Kroger
KR:US US5010441013
Key Information
HQ:
United States
Market Cap:
$37.49bn
Primary Market:
North America
Protein Diversification Engagement
Analysis Overview
Climate Strategy - Integration of Protein Diversification Climate Strategy - Governance and Influence Climate Strategy - Adoption of Just Transition Product Portfolio - Resource Allocation Consumer Education - Consistency of Marketing Strategies
Analysis Breakdown
Climate Strategy - Integration of Protein Diversification
Low
Quantify Potential/Opportunity
DNF
TCFD-aligned scenario analysis
Kroger completed a climate risk scenario analysis in 2021, modelling three scenarios (under 2°C, 2-4°C, and over 4°C) within the timeframe of 2030 and 2050. It is unclear whether the company's analysis was TCFD-aligned, and there is no disclosure of the assumptions or data used in its modelling. The analysis covered the company's own operations and concluded that, at this time, the physical risks modelled did not pose a substantive financial threat to its operations. However, the company's analysis did not cover its supply chains.
No Evidence
Reporting of Scope 3 emissions from animal agriculture
Kroger has not calculated its full Scope 3 emissions; with Purchased Goods and Services being excluded from its estimations. There is no disclosure relating to its emissions from animal agriculture.
No Evidence
1.5C aligned SBTi Scope 3 FLAG target
The company states it plans to set a Scope 3 emissions target, including a Forest, Land and Agriculture (FLAG) emissons that aligns with the requirements of the Science-Based Targets Initiative (SBTi). However, it does not provide a timeline for this.
No Evidence
Quantifying the opportunity of protein diversification
Kroger does not report quantitative data relating to the carbon mitigation potential and/or financial opportunity of protein diversification. However, the company is increasing its assortment of plant-based products in response to consumer interest, recognising as consumers become more climate-conscious, there is likely to be more demand for alternative protein sources, which presents the company with a financial opportunity. However, the company also states that it does not consider this to be a 'substantive' opportunity at this time.
Limited
Protein Diversification Strategy
DNF
Integrating protein diversification into climate transition plans
The company identifies the sale of plant-based proteins as one of its sustainability initiatives but there is no evidence of strategic integration into the company's climate strategy nor has Kroger has not set a protein diversification target.
No Evidence
Protein diversification target is timebound
There is no evidence for this KPI.
No Evidence
Business coverage of protein diversification target
There is no evidence for this KPI.
No Evidence
Alignment of target with climate and health guidelines
There is no evidence for this KPI.
No Evidence
Measuring Progress
Good
Disclosing progress against protein diversification target
Kroger's discloses data related to its plant-based sales; brand, Simple Truth®, continues to have approximately 200 plant-based products in its range. Additionally, sales of 'Our Brands' plant-based items increased more than 7% in 2022 compared to the previous year.
Limited
Annual reporting of progress of protein diversification target
The company reports data related to its Simple Truth® brand on an annual basis
Full
Climate Strategy - Governance and Influence
Low
Board Oversight
Low
Board support for protein diversification
Kroger has not included protein diversification within its climate strategy, and it is unclear whether the board supports setting a protein diversification strategy.
No Evidence
Climate expertise of board
Multiple members of the company's board have expertise in sustainability.
Full
Nutrition/health expertise of board
It is unclear whether any board members have technical expertise in nutrition and/or health. There is no evidence of a technical advisory group that provides training and advice on nutrition and/or health at the board level.
No Evidence
Advocacy
DNF
Disclosing a list of direct lobbying actions
The company provides a breakdown of its lobbying spending, however, it does not disclose its direct lobbying activities.
No Evidence
Direct lobbying in line with climate and nutrition
There is no evidence for this KPI.
No Evidence
Disclosing a list of indirect lobbying actions
The company has disclosed a list of US federal trade associations to which it is a member as of 2023, although it is not clear if this is a full list of their indirect lobbying actions.
Limited
Indirect lobbying in line with climate and nutrition
It is unclear whether these organisations are aligned with government policies to address public health and adopt a planetary health diet.
No Evidence
Climate Strategy - Adoption of Just Transition
DNF
Just Transition Commitments
Low
Public commitment to Just Transition principles
Kroger has not committed to decarbonising its business in line with the principles of a Just Transition.
