We minimise our environmental impact across the whole value chain.
Reduce share of virgin plastic in the weight of own brand plastic packaging by 25% (vs. 2019)
Achieve packaging neutrality for own brand products
100% of own brand products packaging suitable for recycling processes
Reduce total Scope 1 and 2 greenhouse gas emissions (without offset) by 25% (vs. 2020)
Reduce franchisee greenhouse gas emissions intensity by 70% (Scope 3, vs. 2020)
Our approach
Our Policies in this area
Żabka Polska strategic commitment is to create conditions for a green and sustainable living for everyone, every day. This is why one of the core pillars of our Responsibility Strategy is the Green Planet. Żabka focus on actions that allow us to minimize our environmental impact across the whole value chain to protect Green Planet.
The Energy Policy indicates a course of action aiming to increase energy efficiency and the share of renewable energy sources, both in the Żabka’s own operations (scope 2) and in value chain (scope 3).
The Travel Policy is a set of principles and good practices for travel in the performance of professional duties by Żabka Polska Employees and Associates. It aims to facilitate informed and more environmentally friendly management decisions regarding travel and means of transport.
The Transport Policy sets out general principles for the transport of goods at Żabka Polska, in line with environmental responsibility and applies to current and future Business Partners responsible for transporting goods.
The Policy sets out the rules relating to the reduction of water use and the protection of water resources.
The Policy sets out the guidelines in respect of the recommended waste management methods to reduce waste production at each point in the product’s lifecycle. This Policy applies to Żabka Polska, Franchisees, as well as the suppliers of Own Brand Products and other brand products.
Our progress in 2023
Promoting the circular economy and gaining the insights we need to reduce our carbon footprint were two of the most significant focus areas for Żabka Group during 2023.
In terms of circularity, we piloted our ‘Green Renewal’ campaign in Zielona Gora and Bydgoszcz, enabling customers to re-turn to our stores PET bottles of up to two litres and metal cans of up to one litre. This promotes eco-aware behaviour, as does our new ‘green reusable cups’ initiative that aims to reduce costs for consumers as well as waste by offering a PLN 1 discount every time they use a reusable or recyclable cup to buy one of the millions of hot drinks we sell every year.
To gain deeper understanding of our carbon footprint, we have implemented a customised toolkit that integrates the advanced Microsoft Sustainability Manager solution with a data-aggregation application and be-spoke Power BI reporting. This platform gives us everything we need for better carbon insight and reporting.
It now underpins our efforts to reduce emissions across our value chain, including our long-established plan to reduce the im-pact of our vehicles. This has seen us introduce more than 900 full-hybrid, 300 plug-in hybrid, and 30+ zero- emission electric cars across our wider fleet and implementing a Travel Policy with rules and best practices for our employees and associates. Together with an electric-charging infrastructure and driver motivation program focused on economical and safe driving, it has helped us get closer to achieving our decarbonisation targets.
Other initiatives include increasing to 76.61% the proportion of our delivery trucks that meet Euro 5 and Euro 6 emission standards, and growing our fleet of refrigerated vehicles to cut our reliance on dry ice in transit. Turning to the store network, we ran a com-petition to encourage the reduced use of electricity, with nearly 3,000 franchisees committing to using 10% less electricity. The success of the first three-month initiative encouraged us to do it again, collectively saving over 2.7GWh towards our Scope 3 targets.
Selected activities in 2023
Reusable cups cut disposable waste and bring benefits to customers
Reusable cups cut disposable waste and bring benefits to customers
At Żabka, we have long served 100% Italian-roasted Arabica coffee and other hot drinks through our stores. The quantities involved are significant, now totalling around 24 million cups sold every year through more than 10,000 outlets, as Żabka makes up the largest coffee chain in Poland.
In an important new move in 2023, we acted to reduce disposable waste while simultaneously cutting costs for consumers through the introduction of our ‘green reusable cups’ (#Zielonykubek wielorazowy) scheme.
Safe, recyclable, reusable…
This involves customers buying a safe, recyclable and reusable cup, made from natural raw materials and FSC®-certified wood, for PLN49.99. Then, every time they use it, or other reusable cup to buy a hot drink in a Żabka store, they receive a PLN 1 discount.
