"When COVID hit ... what scared me honestly was the deluge of reporters calling saying, 'Should we write off the idea of reuse in an age of contagion?'" he recalled during a panel at the Circularity 20 conference in May. Journalists were referring to the slashing of reuse-refill and "zero waste" initiatives taking place across the corporate world. This, combined with cautionary messaging from the plastics industry, contributed to a narrative that reusable systems — a fledgling industry born out of the desire to avoid disposable products and packaging — may be a risky business. Szaky argues, however, that rather than being a threat to the new reuse economy, the pandemic has ushered in an opportunity to professionalize its services. Launched over a year ago to much hype, the Loop concept — still in its trial phase, but partnering with some of the world's largest CPG companies — has been leading the way in terms of reusable, refillable packaging as a niche business opportunity for the grocery and retail sectors. The last several months have seen not less, but more usage of the Loop service and, as a result, Szaky has pointed to it as a hopeful example for what the post-pandemic future of reuse could look like. Loop's strict cleaning protocols, he says, should quell any fears about contamination and its online portal allows consumers to shop from the safety of home. These features may offer a solution to some of the risks associated with reusable circularity that brands and retailers worry about moving forward. As the world rebuilds in the wake of the pandemic, Szaky and others in the reuse sector are hoping to shift from a movement centered around DIY, consumer-led programs to one more suitable to industrial applications. This may even come in the form of tighter regulations around reusable systems overall. But some say while raising the profile of these systems is a good thing the industry should be careful about narrowing down to market-driven solutions too quickly. Loop, after all, is still an experiment.

Tom Szaky, the chief executive and founder of TerraCycle, imagines a world where shoppers take their trash with them to the grocery store. In his vision, people purchase products like ice cream and deodorant in reusable containers. At the cashier, they pay an additional cost: a refundable packaging deposit. They return empty containers to the store, which collects them for cleaning and reuse. The consumer gets each deposit back and buys another tub of ice cream or stick of deodorant from the shelf. The cycle starts again. Soon Mr. Szaky is going to find out if his idea can work in the real world. Retailers including Kroger Co. next year plan to make space in stores for Loop, TerraCycle’s refillable packaging platform. Tesco PLC in the U.K. and Carrefour SA in France also are planning to install in-store Loop “corners”—areas of a store designed for products packaged in Loop’s containers—in the next 12 months. Loblaws Inc. in Canada and Woolworths Group Ltd. in Australia will bring Loop stations to stores sometime in 2022, a Loop representative said. Aeon Co., Japan’s largest supermarket group, plans to introduce Loop corners to 16 stores in the greater Tokyo area next March. “We want people to come in and fall in love with these really cute, beautiful packages, understand the message and get excited about it,” said Satoshi Morikiyo, general manager of  convenience goods at Aeon. “Shopping trips are not necessarily something people look forward to, but this is a cool experience that offers something of a discovery—something new and fun.”

It's hard to picture now, but one day, something other than coronavirus might change your trip to the grocery store. Imagine entering your nearest chain grocery store to find nuts, pasta, flour, and fresh produce sold exclusively in bulk, with high-tech measuring and distribution methods specific to each product. In the cleaning and houseware aisles, there's laundry detergent, shampoo, and lotion getting dispensed into reusable bottles, which the store will clean upon return. It's not totally impossible. But for now, David Pinsky, a plastics campaigner at Greenpeace, notes that if consumers want package-free options, very few, if any, major retailers provide them. No one wants to get stuck with tons of excess packaging after buying some soap or pasta. Sometimes, though, it just...happens. That's not your fault: Grocery store experts note that most consumers focus on cost and convenience when they set foot in a store, and it's unlikely they look for the items with the least packaging. For consumers focused on cost and convenience, it would certainly be a lot easier to avoid generating packaging waste if that waste just wasn't there in the first place. That's where package-free efforts come in. Getting major grocery stores to go entirely package-free is likely a pipe dream, according to grocery store experts, plastics and waste experts, and small, package-free store owners. In all likelihood, big chains probably won't ever get there. But a radical overhaul to the way packaging is made, used, and dealt with in big chain stores? That's more possible — and likely a better goal.

