Business Research Method Project 2022

Sustainability and Profit
Aldi Ireland
Barbara Ariane de Avila - C00255183
Business Research Methods
Bachelor of Business (Applied) Supply Chain Management
Institute of Technology, Carlow.

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Table of Contents
Research Purpose ......................................................................................... 3
Research Objectives ..................................................................................... 4
Literature overview ........................................................................................ 5
Industry Overview ......................................................................................... 7
Planned methodology ................................................................................... 8
Expected Outcomes .................................................................................... 10
Proposed timescale for completion of the project ................................... 10
References & Bibliography ............................................................................ 11
Appendix ....................................................................................................... 12

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Research Purpose
In recent years the word sustainability has been more and more present in the business
world. Some companies genuinely want the best for the environment no matter if that means
bigger productions costs. While others only do the minimum necessary to look good to their
customers. But if a company can reduce their productions costs at the same time the
generate less waste in the environment that would be ideal, win x win.
The population in Ireland is used to returning their glass waste to the banks so it would be
hard to introduce returnable packaging here. Ireland recycles 84% of the glass consumed,
but why waste energy recycling it when it could be used the way it is? It would be wonderful
to reuse all the packaging in all supermarkets in Ireland but this would be too wide research
topic. Project in Aldi would initially consider only the food products that are already in jars. If
today Aldi has around 100 products of their own brand in jars, standard size jars could get a
better deal when buying it and reusing.
Is there a way to make
returnable/reusable all the glass
packaging of the food in Aldi Shops
in Ireland?

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Research Objectives
Although the objectives seem to be interconnected, for the big picture the main objective
would be to promote sustainable living.
 Prove that even if an initial investment the change to returnable packaging is more
profitable to the company and better to the environment
 Standardize three to four sizes/shapes of food jar and three of the glass bottles and
save money buying bigger quantities of glass packaging
Reducing the sizes of the products available to the customer would help the company to get
a better deal when buying their packaging. It would probably help in stacking the products as
well. That could also mean that the company could implement returnable boxes for these
products as the ones that are already in place for the fresh produce.
 Save energy reusing the packaging instead of waste/recycling
 Reusing the food jars/bottles would mean that the energy spent making the glass
packaging would be used once instead of 30 or more times (considering that each jar would
be used at least 30 times on average). And the transportation of the empty jars/bottles could
be done after the deliveries because the trucks are already half empty returning to t
warehouse. Sanitization of the returning packaging should be considered as a cost but in
theory, the production process already includes this step so that would mean just including
higher quality control.
 Incentive and Retain customers
Rewarding monetary the customers for returning their empty clean glass food bottle/jar would
create a connection between the customer and the business. First, the customer buys the
product, they know there is a deposit in that product, and returning the packaging will give
him a voucher to spend that money. Today the customer pays for disposing of their empty
jars/bottle in this project the proposal is to reward the customer monetarily to dispose of their
empty jars/bottle with us.

