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Plastic Bags Are Making a Comeback. Will It Last?

Back in vogue. After decades of bitter fights, environmentalists seemed to be winning the war against single-use plastics in recent years, with cities around the world banning or taxing them. Then the coronavirus arrived, raising fears that reusable goods might lead to infections. The impact has been swift. From Maine to Hawaii, plastic-bag bans have been suspended or postponed. In San Francisco, reusable shopping bags — once totems of the city's vibrant commitment to sustainability — have simply been outlawed. These reversals have sparked deep concern among activists. Some fear the bans will never be reinstated; others that reusable products may be permanently tainted as “unsafe.” The good news is that activists aren’t the only ones demanding more sustainable packaging these days. So are consumers — and some of the world's biggest corporations are paying attention. Campaigns against consumer plastics date roughly to the discovery of the Pacific garbage patch in 1988. The environmental movement was soon galvanized, and single-use plastics — especially grocery bags and straws — became a focus of global activism. Much of this was misdirected. According to the Environmental Protection Agency, plastic bags and wraps amounted to only about 0.3% of all the waste generated by homes and businesses in 2010. By comparison, containers and packaging make up about 30%. Nonetheless, the proliferation of ocean plastic has worried consumers well beyond San Francisco. Last year, a survey of 6,000 people in 11 countries found that 77% perceived plastics to be the "least environmentally-friendly packaging material.” Perhaps unsurprisingly, 72% said they're buying more environmentally friendly products than they were five years ago, and 83% thought it was important for companies to design products that can be reused or recycled. Those shifting perceptions haven’t gone unnoticed by consumer brands. Over the past decade, some of the biggest have adopted ambitious sustainability agendas. In 2017, Apple Inc. rolled out an aggressive strategy to embrace sustainable paper and cardboard, which resulted in a 30% reduction in plastic use in iPhone 7 packaging. The next year, nearly 300 global organizations, including companies such as Nestle SA, Mondelez International Inc. and Colgate-Palmolive Co., pledged to eliminate unnecessary plastic packaging entirely. Some of those commitments may not amount to much. But the broader trend is unmistakable. For example, last May, 5,000 U.S. households gained access to a zero-waste e-commerce site called Loop. It offers brand-name products packaged in custom-designed glass and metal containers, which the company will deliver to your doorstep in reusable tote bags. Once you’re done with them, Loop will collect all the packaging for washing and refilling. Tom Szaky, the chief executive officer of TerraCycle, the company behind the site, told me that the experience isn't all that different from throwing stuff out; it asks almost nothing of the consumer. Loop isn’t making much money to start. But its animating idea — that reuse should be as easy as throwing something away — is powerful enough that some very big consumer-goods companies are now designing packaging specifically for the site. Want Clorox wipes delivered in a reusable metal container? Loop has them. Want the same experience with Haagen-Dazs ice cream or Pantene shampoo? Loop has those too, along with products from 400 other brands. It also has a waiting list of would-be shoppers that's about "100,000 long," Szaky says. Later this year, the company will start offering pick-up-and-return services at retail outlets around the world. "Manufacturers are promising recyclability and reusability," Szaky told me during a Zoom session, "and we're the easiest way to do it." Loop may or may not be successful in the long-term. But the fact is, consumers everywhere are expressing a clear preference for sustainability — and brands are increasingly responsive. Whatever happens with plastic-bag bans, it’s highly likely that this dynamic will ensure that single-use plastics continue to fade from the marketplace. The coronavirus, for all of its challenges, won't change that hopeful trend.

Plastic Bags Are Making a Comeback. Will It Last?

