Before many households had refrigerators, milk was typically delivered directly to doorsteps all over the United States, first by horse-and-cart and later by truck. While from today’s perspective it may seem like a less efficient delivery approach, it did have one major benefit we can emulate in 2019: the milk bottles were made of glass. These empty glass bottles were collected, cleaned, and reused over and over again. Today, most consumers buy their milk in plastic containers or plastic-coated cardboard – which go straight into garbage or recycling bins. 80% of all plastic ends up in our oceans or landfills; there are 6.9 billion tons of plastic waste on the planet. Unfortunately, recycling isn’t anywhere near efficient enough to cope with growing economies, and it’s predicted that we’ll run out of landfill space in some states within 25 years. To address these ominous forecasts, an innovative recycling company called TerraCycle earlier this year invested $10 million in Loop, a start-up aiming to revolutionize the way we reuse packaging and make e-commerce a zero-waste operation.

How Does Loop Work?

Known as the “milkman model,” this closed-loop initiative operates through the following steps:

• Step 1: Consumers set up a Loop account from which they can order groceries from all participating brands via the Loop platform or associated stores such as Walgreens or Kroger.
• Step 2: Purchases are delivered to the consumer’s door using Loop’s waste-free delivery system.
• Step 3: Consumers pay a small deposit to receive their shopping in reusable, sustainable packaging made from glass, metal, and plastic.
• Step 4: Empty containers are collected and returned to Loop HQ for cleaning, refilling and future reuse.

Other companies like The Wally Shop and Infinity Goods offer similar services but Loop is making waves with over 25 high-profile partnerships including Nestle, Unilever, Procter & Gamble, and PepsiCo. Despite the additional round of shipping, this process is estimated to be 75% better for the environment thanks to the colossal savings made on materials and energy compared with single-use packaging.

What are the Advantages of Adopting the Milkman Model?

For consumers, it’s waste-free shopping made easy. For the brands, upfront costs include redesign and the development of hardy packaging which must be able to withstand multiple washes while still looking clean and untampered. However, these expenses are outweighed by positive brand awareness and the fact that customers will develop long-term loyalty to participating brands via a platform like Loop. This service is currently available in select zip codes in a handful of U.S. states and France, with plans to launch soon in Canada, Germany, Japan, and the UK. But could closed-loop initiatives like this be applied on an industrial scale? The automotive industry is leading the way with reusable packaging, in part because the robust materials provide safer transit for car parts and safer working environments for employees. General Motors, for example, reports it has made 142 of its facilities landfill-free, including 79 manufacturing plants worldwide. For manufacturers interested in applying the milkman model, the first step is to examine all packaging throughout your organization, from the wrapping used for consumables in the facility kitchen to the large pallets used to transport manufacturing equipment. Procurement can then work with suppliers to eliminate single-use packaging wherever possible and investigate the cost of the logistics involved in shipping empty containers back to suppliers. Whether a company such as Loop will one day offer this sort of service on an industrial scale remains to be seen. Reusable packaging is achievable, but brands that are truly committed to waste-free packaging will need to formalize their policies and standards across the board, collaborate with their suppliers, and make an upfront investment in sustainable packaging.