The Hut Group, commonly known as THG, is one of the biggest players in the UK retail space, which has built up a vast portfolio of beauty, health, wellness and sports nutrition brands over the past 18 years.
Last year, the company achieved over 17.5 million orders across the business. While still growing its brands, the sustainability side of the business has also been flourishing.
Sustainability Beat spoke with THG chief sustainability officer Mark Jones about his journey building and implementing the company’s net zero strategy across its supply chain.
A plan to reach net zero by 2040
While only launched two years ago, THG’s sustainability strategy – called ‘THG x Planet Earth’ – has been on a journey. Its ambitious targets include the retail giant halving emissions by 2030 and reaching net zero by 2040.
Within it, Jones shares that the company is currently focusing its transition to 100% renewable operations within its operations by 2030, as well as its packaging and materials operations, especially within its beauty division.
“We’ve made significant progress in this area in less than two years”, he says, revealing that THG is currently running at 63% in renewable energy across its operations. At the same time, external programmes, such as RecycleMe, allow customers to return their hard-to-recycle plastics, which then can be reprocessed.
“Within THG, sustainability is more of an opportunity than a challenge,” Jones says.
“Our sustainability framework in the grand scheme of THG is less than two years old and we’re going to experience some nicks and key learnings throughout the journey.”
Communicating the sustainability message throughout different parts of the business is the key to getting the green moving forward.
“Sustainability moves like a ripple effect and is about the amplification of processes across wider business groups and teams. It’s about empowering people to take a stance and execute sustainability because they know the areas better than we do.”
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Many companies rely on carbon credits to offset emissions as part of their transition to net zero. While THG supports these tree planting projects, Jones emphasises that the company places far more focus on its own carbon reduction programmes.
“We’re always looking to minimise the reliance on carbon offsets within our group and go down the credible route of reduction,” he explains.
“Offsets can sometimes be seen as an ‘easy’ approach to tackling net zero and we prefer to challenge ourselves. We acknowledge that some offsets will need to be used but that’s our least priority. Instead, we’re putting our carbon reduction projects as our main focus.”
Certifying net zero targets with science
Earlier this month, THG revealed its 2040 net zero targets have been validated by the Science Based Targets initiative (SBTi).
“It was exciting to hear we have external recognition of our progress,” says Jones, adding that external and official validation of net zero targets is important in allowing stakeholders and customers to hold companies to account.
“Increasingly our customers are backing brands with strong sustainability missions,” he says.
“The SBTi validation is now a commitment that we have to hold ourselves to account both internally and externally. It gives comfort to our stakeholders and customers that we’re serious about sustainability and our wider efforts in tackling carbon.”
Sustainability across THG sectors
While THG is implementing circular packing initiatives in its beauty sector, the retailer is also looking at innovative solutions to reduce food waste in nutrition.
In fact, THG has been awarded a EMEA Circular Economy Transition of the Year Award for turning unused Myprotein products into fish feed. THG partnered with MYGroup to turn out of date Myprotein product into fish feed includes starting with batches being blended with other upcycled ingredients.
The combined ingredients and upcycled materials were then used to produce a sustainable fish feed pellet.
“There is a significant appetite for sustainability across our nutrition and beauty sectors,” shares Jones, “but it’s also a matter of trying to help implement other solutions as we support customers and stakeholders.”
Jones nods to the company turning surplus protein powder into fish feed as an example; adding that the initiative came directly from THG’s nutrition and operation teams.
He also highlights that THG is focusing more on scope 3 emissions, particularly throughout its supply chain.
“While they’re not necessarily easier, scope 1 and 2 emissions are areas that we have more control and influence over, like the electricity we use – so they are more easily managed. Scope 3 is the largest piece of our focus right now.”
As scope 3 deals with external emissions, a different skillset is required to measure those emissions.
Ultimately though, Jones says communication is the most important thing.
“It’s not about dictating requirements, but working with different businesses that have very different requirements and coming to an agreed stance on how to approach decarbonisation across our supply chain,” he explains, having already started talking with suppliers on how to decarbonise across the wider THG chain.