Back in vogue.After decades of bitter fights, environmentalists seemed to be winning the war against single-use plastics in recent years, with cities around the world banning or taxing them. Then the coronavirus arrived, raising fears that reusable goods might lead to infections. The impact has been swift. From Maine to Hawaii, plastic-bag bans have been suspended or postponed. In San Francisco, reusable shopping bags — once totems of the city's vibrant commitment to sustainability — have simply been outlawed. These reversals have sparked deep concern among activists. Some fear the bans will never be reinstated; others that reusable products may be permanently tainted as “unsafe.” The good news is that activists aren’t the only ones demanding more sustainable packaging these days. So are consumers — and some of the world's biggest corporations are paying attention. Campaigns against consumer plastics date roughly to the discovery of the Pacific garbage patch in 1988. The environmental movement was soon galvanized, and single-use plastics — especially grocery bags and straws — became a focus of global activism. Much of this was misdirected. According to the Environmental Protection Agency, plastic bags and wraps amounted to only about 0.3% of all the waste generated by homes and businesses in 2010. By comparison, containers and packaging make up about 30%. Nonetheless, the proliferation of ocean plastic has worried consumers well beyond San Francisco. Last year, a survey of 6,000 people in 11 countries found that 77% perceived plastics to be the "least environmentally-friendly packaging material.” Perhaps unsurprisingly, 72% said they're buying more environmentally friendly products than they were five years ago, and 83% thought it was important for companies to design products that can be reused or recycled. Those shifting perceptions haven’t gone unnoticed by consumer brands. Over the past decade, some of the biggest have adopted ambitious sustainability agendas. In 2017, Apple Inc. rolled out an aggressive strategy to embrace sustainable paper and cardboard, which resulted in a 30% reduction in plastic use in iPhone 7 packaging. The next year, nearly 300 global organizations, including companies such as Nestle SA, Mondelez International Inc. and Colgate-Palmolive Co., pledged to eliminate unnecessary plastic packaging entirely. Some of those commitments may not amount to much. But the broader trend is unmistakable. For example, last May, 5,000 U.S. households gained access to a zero-waste e-commerce site called Loop. It offers brand-name products packaged in custom-designed glass and metal containers, which the company will deliver to your doorstep in reusable tote bags. Once you’re done with them, Loop will collect all the packaging for washing and refilling. Tom Szaky, the chief executive officer of TerraCycle, the company behind the site, told me that the experience isn't all that different from throwing stuff out; it asks almost nothing of the consumer. Loop isn’t making much money to start. But its animating idea — that reuse should be as easy as throwing something away — is powerful enough that some very big consumer-goods companies are now designing packaging specifically for the site. Want Clorox wipes delivered in a reusable metal container? Loop has them. Want the same experience with Haagen-Dazs ice cream or Pantene shampoo? Loop has those too, along with products from 400 other brands. It also has a waiting list of would-be shoppers that's about "100,000 long," Szaky says. Later this year, the company will start offering pick-up-and-return services at retail outlets around the world. "Manufacturers are promising recyclability and reusability," Szaky told me during a Zoom session, "and we're the easiest way to do it." Loop may or may not be successful in the long-term. But the fact is, consumers everywhere are expressing a clear preference for sustainability — and brands are increasingly responsive. Whatever happens with plastic-bag bans, it’s highly likely that this dynamic will ensure that single-use plastics continue to fade from the marketplace. The coronavirus, for all of its challenges, won't change that hopeful trend.

Plastic Bags Are Making a Comeback. Will It Last?

Back in vogue. After decades of bitter fights, environmentalists seemed to be winning the war against single-use plastics in recent years, with cities around the world banning or taxing them. Then the coronavirus arrived, raising fears that reusable goods might lead to infections. The impact has been swift. From Maine to Hawaii, plastic-bag bans have been suspended or postponed. In San Francisco, reusable shopping bags — once totems of the city's vibrant commitment to sustainability — have simply been outlawed. These reversals have sparked deep concern among activists. Some fear the bans will never be reinstated; others that reusable products may be permanently tainted as “unsafe.” The good news is that activists aren’t the only ones demanding more sustainable packaging these days. So are consumers — and some of the world's biggest corporations are paying attention. Campaigns against consumer plastics date roughly to the discovery of the Pacific garbage patch in 1988. The environmental movement was soon galvanized, and single-use plastics — especially grocery bags and straws — became a focus of global activism. Much of this was misdirected. According to the Environmental Protection Agency, plastic bags and wraps amounted to only about 0.3% of all the waste generated by homes and businesses in 2010. By comparison, containers and packaging make up about 30%. Nonetheless, the proliferation of ocean plastic has worried consumers well beyond San Francisco. Last year, a survey of 6,000 people in 11 countries found that 77% perceived plastics to be the "least environmentally-friendly packaging material.” Perhaps unsurprisingly, 72% said they're buying more environmentally friendly products than they were five years ago, and 83% thought it was important for companies to design products that can be reused or recycled. Those shifting perceptions haven’t gone unnoticed by consumer brands. Over the past decade, some of the biggest have adopted ambitious sustainability agendas. In 2017, Apple Inc. rolled out an aggressive strategy to embrace sustainable paper and cardboard, which resulted in a 30% reduction in plastic use in iPhone 7 packaging. The next year, nearly 300 global organizations, including companies such as Nestle SA, Mondelez International Inc. and Colgate-Palmolive Co., pledged to eliminate unnecessary plastic packaging entirely. Some of those commitments may not amount to much. But the broader trend is unmistakable. For example, last May, 5,000 U.S. households gained access to a zero-waste e-commerce site called Loop. It offers brand-name products packaged in custom-designed glass and metal containers, which the company will deliver to your doorstep in reusable tote bags. Once you’re done with them, Loop will collect all the packaging for washing and refilling. Tom Szaky, the chief executive officer of TerraCycle, the company behind the site, told me that the experience isn't all that different from throwing stuff out; it asks almost nothing of the consumer. Loop isn’t making much money to start. But its animating idea — that reuse should be as easy as throwing something away — is powerful enough that some very big consumer-goods companies are now designing packaging specifically for the site. Want Clorox wipes delivered in a reusable metal container? Loop has them. Want the same experience with Haagen-Dazs ice cream or Pantene shampoo? Loop has those too, along with products from 400 other brands. It also has a waiting list of would-be shoppers that's about "100,000 long," Szaky says. Later this year, the company will start offering pick-up-and-return services at retail outlets around the world. "Manufacturers are promising recyclability and reusability," Szaky told me during a Zoom session, "and we're the easiest way to do it." Loop may or may not be successful in the long-term. But the fact is, consumers everywhere are expressing a clear preference for sustainability — and brands are increasingly responsive. Whatever happens with plastic-bag bans, it’s highly likely that this dynamic will ensure that single-use plastics continue to fade from the marketplace. The coronavirus, for all of its challenges, won't change that hopeful trend.