What package-free efforts mean for our plastic addiction 

The Environmental Protection Agency estimates that containers and packaging alone, which includes food-related containers, comprise over 23 percent of the materials going into landfills in the U.S. That's a problem because the plastic packaging waste from retailers, particularly single-use plastics that are sometimes used for just seconds by a consumer, can last for lifetimes in the environment, says Pinsky. Plastic pollution is already known to devastatingly harm our oceans and wildlife. A 2019 study from the Center for International Environmental Law also found that greenhouse gas emissions currently produced when making and managing plastic threaten the global community's ability to keep temperature rise below 1.5 degrees Celsius, and that the threat will become worse if plastic production grows as planned until 2050.  Grocery retailers could be part of the solution by moving away from single-use plastics, though. Part of the trouble right now is that supermarkets typically don't release data about their plastic footprint, Pinsky notes. Because of this, it's difficult to estimate the impact of going package-free at a given chain. Instead, by focusing on recycling to address plastic pollution, Pinsky notes that retailers "often feed into the industry narrative that individual responsibility will solve the problem; that the customer is to blame for the pollution crisis." A 2019 Greenpeace report, which Pinsky co-authored, evaluated the overall plastic footprints of big U.S. retailers, including Costco, Walmart, and Trader Joe's. Greenpeace did so based on each company's policies around mitigating their plastic footprint, actual reduction, and transparency concerning single-use plastic. With their metrics, no store scored better than 35 out of a possible 100, a failure in his book. While we don't know every store's plastic footprint since complete plastic footprints are not available publicly, we've seen glimpses. While Kroger, Trader Joe's, Costco, and Whole Foods didn't provide Mashable with their plastic footprints when asked, Trader Joe's, Costco, and Whole Foods sent Mashable information about their plastic reduction efforts. Walmart, for its part, says it will release data on its plastic footprint in a forthcoming Environmental, Social & Governance Report for 2020, marking its first year doing so, according to Walmart's press team. When Kroger began phasing out plastic bags in 2019, National Geographic wrote "The company calculated that they handed out about 6 billion plastic bags a year, about six percent of the total number of bags distributed annually across the country. That’s the equivalent of about 32,000 tons of plastic, or enough to fill over 3,000 moving trucks jam packed with bags." It wasn't always this way. Before the advent of the grocery behemoths we see today, how people typically accessed food involved a lot less packaging, says Marc Levinson, an economist and historian who chronicled the changes to retail juggernauts in his book, the Great A&P and the Struggle for Small Business in America. Think of, say, a milkman reusing glass bottles, or a general store selling portions from bulk items. The evolution of how Americans access and eat food is nuanced, long, and, ultimately, fascinating. Grocery aisles packed with ready-made food in disposable packaging marks the current chapter of this saga. It's a story centered on convenience and cost, say Levinson and Jon Steinman, the author of Grocery Story: The Promise of Food Co-ops in the Age of Grocery Giants. In plenty of cases, packaging is necessary to preserve, transport, and sell products, says Darby Hoover, a senior resource specialist for the Natural Resources Defense Council (NRDC) focusing on the food system. On the other hand, for lots of products, the packaging just serves marketing purpose, Levinson points out. A cashew in a giant tub is just a cashew, but a cashew in a package with a company's label on it becomes a marketable entity. "A package is a billboard," Levinson says. "From the point of view of sellers, they don't want to go back to the days when products were sold in bulk." In the 19th century, if you were trying to buy, say, molasses, your local grocer would simply pour molasses for you. There was no such thing as "name-brand" molasses.

