Sustainability Report 2007
With our biggest environmental impacts occurring during the product use phase, by far our greatest potential to reduce CO2 is to sell energy-lean products. In 2007, products with the best environmental performance represented 17% of Electrolux units sold and 22% of our gross profits in Europe – a rise from 2006 of 11% and 16% respectively.
Goals for products and operations
To build on this momentum, in 2008 each business sector will define a green range of products that are energy and water lean, or which feature climate-smart functions. The product sales and profitability will be tracked on an annual basis.
Group Management has also committed to reduce energy use in our operations, generating savings of approximately SEK 100m (€12m) annually.
"As a first step, it is an ambitious target, but not an unrealistic one" says Henrik Sundström, Vice President, Sustainability Affairs. "Yet there are challenges in applying common, group-wide targets because of differences in regions, consumer preferences, products, and even the energy mix in facilities."
To track progress against our target, a management system has been set up at Group level. Evaluations will also be conducted on a per unit basis through yearly performance assessments.
Raising awareness
One area with a critical influence on how appliances impact CO2 is consumer choice. Electrolux is therefore using targeted marketing campaigns to communicate the role of efficient appliances.
Our US brand Frigidaire developed the campaign "Plant the seeds of change" to encourage the purchase of Energy Star-rated products. In partnership with Clubmom.com, Frigidaire also launched a site to provide tips for consumers on how to maximize appliance efficiency. After a week, 1,000 visitors had contributed advice on how they live green.
In Europe, a communications platform will be launched in 2008 under the Green Spirit banner. It will encompass TV advertisements, print, a website and point of sale material.
Energy efficiency across the spectrum
The Electrolux Group continues to improve the efficiency of all its products. We realized a 2% product efficiency improvement this year. While some products, like refrigerators, lend themselves to continuous improvement, for others such as dishwashers, improvements require re-engineering of the product’s design.
"Our stakeholders expect Electrolux to lead and continually improve. They also expect us to define goals." Our three-pronged approach is designed to exceed these expectations.”
Fleet average
We realized a 2% energy efficiency improvement in our product offering in Europe in 2007. Refrigerators demonstrate the highest efficiency improvement, and dishwashers remain at similar levels as 2006 and 2005. The energy index is set at 100% in the year 2002.
Green range
Electrolux products with the best environmental performance, accounted for approximately 17% of total units sold within household appliances in Europe and 22% of gross profit. In 2008, our green range appliances will be expanded to all business sectors in the Group.