Loop’s zero-waste everyday product delivery service is expanding to the whole U.S.

The platform, which ships things like ice cream in metal containers you then send back for reuse, is expanding this summer, after a huge surge during the pandemic.

If you’ve started buying basic supplies like shampoo and toothbrushes online during the pandemic, you may notice that you’re creating a lot of extra waste in your house. But soon you’ll also be able to buy versions that come with sustainable, reusable packaging. Loop, the milkman-style platform that partners with big brands to offer subscriptions to common products like Tide detergent in reusable packaging, will expand its delivery service across the contiguous U.S. early this summer. The startup, which began its first pilots in and around New York City and Paris in 2019, has seen record sales in March and April as consumers have turned to e-commerce to avoid shopping in crowded stores. The expansion is a response to demand from customers, but also offers an alternative to recycling at a time when the recycling industry is struggling even more than it already was. [Photo: Loop] “We’re in a waste crisis,” says Tom Szaky, Loop’s CEO, who is also CEO of Terracycle, the recycling company that first helped launch the new platform. “That’s only worse because of COVID. During COVID, recyclers are hurting even more because oil is at an extreme low, so it makes it hard for recyclers to compete. And many are struggling because of health and safety—recycling is crashing during COVID.” Instead of shipping products in packages designed for a single use before recycling (or going straight to landfill), the platform sells products in packages designed for multiple reuses. When a container is empty, a consumer drops it in a shipping tote, schedules a pickup, and then sends the packaging back to be fully sterilized and then repackaged for another customer. Reuse has faltered in some cases during the coronavirus outbreak—some grocery stores have banned reusable bags, and some coffee shops have stopped reusable cup programs. But Szaky says that hasn’t been the case for Loop. “We’re learning that consumers are comfortable with reuse during COVID, which is very important,” he says. “If you give a coffee cup to a barista at a Starbucks, it has no dwell time, no health and safety protocol, and no cleaning. So it’s pretty bad. In Loop, it’s a professional reuse system, which has all of those three things in a very, very big way.” The platform now offers around 200 products that major brands have redesigned for reuse, either in the packaging or the product itself. A new toothbrush from Oral B called Clic has a reusable base and a head that snaps off to be sent back for recycling. Pantene shampoo comes in a lightweight aluminum bottle instead of plastic. Puretto, Loop’s in-house brands, sells snacks like chips and pretzels in stainless steel tubs instead of plastic bags. The design process for each item takes months; a tub designed for Häagen-Dazs ice cream, for example, uses a unique structure that works in the system, but also keeps ice cream colder longer. Four hundred brands have now signed onto the platform and are working through the process of developing new packaging for their products. As the company tracks where orders are most popular across the country, that will help its retail partners—Kroger and Walgreens—decide where to prioritize offering the same platform in stores later this year.

Earth911 Podcast: Sustainable Home Shopping With Loop

Are you thinking about shopping with home delivery during the lockdown? You need to know Loop, the home grocery delivery service that picks up and recycles what you buy when you are done. Earth911 talks with Benjamin Weir, North American business development manager at Loop. Launched by TerraCycle, the innovative recycling company, Loopstore.com currently offers 173 food and personal care products to customers in the U.S. Northeast and in France. Like the traditional milkman, Loop drops off and picks up product packaging. The packages are cleaned and reused by TerraCycle. No mess, lots less recycling hassle. The Loop Häagen-Dazs container can be reused without recycling Loop has developed new returnable and reusable packaging for products that include a steel Häagen-Dazs ice cream pint, Tide purclean detergent, and Love Beauty Planet personal care products. Customers receive their orders in an insulated tote bag, which is picked up when full by UPS and returned to TerraCycle. Weir explains that customers typically have two totes “in motion.” The company will expand service in the U.S. and Europe during 2020; it also is working to expand its product selection. We also discuss how Loop is working with its partners to reduce customer and worker exposure to potential coronavirus infection.

