Customers
Key actions
• Materials: We are increasing the share of BCI cotton in our own-brand products.
• Sourcing: We source our own-brand products from factories that comply with ethical standards, supported by regular assessments to safeguard working conditions across our supply chain.
• Packaging: We are redesigning our packaging to prioritise reuse, recyclability and compostability.
Ambition
By 2030, we aim to increase the share of BCI cotton in our own-brand products. In the current reporting period, we achieved 25% Better Cotton, representing an increase in absolute volume compared to last year.
Additionally, by 2030, all our own-brand products will come from factories rated Category 1–3 in our compliance audits (94% today).
We are also redesigning packaging – in 2026, 90% of our own-brand packaging is reusable, recyclable or compostable, and we are working towards 100%, in preparation for the EU’s 2030 recyclability requirements. Simultaneously, we are looking at reducing packaging weight, with cosmetics as our biggest challenge.
Sustainability Meets Finance – Connecting Purpose Across Teams at Pepco
Guided by its values (Care for our people, Be at our best, Love our customers), Pepco takes its sustainability targets into account in business and financial decisions.
In a cross-functional collaboration between the ESG, Treasury and Operations teams, Pepco developed its first Sustainable Finance Framework, which received a “Good” Second Party Opinion from Sustainable Fitch. The framework links Pepco’s financial strategy to its sustainability goals and enables funding for projects that reduce environmental impact and support positive social outcomes.
Eligible project categories under the framework include sustainable resource management, renewable energy, green buildings and responsible sourcing. Financing is linked to Pepco’s targets of:
- a 50% reduction in Scope 1 and 2 emissions by 2030
- at least 30% BCI cotton (under the Mass Balance and Physical segregation chains of custody) in own-brand products by 2030