Kering Centralises its Sourcing to Slash Emissions by 34%

Kering reduced carbon emissions by 34% between 2022 and 2025 by transforming its procurement strategy and raw material sourcing. The luxury fashion group focused on supplier relationships and centralised purchasing platforms to achieve near-complete visibility of its supply chain.

According to Kering, Scope 3 emissions account for 98% of its total carbon footprint. The company said its procurement transformation addressed manufacturing logistics and raw material sourcing to cut absolute emissions across all scopes.

The reductions could show how procurement functions can address environmental targets while maintaining commercial performance. Kering outlined its strategy in its new 10-year Impact Report, which details the progress made across its portfolio of luxury brands.

"The external recognition and progress we have achieved in operationalising our environmental and social goals over the past decade stem from embedding sustainability at the very core of our Group," says Marie-Claire Daveu, Chief Sustainability and Institutional Affairs Officer at Kering.

Centralised procurement platforms deliver traceability

Kering secured 97% traceability and 86% alignment with its standards for key raw materials. The company developed Kering Standards for Raw Materials and Manufacturing Processes to define criteria for sustainable sourcing across its brands.

The standards were developed with internal and external experts to align with scientific recommendations for traceability, social welfare, environmental protection, animal welfare and chemical use. The framework provides suppliers with a roadmap for meeting the group's requirements.

Kering created an internal purchasing platform to help its brands manage resources and streamline procurement. The platform increased sourcing that fully aligns with Kering Standards criteria for some raw materials.

The company said the system benefited suppliers through longer-term commitments. This could mean greater security for partners and encourages investment in sustainable practices that deliver measurable environmental improvements.

The Kering Gold Platform launched in 2017 as a centralised hub for purchasing ethical gold. All gold in the group's collections aligns with its Kering Ethical Gold Framework. The platform was extended to silver and platinum in 2022.

Supplier partnerships for regenerative materials

Kering launched its Accelerator for Regenerative Materials initiative in 2024 to source regenerative materials for its brands. The programme covers cotton, wool and cashmere.

The company pre-reserves regenerative raw materials from Tier 4 suppliers around the world. Kering works with textile suppliers in Italy, from Tier 3 to Tier 1, to ensure segregation and full traceability throughout its value chain.

According to Kering, 118 tonnes of regenerative materials have been pre-reserved through this mechanism. This represents around 5% of the textile fibres purchased by its brands.

The procurement model could show how fashion groups can secure sustainable materials while maintaining supply chain transparency. Kering collaborated with over 225 start-ups spanning alternative materials, efficient manufacturing, emerging technologies and circular economy solutions.

Digital tools support circular sourcing

Kering launched a Circular Hub in 2022 to support sustainable sourcing of materials. Fashion brand Gucci integrated predictive AI to achieve greater manufacturing and resource efficiency.

In 2024, the company launched an internal circular ecosystem to exchange leftover leather and textiles across Kering's fashion houses. The system could mean reduced waste and improved resource utilisation across the group's brands.

"From the outset, Kering's approach to sustainability has been as a pioneer, pushing the boundaries of conventional commitments and practices to accelerate our ambitions," says Luca de Meo, CEO at Kering.

"We are proud of the tangible progress achieved across our Group over the past ten years, as well as the broader impact we have created within luxury and the fashion industry through the coalitions we established."

Supplier decarbonisation programmes replace audits

Kering supports its suppliers to decarbonise rather than simply auditing their performance. According to the company, 29% of partner energy consumption was covered by a structured decarbonisation plan by the end of 2025.

The approach could show how procurement teams can support supplier development rather than impose compliance requirements. Kering said sustainability creates long-term value for all stakeholders.

Marie-Claire adds that sustainability issues are interconnected and require flexibility, innovation and collective action at scale. She said Kering will act more decisively to meet the challenges and opportunities ahead.

"Our ambition and resolve are stronger than ever," she says.