Sustainable innovation for growth and development

As one of the global leaders in consumer insights in our field we can lead a sustainable product development.

Introduction

We are constantly looking for new ways to provide a more consumer-centred and sustainable offering, focusing on smoke-free products with balanced nicotine content. With our aim of converting smokers to harm-reduced nicotine products, we are convinced that our growth in the global market will go hand in hand with healthier nicotine consumption.

Another Snus Factory

Mette Krabbe, Marketing Director, Another Snus Factory

Sustainable innovation

Our entire product range should maintain a high sustainability standard. The products and services we offer to the market shall meet or exceed our high standards for quality and sustainability. And in some cases, we set a new higher standard for the industry. We believe that we as one of the global leaders in consumer insights in our field, can lead product development from a customer and market perspective.

Key figures

%
No. of suppliers screened ensuring a sustainable value chain

Haypp Group 2023

%
Share of nicotine pouches in portfolio tested and accredited to standard

Haypp Group 2023

indicators

A more sustainable supply chain

As new suppliers enter the market and engage with Haypp Group, they are screened based on the Supplier Code of Conduct. All the suppliers listed in 2023 did pass the initial screening and signed the Supplier Code.

Carriers and last-mile transporters are requested to share their data regarding deliveries they perform for Haypp Group’s customers, focusing on climate emissions. Historically, it has been challenging to obtain this data, but for 2023, we have managed to map a significant portion of our climate emissions through our transportation providers. The data is not entirely comprehensive, but a large majority of our transports from warehouse to customers are included. It has mainly been data from providers handling transports in the US, UK, and Switzerland that we have been unable to map due to various obstacles. We also lack data on emissions from the transportation from our suppliers to our warehouses. During 2024, we will continue to work on enhancing our capabilities to map all emissions in our transport chain.

 

Products following standard

The oral nicotine category has grown rapidly. Regulations are beginning to come into place, however, there is still a lack of guidelines and procedures, including product content and ingredients. In order for consumers and authorities to have an independent and reliable source of information to inform decision making, aside from manufacturer data, standards and testing have a critical role to play.

The information gap for consumers decreases with standards in place against which products can be measured. Of Haypp Group’s portfolio of active nicotine pouches, 85% of the products launched in 2023 had been tested and complied with applied product standards. Products launched towards the end of the year, which did not have the opportunity to undergo testing, are included in the 15% that were not tested, explaining why not all products are marked as tested.

 

Use of product packaging

In Haypp Group’s operation, cardboard is the main material used as the outer packaging for the goods consumer orders. The amount of used material increases as more customers place orders, while a focus on efficiency hopefully decreases the amount of material used per order. At the Swedish warehouse, a new packing machine was installed during Q3, which increased efficiency and consequently reduced the material per packaging by an average of 21%.

Manufacturers have historically favoured plastics as the primary packaging material. There is a shift beginning to be seen as other materials and especially bioplastics and recycled plastics have grown in popularity. We do not have a system in place yet to obtain a detailed overview of the contents of all packages, but it is something we plan to implement during 2024.

 

As one of the global leaders in consumer insights within our field, we can take part in leading the development of sustainable products and services.

Scorecard

GOALS METRICS 2021 2022 2023
Sustaianble Value Chain Suppliers screened 100% 100% 100%
Carriers carbon footprint n/a n/a 227.5 tCO2e
Quality assurance & Product development Relevant portfolio tested & according to standard 87% 85% 85%
Primary packaging: Cans Products in sustainable alternatives (recyclable, bio-plastic, paper, etc.) n/a n/a n/a
Secondary packaging: Cardboard Carboard used in orders 73.6 gram/order 70.1 gram/order 60 g / order