Customer-driven sustainable food retailing – a framework for gap analysis

Purpose: Food retailing operations are one of the significant sources of energy, water, and packaging-related materials consumption. Such high level of resources consumptions and alarming level of food waste is linked to global warming, natural resource scarcity, biodiversity, and global food security. While sustainable operations are already in place, there is still little understanding of whether and how the end consumers’ sustainability preferences play a role to redesign the existing sustainable operations. Given the growing level of public awareness of global warming, the end consumers’ expectation of sustainability has been increased considerably more than ever before. Hence, the research aims to understand whether and how any gap between the intensity of consumers’ preference for sustainability and the actual sustainability practices being adopted in the food retailing sector in the UK.

Research approach: In the first stage, a survey was conducted among the end consumers who frequently shop from mainstream food retailers in London. 100 responses were collected to understand the level of sustainability preferences while buying food items. In the second stage, a semi-structured interview was conducted with 8 operations managers from the mainstream UK food retailers followed by analysing 8 sustainability reports. A data triangulation approach was taken to develop the final framework of sustainable food retailing.

Findings and originality: The results indicate that consumers showed a high level of preference for recycling, eco-friendly packaging, and energy reduction-related practices. In response to these preferences, the retailers adopted the relevant practices between medium to high levels. Interestingly, while the retailers pay high-level focus on sustainability logos (e.g., fair trade, rainforest alliance etc), the consumers showed low to medium level preference for it apart from recycling and carbon footprint labelling. Given almost equal importance, packaging, sourcing, and food waste reduction were identified as the topmost sustainability criteria by the consumers while retailers exceeded consumers expectations on both food waste reduction and ethical sourcing. Though the consumers showed a high level of preference to buy from those retailers who motivate the consumers to bring their own bags for shopping, the retailers have been sought to take low levels of such actions (e.g., awareness programs). It is the first research that identifies the gaps between consumers’ sustainability preferences and the actual practices being adopted by food retailers in the UK context.

Research impact: There is little evidence on how to identify, prioritise and address sustainability-related practices based on end consumers’ preferences for buying a food item. The study also enhances the existing knowledge on why and how end consumers can become a strong driver of sustainability practices in the food retail sector.

Practical impact: The research results can influence the food retailers in the context to redesign the operational level sustainability strategies and related practices to satisfy the end consumers’ expectation. It also can help the local NGOs (e.g., WRAP - Waste and Resources Action Program) to take the necessary actions in collaboration with the food retailers.