For many retail organizations, sustainability remains a financial hurdle to overcome rather than a solution to cut costs. Retailers face an uphill battle to increase already razor-thin profit margins amidst a rapidly changing industry, and, as a result, sustainability has taken a back seat for some.
While a strong economy and online growth have improved retail sales, many companies continue to struggle. U.S. store closures are expected to increase to more than 12,000 locations in 2018, an increase of 33 percent from 2017. Beyond traditional retailers, grocers, which is consistently ranked one of the least profitable retail verticals, are now challenged to compete with big-box retailers and e-commerce giants.
The stakes are high to create an inviting atmosphere in-store, push inventory and streamline the supply chain, but retailers could be throwing money away when they solely prioritize sales and ignore sustainability. When implemented effectively, sustainability initiatives generate a strong return on investment.
Some sustainability pioneers have served as an example of this success. Target, for example, is the largest adopter of on-site corporate solar power and added 43 MW to its facilities in 2017.
New, long-term strategies for efficiently managing resources and reducing costs, while minimizing operational impacts, make sustainability more accessible today. The following three tips will encourage retailers to rethink their business strategy and put sustainability to work for the bottom line…
Read more from Ross Dillion’s Total Retail article here.