What small stores are doing, and what big chains can learn 

If you actively seek out items with less packaging, you're probably not going to big chains anyway. You're turning to alternative options that have popped up to meet this desire: package-free stores and delivery services; co-ops offering food in bulk; refillable stations for basics like shampoo and lotion. It's not like a big chain trying to cut down on packaging operates the same way as these stores and services (more on that later) but understanding what has — and hasn't — worked can help illuminate what could. Take the Czech company MIWA, which Pinsky says has features that could be appealing to a big grocer otherwise hesitant to adopt reuse models. MIWA's "smart containers" help automate the weighing of bulk purchases, as well as payment, and provide usage data, which he notes is valuable for retailers since they care about consumer behavior and restocking needs. There are other innovations out there, too. In the realm of grocery deliveries, there's Loop, which offers customers major label products like Häagen-Dazs, Crest, and Tide that arrive in a "Loop Tote." (Customers pay a refundable deposit for each package.) When the reusable containers are empty or in need of a refill, people send them back to Loop in the tote, where they're cleaned and reused. CEO Tom Szaky says Loop solves the negative consequences of throw-away packaging, while "maintaining the virtues of disposability — affordability and convenience." Typically, Szaky says, manufacturers aren't incentivized to care about their packages after they're with the consumer, which leads to a plethora of inexpensive, disposable packaging. Under Loop's system, though, the package for a product becomes an asset to the manufacturer: Szaky says manufacturers want to make packages durable and long-lasting so they can withstand as many reuses as possible. As is, Loop can fill a major need with respect to eliminating packaging in grocery deliveries. (Steinman notes that in June, online grocery sales hit a record of $7.2 billion, with 45.6 million households using online grocery services.) Down the road, Loop also intends to expand its in-grocery store presence worldwide, Szaky says. (A spokesperson says Loop is first scheduled to be in stores in 2021.) Big chains can also innovate after examining the challenges that smaller, package-free stores might encounter. First, not everything can be sold through bulk or refillable methods, even at smaller stores. At Sustain LA, a zero waste company that sells refillable home and beauty products, Leslie VanKeuren Campbell, the company's founder, and her team sell things like dish liquid, body lotion, and mouthwash at refillable stations at farmer's markets, in its store, and through deliveries. She notes that it might be harder for a large chain to have a proprietary, spill-proof dispensing system than it was for her when Sustain LA opened its own brick-and-mortar shop. Even on her own store's scale, finding the right pumps for particular items proved difficult. Sometimes, depending on the consistency of what was being dispensed, pumps could get jammed or take a while to dispense. (To this end, there are particular pumps that work better for, say, shampoo, than other items.) At a small store, this is mainly a minor inconvenience, but for a big chain it could be a major deterrent, VenKeuren Campbell points out. At Sustain LA, if a customer gets frustrated, the staff can quickly help, but at a bigger chain, a dysfunctional pump could lead to a big loss in sales. Then there's the way in which bulk items get converted into refillable or reusable formats. Steinman notes that when his local co-op tried to go package-free, they found that disposing of the containers for bulk laundry liquid being purchased actually carried a bigger environmental impact than what they would have saved by not using individual containers. (VanKeuren Campbell says Sustain LA typically refills bulk containers with vendors, or they donate big drums to animal shelters, or send them back to vendors.) "Beans still get to the store in something," Hoover of the NRDC says. "There's never zero packaging."

What's stopping the package-free revolution?

