11 September 2023 - Caroline Lee and Dr Catherine Hammant, part of CISL’s Foresight team, discuss the changing initiatives offered by supermarkets to support community wellbeing as a response to the tougher economic conditions felt by their customers, staff, suppliers and local areas.
The cost of living crisis has deepened inequalities across the UK, and this has been particularly impactful amongst groups in society vulnerable to post-pandemic economic shocks.
A source of support to local communities in this challenging period can be businesses with a local presence. In the case of supermarkets, for example, there may be initiatives supporting the work of local community groups, store colleagues, suppliers and customers. Whilst this sector has already established community-focused initiatives, recent mapping shows a clear proliferation of new actions over the last few months in response to inflationary pressures.
Under the Global Sustainability Fellowship Programme at Cambridge Institute for Sustainability Leadership (CISL), we have been reviewing the activities of UK supermarkets in support of community wellbeing, identifying promising initiatives and potential impact of such projects. This has been reported by our study researching UK supermarket community-oriented support, observing that while food redistribution and national charity fundraising remain headline ‘social’ activities within ESG strategies, supermarkets’ local community initiatives had the potential to contribute more to local resilience and wellbeing.
Supermarkets typically offer support to communities through dedicated staff members (eg. so-called community ‘champions’), charity partnerships, food redistribution, funding and fundraising for local groups, donations of goods, and space in store for groups to meet.
We reported previously that the coronavirus pandemic appeared to have prompted a huge number of new community-related actions targeting new or increased vulnerabilities. As background to our wider study, we have been tracking these developments and the way that they have been refocused over the last six months. Our research found that:
- Half of the initiatives reported relate directly to support to customers.
- A quarter deliver support to colleagues and suppliers – themselves part of local communities.
- A quarter of the new initiatives reported relate to supporting communities.
Source: Hammant, CISL, 2023
Direct support to customers has been a particular focus (albeit also underpinning efforts to gain market share over competitors). Actions identified relate to:
- The cost of goods through both price cuts, and price ‘locks’ (steadying prices for a time to counter inflation);
- Advice and information to customers on budgeting and reducing food waste (suggestions to ‘buffer’ the cost-of-living crisis);
- Offering free or reduced-price meals to vulnerable groups (eg children and older adults eating in store cafes, which offers potential too for social opportunities alongside access to a hot meal);
- Providing micro-loans to vulnerable groups, to pay for shopping;
- Promoting healthy eating habits;
- Supplying space in store for vaccination drives and other public health campaigns;
- Adjusting the shopping environment for people with particular health conditions or disabilities.
Examples of support that forms part of regular corporate practices include:
- Increasing colleague pay, offering discounts and free food at work;
- Flexible working conditions, and support to staff in vulnerable or emergency circumstances; and
- Improved payment conditions to food producers, supporting supply chains.
Amongst support towards the wider community we observed:
- Actions on food insecurity, including a growing emphasis by some retailers on capacity-building efforts (eg food pantries, community fridges) than emergency supply (food banks) and raising awareness around waste food redistribution, donations by customers and needs for local volunteers;
- New priorities for community actions, such as providing warm spaces to spend time and reduce home fuel costs; and
- Employability and recruitment actions (eg donating the apprenticeship levy, funding and charity partnerships addressing exclusion by particularly vulnerable sub-groups).
The wider study has been uncovering the routes by which supermarkets’ ‘community actions’ lead to positive social impact, with a view to supporting investment decisions and the development of effective community partnerships. Whilst the cost-of-living crisis is challenging for all sectors of society, this trend analysis shows that supermarkets are involved in a wide range of activities which may contribute to alleviating some immediate effects of poverty, as well as reducing food insecurity in the longer-term.
In a forthcoming blog, we will discuss whether these businesses and their varied resources might be better mobilised in the wider support system alongside the statutory (local authority and health services) and civil society (charities and voluntary action) sectors.
Find out more about The Prince of Wales Global Sustainability Fellowship in Retail Organisations Engagement Activities and Community Wellbeing, supported by ASDA
Contact Caroline Lee for more information