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Literature overview
In the ’80s, Food Companies used to reuse their packaging, especially soft drinks, beers, and
dairy products. Reusable forms of packaging have historically been used in a lot of
applications and are still found, both in B2B (Business-to-Business, including secondary or
transport packaging, e.g., crates, pallets) and in B2C (Business-to-Consumer; also called
primary packaging, e.g., beer bottles) (Coelho et al., 2020). With the advance of globalization
and everyone becoming so busy, businesses were forced to look for ways to make th
products more attractive and easy to use to the customers. The world started seeing more
and more single-use packaging until recent years when environmental degradation reached
alarming numbers.
In many countries is not new to return empty packaging to the shop where it was bought for
recycling. Reusable packaging is recognized as a more efficient option in reducing the impact
of the volume of packaging materials and energy used while preventing production emissions
(Coelho et al., 2020). The refill shops are great but not very practical for busy days because
they require more organization in advance when a customer can do their shop last minute
after work in a regular shop. In practice, the impacts will depend on the design and
implementation of reusable packaging systems. However, switching to reusable packaging
can also have negative impacts, if not carefully managed due to increased transport
movements, complex logistics, cleaning, food safety, and others. Hence, a reusable system
is not necessarily a feasible or sustainable alternative for all supply chains and packaging
(Coelho et al., 2020).
Reuse strategies are known to reduce the demand for raw materials and decrease the
quantity of waste in landfills. However, such strategies have been criticized by decisio
makers due to their potential link to other types of resource consumption, environmental, and
economic factors that are less tangible but no less important. More vehicles, added weight,
reverse logistics costs, greenhouse gas emissions, and energy to clean packages and totes
are the tolls of using reusable packaging (Mahmoudi et al., 2020). For the case of th
supermarket, the extra cost would be storage, cleaning, and handling as the trucks already
return to the warehouse every day anyway. Factors such as size of the sectors, distribution
system design, and demands of the foreign market result in different environmental impacts
and reverse logistics policies in European bottling and packaging companies (Mahmoudi et
al., 2020). Much of the success or not of implementing more sustainable packaging is in the
customers’ hands. They are the ones that will make or break it. Although refillable bottles
seem to be more economical in the long run, it is wiser to set incentives for refillable bottles
only if consumers’ return rate is high. Those consumers that keep or dispose of refillable

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bottles, or those consumers that reduce their demand in response to the return incentive
drive costs up and force the whole system to use disposable bottles instead (Mahmoudi et
al., 2020).
Packaging optimization makes perfect business sense; it translates into less impact on the
environment (e.g., less transport and less waste), reduced operational costs and it avoids
contamination of food, which all together improve competitiveness and enhance the benefits
for consumers while promoting the image of the producer (Origen Green, 2021). Even it is
not an easy task, today there is much more technology to help in the process. There is a
wide choice of different packaging materials, sizes, and formats to choose from, as well as
other factors to consider such as brand recognition, quality and competitors, delivery
partners, and the options available to and behaviour of the consumer (Origen Green, 2021).
With planning and organization it is possible to make the transition smoothly.

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Industry overview
Ireland has six big names supermarkets: Dunnes, Supervalue, Marks and Spencer, Tesco,
Lidl and Aldi and also smaller local shops such as Spar, Centra, Costcutter. Aldi’s mai
competitor is the German Lidl. Most of these big names have committed to improving their
process more sustainably. Conor Pope, wrote the article “Are Irish supermarkets doing
enough to reduce their plastic packaging?” in 2018 for the Irish Times he asked all the main
supermarkets questions about actions to reduce packaging: The answers were very similar
“we are working with suppliers to cut packaging”, “ committed to cutting product packaging i
half by 2025”, “100 percent of its own-label packaging will be recyclable, reusable or
compostable by 2022”, “continuously looking for ways to eliminate or reduce packagin
especially plastics” (Pope, 2018). Is these the best that can be done?
Lidl Ireland seemed to be engaging in big actions: In 2019 announced the introduction of in-
store recycling stations for our customers to tackle the important issue of plastic was
Sep/2021 the discount retailer has announced the roll-out of their reverse vending machines
to facilitate the nation’s first Deposit Return Scheme (DRS). The machines will enable
customers to deposit used plastic beverage bottles and aluminum cans in return for money-
back vouchers redeemable in-store. A first in the Irish retail industry, Lidl’s reverse vending
machines will aim to redirect 1,500 tonnes of plastic annually that will then be manufactured
into new products. For every unit deposited a customer will receive a €0.10 voucher in return
with a maximum voucher limit of €2. The machine can collect and process up to 17,000 units
a week which is representative of approximately 1,500 tonnes in a year when rolled out to
Lidl’s 170 stores nationwide (LIDL, 2021). Lidl offers its customers also the opportunity of
refilling their bottle of fresh orange juice, the customers just need to buy their first glass bottl
Mark and Spenser in the UK are offering their customers to refill their own food containers in
some of the stores. Carmel McQuaid, Head of Sustainable Business, commented: “Fill Your
Own has been hugely popular with our customers since it launched. They’ve told us that it’s
easy to understand, offers a huge variety of the high-quality, great value M&S products they
love, and supports with portion control. Importantly, Fill Your Own is helping our customers –
and our business – to reduce and reuse plastic and this initiative has the potential to save
thousands of units each year (Marks and Spencer, 2021). It has been very popular in the UK
but the Marks and Spenser packaging-free refillable grocery concept Fill Your Own is not yet
to be launched in Ireland.
Gloun Cross Dairy a small family-owned dairy farm in the rolling West Cork Countryside is
responsible for producing, delivering, and doing all the reverse logistics of fresh milk, cream,