In large part, Levinson sees the lack of package-free options as a logistics problem: For big chains with massive amounts of traffic each day, even seemingly minuscule decisions can have a rippling impact. "For modern food retailers, logistics is extremely important, and packaging is important to decide those logistics," Levinson says. "There's a concern in shaving every hundredth of a cent possible." For the Walmarts and Whole Foods of the world, it's not quite as simple as scaling up the same practices as smaller companies. They operate on a much bigger scale than mom-and-pop package-free options, Pinsky says similarly. Take bulk items: Bread, coffee, and other dry goods could be sold in bulk in more places, Steinmain notes, in the sense that they can be sold without packaging. Logistical concerns get in the way, though: Levinson points out that cashiers need to weigh bulk items at checkout which slows down the line. It seems minor, he says, but for a big chain that would lead to a loss of sales that few seem willing to give up. "The key stress test is to test these things for scale," Szaky, of Loop, says. "Any extra work; they're not going to be able to do it. It's just not going to be possible." Ultimately, though, Hoover maintains that big chains need to address the root of the waste to really get packaging (and specifically plastic packaging) out of their stores: suppliers. In 2019, the Break Free from Plastic initiative conducted 484 cleanups in 50 countries (and six continents) and identified the brands whose products showed up as litter most often. The audit revealed the same brands had the most plastic waste for a second year in a row: Coca-Cola, Nestlé, and PepsiCo. The Walmarts, Krogers, and Costcos of the world have sway with suppliers. If a grocery chain actually wants to go package-free, Hoover notes it would have to communicate that desire to the suppliers covering their products with (potentially unnecessary) packaging. This is one place in which big chains actually have potential for package-free options in a way that smaller mom-and-pop stores don't: The Walmarts, Krogers, and Costcos of the world have sway with suppliers, Hoover notes. Mashable asked Whole Foods, Walmart, Trader Joe's, Kroger, and Costco about the roadblocks towards package-free options. Kroger, Costco, and Whole Foods declined to comment. Commenting on bulk methods overall, a Trader Joe's spokesperson told Mashable via email that Trader Joe's has evaluated the use of bulk bins in its efforts "to minimize waste and shift to sustainable packaging," but "with the expansion in the number of stores and focus on reducing waste, the use of bulk bins is not a sustainable option for us at this time." That said, the spokesperson maintains "[Trader Joe's is] constantly evaluating options and are committed to making improvements." Trader Joe's didn't comment on other roadblocks. When asked about the potential financial deterrent of slow lines from weighing more bulk items, Walmart had no comment. When asked about mechanical troubles associated with refill stations that might deter a larger chain from implementing them, Ashley Hall, director of strategic initiatives at Walmart, told Mashable via email: "We believe the issues can be addressed and it is a technology to watch." When asked about reducing packaging by communicating a desire for less packaging with suppliers, Hall writes: "Since 2006, Walmart has been encouraging suppliers to reduce packaging in the products we sell," adding that the company distributes a voluntary survey to suppliers about their product packaging. Levinson agrees that these giants can impact what suppliers make, including items with less packaging, but the likelihood of chains doing that out of the goodness of their hearts is slim, in his opinion. "They know what's moving, and what's not moving," Levinson says. "If they decide the 32-ounce [container] isn't moving, they'll tell the supplier. The consumer is calling the shots here." Still, how can you call the shots when you're not able to decide what shots are available in the first place? Without more package-free options, you're stuck picking between a 16-ounce plastic container, or a 32-ounce one.

Where do we go from here?

Grocery store experts say that for some customers and grocers, forgoing certain forms of packaging, or using reusable containers when handling food and hygiene items, sounds perilous amid the spread of coronavirus, leading to resistance to package-free efforts. That concern isn't founded, necessarily — a cohort of 125 virologists, epidemiologists, and health experts recently said consumers can safely use reusable containers during the pandemic. The Centers for Disease Control and Prevention provides specific advice for preventing the spread of the virus while grocery shopping, adding: "There is no evidence that food or food packaging play a significant role in spreading the virus in the United States." Still, some states, counties, and cities, have rolled back plastic bag bans which went into effect before the pandemic. (Additionally, in the early days of the coronavirus' spread in the U.S., the Plastics Industry Association lobbied the U.S. Department of Health and Human Services to declare that bans on single-use plastics presented a public safety risk.) "In a way, we've gone back many decades," Steinman says, in reference to the increased use of single-use plastics in stores during the pandemic. "I'd like to think we'd be able to move past this, and get back on track with package-free shopping." Pinsky sees a decrease in momentum as "largely temporary." If there's one thing the pandemic quickly revealed for people, it's that our sense of "normal" is hardly static. There have been massive overhauls to the ways in which we get basic goods in the past, but where the current moment will take package-free options down the road remains to be seen. It could go many ways: Maybe the plastics industry, reinvigorated by single-use plastic ban reversals amid the pandemic, will continue its stronghold; maybe consumers, now more aware of the systems in which they live, will push back on their limited options for accessible, package-free food. Maybe packaging will be the next lobbying effort in statehouses and city halls across the country, after plastic bags and styrofoam clamshells. "It's really a turning point for the world that we need," Pinsky says, referencing both the Black Lives Matter movement and the pandemic. "We need to rethink the way the world has been operating."