Sustainable packaging goes beyond traditional recycling

When buying food and beverage items, consumers are looking for delicious treats and drinks, but younger consumers are also looking to enjoy products that can help the environment. The average consumer is more aware that single-use containers, often made of plastic, are negatively affecting the environment. A Consumer Brands Association report found 86% of Americans believe we are experiencing a packaging and plastic waste crisis. What are producers doing to address this crisis? CPG brands create their own sustainability solutions Most legacy food and beverage companies have set sustainability goals for their organizations. Many of those goals include increased availability of products that come in sustainable packaging. ConagraNestle and Unilever all made recent pledges to increase sustainable materials in their packaging over the next five years. Conagra intends to make all of its plastic containers renewable, recyclable or compostable while Nestle and Unilever both signed the European Plastics Pact, which designates that participants are committed to boosting the recycled plastic content for single-use products and creating reusable packaging. In California, PepsiCo is testing a better substitute for plastic rings on beverage six-packs: molded pulp and paperboard packaging. This trial demonstrates how CPG producers are working to address customer desires for sustainable packaging that still fills the durability needs of companies. “[W]e’ve worked collaboratively with our suppliers to ensure the two solutions that we’re testing meet the needs of our consumers and customers while also addressing our functionality and sustainability requirements,” Emily Silver, PepsiCo Beverages North America’s vice president of innovation and marketing capabilities, said to BeverageDaily. While many brands are creating their own packaging solutions or reducing their virgin plastic use, several are also investing in a broader eco-friendly packaging infrastructure. Nestle is planning to purchase roughly $1.6 billion worth of recycled plastic over the next five years, and Perrier has launched an investment program for startups that are developing packaging options that have a “positive environmental and social impact.” Loop takes reusing to the masses Rather than simply reducing or recycling virgin plastic, some companies are addressing waste by offering accessible, reusable packaging. Recycling business TerraCycle debuted its circular delivery service Loop to consumers in 2019, and it is currently available in Paris, France, and the northeast region of the US. Loop’s online platform allows users to shop for consumer packaged goods products in reusable packaging from a variety of brands, which are shipped in a reusable container -- the Loop Tote -- that rids the need for single-use shipping materials. “While disposable design focuses on making our packaging as cheap as possible, durable design focuses on making containers as long lasting as possible, allowing us to access unparalleled materials, design, and function,” the Loop site states. After using up the products, Loop customers return the empty packaging via free UPS pickup where it is returned to Loop to be cleaned and disinfected in preparation for reuse. “Customers are demanding that brands step up and provide solutions that produce less waste,” said Loop Publicist Eric Rosen. “Brands are responding to this push by investing in sustainable packaging solutions such as Loop’s reuse model.” The service is currently available online, but Loop products will be available in Walgreens and Kroger retail locations in the US later in 2020. Once Loop products arrive at retail, customers will also be able to make in-store returns of reusable containers instead of shipping them. Loop’s brand partners include food brands such as Haagen DazsHidden ValleyTropicana and Chameleon Cold Brew. The service also offers personal care and cleaning products from brands such as GilletteDoveTide and Clorox. Rosen said that Loop welcomes participation from any type or size of CPG brand as long as they are committed to transforming their packaging from single-use to multi-use. “One challenge is redesigning packaging that lasts many reuse cycles,” Rosen said. “Brands must find the right material and design to suit their product. TerraCycle acts as a consultant for the packaging development process and tests all packaging for cleanability and durability prior to approval in the platform.” Rosen also revealed that Loop will be expanding internationally in 2020. Loop will partner with Tesco in the UK, Loblaws in Canada and Aeon in Japan. The platform also plans to be available in Germany and Australia in 2021. “Consumers can support brands that are taking the next step from recyclable packaging to reusable packaging,” said Rosen. “[R]ecycling is never going to be enough to solve waste at the root cause.”  

They’re Fixing The World’s Plastic Problem Using ‘The Milkman’ Concept – With All Your Favorite Products

For several generations of young Americans, the idea of a ‘milkman’ is a completely foreign concept. But if you lived in the 40s, 50s, and 60s, and you were in the middle-class, you likely had a delivery truck dropping off fresh bottles of milk on your front porch—and you would leave the empties outside to be picked up. It was super convenient—and, better yet, there was no waste generated in the process. With tons of plastic containers overrunning landfills, and an innovative partnership of consumer brands emerging, the milkman idea of circulating containers is making a comeback. Loop launched in Paris and New York one year ago as a company that ships customers their favorite products packaged in reusable stainless steel or glass containers to be collected later for cleaning and refilling—just like your grandfather’s milk. They quickly expanding their operation to cover much of the U.S. Mid-Atlantic region, and this month Loop will be bringing their pioneering business model to the UK, a move they hope will make them the biggest eliminator of single-use plastics in the global grocery market. They also announced plans to expand soon into Canada, Germany, and Japan. Loop teamed up with some of the biggest consumer industry giants to create eco-versions of hundreds of popular products like Tropicana, Haagen-Dazs, or Hellmann’s mayonnaise; cleaning products like Tide and Clorox wipes; and skin and hair care essentials like deodorants, from companies like Dove, Pantene, L’Oreal, and Crest. Procter & Gamble, Loop’s biggest partner, which also owns a 2 percent stake in the enterprise, tapped into 10 of its most iconic brands as part of the Loop 2019 launch, including Ariel, Cascade, Crest, Febreze, Gillette, Pantene, Pampers, and Tide, according to GreenBiz. Image by Loop Stateside, the refillable products are available at Kroger and Walgreens, in addition to the online Loop store, and they cost nearly the same as their plastic counterparts, except for the cost of a deposit. Founded by the brilliant recycling company TerraCycle, Loop plans to expand across the U.S. this year where more consumers in specific zip codes can place empties inside their Loop insulated zipper tote on the doorstep—to be picked up, washed, and reused. In France, where Loop has already partnered with Carrefour—one of the largest grocery chains in Europe, consumers pay a small deposit on the items purchased, in case the packages aren’t returned later. This includes small bottles, where a deposit might only be a few cents, or large tubs that might contain laundry soap or paper towels. 1953 photo by Ben van Meerendonk / AHF, collectie IISG, Amsterdam When asked about the hefty carbon footprint of shipping the products all over the country and then shipping them back for washing and refilling, Loop’s founder, the mastermind of Terracycle, Tom Szaky, explained that if you add up all the energy and shipping it takes to create and distribute plastic, the carbon footprint is cut in half—plus you are digging up the actual root of the plastic problem, so it can be eliminated. Furthermore, as drone delivery technology becomes more and more feasible in major cities, delivery will become much cheaper and more energy efficient. Companies like DHL, UPS, Amazon, Google, Dominoes, Rakuten, and 7-11 all have drone-delivery technology. According to the Business Insider 2018-2020 report on online grocery shopping, 10% of consumers utilize online grocery store options, while the market value of these services doubled from $12 billion in 2016 to $26 billion in 2018 and shows no sign of slowing down. It’s possible that in the next ten years thanks to companies like Loop, all the benefits of the friendly neighborhood milkman will be resurrected to create a healthier planet for all.  