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buttermilk, and eggs. Although much smaller scale what they are doing is what this project
proposes to do in Aldi Ireland with all the glass food packaging.

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Planned methodology
A first step would be listing all the products there is an Aldi’s range that has glass packaging
(appendix 1). Information on who produced the product, size of the packaging, conten
(ideally grams or milliliters). The next step would be a questionnaire to the producers, the
answers will enable to standardize the sizes to a minimum possible.
The next interview is with Aldi staff, ideally having the interview answered by different levels
in the company to have a wider view. Some of the questions won’t suit all levels.
Project for making returnable all food glass packaging in Aldi
CompanyX. Producer of productsA,B and C.
Name: ____________ Job Position:_______________
How much of your annual business, in percentage, does this products that your
company sells to Aldi represent?
How many of the products A,B and C your company sells to Aldi annually?
Is there a hygienization process in the glass before packaging the product each
your company is responsible for?
If the packaging were to be reusable would it be necessary any extra machinery
or process of any sort?
Is your company the one that buy all the packaging of your products? How much
on it year? The glass jars/bottles of your products are the same your company use
to feed other markets?
How much of a difference would be your processes if the size of your product
change 15% +/-?
Would you have any objections on selling a product where your customer is
responsible for packaging (reusable)?
Would you like to add anything?
Thank you for answering this interview!

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After this calculations of the actual figures and the figures for the proposed changes including
initial investment and considering implementing reverse machines for the return of the glass
packaging and also considering not having the reverse machines and having the till person
doing the process manually.
Things like alteration on weight or price of the products will probably be known at this stage
as well as the most likely customer reward for amount for returning their package.
Project for making returnable all food glass packaging in Aldi
Name: ____________ Job Position:_______________
How would your day-to-day routine be influenced by returnable packaging for
all the glass bottles/jars?
Would you consider that this change would bring a greater profit for the
company a long term?
Would you consider that this change would bring a greater improvement for the
environment?
As a customer yourself, how would like if you need to pay a deposit for a
packaging which you would receive back when returning it?
Considering at the tills manually returning the glass and at the end of the day
putting them all together in the back of the warehouse for returning, how many
minutes a day would be involved in this activity? What if we only consider
collecting the glass from the reverse machine and putting it in the back of the
warehouse for returning?
Would you consider this iniciative promoting engagement with the brand?
Would you like to add anything?
Thank you for answering this interview!

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Expected Outcomes
No matter how much a company wants to be green without profit companies can’t continue
their business. The project would be a success if it can show that is possible to do real actions
towards sustainability and have greater profit at the same time.
Results better than expected a long term would be the number on the project were very good
the company decided to do a trial in a reduced number of stores, subsequently in all Aldi
shops and after incorporate more products to the line of returnable packaging.
Proposed timescale for completion of the project
Week 1 and 2 List all the products that are entering the project. Sublist by producer
Week 3 to 5 Interview with the producer
Week 5 to 7 Interview with Aldi Staff
Week 8 to 10 Collecting information from Aldi HQ and Calculate numbers of the
project
Week 11 and 12 Analyzing interview answers
Week 13 and 14 Conclude The project.

