Good Health and Well-being
Key Performance in 2022
New products that focus on health and wellness
Sales of health New products
Sales of organic products
Product recalls that may affect consumer health
Key Progress in 2022
The project “Eat Well, Live Well, Be Happy
Developing 7-Eleven stores into “Community Wellness Centers” through eXta Drugstores (eXta Plus)
Low on Sweetness Project
Food for Health by Lotus's
Health Screening Program for Breast Cancer and Diabetes
Significantly Affected Key Stakeholders
Supporting the SDGs
Performance Against Goal
Increase the number of new health & nutrition products and services
Progress against short-term and long-term goals
Performance Summary 2022
The Proportion of Sales of Co-developed Products (Private Brand)
The Proportion of Sales of Co-developed Products
Proportion of Sales of Private Brand Products by Category
Products with an emphasis on good health and wellbeing. This is applicable to food and beverage products available at 7-Eleven, specifically only Private Brands
Product that are lowed in saturated fat, trans fats, sodium or added sugars
|2331 million Baht|
Product that contain increased nutritious ingredients
|310 million Baht|
Product that reformulated (Used alternative ingredient)
|17 million Baht|
Revenue of Products with an emphasis on good health and wellbeing. This is applicable to food and beverage products available at 7-Eleven, specifically only Private Brands
|product with reduce artificial ingredients|
|Remark : The data covers ready-to-eat food, Packaged beverages and Process food|
Revenue of Products with an emphasis on good health and wellbeing. This is applicable to Non Food products available at 7-Eleven, specifically only Private Brands
|organic products (Personal Product)||1.68%||2.07%|
|product with reduce artificial ingredients (Household Products)||0.00%||0.28%|
|products with more natural vegetable based ingredients (Household Products)||0.64%||0.81%|
|products with EU Eco Label or third party equivalent (Household Products)||1.58%||1.98%|
|Remark : The data covers Personal Products / Cosmetics and Household Products|
The number of consumable goods for good health and wellbeing in food and beverage as available in 7-Eleven stores
Total Product Focusing on Health and Wellness
The Number of Existing Products Focusing on Good Health and Wellness
The Number of New Products that focus on Good Health and Wellness
Proportion of product sales focusing on good health and wellbeing in food and beverage as available in 7-Eleven stores
Nutritional Labelling on Products
|Display nutrition labels information of international standards compliance for
100% of products
Display nutrition labels information of Guideline Daily Amounts (GDA) by the voluntary for ready-to-eat food at 34.09%
Risks and Opportunities
The right to good health is one of the fundamental rights that the Company prioritizes throughout the processes of procurement, production, and distribution. The Company recognizes the risks in delivering products that may be harmful to health, unsafe, and do not meet its standard, and that they may cause negative impacts on consumers in the long run. To facilitate access to nutritious, safe, and standardized products, the Company aims to provide knowledge about nutrition that promotes good health and well-being and develops research on products that are good for health. In addition, the Company reassessed working situations that pose risks to employees’ health due to insufficient nutrition access. The Company also prioritized supporting activities that promote good physical and mental health during work.
Amidst the situations of higher health risks, the importance of health is evident in the increasing consumption of products that promote good health and consequently gain popularity and have an increasing growth rate. The Company upgrades its capability in researching healthy products for specific niche groups of consumers, such as food products that perform a specific function in promoting various aspects of health (Functional Food), food products that contain essential nutrients and are suitable for specific lifestyles, individual health conditions, and genetics (Personalized Foods), and the Company also develops other groups of food products, e.g., preservative-free food, sugar, palm oil, no artificial color and fat-free, alternative protein food, superfood, and food with necessary nutrition-all to respond to consumers’ changing consumption behaviors and reduce consumers’ health risks, as well as to promote access to good health and well-being for communities and society.
