In 2013, the BBC reported that Tesco claimed to have generated up to 30,000 tonnes of food waste in the first six months of that year alone. 41% of this figure was made up of bakery items, and 21% from fruit and vegetables. By 2015, things had still not improved, with total figures suggesting that over 55,000 tonnes worth had been wasted during those twelve months. A year later, Tesco has announced that it will be giving away all unsold food to charity in a bid to prevent any further wastage in their stores and distribution centres.
The plans were announced after a pilot scheme called the Community Food Connection was rolled out in 14 stores across the country, over a period of six months. The project was extremely successful, after providing the equivalent of 50,000 meals to vulnerable people in the UK. In light of this, Tesco plans to create ties with 5,000 charities and organisations that will receive the food.
Dave Lewis, Tesco’s chief executive, said: “We believe no food that could be eaten should be wasted. That’s why we have committed that no surplus food should go to waste from our stores.”
“We know it’s an issue our customers really care about, and wherever there’s surplus food at Tesco stores, we’re committed to donating it to local charities so we can help feed people in need.”
Tesco, along with other retailers, has been under fire in the past for the amount of food it throws away. So even though many have accepted its new programme as a positive token of good will, there is much scepticism surrounding the announcement, with accusations that the programme is simply a PR stunt to improve the company’s image and offset negative publicity.
It is generally accepted that corporate giving do indeed help improve a company’s brand. According to the Charities Aid Foundation, 87% of companies that assess their corporate giving activity claim that it has a positive effect on the company’s reputation. The same body states that over half of adults in Britain would rather purchase a product from an organisation that donates to charity over one that does not; while 45% would prefer to work for one that does, over one that does not.
Donating to charity can therefore have an extremely positive effect on corporate branding for companies. But when deciding on strategy, CEOs must ensure that they do more than just throw money at a cause. The Charities Aid Foundation reports: “Charitable giving is often seen as the easiest way for companies to build their reputational equity, but the public’s expectation is that companies need to be doing a lot more than writing cheques. Businesses should be communicating how they are integrating a clear social purpose into the core of their business, and the role that corporate giving plays in delivering sustained positive outcomes.”
There are others who will argue that the motivations that drive companies to practice corporate giving is irrelevant, as long as they are doing it, and people and communities are benefiting from it. Because of Tesco, more people in Britain will have access to food. If more companies join in this culture of giving, even if it is for their own gain, surely that can only be positive for the people on the receiving end?