Sustainability as a business model

1.

SUSTAINABILITY
AS A BUSINESS
MODEL
_______________________________________________________________________________________________________________
WHAT IT TAKES TO BE

2. our purpose

OUR PURPOSE
OUR VISION
POSITIVE
SOCIAL IMPACT
MAKE
SUSTAINABLE
LIVING
COMMONPLACE
BUSINESS
GROWTH
DECOUPLE
ENVIRONMENTAL
FOOTPRINT

3. Our plan

OUR PLAN
Unilever sustainable living plan
IMPROVING HEALTH
AND WELL-BEING
for more than
REDUCING
ENVIRONMENTAL
IMPACT
1 billion
by
1/2
ENHANCING
LIVELIHOODS
For
millions
health and hygiene
greenhouse gases
fairness in the workplace
nutrition
water
opportunities for women
waste
inclusive business
sustainable sourcing

4. Our USLP progress IN RUSSIA

OUR USLP PROGRESS IN RUSSIA
HEALTH & HYGIENE
5
MILLION
reached through programs
of our sustainable
living brands
ENVIRONMENTAL
IMPACT* & sourcing
Enhancing
livelihoods
4 MLN
-22% -10% -73%
CO2 EMISSIONS
FROM ENERGY
WATER
67%
PROCUREMENT SPENT
MEET RESPONSIBLE
SOURCING POLICY
REQUIREMENTS
*YTD reduction vs 2012 baseline
TOTAL WASTE
SENIOR CONSUMERS
REACHED
THROUGH 50 PLUS
INITIATIVE SINCE 2012
1,400
SOCIAL ENTREPRENEURS
reached through Lipton
Goodstarter contest
since 2015

5. PIONEERING: ZERO WASTE TO LANDFILL

AS OF 2015, ALL
UNILEVER PRODUCTION
CENTERS, OWNED
WAREHOUSES AND
OFFICES IN RUSSIA
TRANSITIONED
TO ZERO WASTE TO
LANDFILL PRINCIPLE

6. PIONEERING: SUSTAINABILITY PARTNERSHIPS

IN 2015, ON THE BASIS
OF THE MOSCOW
SCHOOL OF
MANAGEMENT
SKOLKOVO, UNILEVER
LAUNCHED THE FIRST
RUSSIAN SUSTAINABLE
BUSINESS RESEARCH
CENTRE

7. PIONEERING: nutrition labelling

PIONEERING: NUTRITION LABELLING
IN 2018, UNILEVER
BECAME THE FIRST
PARTICIPANT OF
NUTRITION LABELLING
EXPERIMENT
“TRAFFIC LIGHT”

8. PIONEERING: renewable energy

PIONEERING: RENEWABLE ENERGY
AS OF SEPTEMBER
2019 UNILEVER
RUSSIA SWITCHED
TO 100% RENEWABLE
ELECTRICITY FOR
ITS FACTORY
NETWORK

9. PIONEERING: 100% recycled plastic packaging

PIONEERING: 100% RECYCLED PLASTIC PACKAGING
TODAY UNILEVER HAS
THE LARGEST BEAUTY
AND PERSONAL CARE
PORTFOLIO IN RUSSIA
WITH PACKAGING MADE
FROM 100% RECYCLED
PLASTIC (PET)

10.

11.

135
SKUs
6,4 m2
SHELF

12. TWO WAYS TO DRIVE GROWTH

Sales Uplift Over Base
TWO WAYS TO DRIVE GROWTH
Brand Building
Emotional priming
Long term sales growth
Sales Activation
Behavioural prompts
Short term sales uplifts
60
%
40
%
Short term effects dominate (~6 months)
Time
Source: Binet & Field 2013

13. BRAND BUILDING IS KEY TO PROFIT GROWTH

FMCG BRANDS
60%
Very Large Profit Growth Reported
50%
40%
30%
20%
10%
0%
0
Source: IPA Databank, 1998-2016 FMCG cases
1
2
3
Number of Brand Metrics Improved
4+

14. THE 60:40 RULE STILL APPLIES

Very Large
Share Growth Cases
36
38
62
Channel Share for Brand Building Objectives
Source: IPA Databank, 2016 cases
Very Large
Profit Growth Cases
64
Channel Share for Sales Activation Objectives

15. LONG-TERM GROWTH COMES MOSTLY FROM NEW CONSUMERS

FMCG BRANDS
4,5%
Annual mkt. share growth
5,0%
4,0%
3,0%
2,0%
1,8%
1,0%
0,0%
Existing customers
Campaign Targeting
Source: IPA Databank, 1998-2016 FMCG cases
New customers

16. WHAT IS A BRAND WITH PURPOSE ?

?
?
?

17.

IS ISN’T
Making a positive difference
to society
Doing
Mainstream
Long term
Simply the functional
or emotional benefit
Just saying
At the fringes
One minute wonder
Defines your brand, Only seen in the boardroom
makes you famous or at Cannes

18. MANY WAYS TO DO PURPOSE

Change
behavio
Mobilis
ur
e
Directl
citizens
y solve
to
the
create
issue
change Change
cultura
l norms

19. PURPOSE

#3 CHANGE THE CULTURAL NORMS
PURPOSE
To invite all women to
realise their personal
potential for beauty by
engaging them with
products that deliver
superior care

20. WHAT THEY DO

• In 2004 Dove challenged stereotypical beauty by creating
the Dove campaign for real beauty supported by the Self
Esteem Project
WHAT
THEY DO
• To date, the project has helped over 20mn girls raise
their self esteem and realise their full potential

21. WHAT THEY DO

• In 2004 Dove challenged stereotypical beauty by
creating the Dove campaign for real beauty supported
by the Self Esteem Project
WHAT
THEY DO
• To date, the project has helped over 20mn girls raise
their self esteem and realise their full potential

22.

LIPTON: PROACTIVE SUSTAINABILITY COMMUNICATION ON-PACK
#collectiveaction

23.

SUSTAINABILITY
AS A BUSINESS
MODEL
_______________________________________________________________________________________________________________
WHAT IT TAKES TO BE