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References / Bibliography
Carvalho, R., Cruz-Lopes L.P., Guiné, R.P.F., and Macena, M.W., (2021). Plastic Food
Packaging: Perceptions and Attitudes of Portuguese Consumers about Environmental
Impact and Recycling. MDPI. Available: https://www.mdpi.com/2071-1050/13/17/9953
[accessed from 03/01/2022 to 22/01/2022].
Coelho, P.M., Corona, B., Klooster, R. T. and Worrell, E. (2020) Sustainability of reusable
packaging - Current situation and trends. Journal Elsevier: Resources, Conservation &
Recycling – X. Available: https://doi.org/10.1016/j.rcrx.2020.100037[accessed from
03/01/2022 to 22/01/2022].
LIDL (2021). Lidl Ireland Becomes First Retailer to Launch a Deposit Return Scheme Trial in
the Republic of Ireland. Lidl. Available: https://www.bitc.ie/newsroom/lidl-deposit-return-
scheme/ [accessed from 03/01/2022 to 22/01/2022].
LIDL (2021). Lidl Ireland Becomes First Retailer to Launch a Deposit Return Scheme Trial in
the Republic of Ireland. Lidl. Available: https://www.bitc.ie/newsroom/lidl-deposit-return-
scheme/ [accessed from 03/01/2022 to 22/01/2022].
Mahmoudi, M. and Parviziomran, I., (2020). Reusable packaging in supply chains: A review
of environmentaland economic impacts, logistics system designs, and operations
management. Research Gate. Available:
https://www.researchgate.net/publication/339792047[accessed from 03/01/2022 to
22/01/2022].
Marks and Spencer (2021). M&S Extends Its Refill Trial Initiative To 11 Stores Nationwide
And Expands Product Range. Marks and Spencer. Available:
https://corporate.marksandspencer.com/media/press-
releases/5ff7017fc6fe1bc26cb21d12/m-and-s-extends-its-refill-trial-intiative-to-11-stores-
nationwide-and-expands-product-range [accessed from 03/01/2022 to 22/01/2022].
Muha, R., and Škerliˇc, S., (2020). A Model for Managing Packaging in the Product Life Cycle
in the Automotive Industry. MDPI. Available: https://www.mdpi.com/2071-1050/12/22/9431
[accessed from 03/01/2022 to 22/01/2022].

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Origin Green (2021). Packaging Target Guidance Pathways to the Circular Economy. Origin
Green. Available: https://www.origingreen.ie/globalassets/origin-green/past-events/bb-
packaging-target-guidance-june-2021.pdf [accessed from 03/01/2022 to 22/01/2022].
O’Sullivan, K. (2018). Plastic packaging: Exactly how green are our supermarkets? The Irish
Times. Available: https://www.irishtimes.com/news/environment/plastic-packaging-exactly-
how-green-are-our-supermarkets-1.3369793 [accessed from 03/01/2022 to 22/01/2022].
Pope, C. (2018). Are Irish supermarkets doing enough to reduce their plastic packaging? The
Irish Times. Available: https://www.irishtimes.com/news/environment/are-irish-
supermarkets-doing-enough-to-reduce-their-plastic-packaging-1.3428287[accessed from
03/01/2022 to 22/01/2022].
Sezgin, A. and Yarış, A. (2017). Food Packaging: Glass And Plastic. Research Gate.
Available: https://www.researchgate.net/publication/338554897 [accessed from 03/01/2022
to 22/01/2022].

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Appendix
PRODUCT CODE
Instant Hot Choc 704108
RFA Instant Coffee 63800
Freeze Dried Decaf Instant Coffee 6023
Rich Roast instant Coffee 47384
Gold Roast Freeze Dried Instant Coffee 7863
Maple Syrup 74956
Manuka Honey MGO 250 701437
Manuka Honey MGO 100 69002
Organic Honey 708496
Conserve - Raspberry / Blackcurrant/ Apricot 1385
Low Sugar Strawb Conserve 708512
Irish Conserve - Strawb 74569
Organic Squeezy Honey 701119
Conserve - Raspberry / Strawberry 14907
Strawb Conserve 1386
Orange Marmalade - Thick / Fine Cut 7144
Squeezy Honey 43328
Irish Conserve - Raspberry / Blackberry 708415
Irish Marmalade - No Peel / Breakfast 10314
Irish Marmalade - Seville Orange / Three
Fruit
10312
Low Sugar Irish Marmalade - Seville Orange / Three Fruit 10313
100% Pure Honey 41333
Hazelnut Choc Spread 41397
White Swirl Choc Spread 41398
Biscuit Spread 707542
Almond Butter 702196
100% Peanut Butter - Smoth / Crunchy 84190
Wholenut Peanut Butter - Smoth / Crunchy 74077
Peanut Butter - Smoth / Crunchy 42032
Irish Apple Cider Vinegar 10564