This Startup Is Building A Closed Loop System: A Future Where Shopping Is Zero-Waste

We have all heard the age-old story of the milkman — the epitome of convenience before the invention of the refrigerator. Fresh milk was delivered right to your door and the empty bottles would be whisked away. While this seems to be a way of the past, what if this technique was resurrected with our products today? (A closed loop system, if you will.) Meet Loop, a startup focused on creating a platform for helping consumers live zero-waste lifestyles, is doing just that. Operating under recycling company Terracycle, Loop’s thesis is that product packaging is the killer when it comes to how the buying process contributes to waste. To learn more about what Loop is working on, I spoke with Ben Weir, the company’s Business Development Manager. In our conversation, we talked about the statistics that motivate the company’s work, what it’s doing, and the sustainable future of shopping the company is betting on.

Loop’s (Sustainable) Vision of the Future

Imagine a ‘milkman’ scenario where a vendor delivers a product to you and once you’re done using it, someone comes by to pick up, clean, and refill the empty container for the cycle to repeat once again. This process is what Weir calls a ‘closed loop system’ — and it’s what Loop is betting big bucks on. Some of Loop's products. Photo Credit: Mark Kauzlarich/CNN Some of Loop’s products. Photo Credit: Mark Kauzlarich/CNN Partnering with some of the largest household companies such as Tide, Pantene, and Häagen-Dazs, Loop offers popular products in reusable containers. Highly durable and sustainable materials, such as stainless steel, aluminum, and glass, are used to redesign well-known products in a design-conscious manner. Plus, the packaging has a minimum threshold of ten reuse cycles.

The Numbers: What a Closed Loop System Could Accomplish

Weir emphasizes that Loop strives to be durable, cleanable, and circular (reusable) with its packaging. After these ten cycles, Loop has a 35% lower environmental impact compared to regular eCommerce. The startup also optimizes its supply chain to make it as sustainable as possible by sourcing locally whenever possible. Every year, approximately 300 million tons of plastic are produced with 50% of it coming from single-use plastic. Avoiding a ‘disposable lifestyle’ is what Loop aims to do by promoting zero-waste alternatives.

How Loop Develops its Partnerships and Customer Relationships

Loop has approximately 100 employees globally, making it a relatively small company in the industry. But it is a subsidiary of the Terracycle brand, which has been around for some 20 years. And that has helped the company collaborate with over 150 brands to date. To make partnering with those brands an enticing possibility, Loop’s process benefits manufacturers by promoting product innovation and creating a halo effect around the brand. Nestle designed reusable containers for Loop. Photo Credit: Brinson and Banks (CNN) Nestle designed reusable containers for Loop. Photo Credit: Brinson and Banks (CNN) At the same time, Loop provides consumers an assortment of products, which has helped the company expand into more market sectors. And by refining its packaging and design quality, the startup wants to convince consumers who aren’t typically big on sustainability to come aboard.

Building a Truly Closed Loop System Will Take Collaboration

Ever since announcing its intentions at World Economic Form in 2019, Loop has been on a mission to reform how society views shopping. In fact, this small company has big goals to expand and shift global perspectives. Over the next 12 months, Loop plans to expand to eight new geographic markets, including regions in Asia, Australia, and Canada. In the near future, there are plans to launch integrated eCommerce in France over the next month. Additionally, Loop looks to focus on more brick and mortar implementation on the West Coast. It would be difficult to do all that alone. By aiming to create an omnichannel approach with retail partners, Loop highlights its dedication to integration. The company hopes to expand in all aspects possible — including more accessible products, drop-off locations, and partners.

