Corporate responsibility – Future Homes

As one of the world’s leading home improvement retailers, Kingfisher is in a unique position to help consumers make their homes more sustainable at lower cost. At the same time, we aim to make our own business more sustainable, through more efficient use of resources.

This is what Kingfisher’s Future Homes strategy is all about: helping customers, employees and suppliers make the homes of the future more sustainable and affordable. A comprehensive 166-point implementation plan is used to drive progress across the Group businesses. Over the past year, Kingfisher has been working with Forum for the Future, the independent sustainability experts, to set key milestones for 2012.

Sustainable homes

Around 25%* of carbon emissions come from the home and Kingfisher can play a key role in tackling this whilst helping homeowners reduce their energy costs. We are developing an own-label range of eco products which will be progressively rolled out. By using the Group’s buying strength, we are driving innovation and reducing prices for customers.

Over the past year we have run a number of high profile marketing drives to increase eco product sales, including B&Q UK’s One Planet Home® and Castorama France’s La Maison Éco campaigns. In 2009/10, sales of eco products totalled £1.07 billion – accounting for 10% of total retail sales across the Group (up from 7% the previous year).

A key focus for us is to provide information and advice to customers about simple, low cost solutions that help reduce the environmental impact of their homes and save money. For example:

• B&Q UK is launching eco stores within its stores which provide information, products and advice for customers in one place. It is also introducing qualified eco advisers in stores. There are now over 4,000 One Planet Home® accredited products.
• Castorama France is rolling out its La Maison Éco campaign, promoting its range of over 5,000 eco products via product labels, posters and store displays. Regular energy saving workshops are organised for customers.
• Koçtaş in Turkey has run its first TV commercials to promote energy saving light bulbs.
• Brico Dépôt Spain has launched the Eco Brico logo to identify eco products in store and worked with the Forest Stewardship Council (FSC) Spain on a poster campaign to promote FSC certified timber.

A range of effective marketing campaigns have been run during the year. For example:

• Brico Dépôt France’s offer on energy saving spiral light bulbs led to a 30% increase in sales.
• B&Q UK’s price promotion on insulation in February, with a triple pack of insulation at just £2.50 (83p per roll), saw 173,000 triple packs sold, making it B&Q’s biggest week ever of insulation sales.

Further to this, B&Q is also participating in a new UK Government pilot project to finance home energy makeovers through the Home Energy Pay As You Save scheme. This is a Government loan scheme for customers to make energy efficiency improvements to their homes.

* UK figure

Sustainable stores and operations

Kingfisher is committed to leading by example, and is therefore working to embed sustainability into all aspects of its own operations.

The Group has set a number of environment targets to be achieved by 2011/12. All operating companies have action plans on energy, transport and waste to drive progress. The Group encourages the sharing of best practice through regular Group property workshops and exchange visits.

As part of its commitment to One Planet Living, B&Q UK has an ambition to cut CO₂ emissions by 90% by 2023 (from 2007). It also aims for all new stores to be zero carbon by 2012 and existing stores to be zero carbon by 2023.

Environmental Key Performance Indicators (KPIs)

See Kingfisher's full online CR Report at www.kingfisher.com/cr