News
European leader in home-delivery works with ORTEC on Carbon Footprint
09 March 2010
Home delivery or customer collection?
Kiala, the European market leader of consumer goods delivery via collection points (petrol stations, kiosks and newsagents) has conducted an environmental study in cooperation with VIL and ORTEC. The purpose of the study was to identify the carbon footprint of Kiala’s current distribution network and to identify how to further reduce the CO2 emissions of its logistics activities. The most important findings show that consumers can reduce emissions by 81% by choosing a more environmentally friendly method of collection.
Study Aims
The aim of this study was to calculate – based on real data – the yearly CO2 emissions of the entire Kiala Belgian network; to stimulate CO2 emission quantities if Kiala were to switch to home deliveries; and to conduct a sensitivity analysis to ascertain how the customer’s collection method for purchased goods would influence the quantity of CO2 generated.
Becoming more 'green'
As part of Kiala’s sustainable program to reduce the overall CO2 emissions within the organization, the study focused on calculating the CO2 emission variances between home deliveries and collections. The results showed that individual customer collections, the method currently used by Kiala are, in 57% of cases, more environmentally beneficial than home deliveries. Essentially, Kiala's current collection system has a number of plus points when it comes to promoting the sustainability of consumer goods distribution.
Collection methods
"The goods can be collected using three different methods," explains Ludo Sys, expert with the Flemish Institute for Logistics (VIL). "The first method involves the goods being collected as part of an existing journey, whereby no or only a limited amount of additional travel is required. The second method involves an environmentally friendly collection option such as on foot or by bike. The third option involves making a specific vehicular journey to the collection point, which naturally results in the highest CO2 emissions."
"If we combine this information with the specific figures obtained via the study, we can conclude that the average CO2 emissions for the Belgian network would be limited to just 0.23 kg per package if all goods were picked up from the Kiala collection point without the need for an additional vehicular journey,” according to Jan Maenhout, Business Manager at ORTEC Belgium. “These emission figures only take into account the transportation of the goods from the regional distribution center to the Kiala collection point. However, when the customer chooses makes an additional vehicular journey to collect the same goods, the emissions generated would rise to 1.73 kg."
Impact of 'final kilometers'
These types of figures clearly illustrate the significance of the final transportation kilometers and how consumer choices impact the distribution network’s CO2 emissions. Based on the results of the study, Kiala wishes to influence its customers to collect their goods whilst on route to or from work, or even better, to travel to their selected Kiala collection point by foot or bike.
"We are already taking steps to communicate our aims to consumers,” according to Peter Hendrix, Kiala General Director, Benelux. “We have developed a new tool that will allow our customers to select their preferred Kiala collection point via Google Maps. Until recently, this selection was made from a list of 5 collection points per postcode. With the new tool we can now display a Google map pinpointing the customer address and all the Kiala collection points in the local area. This enhancement enables the customer to easily see which points are situated on their route to work. In addition, we are also engaged in the development of tools, which will make the customer aware of their CO2 emissions. Our intention is to develop a calculator to enable our customers to calculate the most environmentally friendly method of collecting their goods."
About Kiala
Kiala is the European market leader of consumer goods delivery via collection points (petrol stations, kiosks and newsagents). At present, Kiala has approximately 5000 collection points in 6 European countries, 500 of which are in Belgium and conveniently located so that the majority of consumers have access to a Kiala point within 5 km of their home or workplace. The Belgian Kiala points are supplied daily from 5 regional distribution centers, which are in turn supplied overnight from one national distribution center, located in the proximity of Doornik.
About the Flemish Institute of Logistics
The Flemish Institute of Logistics (VIL) aims to sustainably support the logistics sector in Flanders and to strengthen the sector’s competiveness. Its goal is to be a platform through which concrete answers to relevant logistics cases can be provided. In doing so, the VIL has developed into a center that accumulates and assimilates logistical knowledge. It not only innovates, but also promotes innovation. It drives the promotion of Flemish logistics and logistics in Flanders.