Ecological E-Commerce Low-Carbon Transformation Project
Momo.Com Inc.
Project Commitment to Sustainable Development Goals (SDGs)
INTRODUCTION
The surge in demand for e-commerce orders during the pandemic has resulted in increased greenhouse gas emissions. To fulfill the declaration of “No.1 green life e-commerce in Taiwan”, momo has started up the “E-commerce Low-carbon Transformation Project” based on the SBT’s investigation and carbon reduction goal setting, as well as TCFD’s risks and opportunities analysis. The company integrates cross-departmental resources and digital capabilities and focuses on four main pillars, namely, Green Logistics, Green Packaging, Green Warehousing, and Sustainable Consumption.For its Green Logistics pillar, the company continuously establishes satellite warehouses and logistics centers, reducing the number of delivery trips through “node removal” measures, introducing electric vehicles, and facilitating its suppliers’ use of circular logistics containers.
For its Green Packaging pillar, momo increases the volume of reusable bags for shipments, reducing packaging from suppliers, and minimizing packaging materials.
For its Green Warehousing, the company installs solar power systems at its logistics centers.
For its Sustainable Consumption, the company continuously increases the number and sales of sustainable products and locally sourced products.
FRAMEWORK AND STRATEGY
momo’s Sustainable Development Committee mobilizes department heads to collectively develop project directions. The project is based on the guidance of the CEO, with goals set by SBT, and carried out according to TCFD methods. Dedicated departments evaluate cross-departmental resource coordination and implement sustainability measures with digital technology methods to achieve innovative growth in ESG performance and operating efficiency synchronously.These strategies include creating measures such as short-chain logistics, node removal, and the construction of satellite warehouses to enable fast delivery and reduce transportation mileage and carbon emissions, while simultaneously improving customer satisfaction.
momo also worked to reduce packaging materials and optimize logistics routes, costs associated with consumables, gasoline, and electricity are effectively reduced. Another strategy the company carried out is the promotion of sustainable supply chains by increasing the frequency of communication and collaboration with suppliers.
Besides that, momo’s ESG performances can be continuously communicated through every package received by consumers as it steadily enhances momo’s brand trustworthiness. Finally, the last strategy is to promote sustainable awareness among employees and consumers which facilitates the implementation of ESG measures.
ACHIEVEMENT AND IMPACT
momo gained governmental recognition for this project’s success. In 2019, momo joined the governmental “e-commerce packaging reduction program”. Action plans for packaging reduction, eco-friendly materials, and circular packaging were successfully developed, implemented, and recognized.Another of the company’s achievements is that it has expanded its influence through this project. By leveraging its extensive database of 11.83 million registered members, and over 10,000 suppliers, momo has expanded the effectiveness of various reduction and advocacy measures.
The “E-Commerce Low-Carbon Transformation Project” has also managed to contribute to carbon reduction efforts. In 2022, momo’s diversified channels of pick-up service reached 5.546 million parcels. The estimated reduction was about 3.882 million kilometers and 231.4 metric tons of carbon emissions. momo also collaborated with 13 suppliers, covering 69 product categories, with a cumulative shipment volume exceeding one million units by “node removal” measures. This reduced 2,239 delivery trips and estimated 75.39 metric tons of carbon emissions.
The company has also managed to reduce the packaging materials used. In 2022, the average weight of momo’s packaging materials was 204.9 grams, a decrease of 6.8% compared to 2021. The use of cushioning materials also decreased by 17.6%.
FUTURE DIRECTION
With the establishment of various hardware equipment and cooperative models, momo possesses the necessary technical capabilities and professional talent. As business volume and shipments increase, the scope of sustainable initiatives will continue to expand.Related measures include the scaling up of “short-chain logistics” and “node removal” with the increase in satellite warehouses and supplier cooperation, the encouragement of more suppliers to adopt circular logistics containers, the gradual introduction of electric vehicles, the increasing volume of shipments with circular packaging, and the establishment more cooperative recycling points for circular packaging.
There company will also be working towards the development of various sustainable packaging materials, the designing self-owned warehouses based on green building concepts and installing solar panels, the increasing of the number of “momo Green Life” and locally sourced products annually, the gradual increase in the amount of green procurement as the company grows, and the promotion of sustainable consumption initiatives and enhancing consumer awareness, thereby facilitating rapid adoption and promotion.
Founded in September 2004, momo.com Inc. (momo), Taiwan’s leading
online retail brand with more than 10 million member-customers,
consists of e-commerce portals, TV, and catalog channels. In 2021, the
company initiated the “momo ecosystem” and determined to become
the “No.1 green life e-commerce in Taiwan.”