According to Joanna Kasowska, Director of Quality and Food Management Standards at Żabka, ‘This is the way, we want to encourage our customers to foster a culture of reusing objects and reduce the use of these disposable items. It is a simple way to actively participate in the fight against environmental pollution and promote circular solutions. By supporting such initiatives, as consumers, we can also contribute to changing behaviour and raising awareness about environmental protection’
Protecting natural resources, nature and the environment
Żabka aims to ensure that wherever possible our coffee sales have a broadly positive impact. Our coffee is certified by the Rainforest Alliance, meaning we and our customers support the rights and wellbeing of farmers while protecting natural resources, nature and the environment. With our new scheme in place, we’re set collectively to prevent many, many thousands of cups from becoming disposable waste. Our record is selling 72 cups of coffee in one minute, so bringing more and more people on to the scheme will make a very substantial difference.
Using electric vehicles to reduce carbon footprint
Using electric vehicles to reduce carbon footprint
An essential task that we at Żabka Group have set ourselves as part of our decarbonisation plan is to work towards reducing emissions across our value chain. During the years since 2021, we’ve therefore been following the route set out in the plan to reduce the environmental impact of our vehicle fleet.
Our actions were focused more sharply than ever in 2023 on hitting our target of reducing close to 0.6k tCO2 in 2026 from the current forecast by replacing 203 vehicles between 2024 and 2026. According to the Head of Indirect Procurement & Administration, Agnieszka Przybylska, ‘We’ve taken several important steps towards reducing our carbon footprint particularly in those cities and regions that are most exposed to air pollution.’
She highlights various initiatives across the business, including the use by the Żabka’s field salesforce of 500 Toyota Yaris Cross hybrid cars in their day-to-day work, which of necessity involves much driving. These make up a substantial number of the 900 full-hybrid and 300 plug-in hybrid vehicles in our fleet.
Infrastructure is clearly another essential element of any successful programme to encourage and enable the uptake of electric vehicles, which is why we have invested in electric charging stations at our Poznań headquarters and logistics centres in Nadarzyn and Plewiska. Perhaps even more important, we’ve also installed electric charging points at the homes of employees using electric cars and plug-in hybrids.
We also operate more than 30 zero-emission fully electric cars, which are provided to those employers who’ve voluntarily joined the company’s ‘Electromobility Ambassadors’ programme – a special initiative that started in 2023, in which our volunteers test and champion the benefits of electric vehicles to their colleagues. Anna Sobczyńska, Lead of Brand Strategy explains how joining the ambassador programme has influenced her daily routines, ‘Since joining the Electromobility Ambassadors and switching to an electric car, my daily commute has greatly improved, primarily due to the availability of free parking spots, the use of bus lanes and the convenience of having charging stations at the office parking lot. The transition to an electric vehicle was surprisingly easy thanks to to the training organized by the administration department, but also the community of ambassadors who are willing to share experiences and good practices.’ As Anna points out, ‘Being part of the ambassador programme not only provides comfort in the daily commute, but also a sense of uniqueness and setting the direction for positive change in the organisation.’
Michal Hodowany, Lead of Transport Department proves that electric vehicles are not just for office workers: ‘This is already the 11th company car in my career. I estimate that during business trips I have traveled close to 1.1 million km, however, these 15,000 km that I covered with an electric car is special. Since I joined the Electromobility Ambassadors, business trips have become more pleasant. Thanks to the fact that I don’t hear the engine while driving, I can enjoy the silence, and planning charging and stops before setting off on a trip has made my journeys more peaceful.’
Every Ambassador undergoes special training to help them make the transition to electric vehicles as easy as possible. We also plan to develop mentors on the subject, who will inspire more people with their knowledge and enthusiasm.
This is far from an isolated initiative. ‘Over the last two years, we’ve also trained more than 700 people in economical driving, as well as providing safe-driving tuition,’ Agnieszka adds.
