Sustainable caring Unilever

SUSTAINABLE CARING

Unilever is a leading global FMCG company with more than two billion consumers using its products every day. With over four hundred brands in its product portfolio the company recorded sales of over €50 billion in 2015. Today innovation and sustainability play a major role in the company’s strategy for future growth, as Philip Yorke reports.

AS a truly global player, Unilever operates dedicated R&D centres throughout the world with key research facilities based in the UK, India, China, North America and the Netherlands. These sites employ more than 6000 scientists, chefs and technicians in Unilever’s quest for more advanced and sustainable solutions to meet the needs of today’s consumers. The company’s products are divided into three key business sectors: Home Care, Personal Care and Food & Drink. Instantly recognisable brands such as Dove, Knorr, Hellmans, Domestos and Lipton represent just a few of its global success stories. Innovative sustainability

The latest annual report from Unilever highlights its continuing commitment to innovation and sustainability, which features groundbreaking innovations and sustainability milestones. In addition to driving growth through core brands such as Dove and Axe, Personal Care expanded its new prestige business through acquisitions such as Dermalogica, Murad, Kate Somerville and REN.

In the food sector the company also saw strong growth in savoury dressings and in its fast-food solutions business which services professional hotel, restaurant and catering customers. Home Care

Products added to profitability through its scaled-up household cleaning business. In its refreshment sector, ice-cream delivered strong growth and strengthened its retail operations across both ice cream and tea.

Ground-breaking innovations were realised with the range of dry deodorants across its Dove, Rexona and Axe ranges, satisfying the need in North America for a deodorant that goes on drier and cleaner. In addition, the consumer reception of Comfort Intense, which is a superconcentrated fabric conditioner, far exceeded expectations.

Unilever also took some key steps towards its ‘Sustainable Living Plan’ targets during 2015. For example, it reached the landmark of having all tea in its Lipton teabags sourced from Rainforest Alliance certified estates following an eight-year investment programme. In March the company also announced that all palm oil bought for its European and Australian food businesses is now from traceable and certified plantations. Unilever also became the first company to produce a detailed, stand-alone human rights report. In the report’s CEO review, when asked what he saw as the biggest opportunity ahead, Paul Polman says it lies in the pace of change: “To show that we can continue to develop a portfolio of brands with the right blend of global and local presence, supported by organisational structure that is resilient enough to respond to rapidly emerging market trends.”

Sustainable Algal Oil

In March this year Unilever announced that it had extended its supply agreement with TerraVia, the world’s largest producer of Algal Oils. This agreement follows the initial agreement for soap bars using sustainable Algal Oils, which was signed in 2014, for the production of 10,000 metric tons of renewable Algal Oil for use in its Lux soap bars, which are made and sold in Brazil. In the new five-year deal, TerraVia will supply Unilever with Algal Oil for use in its personal care products.

These special oils are produced using a unique fermentation process that is designed to ensure the highest levels of purity, and deliver improved consumer benefits such as enhanced lathering, rinsing and a better fragrance experience. The decision to use algal oils is also aligned with Unilever’s ambition to grow the business while reducing its overall environmental footprint, and its commitment to using only sustainably sourced agricultural raw materials by 2020.

Algal oils offer an additional source of fully traceable sustainably sourced high-yield oil and have a lower greenhouse gas footprint than the current industry average of equivalent oils. TerraVia’s algal oils are derived from oil-producing microalgae that are cultivated sustainably and responsibly.

Suppliers recognised

Unilever recognises that it would not be able to maintain its global operations across almost 200 countries without the valuable contribution of its network of 16,000 suppliers. The company said, “Our suppliers materials and services are an integral part of our commercial operations, ensuring our sites and factories in more than 100 countries are capable of manufacturing, marketing and continually improving the thousands of unique items we produce today.”

Cutting edge innovation

For a major global player such as Unilever, a significant part of its growth is always going to come from its development of cuttingedge innovation and bottle technology. For example, by using gas-injection to create gas bubbles in the middle layer of the bottle wall, it reduces the density of the bottle and the amount of plastic required. All packaging will remain 100 per cent recyclable and bottles will contain a minimum of 15 per cent less plastic.

This advanced technology has been deployed first in Europe across Dove Body Wash range. Vaseline is another brand that really needs no introduction since the products in this range and their benefits to consumers are recognised in over 70 countries worldwide.

In addition to the standard lip balms, petroleum jelly, lotions and cleansers, the latest product under the Vaseline umbrella is its new line of Spray & Go moisturisers. These moisturise deeply and absorb in seconds, allowing the user to get dressed and leave the house immediately after applying. In this way it is different from traditional spray products, since it dispenses lotion quickly and evenly and enables all-over body coverage. n

For further details of Unilever’s latest innovative and sustainable products visit: www.unilever.com