Loop’s Bet Doesn’t Come Without Market Risk

Proposing such a large manufacturing change to corporations doesn’t come without resistance. In general, many product producers are moving towards using less packaging with lighter weight. So although the idea of reusable packaging is gaining popularity, it does not always provide the convenience that consumers desire. But that’s where Loop’s bet comes in. It’s not an execution risk — it’s a market risk. The stakes? Loop fails if customers and manufacturers don’t believe this model works. On the contrary, if the model does work, the company could be an early player in a huge market. Image: Loop customers. Photo Credit: Loop It sounds like Loop’s primary goal is to shift responsibility and ownership back to the manufacturer. Instead of depending on consumers being environmentally-conscious, Loop thinks offering incentives for manufacturers can be more effective.  

First Came the Milkman. Then Came Loop.

How one company is working to eliminate the very idea of waste   Since 2001, where most of us have seen trash, Tom Szaky has seen potential. From cigarette butts to coffee capsules, Tom set out to recycle the hard-to-recycle products we use. His company, TerraCycle, offers everything from free recycling programs to industrial waste solutions. “But we can’t recycle our way out of the waste crisis,” Eric Rosen, publicist for TerraCycle said. “And [Tom] is the first to say if TerraCycle didn’t exist — or couldn’t exist — he’d be thrilled.” In other words, he would love to see a world where we produced zero waste to begin with. That’s where TerraCycle’s latest venture, Loop, comes in. “The next thing to do was to attack waste at the root cause,” Eric said. “If the economics are good, we can recycle virtually anything. But that’s not going to solve the problem.”   “The next step was to create a circular economy where there’s virtually no waste.” Loop was announced at the World Economic Forum in January 2019, proposing a new model of consumption whereby people can get their favorite home goods, cosmetics, and food products through a sustainable, circular system of pick-up and drop-off using reusable containers. It took off from there. “We immediately had thousands upon thousands of people who went to the website and were waitlisted,” Eric said. “So we knew right away that there was a clamoring for this. And we’ve continued to see that as we grow.” The company launched its pilot program that summer, beginning in Paris on May 14 and New York the following week. “We launched in a handful of states as a pilot,” Eric said. “We could not keep up with the number of requests coming in, like ‘When are you coming to our state?’ Certainly, the waste crisis, sustainability, and climate change are in the news, so people are well aware. There’s a sense now that they want to do something about it.” Loop already has a cleaning facility in Pennsylvania and a warehouse in New Jersey, which made New York a logical place to start. As the company scales, it selects cities within a 24-hour delivery range of both a cleaning facility and a warehouse, particularly for the frozen goods it provides. “We’ll add warehouses and cleaning facilities as we go, but that’s how the places were chosen,” Eric added. Loop will launch in the UK at the end of March, Toronto in June, and Japan towards the end of the year. Next will be Australia in 2021.       Customers receive their orders in a reusable tote and request a pick-up once items are empty. They’re then cleaned and refilled. Photos: Loop   The price of a Loop good is comparable to a regular one, plus a deposit for the packaging. Since it’s reusable, it becomes valuable. Take shampoo, for example. Before, you bought shampoo for its contents; once the bottle was empty, you would toss it. “In this instance, now the company owns the package and the package is an asset,” Eric said. “Customers put a deposit down on each pack. When that pack comes back, the deposit is returned to the consumer.” This deposit essentially sits in an account. You can opt to let it remain there as you continue to buy products through Loop; or, once you’re done, you can request the deposit back.   The brand owns the package, so they want that package back. This inherently makes the process a circular one, removing waste from the equation. While Loop is currently e-commerce only, “we will be in-store at some point in 2020 in the United States,” Eric explained. With retail partners like Kroger and Walgreens stateside, Carrefour in Paris and Loblaws in Canada, you might find a Loop aisle at a grocer near you. “The process will work virtually the same,” Eric said. “You’ll be able to bring your shipping tote into the store, where there will be an aisle with all the Loop products and packaging.” You shop, pay for the product, and bring it home, as you would any other pet food or ice cream pint. Then, as soon as you finish the pack, you bring it back. That store would then send it back to Loop to be cleaned, sanitized, refilled, and shipped back out to another consumer. In many ways, Loop seems like the future. But it draws on our current thinking and behavior — and a model that dates back to the 1950s. “When you finish your normal plastic shampoo, consumers are pretty accustomed at this point to dropping it in the blue bin. Now, as opposed to dropping that in that bin, you just drop it back into shipping tote.”   “We don’t want to change behavior. That becomes a much harder proposition.” Loop isn’t the first to discover the effectiveness of the pick-up/drop-off model. Remember the milkman? “We were seeing that model up until the 1950s when all of a sudden we turned to all of this disposable packaging for convenience. Obviously we’ve created so much waste that it’s no longer effective.   “The idea behind Loop is exactly that: it’s the milkman model where the brand owns the pack and we come collect it, sanitize it, and fill it again.” But instead of homogenous glass bottles, companies are investing in containers you want to show off. “One of the things we’re finding is that people appreciate and want these packs because they’re so pretty. Like the Pantene bottles: people want to leave them on a counter.” Loop has very specific specs companies need to adhere to when creating packaging. Aesthetics is “not a requirement, but it certainly is playing a role in how these are being designed.” Most importantly, they need to be durable, cleanable, and circular (by having an end-of-life solution). “It’s not necessarily material,” Eric said. “Plastic is not necessarily the demon, it’s the single-use that’s the problem. So these packs have to be durable.” “Häagen-Dazs, which has made an absolutely beautiful pack, had a whole R&D team develop it. We have designers at Loop who can help develop the packaging, but, depending on the size of the company, some are big enough to do it on their own.” Just how durable these containers are varies from company to company. “Obviously these containers are going to get banged up,” Eric said. “And it’s up to the company to determine when they want to take them out of circulation. When that time comes, the containers themselves are recyclable. They’ll be turned back into themselves by TerraCycle.” Eric said the company is working on a public-facing Life-Cycle Assessment, which will highlight the environmental benefits of these containers—transportation costs included—as opposed to single-use packaging that most often ends up in landfills. Ultimately, the dream would be to have a whole store filled with reusable product containers. “We would create an entirely circular economy,” he said. “There would be absolutely no waste. That is the ultimate goal.” TerraCycle’s next project with this goal in mind? ReDyper, a partnership in which parents send in soiled Dyper diapers to TerraCycle’s facility for composting. It was announced this week.  