With the corporate aspirations of “Giving and sharing opportunities” under the social strategy of “7 Go Together” and through 7 missions to give with one of the main missions is to “support and promote the quality of life for society and communities”-which includes accessibility to safe food and food with enough necessary nutrition. The Company set a health and nutrition policy to control the nutritional quality and meet food safety standards comprehensively from upstream to downstream, promote access to product information for consumers-such as production process information that complies with regulations, rules, and standards of the country through the display of details on the product label. The Company also organized activities that promote good health for consumers and other stakeholders, such as employees and communities, among others. The objective is for them to understand health risks and various diseases caused by the consumption of non-standard and non-nutritional products. The given knowledge also reinforces a behavior in choosing products that promote good health as well.
Product development is a significant operation that the Company continuously prioritizes, including supporting research collaboration between departments within the Company holding. For example, CP Food Lab Co., Ltd., Office of Product Development and Quality Assurance, as well as joint research with experts from external organizations, such as the National Science Technology and Innovation Policy Office (STI) and the Institute of Nutrition, Mahidol University.
The objective is to research food innovations and increase the nutritional value by focusing on developing healthy food and beverage product groups, as well as promoting organic products, products that reduce the use of fertilizers or chemicals to accelerate agricultural productivity. The Company also promotes beauty and cosmetic product groups and household products that contain natural components or ingredients, as well as promoting products under joint development (Private Brands)-for them to be certified by external agencies or international standards. In addition, the Company also promotes and expands food and beverage product groups aimed at reducing the amount of sugar, fat, sodium, and additives such as preservatives, food coloring, sweeteners, and antimicrobial additives (Antibiotics), among others. Moreover, the Company promotes the addition of nutritional values such as vitamin A, zinc, iodine, fiber, and iron, among others, along with the selection of quality raw materials that are responsibly sourced, certified, and traceable for products containing Genetically Modified Organisms (GMOs).
In addition, the Company has set up a continuous monitoring and review process-to ensure that the health and well-being project of the organization can achieve its short-term and long-term goals. The information can also serve as a database for Company policy development, action plan, and various research plans in the future. In 2022, the Company appointed a team of advisors to provide advice and support information on the current and future market trends and consumers, scientific knowledge, technology, and innovation, changes in law, relevant regulations, and forming a network of cooperation between the Company and the public sector. The objective is to facilitate knowledge exchange and encourage participation through the Company's research project.
Criteria for Products that are Considered Health Products
The Company is committed to developing healthy products by referring to food standards according to the announcement of the Ministry of Public Health and other relevant standards corresponding to the type of product. The prescribing criteria for health products fall into 4 categories of healthy products:
1. Fried Rice with Green Curry and Chicken Breast (Chef Cares brand)
2. Organic Green Cos Lettuce
3. Crab Stick Salad Roll with Spicy Japanese Soy Sauce Dressing
4. All Café Iced Lemon Tea (size 16 oz. and 22 oz.)
5. Pasteurized Fresh Milk Meiji High Protein 350 ml, Banana Flavor
6. Tofusan High Protein, Malt Flavor 350 ml
7. Asian Delight, Orange Flavor
Create awareness. Support Healthy Product Consumption
The Company develops health products in response to appropriate nutrition required for customers in different age groups, from young children the age of 18 months to the elderly, including those who require specific nutrition or those who require medical care. The Company cooperates with various agencies that have expertise in food-such as the National Science Technology and Innovation Policy Office (STI), Institute of Nutrition, Mahidol University, and CP Food Lab Company Limited, to jointly work on food research and development. The scope of work includes responsibility for research and development and analyzing products' nutrition for internal and external organizations, such as analyzing the amount of sodium, sugar, fat, and trans-fat, among others.
In addition, the Company required the display of nutrition labels on the products to be mandatory in accordance with the standards. A detailed list of key ingredients on how to use a product safely and recommended storage methods show that the product is easy to use. This helps consumers know the nutritional value and can avoid nutrients that may cause harm to their health, including labeling products that do not have a social and environmental impact-for example, Carbon Footprint, Animal Welfare, among others. The Company also encourages suppliers to create a label displaying the Guideline Daily Amounts (GDA) to show energy, fat, sugar, and sodium values. In 2022, the initiative covered all groups of ready-to-eat food and beverages according to the laws or regulations in the ratio of 100% and other practices that the Company adheres to in the ratio of 34.09%.
