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    The Valley Group

    Retail marketing group creating powerful in-store solutions, driven by insight, knowledge and creativity

    IKEA and the new Retail Sustainability

    Viewpoint Lite | 08/04/21

    When it comes to sustainability there are currently two types of businesses, those that see it as an initiative, something that has to be done for compliance reasons and then you have the companies who genuinely want to make a positive impact on our ecosystem and maybe even change the world. Sustainability will need to be at the core of every business in order to survive in the future. In a recent survey by First Insight they found 73% of Gen Z are willing to even pay more for sustainability with a majority of this demographic willing to pay up to a 10% premium. The smartest entrepreneurs are building direct to consumer businesses that place a strong emphasis on values with sustainability and ethics central to everything they do. However, can a large organisation do the same? Is size a barrier or opportunity? IKEA see it as the latter.

    The Swedish retailer has caught our attention for a number of reasons; first of all they’re a colossal organisation with 445 gigantic stores worldwide that are home to almost 10,000 SKUs. During pre-pandemic times IKEA had 957 million store visits per annum and 2.5 billion visits to Instead of viewing this scale as too complex and a barrier to change, IKEA is setting ambitious, stretch goals when it comes to sustainability. 

    Here are few ways they’re aiming to becoming more sustainable:

    1: With over a billion meatballs sold each year IKEA is well aware of its carbon footprint. In order to reduce the environmental impact, 50% of IKEA restaurant meals will be plant-based by 2025. 

    2: IKEA is exploring ways in which they can increase the longevity of their furniture which means less waste and therefor a reduced impact on the environment. In 2020 they created a new online ordering system for spare parts which saw customers order 14 million spare

     parts in 2020. They also tested a buy-back programme and are experimenting with new models of ownership such as rental and subscription services. 

    3: The biggest and most ambitious goal IKEA has set is to become climate positive by 2030. This goal includes taking responsibility for the millions of car journey miles customers amass visiting IKEA stores. No other retailer in the world is even close to matching what IKEA is aiming to achieve. 

    ikea vegan meatballs

    For a full and detailed picture on IKEA’s sustainability efforts, learn more here. 

    As a key player in the retail sector, Valley are continuously exploring ways of being climate positive and helping our customers to be kinder to the environment. We’re doing this by researching and testing new materials and processes for production and utilising technology for richer retail experiences. Since our foundation in the late 1800’s we’ve worked hard to stay relevant, we’ve done this by always innovating across all aspects of our business and we look forward to serving the best brands and retailers for the next 125 years. 

    To learn more about how we can help your company to be kinder to our planet get in touch.

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