Areas of strength
- The company recognizes the priorities set out in the World Health Organization (WHO) Global Action Plan, as a member of the International Food & Beverage Alliance (IFBA) and the European Platform for Action on Diet, Physical Activity and Health.
- Compared to the 2013 Global Index, Ferrero now demonstrates a strategic commitment to deliver better nutrition across its business, as well as to grow through a focus on health and nutrition. Management systems are in place to implement its nutrition strategy. Moreover, Ferrero’s corporate social responsibility (CSR) report, which covers its global nutrition-related initiatives, is subject to external verification, which is a leading practice.
- Ferrero applies the International Chamber of Commerce (ICC) Framework to guide its marketing to all consumers. The company also has its own policy on marketing to children and also adheres to the IFBA, the Children’s Food and Beverage Advertising Initiative (CFBAI) and EU industry pledges. This is important given its business is focused on chocolate and confectionary products that are appealing to children. Ferrero responded to ATNF’s suggestion for improvement from the 2013 Global Index and disclosed its individual compliance levels with the IFBA and EU pledges.
- The company’s labeling commitments are applied globally, rather than just in its major markets of the U.S. and the EU, which was the case in 2013.
- Overall, there is evidence of improvement in the company’s practices compared to the findings of the 2013 Global Index, which has resulted in an improved ranking on the 2016 Global Index.
Areas for improvement
- Although Ferrero has made efforts to improve the nutritional quality of its products by reducing the levels of salt and the calories per portion, the company could further improve its practices to deliver healthier options by setting targets to increase the levels of fruits and fiber to relevant products.
- Ferrero strengthened its worldwide commitment to not advertise products to audiences with children under-12 by lowering the child audience threshold limit from 50% to 35% since the 2013 Global Index. It could further improve its practices by reducing the threshold to 25%, which some peer companies are doing. Ferrero could also refrain from advertising any of its products to children under-12 and by extending the scope of application to include areas in and near secondary schools, as well as places where children gather, as recommended by the WHO.
- The availability of Ferrero’s workplace health and wellness initiatives is limited and could be extended to all employees, as well as to their family members, globally.
- Ferrero could strengthen its approach to consumer education by commissioning and publishing independent evaluations of the outcomes of the programs it supports.
- Ferrero’s sponsorship commitments could also be extended to programs that address undernutrition focusing on high-priority, low-income countries and populations.
- Ferrero’s level of disclosure related to government and stakeholder engagement practices remains poor. The company should provide more details about its engagement activities, as well as how engagement with stakeholders has led to improvements in its nutrition policies and practices.