Driving the future
Driving the future
Żabka is active on many fronts in pursuing our key priority of reducing fleet emissions. As well as now having 900 full-hybrid and 300 plug-in hybrid vehicles in our fleet, we aim to replace a further 200+ cars over the next two years and are building a charging infrastructure across our main sites and many employee homes. Changing driver behaviour is another focus, and initiatives underway include our ‘Electromobility Ambassadors’ and ‘Drive the Future’ programmes. Drive the Future is all about enabling our people to drive more safely and with minimised environmental impact by gaining insight into their driving styles. The programme uses the Cartrack GPS module to analyse the average fuel consumption, speed and driving dynamics of different drivers, to see whether their style is safe, acceptable or unacceptable. It also enables people to see where they rank alongside their colleagues. It’s creating real positive change: not only are attractive prizes and the title of ‘Eco-Driving Champion’ up for grabs. It also makes our people compete to be the best – and that’s making a real difference.
Closing the loop in two Polish cities
Closing the loop in two Polish cities
A key area of focus for Żabka during 2023 was promoting the uptake of the principles of the circular economy among our customers. As such, involving them directly in our efforts to collect recyclable packaging was an especially important priority under our Responsibility Strategy’s ‘Green planet’ pillar.
One of the primary new means of making it happen is the ‘Green Renewal’ campaign we piloted during the year in Zielona Góra and in Bydgoszcz collaboration with the Bydgoszcz City Hall. As part of this, customers in those two Polish cities can return to our stores PET plastic bottles with a capacity of up to 2 litres, or metal cans of up to 1 litre.
Rewards for making returns
As part of the test each customer returning a single-use beverage container receives żapps points or a discount on the next drink in a PET bottle or can.
According to Krzysztof Jańczak, a store franchisee in Zielona Góra, ‘Everything to do with ecology, including green waste collection, has always been important to me. So I was really happy to hear about Green Renewal, as were my customers. The response to the new initiative was fantastic in just the first few days, and I look forward to it continuing to improve as we develop it further.’
We also encourage our customers to return empty plastic bottles and beverage cans by providing a total of more than 70 ‘EKOmat’ waste-collection machines. They are located on the premises of selected Żabka stores or in their direct surroundings. In addition to Bydgoszcz and Zielona Góra – where, as part of the “Green Renewal” pilot project, beverage packaging collection is carried out both using waste-collection machines and directly at the shop assistant – customers can also use ‘EKOmat’ in Łódź, Poznań and Warsaw.
Strengthening environmental awareness
Joanna Kasowska, Director of Quality and Food Management Standards, is excited by the pilot. ‘Responsibility is one of the key values embedded in our DNA at Żabka Group,’ she says. ‘As well as making life easier for our customers, we want also to positively impact our company’s stakeholders and the community as well as the natural environment. So an important aspect of the pilot is how it strengthens consumers’ environmental awareness, enabling them to dispose appropriately of packaging waste and helping them to understand the idea of recycling as a step towards establishing the circular economy.’
Digital transformation revolutionises ESG data-management
Digital transformation revolutionises ESG data-management
We at Żabka were excited during 2023 to take a significant step forward in the digital transformation of our ESG-reporting capabilities.
Our aim has long been to create and manage a transparent and simplified system for collecting, sharing, displaying and analysing our ESG data. To do so, we have now implemented a comprehensive digital system for managing all data relating to our carbon-footprint.
This is a customised toolkit that brings the highly advanced Microsoft Sustainability Manager solution together with our own data-aggregation application and personalised Power BI reports. This has created an integrated platform that meets all our requirements for better insight, understanding and reporting needs.
Reporting ‘at a new level’
According to Katarzyna Wanat-Lipowska, Head of Decarbonisation, ‘Introducing MSM has immediately taken all decarbonisation reporting across Żabka to an entirely new level. Most important, such a detailed and above all easy-to-access view of all relevant data means we can easily identify any areas that need our attention. Above all, it means that we can respond fast and confidently to any situation where we see an increase in emissions. Furthermore, easy-to-read dashboards are available to all members of our Decarbonisation Team, which enables everyone involved to track changes in emissions and see their impact on the implementation of our decarbonisation strategy.’ As Katarzyna points out, there is a great value in the commitment that the project has enabled: ‘This gives everyone a sense of ownership and engagement in the implementation of our Responsibility Strategy.’
A comprehensive system
Now, we have in place across Żabka a comprehensive reporting and monitoring system that involves key internal stakeholders from across the business. As Katarzyna explains, this goes beyond simply spotting problematic situations. ‘It gives us the opportunity to collect data even more transparently, with greater quality and track our strategic progress, using customised solutions such as our own ESG app and dashboards. This is a very important step forward.’
