Dive Brief:
- Ikea Group, owner of 366 Ikea stores worldwide, will make deliveries via electric vehicles in Amsterdam, Los Angeles, New York, Paris and Shanghai by 2020 according to a statement, converting to what it calls "zero emissions home deliveries" worldwide by 2025.
- Ikea Group will also provide access to charging stations for electric vehicles across 30 markets at stores, offices and distribution centers by 2020.
- The company aims to eventually become "climate positive" by 2030, according to a June press release, which the company defines as "reducing more greenhouse gas emissions than the Ikea value chain emits, reducing the climate footprint of Ikea products and operations in absolute terms."
Dive Insight:
Ikea has been making incremental moves toward a more sustainable operation for years, taking the United Nations Sustainable Development Goals to heart and vowing to contribute to the goals set by the Paris Climate Agreement.
In 2017, the Ikea supply chain contributed 26 million tons of CO2 emissions, or about 0.1% of the world’s total greenhouse gas emissions, according to a recent sustainability report. The company originally announced in June the first phase of the electric delivery conversion would take place by 2025, and with this announcement, it is picking up the pace on this one element of a massive global supply chain.
Other sustainability goals announced along with the changes to delivery include removing all single-use plastic from the company's product line and restaurants, designing products with "circular principals," offering services that make it easier for people to bring home, care for and pass on products, increasing the proportion of plant-based foods for sale in stores, and becoming "climate positive."
Within Ikea's giant operations, the largest amount of greenhouse gas emissions in 2016 came from the raw materials the company sources (38% of its total greenhouse gas contribution), according to a sustainability strategy document published in June.
"Goods transport" represents just 4% of the company's overall greenhouse gas contributions. But, by offering electric-vehicle delivery the company is hoping that shoppers will come to the store without their cars using public transportation or walking, reported Fast Company, since customer transportation to Ikea stores represents 14% of the company's greenhouse gas contribution.