The rising importance of Scope 3 in retail: What is the Common Data Framework
A new methodology to help retailers in gathering, aligning and reporting data has been released.
The Consumer Goods Forum’s Climate Transition Coalition has launched the Common Data Framework (CDF), with the support of Boston Consulting Group, which aims to reduce inefficiencies and align industry efforts in data collection and reporting, particularly around emissions and deforestation- and conversion-free (DCF) sourcing(1).
The authors advise that the way emissions and deforestation data is collected and reported is fragmented. Retailers ask for different metrics, in different formats, using different methodologies, which creates inefficiencies for suppliers and retailers and limiting the usefulness of the data collected, particularly for the complex Scope 3 element.
Scope 3 foundation
The CDF solves this by creating a shared foundation for what emissions and deforestation data retailers request and how they use it. Developed by the Climate Transition Coalition, the framework focuses on the most critical metrics: Scope 3 category 1 emissions and deforestation- and conversion-free (DCF) sourcing.
The framework is designed to help retailers by also providing a transitional roadmap with clear guidance on:
What the most common use cases are for emissions and deforestation data
What level of detail in reporting is required to support those use cases
How to validate the data retailers collect and lay the groundwork for harmonization
Which KPIs to measure internally
The CDF aims to help in the alignment of leading retailers around common standards, which should reduce reporting burden, improve data quality, and accelerate action across global value chains.
The framework offers retailers common standards on two crucial topics:
Scope 3 category 1 emissions
Deforestation- and conversion-free (DCF) sourcing
The new framework enables retailers to assess current maturity on data reporting and to anchor their respective emissions and deforestation data collection to the framework’s common standard, already adopted by leading retailers.
The Coalition also defines criteria for selecting the right data partner, including how retailers should assess potential partners’ technical foundation, methodology transparency, reporting and analytics capabilities, and commercial credentials.
The CGF hopes the new guide will help retailers provide more consistent data, scale up supplier engagement and improve traceability as their businesses grow.
The CGF is a global, parity-based industry network where members encourage the global adoption of best practices and recommended standards which serve the consumer goods industry worldwide.
Members are the CEOs and senior management of around 400 retailers, manufacturers, service providers, and other stakeholders across 70 countries, reflecting diversity of the industry in geography, size, product category and format.
Member companies have combined sales of EUR 4.6 trillion and directly employ nearly 10 million people, with a further 90 million related jobs estimated along the value chain. It is governed by its Board of Directors, which comprises more than 55 manufacturer and retailer CEOs(2).
Key CDF points:
Start with a small number of metrics with the option to expand
Initial iteration will ask for the most critical few sustainability metrics rather than cover all metrics
Support emerging regulatory requirements
Transitional roadmaps will facilitate retailer compliance with emerging regulatory standards
Meet retailers where they are in their sustainability journey
Metric collection is flexible to companies' varying sustainability maturity levels and strategic use cases
Do not add to suppliers’ and retailers’ reporting burden
Framework will recommend collecting a limited number of data points directly aligned to retailers’ use cases.
Wai-Chan Chan, Managing Director of the CGF, advises: “Our industry faces wide ranging challenges and pressures. We are all looking for opportunities to future-proof supply chains, limit the risks of disruption, and ultimately drive growth.
“Our new Common Data Framework is one example of how the CGF supports our members’ through synchronising industry efforts and sharing best practices. This is a first step to tackling the widespread challenge of inefficient data collection and reporting, paving the way for systematic, industry-wide transformation.”
The Coalition will continue to refine the framework and its guidance, identify opportunities to align supplier data requests, and connect with cross-industry platforms on data sharing, in collaboration with the CGF’s Data Driven Value Chain (DDVC) Team.
Scott Price, CEO, DFI Retail, Group co-sponsor of the Climate Transition Coalition, advises: “Collaborating with the CGF on the Common Data Framework enables us to help retailers and CPGs align and standardise data sharing, while also simplifying processes for our diverse and fragmented supplier base in Asia.
“In markets where suppliers often face resource constraints, the framework can help reduce administrative complexity and foster greater efficiency and collaboration. This would allow suppliers to prioritise growth and innovation, while providing retailers such as ourselves with decision-useful data to advance key use cases across our business.”
The framework was announced at the CGF’s Global Summit in Amsterdam during the “Climate Transition – Accelerating Emissions Reduction” session. The event brought together industry leaders to share progress and challenges on the path to carbon neutrality and to showcase how collective action through the Climate Transition Coalition is driving practical, scalable solutions.
Bibliography
1 ‘The Consumer Goods Forum launches new framework to help the industry align on emissions and deforestation data’ (Accessed July 2025) https://www.theconsumergoodsforum.com/press_releases/the-consumer-goods-forum-launches-new-framework-to-help-the-industry-align-on-emissions-and-deforestation-data/
2 ‘A Thriving Global Membership’ (Accessed July 2025) https://www.theconsumergoodsforum.com/who-we-are/overview/