Stores are essential for the Loop reusable packaging program

Kroger, Loop, supermarket In the roughly eight months since the Loop reusable packaging service has been up and running with pilot e-commerce consumers in select markets, there have been package design hiccups, retailer additions and product-line extensions. As an early adopter in Loop parent company TerraCycle’s home state of New Jersey, I’ve witnessed all of that firsthand. Now, I’m eager for the company to pull off its next planned U.S. milestone: integrating supermarket and drug store locations affiliated with The Kroger Co. and Walgreens into the business model, so customers can drop off empty containers more frequently, without having to ship back or find a UPS location to drop off the rather hefty tote used for deliveries. (Each easily can transport up to 20 or so items, depending on the assortment purchased.) If things go TerraCycle CEO Tom Szaky’s way, West Coast stores from Kroger — its various brands including Dillons, Fred Meyer and Ralphs are in 35 states nationwide — will start accepting Loop container returns by mid-2020. East Coast customers will need to wait until the fall, when Walgreens plans to do the same. The idea is Loop accountholders will be able to return empty containers when and where it’s convenient to in-store bins. From there, TerraCycle will orchestrate transportation to facilities where they can be inspected, washed and sanitized prior to being refilled, Szaky said. "You can drop off the product, no matter where you bought it," Szaky told me, when we chatted about Loop’s progress late last year. Through a Loop spokesperson, Kroger and Walgreens declined to comment on their specific plans for the Loop service. Both went public with their Loop partnerships in May. Loop tote TerraCycle Loop hopes to integrate in-store collection in the U.S. by the middle of 2020. Introduced in January 2019 to much fanfare at the World Economic Forum in Davos, Switzerland, Loop celebrated its first birthday last month, although the service only started delivering to consumers in its launch markets near Paris and New York in May. Its premise was simple: to carry only products that come in reusable, refillable bottles, jugs or cans. Those items are purchased online and delivered to the customer's doorstep via UPS. Loop is available to a "community of thousands" (TerraCycle doesn’t disclose exact numbers) in 10 U.S. states, and new consumer product brands are being added on an almost daily basis — ranging from pantry staples such as the dried chickpeas in my own cabinet to specialty nut butters to personal care items. Close to 150 unique products are available in both France and the United States, where the best-sellers include Häagen-Dazs ice cream (my favorite is the non-dairy coconut caramel blend it's testing), Tide detergent and Clorox wipes. Right now, Loop caters to customers who aren't afraid to spend a little extra on groceries or that have a craving for niche items that might not find their way onto mainstream store shelves. The prices themselves are higher than you would pay in-store for similar items, plus the deposits can add up quickly: I've only got six items at home right now, but my "active" deposit account has a balance of $41. Loop is acting as the bank for that money. Szaky told me that while the current Loop customer may skew high-end or eco-conscious, TerraCycle is seeking to create a mass-market appeal by adding products you'd find in your neighbor's pantry. The Kroger and Walgreen's relationships will be instrumental in making that happen, especially if they become active locally in every place possible. Kroger is the second-largest U.S. retailer and largest grocery supermarket company with more than 2,800 stores; Walgreens, which operates in all 50 states, had close to 9,300 locations as of August. That's an impressive physical footprint. Expansions into the United Kingdom, Canada, Germany, Japan and Australia are in the works starting in March and over the next two years in close collaboration with prominent retailers in those geographies including Tesco (UK) and Loblaw (Canada). As the service matures, more of these new markets intend to launch an integrated in-store/online version of Loop, with Japan and Australia likely to lead that charge, Szaky said.

