Promoting healthy lifestyles
Ensure the availability of a wide selection of quality and healthy products to promote healthy lifestyles is one of X5's four sustainable development goals.
With due respect to the differences in tastes, lifestyles, and incomes of people, X5 is committed to improving the quality of life and providing every citizen in Russia with mo dern grocery shopping opportunities and convenient access to a diverse offering of high-quality products. X5 develops its retail chains and e-commerce channels, stimulating domestic production and fair competition. Over 40% of all Pyaterochka stores are located in cities and towns with a population below 100,000 people. The Company's footprint in these cities contributes to improving the quality of life in local communities.
To ensure high quality of products in its stores, X5 Retail Group together with its suppliers closely monitors compliance with the product safety and quality standards.
The Company is also focused on developing private labels and growing the share of direct imports. These initiatives help X5 offer a unique and high-quality product range and control the traceability and quality of goods throughout the supply and production chain.
All X5 stores have a clear set of rules and guidelines regulating product safety and quality. Quality controls include both supplier audits and in-store inspections.
To ensure that products are safe for people and the environment and meet the retail standards and consumer requirements, the Company employs Hazard Analysis and Critical Control Points principles.
In 2018, Pyaterochka implemented a project to better monitor the delivery of chilled products from suppliers to stores. As part of the project, all Pyaterochka's DCs and hubs were equipped with sensors measuring real-time temperature and humidity level.
In 2019, Pyaterochka launched the Freshness project, which is a strategic project for the format that aims to transform the entire quality control and freshness monitoring process. Changes include the introduction of a new stage of control over the freshness of products when they are dispatched from DCs to stores, store employees are responsible for removing damaged or spoiled products every hour and sorting fruits and vegetables three times a day. Furthermore, goods are now removed from the shelf before the end of the day of their expiry date.
Products for healthy lifestyles
Prioritising a healthy lifestyle has been one of the major recent trends, spurring the demand for personalised nutrition, quality natural products with clear ingredients and traceable origin, and organic and functional food free of gluten and sugar.
We respond to the needs of our customers by continuously expanding the range of fresh, organic and farm products. X5 is actively developing its Green Line private label and healthy lifestyle areas with several hundred SKUs of organic, gluten free, vegan, etc. food in Perekrestok supermarkets. Pyaterochka offers a range of healthy lifestyle products in its grocery section.
Perekrestok has established its own list of products for a balanced diet, called the Nutritious Food Basket. It includes a set of products that provide an adult with the right amounts of calories, proteins, fats and carbohydrates on a daily basis. When assembling the Nutritious Food Basket, Perekrestok experts relied on the recommendations of the World Health Organisation and the Guidelines for physiological requirements for energy and nutrients for various population groups of Russia, which are published by the Russian consumer watchdog Rospotrebnadzor. The compliance of the food items that make up the Basket with good nutrition standards has been confirmed by the National Nutrition Research Centre.
Perekrestok now has a Route of Healthy Habits. The route uses special navigation inside the store, which helps customers choose products for healthy and balanced nutrition, and at the same time motivates them to engage in responsible consumption and rational use of resources.