8 December 2020, Moscow – M.Video-Eldorado Group (PJSC M.Video, MOEX: MVID), Russia's largest consumer electronics retailer and part of SAFMAR Group owned by Mikhail Gutseriev, emerged victorious in the Environmental Efficiency category at the 13th People Investor contest with its project ‘We care about Environment’. Launched in 2019, this programme has seen M.Video-Eldorado collect and send for recycling nearly 100,000 consumer electronic devices and 1,000,000 batteries. On the back of this, NPS among M.Video customers reached a five-year high.
The annual corporate ESG competition was held under the banner of “People Investor 2020: ESG – for all!” Alongside M.Video in the final were Coca-Cola, Unilever, VimpelCom and the Russian Post.M.Video presented its electronics-recycling programme, Russia’s largest ongoing project with a full control at each stage. The project’s aim is to reduce harmful waste in landfills, support the development of a circular economy via a successful electronics drop-off service, and raise awareness around the impact of e-waste on the environment.
M.Video has not only launched the largest, fully transparent system of recycling electronic waste, but has also consistently championed educational work, designed to emphasise the urgency of a more cautious relationship with nature and a more sensible approach to waste. In its efforts to advance the proper recycling agenda, the Group have launched an Eco Trade-In service, offering customers a discount on new purchases, in return for the recycling of their old goods. Consumers also have the opportunity to trade in their old technology at home, while their new gadget is being delivered. M.Video is also releasing educational clips, which advocate for a more balanced approach to shopping. For example, this emotional videо of the Earth’s fate shows what will happen without increased recycling efforts. Another poignant video, with a non-traditional Christmas theme, casts light on the dark side of the much-loved winter holiday – that is, mountains of rubbish and abandoned, unwanted gifts.
The free electronics drop-off service is now permanently available in 450 M.Video-Eldorado stores located in 15 regions with a 40 million plus population. These sites accept any electronic device, in any condition, and purchased from any brand. Every single device is logged in a specially created IT system. Connected to this system are not only stores, but also our project partners – recycling facilities and the Electronics-Recycling Association, which unites electronics producers and importers. Through this system, everyone can trace the whole process – from store to facility. Electronics-Recycling experts conduct regular audits of the recycling process to ensure its compliance with Russian and international standards. In the New Year, this programme will be on offer in 200 more stores. M.Video-Eldorado Group regularly takes its own appliances, from both its stores and offices, to be recycled.
In November 2020, the Company calculated that, since the project start in the summer of 2019, over 900 tonnes (or 99,000 consumer devices) had been collected, along with 20 tonnes of batteries (or 1,000,000 pieces). M.Video-Eldorado partnering facilities provide for 80–90% recycling of incoming goods into secondary materials to be used in new products.
Natalia Egorova, Brand and Marketing Communications Director at M.Video: ‘The success of our recycling programme lies not only in the consistent growth of items collected and sent for recycling, but also in the thousands of people involved in this process. As a result of their involvement, these people have probably started to think more about the sustainable use of our planet’s resources. Thanks to information support, we registered a 35% increase in the awareness of the Proper Recycling programme in just a handful of months. Our record five-year NPS (a consumer loyalty index) growth definitively shows that our ESG agenda is well received by our customers. This creates a solid foundation for the future – from here, we can develop the Group’s eco-projects further, helping to change society’s behaviour and protect our fragile environment. We will certainly continue to develop our recycling programme, aiming to extend its reach and hone our service,in addition to enhancing its perception and understanding.’
The Russian Managers Association has been running the PEOPLE INVESTOR project annually since 2008. Its aim is to try and identify, and then disseminate, the best and most innovative practices of social responsible businesses. This will help to increase the transparency and competitiveness of Russian companies. The PEOPLE INVESTOR contest is designed to commend businesses that make social investments and make use of innovative practices to ensure their sustainable development.