The trouble with totes

While TerraCycle may be the primary corporate face of the Loop brand, the important role of retailers in scaling any reusable packaging model should not be downplayed. Partners like Kroger and Walgreens bring inventory and category management expertise, merchandising savvy, pricing know-how, logistics and e-commerce expertise and, of course, existing connections with everyday shoppers. The future role retailers will play in collection will be crucial, as Loop seeks to shrink the amount of time containers spend in the hands of consumers before they are returned and refilled. Right now, that period varies dramatically depending on the product category — on a monthly basis for ice cream, for example, or up to three months for shampoo. Mostly, it depends not just on how quickly a consumer uses up a given product but on whether they decide to wait until a tote is full before a return shipment. Our experience reinforces our belief that this is not just a trend that is going to come and go. One of Loop’s value propositions is that it can help brands better understand consumption habits as it reduces their dependence on single-use packaging. "In our model, we can report on repeat, refill, how long it takes, whether they take advantage of autorefill," said Heather Crawford, vice president of marketing and e-commerce at TerraCycle. Right now, however, it’s difficult to estimate how long containers sit empty in customers’ homes as they transfer items into other receptacles or as they wait to fill up a return tote — the only tote size right now is 19 inches by 16.5 inches by 16 inches. The cushiony inserts that hold the containers can be reconfigured to handle the different sizes and to accommodate the heavy cold pack that's used to transport frozen items before they melt. If there's ice cream in your order, you can only consolidate a half-dozen more items or so into the same shipment. And be careful when you're picking the tote up: An empty tote containing a cold pack weighs more than 15 pounds. Speaking from personal experience, I’ve managed to return just two batches of spent containers in the service’s iconic tote since May. That's in part because I live in a two-person household and I had a tough time finding items that I actually wanted to order — right after I signed up for Loop, my doctor prescribed a food elimination diet that bounced many of the plant-based products in the Loop inventory off my plate. But mostly, I felt guilty about the carbon emissions impact of dispatching a UPS delivery truck to pick up an almost-empty package. Ultimately, I opted for what I considered to be a more eco-friendly option: bringing my return tote to a UPS shipping location while I was out on another errand. But my experience isn’t unique and for some markets, notably Tokyo where people live in much smaller homes with far less storage space, TerraCycle is considering a smaller tote. Adding collection bins at retailers is also likely to reduce the reuse cycle, as consumers will be able to return containers far more frequently. Haagen-Dazs, salted caramel, Loop Loop Haagen-Dazs is one of the best selling items on Loop. The shape of the pint jars are designed to withstand 100 cleaning cycles.

Nestle, Reinberger Nut Butter share early learnings

While the Loop products in the United States and France are different, the categories where shoppers are gravitating toward in Loop’s reusable containers are similar, including quick-turn grocery and pantry staples that generate the "highest volume of visible garbage," Crawford said. Loop also has helped generate interest in niche and specialty items, such as the various protein spreads sold by Reinberger Nut Butter, a small food company in the Philadelphia area that was less-than-impressed by its experience selling products through Amazon. Reinberger, which already distributed its mixed nut butter in reusable containers, changed its design to make it lighter and introduced single-nut lines unique to Loop, said Luke Rein, who manages production for the company. Its container isn’t entirely reusable — the aluminum lid needs to be handled differently because of the seal — but as sales grow, it’s addressing that issue. "Ideologically, this matches up well and is a good source of revenue," Rein said. According to Crawford, the average Loop order size is eight to 10 items (far less than what its big tote currently can handle). It’s adding brands on an almost daily basis, after they meet the company’s container design criteria. There have been some snafus with some products. For example, the initial containers for Tide's plant-based Purclean laundry detergent needed to be tweaked when the lids were found to leak, an issue that was annoying for me at home, as the detergent kept oozing down the side of the bottle onto my laundry room shelf. While the U.S. and French markets launched with about 80 products each, new regions likely will have at least 200 products at launch. In our model, we can report on repeat, refill, how long it takes, whether they take advantage of autorefill. At this time, no containers used in the U.S. or France have reached their maximum reuse potential, Crawford said, at which point they will be recycled or upcycled. That includes Nestle’s popular metal Häagen-Dazs ice cream containers, which posed a unique design challenge to the company, according to Steven Yeh, commercialization project manager for the Nestle ice cream team. The shape of the pint-ish-sized jars, designed to withstand 100 cleaning cycles, was rounded to make the ice cream easier to scoop and double-walled both for durability and to keep cold during the delivery process, Yeh said. (As already mentioned, Loop also includes a cold pack in its totes for frozen items.) It took six months to come up with the current container. Nestle’s experience with Loop so far is being used to inform its strategies and perceptions about consumer subscription models. It will test another edition of the reusable metal containers at more than 200 Häagen-Dazs ice cream boutiques across the U.S., where it hopes to allow customers to bring them back for refills, starting in New York. "Our experience reinforces our belief that this is not just a trend that is going to come and go," Yeh said. "It reinforces our commitment to a reusable container. We need to focus even more efforts on this."