Burberry to stop destroying unsold products and phase out fur
Jakarta / Fri, September 7, 2018 / 07:02 am
Burberry Group Plc plans to stop destroying unsold items after shareholders objected to the disposal of millions of pounds worth of goods. The company also plans to stop using fur, in a bid to boost its sustainability credentials.
The London-based clothes and accessory maker destroyed almost 29 million pounds ($37 million) worth of goods in 2018, according to the annual report released in July. The figure jumped from 19 million pounds in 2016, and investors voiced their disapproval at the most recent annual meeting.
The practice is widespread in the luxury-goods industry as brands seek to maintain their exclusivity by keeping unwanted products from ending up in discount outlets. Burberry said it will increase efforts to reuse, repair, donate or recycle unsaleable products.
“Modern luxury means being socially and environmentally responsible,” Burberry Chief Executive Officer Marco Gobbetti said in a statement. “This belief is core to us at Burberry and key to our long-term success.”
The debut collection of Burberry’s new designer, Riccardo Tisci, will not contain any real fur, and its use in existing products is to be phased out, the company also said.