leaving a positive imprint that you think we should know about?

Do you have interesting solutions on packaging or recycling initiatives?

Get in touch with the Endeavour Group sustainability team on sustainability@edg.com.au