No Evidence
Commitment to support workers
The company has not committed to retraining, reskilling, or compensating workers affected by Just Transition in animal agriculture.
No Evidence
Commitment to support stakeholders
Kroger states its committed to adopting sustainable practices throughout its agricultural supply chain, focusing on responsible use of inputs like pesticides, energy, and water, as well as protecting pollinators, biodiversity and regenerating natural resources. As a dairy processor, Kroger has embraced the U.S. Dairy Stewardship Commitment to monitor and reduce environmental impacts. In 2023, Kroger joined Field to Market to access science-driven tools and collaborate for sustainable agriculture.
Limited
Just Transition Strategy
DNF
Public Just Transition strategy
Kroger has not developed a Just Transition strategy.
No Evidence
Consulting social actors in Just Transition strategy development
There is no evidence for this KPI.
No Evidence
Just Transition KPI
DNF
Disclosing Just Transition KPIs
There is no evidence for this KPI.
No Evidence
Reporting against Just Transition KPIs annually
There is no evidence for this KPI.
No Evidence
Product Portfolio - Resource Allocation
Partial
Portfolio Diversification
Lead
Dedicating resources to expanding alternative protein offering
Kroger's Simple Truth® brand has expanded its offerings of plant-based products within its Our Brands portfolio. The product selection increased from over 200 items in 2021 to approximately 215 in 2022. Moreover, the company offers a diverse range of plant-based alternatives under several other brands such as Almond Breeze, Ben & Jerry's, Beyond Meat, Daiya, Food to Live, and others exclusively in the United States, which remains its sole market.
Full
Annual evidence of resource allocation
The Simple Truth® brand from Kroger has expanded its plant-based product range within the Our Brands lineup, increasing from over 200 items in 2021 to approximately 215 in 2022.
Full
Improving Nutrition and Sustainability Attributes
DNF
Dedicating resources to improve the nutrition and sustainability of products
Kroger states it provides a variety of plant-based options for customers seeking alternatives to traditional animal-based products, providing health, nutrition, and sustainability benefits. However, the company does not provide evidence of resource allocation to improve nutrition or sustainability attributes.
No Evidence
Reformulating products to improve nutrition
There is no evidence of (re)formulation to improve nutrition for plant-based/alternative products.
No Evidence
Reformulating products to improve sustainability
There is no evidence for this KPI.
No Evidence
Consumer Education - Consistency of Marketing Strategies
Low
Commitment Across Geographies/Brands
DNF
Commitment to marketing alternative protein sources
Kroger mentions that it helps customers make the right purchase decision through campaigns and marketing communications. However, it is unclear if the marketing strategies are related to alternative proteins.
No Evidence
Business coverage of marketing commitment
There is no evidence for this KPI.
No Evidence
Nutrition and Sustainabilty
Low
Promoting the nutritional attributes of alternative protein sources
The company provides nutrition ratings (OptUP score) on its plant-based brand - Simple Truth. The products are rated on a scale of 1 to 100 based on its nutrition content. The company also has a blog which discusses the health and sustainability benefits of plant-based diets. However, aside from this, there is limited evidence of the company proactively running campaigns to discuss the nutrition/health attributes of plant-based products.
Limited
Promoting the sustainability attributes of alternative protein sources
The company also has a blog which discusses the health and sustainability benefits of plant-based diets. However, aside from this, there is limited evidence of the company proactively running campaigns to discuss the nutrition/health attributes of plant-based products.
No Evidence
Consumer Research
Partial
Conducting consumer research on alternative protein sources
Kroger has previously partnered with the Plant-based Food Institute to conduct a two-year study on shopper's behaviour and sentiment about plant-based products. The comprehensive report provides key learnings for the company, which can be used to inform its marketing strategy. For example, by focusing on the convenience and health benefits the company can entice shoppers to try plant-based products for the first time. It is unclear whether the company has integrated this research into its marketing strategy.
Full
Conducting consumer research on healthy diets
It is unclear how the company uses its consumer research to inform its marketing strategy for plant-based proteins.
No Evidence
Members-only Content
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Workstream Information
Business Type:
Retailer
Company Feedback Given:
Yes
Last Updated:
8 July 2024
2024 Resources
Protein Diversification Phase 1 Progress Report Protein Diversification Engagement