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Sustainable e-commerce - nothing we compete about

Thursday, June 9, 2022

Cooperation within the entire supply chain is the key to more sustainable Swedish e-commerce. "No exceptions, now the industry must work forward and together!". In this interview with Tom Thörnblom, Head of Communications and Sustainability at Lyko, also part of ASTER's steering group, you can read about why sustainability is not something the industry should compete for.

Tom Thörnblom

Lyko's road to fossil-free transport

It started a year and a half ago when Lyko moved fossil-free transport to the top of the coffers (as a pre-selected delivery option).
— Through this, we managed to nudge consumers to fossil-free deliveries, from 37 to 57% of the volume overnight. We felt we were on the right track, this is what consumers want and we have the opportunity to make a real difference, Tom explains.

We then asked ourselves the question: How can we switch to fossil-free deliveries only?

Lyko contacted all its carriers and asked which postcodes they could deliver fossil-free to. Many had a strong drive forward and caught the challenge of being part of the change and some had already changed it, but there were some who did not have the flexibility and then they were removed from the check-out. Lyko then decided that they should only have fossil-free deliveries, and today it has become a reality for all Lyko's domestic deliveries.

— Of course we hope that all carriers realize how urgent the change is and that it is possible to carry it out already now. Those who were removed are welcome back if it can prioritize and guarantee fossil-free areas then we will add them little by little. It does not matter to us which fuel the carrier chooses - the important thing is that it is fossil-free and that it fits their vehicle fleet. It requires a relocation and that is the biggest gain and driving force for an industry agreement - that everyone does it together, only then do things really start to happen! says Tom.

Why is it important for Lyko to get involved in ASTER?

It is incredibly important for us at Lyko to be involved and drive the industry forward and ASTER makes it possible. The fact that all parts of the e-commerce chain are involved gives tremendous strength to ASTER and us who are part of the initiative. The fact that business, academia and authorities meet makes it a perfect platform for being able to pursue sustainability initiatives, and we at Lyko believe this is crucial for success, says Tom.

A lot of research has been conducted academically in e-commerce in the last ten years, but at the same time a huge amount has happened in all parts of the chain and therefore collaboration is required to reach the full potential for knowledge sharing and innovation. Here, Tom sees ASTER as an extremely important initiative to keep actors in society, business and academia together, but also to be able to share the existing knowledge.

— Gathering in a forum where not only business actors are represented is the key to success. It is very important to have a neutral player who holds it together!

Tom Thörnblom

Why are the agreement for fossil-free delivery and ASTER important for Swedish e-commerce?

As development goes very fast and e-commerce grows, much due to the pandemic and society prioritizes sustainability, the relocation is very fast.
Another reason Tom believes for e-commerce to come together and drive development together is the opportunity for cooperation that ASTER offers is absolutely crucial in order to be able to produce an industry agreement.

 I really like to share our experiences and think that most people do it for sustainability is an area that we do not have to compete around. Regarding sustainability, we must gather and share experiences! says Tom.

Power and drive are needed, and for that to happen, all parts of e-commerce need to work towards the same goal and this is something that happens when an industry agreement is in place.

Then I want us to draw up an industry agreement for emission-free deliveries as soon as possible. For the natural next step will be deliveries where we see that all last-mile deliveries are emission-free, Tom concludes.

What is the industry agreement?

The industry agreement is a handshake between e-retailers and distributors to clarify what a fossil-free delivery is. The work was started in October 2021 and is run by Swedish Digital Trade and ASTER. This in collaboration with traders and carriers.

It aims to create rigor in the check-out around the concept of fossil-free delivery and make it easy for the consumer to make an informed decision about their choice of delivery method. The industry agreement also aims to remove existing environmental claims that lack bearing and create confusion among consumers.

The goal is to launch the industry agreement for fossil-free delivery before the summer of 2022.