Dive Brief:

• Ulta on Tuesday announced the creation of Conscious Beauty, an initiative that will launch in the fall and certify beauty brands under five pillars: clean ingredients, cruelty free, vegan, sustainable packaging and positive impact.
• The clean ingredients label will certify that a brand meets Ulta's "Made Without List," which consists of parabens, phthalates and other ingredients from over 25 chemical categories, according to a company press release.
• As part of the sustainable packaging initiative, which highlights brands made with reduced, recyclable or refillable packaging, Ulta will pilot a "circular shopping experience" with Loop. The beauty retailer is also pledging that 50% of all packaging sold by 2025 will be recyclable, refillable, or made from recycled or bio-sourced materials.

Dive Insight:

In the midst of a pandemic that has threatened to put many things on the back burner, including sustainability initiatives, Ulta Beauty has announced a wide-ranging effort to hold itself accountable to more conscious practices. The beauty retailer set its first sustainable packaging goals as part of the initiative, and partnered with various third parties for the certification process, including ClearForMe to verify brands have clean ingredients, and PETA, Leaping Bunny and Choose Cruelty-Free to help certify cruelty-free brands. The company also established a Conscious Beauty Advisory Council to "ensure accountability and drive the initiative forward." Currently, the council includes CEO and co-founder of Loop, Tom Szaky, and co-founder and COO of Credo Beauty, Annie Jackson, among others. A partnership with Credo Beauty was announced by Ulta in June, and the clean beauty collection, dubbed the Credo Collection, will launch within the conscious beauty platform. While all of the certifications are meant to help customers identify brands that share their values, it's the sustainable packaging initiative that Ulta itself is committing the most to. In addition to setting a 50% sustainable packaging goal, the retailer also plans to support the Sustainable Packaging Coalition, and will use How2Recycle instructions on its owned brand packaging and print materials. Ulta is hitting on some of the biggest issues in the beauty space, and retail more broadly, with this launch. For years, the level of waste created by retail packaging has been scrutinized, and retailers have turned their focus to tackling that and other major sustainability issues, including making products with more sustainable materials and building up the circular economy. Loop is one of the companies at the forefront of sustainable packaging, partnering with companies like Procter & Gamble, Unilever and Kroger in 2019 to test out refillable packaging solutions. Clean and sustainable beauty initiatives have also grown to define the beauty space in recent years, with Sephora launching a Clean at Sephora category in 2018 and Neiman Marcus debuting an online shop centered around clean beauty products in 2019. Even big-box players like Walmart and Target have added brands to their assortment that focus on clean ingredients. "As the beauty retail leader, we have the unique opportunity to inspire positive change in our industry," Dave Kimbell, president of Ulta Beauty, said in a statement. "With Conscious Beauty at Ulta Beauty, our focus is to educate, guide and simplify product choice and elevate those brands doing good for our world. This initiative helps our guests readily navigate our assortment through the lens of what matters most to them."