Franchisees compete to reduce energy consumption and cut carbon footprint
Franchisees compete to reduce energy consumption and cut carbon footprint
Following our ambitious goals set out in our Responsibility Strategy, we continued during 2023 to carry out the actions defined in our Decarbonisation Plan.
Obviously, given the nature of our business and the way we are structured, the plan’s scope extends far beyond our own operations to embrace our network of more than 10,000 stores. With a value chain of this sheer scale, it is inevitable that we have the capability to deliver a significant positive impact if we can come up with the right initiatives to save energy across sufficient numbers of outlets.
It was with this in mind that on 1 June 2023 we launched a competition among our franchisees to see by how much we could collectively reduce energy consumption from 2022 levels across the store network.
Efficient and effective
According to Łukasz Kawka, Head of New Technologies and Development Department, ‘We decided the summer was the best time to attempt this: many customers come to us just to buy cool drinks or ice creams. Along with the need for air-conditioning when the weather’s hot, this elevates the use of refrigeration. That makes it really important to ensure that fridges, freezers and aircon units are all in good condition to be at their most efficient and effective, and that external store doors are kept shut.’
We invited franchisees to commit to using at least 10% less electricity than they did between 1 June and 31 August 2022. To encourage them, we offered a range of prizes, including cash prizes and attractive store amenities such as electronic price tags, a new Merrychef oven, a new coffee machine and a deep cleaning of the store.
Rising to the challenge
These, allied with the sense of challenge and the desire to cut energy usage, persuaded franchisees running a total of close to 3,000 stores to qualify for the competition. We gave them all guidance on how to achieve the biggest savings, from setting the aircon to 23 degrees, closing the store doors on days with an external temperature of 27 degrees or more, maintaining air flow around freezers and refrigerators, regularly cleaning ventilation grilles and more.
Overall, it was a highly successful initiative, with an energy saving of close to 1.9GWh over the three-month period. As a result, we made awards to 126 top-performing franchisees. And we ran a second edition of the competition between November and December, which in turn delivered a further saving. In total, through the two editions of the competition together we have saved an impressive sum of over 2.7GWh. With energy savings of this magnitude, we managed to avoid emissions of 1 957,56 tCO2 in our Scope 3.
As Katarzyna Wanat-Lipowska, Head of Decarbonisation says, ‘It is very satisfying to witness such large reductions, and we are proud of our franchisees. The result that has been achieved is the outcome of changing everyday practices for the better. This reminds us that participating in the competition is not only about attractive prizes but also about reducing the carbon footprint of our value chain to help make life better for everyone.’
Driving new efficiencies in our Transport Department
Driving new efficiencies in our Transport Department
Transport has always had an essential role to play in our value chain at Żabka Group – and during 2023, it once again had a key role in our decarbonisation efforts.
The sheer scale of our logistics operations means that everything we can do to reduce the environmental impact of it will have a significant positive outcome. That’s why, over recent years, we have been steadily increasing the proportion of trucks operating in deliveries to our stores that meet the stringent demands of the Euro 5 and Euro 6 emission standards, up from just over half in 2020 to reach 76.61% during 2023.
Reducing the use of dry ice
This shift provides the background to a range of further initiatives designed to reduce the carbon emissions in our logistics. By the end of 2023, more than half of our stores were receiving dedicated refrigerated and frozen deliveries via an expanded fleet of refrigerated vehicles, which is enabling us to significantly reduce the potentially harmful to the climate use of dry ice in our logistics.
‘We achieved many ambitious goals in 2023, all thanks to the determination and professionalism of our exceptional transport team,’ says Director of Logistics Katarzyna Słabowska. ‘I’d also like to thank our warehousing colleagues for their help in meeting shared goals. We’ll achieve even more together in 2024.’
TCFD methodology
Digital transformation revolutionises ESG data-management
How does decarbonisation work?
Selected activities
What goes around in a circular economy?
Closing the loop in two Polish cities
Selected activities
Using electric vehicles to reduce carbon footprint
Driving the future
Driving new efficiencies in our Transport Department
Franchisees compete to reduce energy consumption and cut carbon footprint
Reusable cups cut disposable waste and consumer costs
How does decarbonisation work?
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