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Dips - Sour Cream / Hot Salsa / Mild Salsa 71427
Golden Syrup 20476
Frosting Vanilla Choc 705826
Glace Cherries 19702
Cocoa Powder 73792
Sweetner Tablets-Sucralose/Stevig 708253
Baking Ingredience-Baking Powder/Baking Soda 57350
Tomato Puree 701978
Passata 2722
Passata with Garlic/Basil and Oregano 703736
Pizza Sauce Classic 708393
Pizza Sauces-Oug/Basil& Garlic/Herb and Spices 708393
Pesto Red/Green 74472
Pesto Genovese/Rosso 74473
Stir through Pats Sauces/Mushroom/ Gulled Pepper 49382
Stir through Pats Sauces/ Sweet Pepper/ Sundried Tomato /Basil 7.193
Irish Pasts sauces-Tomato Basil /Tomato Chilly 66734
Irish pasta sauces Sundried tomatoes/Bolognese 87090
Pasta Sauces/Onion Garlic/Smoth Tomato / Meatball/Chunky Mushroom701926
Bolognese Sauce 701927
Creamy Tomato Lasagne Sauce 701928
Baked Beans No added Suger 62577
Tomato and Herb Pasta Sauce 20162
Pasta bake -Creamy Tomatp /Tomato and Bacon /Cheese Bacon 48791
Stir Fry Sauces - Chow mein / Sweet Chilli & Garlic / Sweet & Sour /
Oyster Spring Onion 50138
Curry Sauces - Tikka Masala / Korma / Butter chicken / Saag Masala 61362
Hot Curry Sauces - Balti / Madras / Rogan Josh / Jalfrezi 42914
Soy Sauce - Dark / Light 49408
Sweet Chilli Sauce 46966
Sweet and Sour Cooking Sauce 15866
Mild / Medium Curry Sauce 43702
Curry Sauces - Tikka / Korma 49418
Mango Chutney 43609
Specialty Vinegar - Red Wine / Cider / White Wine 83377
Malt / Distilled Vinegar 701352
Balsamic Vinegar of Modena 16600
Premium Balsamic Vinegar of Modena 81521
1 Kcal Cooking Oil Spray 76012
Coconut Oil 70350
P.D.O. Extra Virgin Olive Oil 46456
Extra Virgin Olive Oil 1700
Irish Rapeseed Oil 51972
Rapeseed Oil 81843

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Olive oil 41476
Vegetable Oil 58144
Sunflower Oil 58145
Mayonnaise 701221
Worchestershire Sauce 75761
Salad Dressing - caesar / Balsamic / French / Maple & Mustard 708258
SpSalad Dressing - caesar / Balsamic / French / Maple & Mustard 45934
Salad Dressing - caesar / House / Honey & Mustard / Fat Free
Vinagrette / Mango & Chilli 700545
Irish Relish - Sweet Tomato / Jalapeño Pepper/ Caramelised Onion /
Red Pepper 70941
Horseradish Sauce 80634
Table Sauces - Mint / Apple 20691
Greek Olives - Colossal / Kalamata 81366
Green Pitted Olives 9612
Antipasti - Sundried Tomatoes / Grilled Peppers 55733
Sweety Drop Peppers 712877
Apple Sauce 2850
Mint Sauce 52455
Mustard - English / Dijon / Wholegrain 41702
Table Sauces - Tartare / Horseradish 40691
Pickled Gherkins 2853
Sliced Beetroot 49405
Baby Beetroot 42903
Bockwurst Sausage
Baby Carrots