Sustainability Case Study
Ellos Group is a leading e-commerce group in the Nordic region, including three well known retail brands, Ellos, Jotex, and Stayhard.
The company was acquired from the French retailer PPR in 2014. With a broad product range, Ellos reaches more than 2 million active customers. They strive to develop market leading consumer brands and long term relationships, and thus sustainability is not a project but a long-term approach to the business.
Assessing the current status Ellos has increased its focus on sustainability in the past year. The Group’s starting point was to review operations and strategy from a sustainability perspective, and to seek input from key stakeholders. Based on more than 900 inputs from consumers, customers of the Group’s different brands and markets, employees, suppliers, agents and owners, it is clear that awareness and interest in sustainability is high.
Ellos has identified its key risks and opportunities, developing an action plan and appointing a sustainability team representing a broad range of functions and competencies. Good progress has been made in several areas, including the following examples:
An important objective for Ellos is to use more sustainable materials in production. Cotton is an example of a very important raw material within the apparel business, therefore a key step for Ellos was to join the Better Cotton Initiative (BCI). The BCI is an industry collaboration that works with cotton farms and farmers to make cotton production better for both the people who produce it and for the environment.
Internally, Ellos sets clear goals for the use of sustainable materials and to educate key personnel to promote sustainable choices in design and purchasing. An example of this is Ellos’s brand CLOSE by DENIM, which produces jeans locally in Borås Sweden. CLOSE by DENIM is created together with local craftsmen, and is based on long lasting values such as quality, style, workmanship, tradition and heritage.
Minimizing the environmental footprint at the Group’s headquarters is an important area for improvement, but it is also a visible example that Ellos is walking-the-talk in terms of sustainability. The Group’s headquarters are currently being refurbished and, several improvements are underway to improve the environmental performance of the building. ”The heating is more energy efficient since we have changed to more environmentally friendly district heating. The air conditioning uses 50% less energy, and we have installed new areas for recycling. We also installed LED lightning with movement sensors, toilets and faucets use less water, and natural materials have been chosen for flooring and carpets", says Emelie Dermerud, business developer at Ellos Group.
Tracking and reporting
Ellos Group is developing a sustainability scorecard, which will include standard measures from the Global Reporting Initiative (GRI). They will continuously set measurable goals and track the progress of sustainability efforts in a way that is also comparable to other companies. On an annual basis, Ellos Group will publish a sustainability report in which the most important aspects of the Group’s sustainability efforts will be reported in more detail to its stakeholders.
”The heating is more energy efficient since we have changed to more environmentally friendly district heating. The air conditioning uses 50% less energy, and we have installed new areas for recycling. We also installed LED lightning with movement sensors, toilets and faucets use less water, and natural materials have been chosen for flooring and carpets."