IKEA says demand for its greenest products jumped 58% last year
IKEA this week revealed demand for its greenest products jumped 58 per cent last year to over €1bn as consumers embraced new clean technologies such as LED lighting, solar panels, and water-saving taps.
The retail giant yesterday published an update on its sustainability performance, alongside annual results showing total sales rose 5.9 per cent to €28.7bn.
The results confirmed that products that help customers achieve “a more sustainable life at home” are a major growth area for the company.
“These figures show how demand is growing fast for products that help customers benefit the environment through reducing waste, reducing water use, reducing energy use, or generating their own power.” chief sustainability officer Steve Howard said.
He said growth was being achieved across the entire range, but highlighted how the past year had seen a tipping point in customer interest in LED lighting.
“We are a big player in this market – this will result in hundreds of millions of hours of light coming from LEDs,” said Howard, pointing to energy savings of around 85 per cent compared to traditional bulbs. “You are talking about savings that are capable of powering a city.”
Ikea also invested in the installation of solar array and the company said energy efficiency upgrades at its stores and warehouses had delivered €66m of financial savings since 2010.
Howard said progress was also being made with IKEA’s green procurement strategy. The company confirmed 41 per cent of its wood was FSC certified or recycled in 2014, while the share of cotton from more sustainable sources rose to 76 per cent, putting the company on track to meet its 100 per cent goal.
“Sustainability is a key driver of innovation and an integral part of our business strategy,” said Peter Agnefjäll, president and chief executive of IKEA Group, in a statement. “We see it as a great opportunity to improve our business. We are determined to grow IKEA while also having a positive impact on people and the planet.”