Case study: Motivating Sustainable Consumption in Customers David North Community & Government Director Tesco

Tesco and sustainability BE RESONSIBLE, FAIR AND HONEST BE A GOOD NEIGHBOUR COMMUNITY CUSTOMER OPERATIONS FINANCE PEOPLE TREAT PEOPLE HOW WE LIKE TO BE TREATED NO-ONE TRIES HARDER FOR CUSTOMERS THE PRICES ARE GOOD I DON’T QUEUE THE STAFF ARE GREAT I CAN GET WHAT I WANT THE AISLES ARE CLEAR EARN LIFETIME LOYALTY WE TRY TO GET IT RIGHT FIRST TIME WE CONSISTENTLY DELIVER EVERY DAY WE MAKE OUR JOBS EASIER TO DO WE KNOW HOW VITAL OUR JOBS ARE WE ALWAYS SAVE TIME AND MONEY TO GET ON AN OPPORTUNITY JOB AN INTERESTING A MANAGER WHO HELPS ME TO BE TREATED WITH RESPECT GROW SALES MAXIMISE PROFITS MANAGE OUR INVESTMENT OPERATIONS WE CONSISTENTLY DELIVER EVERY DAY WE MAKE OUR JOBS EASIER TO DO PEOPLE TREAT PEOPLE HOW WE LIKE TO BE TREATED NO-ONE TRIES HARDER FOR CUSTOMERS THE PRICES ARE GOOD I DON’T QUEUE THE STAFF ARE GREAT I CAN GET WHAT I WANT THE AISLES ARE CLEAR EARN LIFETIME LOYALTY GROW SALES MAXIMISE PROFITS MANAGE OUR INVESTMENT AN OPPORTUNITY TO GET ON AN INTERESTING JOB A MANAGER WHO HELPS ME TO BE TREATED WITH RESPECT WE TRY TO GET IT RIGHT FIRST TIME WE KNOW HOW VITALOUR JOBS ARE WE ALWAYS SAVE TIME AND MONEY CUSTOMER FINANCE

Why individuals matter when tackling climate change Direct: 23% Indirect: 22% Business to Business: 55% Based on ONS data, May 2007

Awareness is high “Climate change is something that is affecting/will affect me & my family" 90% 80% Slightly agree 70% Strongly agree 60% 50% 40% 30% 20% 10% 0% AB C2 C1 DE Source: 'Charity Awareness Monitor', nfpSynergy/nVision Base: 1000 adults aged 18+, UK, 2006

Responsibility vs. Action 100% Have greatest responsibility to do something to stop global warming Currently doing the most to stop global warming 80% 60% 40% 20% 0% Governments Big Companies Energy Companies Individual Consumer Scientists NGO’s

A strategy for motivating sustainable consumption Lead by example Empower the customer Work with others

1. Lead by example Measure our impact Set targets Cut our emissions Business Travel Our carbon footprint 57% 25% 11% 6% 1% Grid Electricity Diesel Natural Gas Refrigerant Measure our impact Set targets Cut our emissions

1. Lead by example Measure our impact Set targets Cut our emissions 50% cut in emissions from existing buildings by 2020 All new stores to average 50% less CO2 by 2020 50% cut in CO2 created per case of goods delivered by 2012

1. Lead by example Measure our impact Set targets Cut our emissions 00 01 02 03 04 05 06 07 08 Year Energy Use KwH ft2

“What are the barriers to being green?” 2. Empowering consumers “What are the barriers to being green?” Have to pay more Actions make no difference I don't know enough

2. Empowering consumers Have to pay more Actions make no difference I don't know enough

2. Empowering consumers Have to pay more Actions make no difference I don't know enough 1 point per bag

2. Empowering consumers Have to pay more Actions make no difference I don't know enough

3. Work with others

Production & packaging Flowers from Europe Total footprint = 19 kg CO2e Flowers from Africa Total footprint = 11 kg CO2e 0.5% 2% 0.03% 98% End of life 6% 91% 1% 2% Retail & use Transport Production & packaging

Case study: Motivating Sustainable Consumption in Customers David North, Community & Government Director Tesco