We design and plan stores for over 20 years, and over the years accompanied retailers and shop owners through market changes and disruption, while leveraging every challenge into a business opportunity. In dealing with the climate crisis, shops and chains, and in particular food retailers, are in the eye of the storm. The big chains have a big impact in terms of energy consumption for air conditioning, lighting and refrigerators, exhaust gases emitted from the air conditioning systems, delivery and shipments, and Interior design materials. The various products also have substantial effects of resource utilization, environmental pollution and greenhouse gas emissions.
In the last decade world’s largest retailers generated extensive sustainability strategic plans, relating to supply chain management, energy savings, switching to renewable energy, green building, packaging and plastic reduction, food waste reduction, product footprint assessment and more. Meeting goals is measured, monitored and reported.
In Israel, the issue is in its infancy and lacks binding regulation. However, consumers’ awareness of environmental and health issues is rising, and retailers are requested for corporate responsibility. The field of ESG funds is gaining momentum among investors abroad and recently in Israel as well. In addition, starting in March 2022 the green building standard will also apply to commercial buildings. All of these require stores and chains to operate.
The required changes are perceived as a conflict of interest with the desire to sell more, and seem like a great investment and effort – but looking at leading global chains, it seems that in the long run it is a win-win for the retailer, the consumer and the planet. Some of the changes can be promoted in the design and planning of the store, by means such as formulating the marketing concept, planning the layout and planogram, the display and signage system, various means of promotion, and making knowledge accessible to the consumer.
Suggested interventions in stores that holds business opportunity and a profit potential:
> Location and size of the store – professional planning of small stores in city centers can be a profitable alternative for the consumer and retailer – save rent, electricity and property taxes, reduce delivery, etc. We are experienced in designing such stores, and create a successful shopping experience, including most of the that big stores categories – f&v, meat, milk, fresh bakery, delis and more.
> Green construction – choosing energy efficient refrigerating, lighting, and air conditioning systems, moving to renewable energy, using environmentally friendly materials in the design of the store and more.
> Reducing food waste – planning the display system to prevent depreciation, managing expiration dates, planning promotions to encourage proper purchase instead of over-consumption, transferring products for donation instead of waste and more.
> Waste reduction – smart signage with representation for interchangeable brands, and replacement of price lists and promotions, instead of adding temporary promotional facilities made of cardboard or metal plastic.
> Reducing packaging – in addition to fruits and vegetables, nuts and spices, legumes, grains, pickles and more can also be sold in bulk. Some global supermarkets also sells detergents, mineral water, milk, oil and more in reusable boxes or in filling containers that the consumer brings from home.
> Ugly fruits and vegetables – a discounted sale of agricultural produce that is not sold in stores because of a standard shape, size or color and thrown in the trash. Proper pricing, a dedicated display system and proper branding can enable vulnerable populations to enjoy the produce, increase retailer profit, and reduce environmental damage.
> Reducing the use of disposable plastic – reducing waste packaging, bags, food containers and disposable utensils.
The company’s staff has been trained in green building and circular thinking, we are members of the Green Building Council. We constant search and implement sustainable materials and new technologies, and are regularly updated on research and developments in the field.
We will be happy to assist you in developing solutions in the design and planning of the store, which will also move your business in the right direction.
The retail world earns green profits! Opportunities and challenges in sustainable store design | Lior Koren | Jan.2021
Supermarkets in the eye of the storm: The secrets behind the shelves | Lior Koren | may 2020