Examples of products that display nutrition labels and products labeled with GDA values for energy, fat, sugar, and sodium
The Company has followed up and examined the product labelling, and non-compliant marketing communications, or communication that violates basic laws or regulations and other regulations or guidelines that the Company adheres to, as well as products detailing key ingredients, how-to-use labelling or instructions that are not clear which may cause harm to consumers. In 2022, the Company did not report, or there is no case of detailing key ingredients, how-to-use labelling, or unclear instructions of the product. There are also no cases of non-compliant marketing communications or communication that violates basic laws or regulations and other regulations or guidelines that the Company adheres to
Management of Products with Genetically Modified Organisms: (GMOs)
The Company commits to sourcing raw materials and products that are safe for consumers, prioritizes the process of selecting raw materials from responsible sources throughout the supply chain, has a policy on GMOs, and complies with legal practices and regulations on products containing GMO ingredients announced within the country. The Company also promotes partners in selecting products through questionnaires and certification for high-risk genetically modified products required by law.
In addition, the Company supports the display of product label information detailing the ingredients of raw materials or genetically modified products-to build confidence, safety, and standard certification from reliable agencies in every product delivered to consumers.
Health and Well-being promotion program
In 2022, the Company promoted health and well-being to encourage consumers to have access to safe food and sufficient nutritional value as follows:
Under the strategy of “Product Place, People, Channel, and Technology” The Company has continuously implemented strategic projects through sub-projects as follows:
"Eat Well, Live Well, Be Happy" project
The Company implemented the "Eat Well, Live Well, Be Happy" Project to encourage access to health products for consumers in all groups, both online and offline, along with creating awareness. The project has been continuously for the 4th consecutive year. In 2022, the project was expanded to 6,930 of 7-Eleven stores in high-potential areas. The 7-Eleven stores that participated in the project have accumulated sales from food and beverage products total of 73,114 million Baht, accounting for 36.5% of sales of all 7-Eleven stores in the project. In 2023, the Company plans to incorporate the tested project practices into the operating procedures of the recruitment and sorting process for health products, as well as announce such guidelines to all 7-Eleven stores nationwide.
Tao Kae (Entrepreneurship) project: A model for community health center
The Company expanded on the "Eat Well, Live Well, Be Happy" Project into the Community Health Center by expanding the scope of access to services and health products and the added benefit of convenience via 7-Eleven stores, as well as trained pharmacists in eXta plus pharmacies and 7-Eleven stores employees as wellness advisors for the community, including developing a system to work with the ALL Pharma See application for health-related consulting services. The Company also assesses and analyses for insights to meet the needs of customers and facilitates access to good health for the community.
Low on Sweetness project
CP ALL collaborated with All Café and Kudson, Bellinee's Bake & Brew, and a private network affiliate in "Drive the Low on Sweetness phase 2" and also in collaboration with the Department of Health, Ministry of Public Health to integrate the initiatives between public and private organizations and aims for the public to change their behaviors to consume less sugary drinks, at least 50% less. The Company accomplishes this by providing a low-sugar menu as an option for health-conscious customers. The objective is to reduce the risks of non-communicable diseases (NCDs) that are caused by consumers’ behaviors and lifestyles-for example, obesity, diabetes, hypertension, heart disease, coronary artery disease, and tooth decay.
Product research and development projects for health-conscious consumers
CPRAM is committed to researching and developing new products to meet the needs of health-conscious consumers. At present, the products that have been marketed are ready-to-eat meals under the VG for Love brand. A new group of food for consumers with plant-based consumption, Plant-Based Diet under the concept of sustainable development which align with the direction of CPRAM in the 4 forms of love, namely love for health, love for animals, love for the environment, and the love for the earth. Food is divided into 5 categories as follows:
Food for Health Project by Lotus’s
Lotus’s commits to delivering good, quality, and nutritious products to meet the needs of consumers of all ages. Lotus’s focuses on developing new products as well as adjusting the original product formula to be good for health by reducing sweet, oily, and salty or adding nutrients that are essential to the body, and while the products still maintain delicious taste, hence all consumers can buy healthy products at affordable prices across all sales channels. All Lotus's food products are quality controlled, inspected, and undergone nutritional analysis. Many of the products are certified with the “Healthy Choice” logo. Lotus’s cooperates with suppliers and business partners who have expertise in the subject and build consumer awareness, both in terms of information that appears on the product label, information on health and well-being through all communication channels, and various activities to make decision-making easier for consumers to choose healthy products.
