Memorandum by Waitrose (AL79)
1. INTRODUCTION
1.1 Waitrose—the foodshops of the
John Lewis Partnership—is co-owned entirely by 40,000 Partners
(employees). Through our 215 UK branches we combine the convenience
of a supermarket with the expertise of a specialist shop. Our
co-ownership model makes us unique to other supermarkets and enables
us to act in the interests of society—from our role as a
long term employer to making an active contribution to the communities
we trade in. Conducting our business with integrity is at the
core of our involvement with local communities and our approach
to responsible sourcing and trading.
1.2 In its terms of reference for the inquiry,
the Committee invites views on the role of central government
policy on alcohol, and on the role of industry. This memorandum
focuses on those two specific issues.
1.3 We welcome the opportunity to contribute
to the Health Select Committee's inquiry on alcohol.
2. EXECUTIVE
SUMMARY
2.1 There is widespread debate and concern
about Britain's drinking culture and the issues it poses to the
health of the nation. We believe that a long-term and considered
approach is required to confront this and facilitate behaviour
change. While retailers have an integral and willing role to play
in this significant challenge, a balanced and collaborative approach
encompassing the Government, the drinks industry and consumers
holds the key to success.
2.2 We fundamentally believe that as a responsible
retailer we are part of the solution not part of the concern.
This is reflected in our proactive and voluntary approach to engaging
and informing our customers across all areas of health and nutrition.
In doing so we consciously strike an effective balance between
allowing customers to take personal accountability for their purchasing
choices, whilst providing advice and information to encourage
the responsible and healthy consumption of food and drink.
2.3 The majority of people consume alcohol
in moderation as part of a healthy and balanced diet. Official
data from HMRC and the Office for National Statistics highlights
the fact that alcohol consumption in the UK is actually falling
at a steady rate amongst males and females. However, there is
a minority of the population (7%) that misuses alcohol. In the
context of alcohol regulation, it is crucial that the majority
of the population is not penalised unjustly when developing the
Government's future national strategy for alcohol.
2.4 At the obvious heart of our responsible
alcohol trading lies the Licensing Act 2003. As a retailer, we
accept full liability for our legal obligations under the Act.
It fosters an effective approach to alcohol trade and we do not
believe that adding more powers is the most effective way to realise
a safe, social and sensible drinking culture. This shift is more
probable through a strong commitment to consumer engagement. A
report commissioned by The Brewers of Europe has illustrated that
increasing the Swedish alcohol policy with high prices and taxes
has failed to meet the claimed objective of reducing both overall
alcohol consumption and excessive drinking patters.
3. OUR RESPONSIBLE
RETAILING APPROACH
3.1 Waitrose is different from other supermarkets
in the way that we approach retailing. Our co-ownership business
model and Corporate Social Responsibility strategy is centred
on our respect for the wellbeing and development of the communities
we trade in. This way of working is firmly rooted in our approach
to alcohol retailing. We have been formerly praised for this by
the industry twice winning the Off Licence News Responsible Drinks
Retailer Awards.
3.2 We work closely with the Home Office,
Department of Health and NGOs, such as The Drinkaware Trust and
The Wine and Spirit Trade Association, to adopt a collaborative
approach to educating and informing our customers. This successful
joint working leads to the sharing of best practice and a consistent
approach to engaging our customers.
3.3 We adopt a voluntary approach to informing
our customers' alcohol purchasing journey. This includes comprehensive
advice on our website, unit information on our own label products
and shelf edge ticketing. We were the first retailer to communicate
alcohol units and safe limits since 2004 via shelf edge tickets.
We consulted the Wine and Spirit Trade Association and the Drinkaware
Trust to help devise this standard point of sale communication,
which we provide below to inform the Committee. It is important
to ensure that information provided to consumers strikes the right
balance between providing them with enough that they can make
an informed decision and not providing them with so much that
they feel confused or overwhelmed.
3.4 Our checkout operators play an integral
role in our alcohol trade approach. They are trained in sales
of age-restricted items at their induction and at six-monthly
intervals thereafter. The training is provided through a variety
of media such as online training, face to face training by their
line manager and operational training in practice. All branches
have access to an online internal information system which contains
information on various aspects of the licence, law and sale of
age related products to minors, and intoxicated customers. To
further enhance our comprehensive checkout training programme,
our systems are designed to support cashiers in the sale of age
restricted products at the point of sale, for example age verification
alerts. We also adhere to the "Think 21" initiative
and undertake our own test purchasing activity.
3.5 Waitrose is also committed to age verification
checks for online sales. We are working closely with the Wine
and Spirit Trade Association to ensure our online checks are as
stringent as possible. To enable the practical enforcement of
age checks for online sales, we apply them at the point of sale.
Where we deliver direct to the customer, we also verify at the
point of delivery. However, this is not possible when deliveries
are carried out by third party couriers as they are not willing
to accept the training implications or liability for licensing
legislation.
3.6 Working with stakeholders is an important
part of our approach. We support the Wine and Spirit Trade Association,
The Drinkaware Trust and The Portman Group. We have been a sponsor
of the Drinking & You website since 2000. We have provided
alcohol and health advice on Waitrose Wines Direct website via
Drinking & You since March 2003 and also on Waitrose.com.
3.7 We have been a signatory of the Portman
Group Code of Practice for many years and have worked with CitizenCard
to offer half price government-approved ID PASS logo cards (Proof
of Age Standards Scheme). All branches have branded CitizenCard
application forms available for customers.
3.8 We proactively engage with local stakeholders
such as health professionals, the police, the local authority
and the communities we trade in through our representation on
the Retail of Alcohol Standards Group. This is with the joint
aim of tackling alcohol misuse and shifting consumer behaviour,
for example through Community Alcohol Partnerships (CAP).
3.9 Our promotional strategy also reflects
our responsible approach. Whilst we do not sell beer and cider
as below cost to drive customer footfall, we have on two occasions
sold some fine wines below cost when they are part of a cross
category promotion.
Alcohol forms a balanced part of our total food
and drink offer and is positioned as such in our branch layout.
4. ABOUT WAITROSE
4.1. Waitrose has 215 branches across
the UK, dedicated to offering quality, value and customer service.
We, and our sister company John Lewis, have taken the two top
slots in the Which? Magazine Consumer Satisfaction Survey for
the last four years and Waitrose has scooped more major wine awards
than any other supermarket —most recently winning Supermarket
of the Year 2009 at the Decanter World Wine Awards.
5.2 Co-owned entirely by its 40,000 "Partners",
Waitrose combines the convenience of a supermarket with the expertise
and service of a specialist shop. Waitrose is dedicated to offering
quality food and drink that has been responsibly sourced, combined
with high standards of customer service.
October 2009
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