|Build the mindset of “Delicious. Good Health. Every day at Lotus’s”||Develop healthy products||Build awareness in all communication channels|
Lotus’s is committed to continuously developing and producing products for health. Examples of Lotus’s products (own brand) developed according to the criteria for healthy alternatives that have received continuously good feedback from consumers in terms of quality, taste, and nutritional value, such as whole wheat bread and ice cream.
In 2020-2022, the Company increased the selection of healthy products, both the development of new products and adjusting product formulas, such as for sorbet ice cream and frozen dessert products using isomaltulose. In 2022, 17 products of Lotus's own brands have been certified as a healthy alternatives in 2 product groups. Additionally, Lotus’s has stopped using partially hydrogenated oils, the main source of trans fats in all of Lotus’s own brands for food products, including initiating a project to purchase products directly from farmers to ensure the quality and safety of fresh food sold to customers from upstream to downstream.
Health Screening Program
Lotus’s promotes public access to basic health services and encourages Thai people to have good health and well-being by eating healthy, quality, and safe food-as well as access to services and knowledge on health through Lotus’s Stores and online platforms, and Lotus's also supports exercise and regular health check-ups.
Product quality and safety: the process from the source of raw materials until the product reaches the hands of consumers
CP ALL ensures product quality and safety throughout the supply chain
To ensure that the products delivered to customers are of high quality, hygienic and safe. The Company has set standards for quality control in every step, from planting, producing, receiving products, organizing, and distributing products, including distribution and service at 7-Eleven stores. The details are as follows:
|1. Inspection for food safety since cultivation||Product Development and Quality Assurance Divison in CP ALL provides knowledge and management methods to reduce contaminants problems for SMEs in quality control contamination management and how to reduce contaminants in raw materials before being used in the production process and then to be sold in 7-Eleven stores. In the year 2022, the Company was in collaboration with the manufacturer of Baked Spinach and Cheese products and determined measures to separate contaminants from raw materials before going through the production process and initiated seeking more areas to grow spinach in the country. The Company also promotes the cultivation of selected spinach varieties, specifically to produce good-tasting and good-quality baked spinach, as well as providing advice on every step of cultivation and harvesting spinach and the production process with quality and safety|
|2. Quality Control and food safety inspection throughout the delivery and distribution process||Quality inspection agency in the distribution center Quality inspection staff inspect the quality and arrangement of the goods during the delivery of goods. In the case of temperature-controlled products, the temperature inside the cold storage will be checked, including controlling the quality and temperature of the transport vehicle to meet the standards. If the specified standards are not met, the products are reassessed on the delivery status of whether to deliver to 7-Eleven stores. In 2022, there is 0.02% of products damaged during the receiving process, arranging, and distributing process|
|3. Quality Control Create safety and confidence in every service||
Quality Systems Solutions & Initiatives (QSSI) for stores Inspection for the service management and product quality, which is scheduled to be inspected monthly. In 2022, the Company upgraded its auditing standards. Quality Systems Solutions & Initiatives (QSSI) for stores according to the SAVEQC policy and adjust the points system by giving more importance to parts that affect customers. The objective is to raise awareness for the Stores to maintain the standards of stores and for them to provide customer service to the point of satisfaction. The store's standard score is 93.94%
Quality Assurance Unit (QA) The Company set standards for improving product quality and service quality management by randomly inspecting standards and assessing complaints issues in the past, including random inspection of product quality, cases of non-compliance with the law, proactive product regulation, or labeling. If a non-standard product is found, it will be recalled. In 2022, there was a total of 113 cases, accounted for 164 SKUs of recall of products that did not meet standards or did not comply with the law and regulations, and a total of 65 cases product recalls from customer complaints, accounted for 86 SKUs
Makro implemented product quality and safety throughout the supply chain
|1. Up-stream: Food safety from farm||To raise the level of agricultural products in line with the brand standards of MQP (Makro Quality Pro) and Selected, which are standards for the Company's food safety management system. The products under the said brand will be selected from orchards or farms that have received Good Agriculture Practice (GAP) standards, along with product inspection at every stage of production, including quality in various aspects, such as size and sweetness, among others. Therefore, the Company has prepared Makro Initiative Accreditation (MIA) or guidelines for producing agricultural products in accordance with Makro's standards and announced them to farmers' groups and suppliers. They can do self-assessments that can be conducted both online and offline, which enhances production knowledge and delivers standardized products to consumers. From the implementation of the project, at present, more than 350 of farmers and suppliers (100%) have received the MQP and Selected brand standards|
|2. Mid-stream: Control food safety along the distribution process||Therefore, the MIA system was further developed to be used in the evaluation of the Company's distribution centers and distribution centers in order to prepare for standard certification application
1) Good Hygiene Practice (GHP)
2) International Food Standards (Codex) of the Food and Agriculture Organization and the World Health Organization
3) Hazard Analysis and Critical Control Point (HACCP)
4) Food Safety Management System Standards (ISO 22000:2018)
|3. Downstream: Product traceability||In addition to producing products that meet the standards of farmers and trade partners and offering quality products for consumers, the Company adopted a system that facilitates tracing the origin or raw materials and product nutrition information, namely the Makro i-Trace, which able to trace products in the fresh food category and bakery category, totaled 8,173 items, accounted for 100% of Under aro brand. In addition, the Company has also expanded the application of the Makro i-Trace system to Stores in the Republic of the Union of Myanmar|
Metric used to determine the compensation of executive members
The company cascaded the corporate KPIs to designated functions. A few KPIs are joint KPI for the performances that required cross-functional collaboration. The executives, who are responsible for the sales of the health products and new healthy product development, are Chief Merchandising Officer (CMO), Chief Research and Development Quality & Assurance (RDQA), and General Manager of Product Development Division. To achieve this target, it reflects in their 15%, 15%, and 10% weight in the respective executives’ performance evaluation (KPIs).
Produce Recall Process
Performance Data of Health & Well Being
|GRI Standared||Required Data||Unit||2019||2020||2021||2022|
|Health and Well-Being|
|G4-FP6||Percentage of total sales volume of consumer products, that are lowered in satured fats, trans fats, sodium, sugars and added sugars||Percentage||3.12||1.32||2.33||28.00|
|- Ready to eat||3.12||0.15||1.88||22.58|
|- Packaged Beverage (exc. Alcoholic)||0.00||1.16||0.46||4.13|
|- Process food||0.00||0.00||0.00||1.30|
|G4-FP7||Percentage of total sales volume of consumer products, that contain nutrition ingredients like fiber, vitamins, minerals, photochemicals or functinal food additives||Percentage||0.00||6.93||1.09||3.73|
|- Ready to eat||0.00||1.01||1.05||1.77|
|- Packaged Beverage (exc. Alcoholic)||0.00||5.92||0.05||1.93|
|- Process food||0.00||0.00||0.00||0.04|
|Percentage of total sales volume of consumer products that are renovated/reformulated||Percentage||5.66||7.55||0.75||0.21|
|- Ready to eat||3.80||2.21||0.75||0.21|
|- Packaged Beverage (exc. Alcoholic)||1.86||5.33||0.00||0.00|
|- Process food||0.00||0.00||0.00||0.00|
- The reporting data is covered only scope of private brand (PB) that sells through various CP ALL’s channels both online and offline
- The reporting data is covered the products that certified “healthier choice”, and the formula adjusted products that aligned with the laws and the international/local accepted standards i.e. Notification of the Ministry of Public Health (No. 182) B.E.2541