Executives from The Clorox Co., Nestlé and entrepreneur Soapply share insights into the sustainability and cleanliness of reusable packages for products sold through Loop’s shopping platform, especially in a post-pandemic world. Last year, recycling/upcycling firm TerraCycle launched Loop, a shopping platform for zero-waste-packaging products, with the support of some of the world’s biggest brands (see “Loop and big brands boldly reinvent waste-free packaging.”) Together, the eco-commerce provider and the brands have learned that there is indeed a market of consumers who will by Crest mouthwash, Tide laundry detergent, and myriad other products from Loop’s online store — then return their empty packages to be cleaned, refilled, and reused. Since its early 2019 introduction, Loop’s business has grown from a direct-to-your-doorstep model with regional service to testing of mass-market retail partnerships to imminent national coverage. Retail partners include Kroger and Walgreens in the US market, Canada’s Loblaws, and the U.K.-based Tesco chain. Germany and Japan are on the horizon, too.

TO RECYCLE OR REUSE? — Tom Szaky isn’t rooting for the collapse of the recycling business — but he is prepared to capitalize on it. Szaky, founder of reusable packaging startup Loop, is trying to persuade Americans to return to the days of the milkman, only this time shampoo, peanut butter and ice cream would arrive on doorsteps in specially designed containers and the empties returned for refills. “When less things become recyclable, our relevance increases,” Szaky tells The Long Game. “We’re a reaction to a failing recycling system.” Loop works with brands including Procter & Gamble, Unilever, Nestlé and Mars to create durable packaging that Loop cleans and sells back to them. Kroger plans to begin selling Loop products in some of its West Coast grocery stores by the end of this year, and Walgreens stores on the East Coast will join next year, Szaky says. The company is valued at $100 million, with more than 100,000 customers so far on its online testing platforms.

The COVID-19 pandemic has brought the safety of reuse into question. But Tom Szaky, CEO of TerraCycle, thinks when the crisis is over there will be even more opportunity for reusable packaging and containers to become more commonplace, if done right. "Recycling is going to take a real punch to the face, to be quite fair," Szaky said during GreenBiz Group’s Circularity 20 Digital event this week, pointing to the continued decrease in oil prices and the pressure that's putting on the economics of using recycled plastics. "That’s disastrous for the recycling industry, which creates its revenue by selling recycled plastics, which are hedged against, in many ways, the price of oil." Many recycling activities have been paused as the pandemic has raised health and safety concerns, which could lead to a waste crisis post-pandemic, he said. Recycling centers have closed temporarily or indefinitely, across California and in parts of Ohio, Oregon and Alabama. "That, I think, will benefit waste innovations," said Szaky, whose company is in the business of recycling and eliminating waste. "It will especially benefit the reuse movement because that is sort of the next step up in waste innovation." Szaky acknowledged that reuse is not a silver bullet solution to addressing the waste problem, but if life cycle assessment is considered, he said that reuse can be better than single-use options in a significant number of cases. It plays a role in reducing waste and TerraCycle's e-commerce program Loop — which features items in reusable containers — plans to be part of that, while being affordable and convenient. We’re still very focused on trying to create a reusable system that has the same convenience as disposability ... "We’re still very focused on trying to create a reusable system that has the same convenience as disposability because [while] disposability has a lot of negatives, it is the gold standard, by far, for convenience," he said. "That is our holy grail, to get to the exact same convenience you get when you throw something in the garbage, with no thinking, no thought and off you go." While Loop is still working toward the convenience factor, it’s also working toward building trust with consumers outside of its core following. As Szaky wrote in a piece for GreenBiz recently, "Reusable packaging is faced with proving its trustworthiness alongside disposables in a world that is standing six feet apart in the grocery aisle." In the time that comes after COVID-19, TerraCycle’s Loop and other companies that are working on launching or improving their reuse models must do it right. That means consumers need to be able to know that the reusable packaging they are using was thoroughly cleaned and doesn’t pose a health risk to them. During the Circularity 20 Digital conversation, Szaky described the cleaning process for the packaging in the Loop program, between when it leaves one consumer’s possession and ends up with another. First, the customer either will drop off their Loop tote at a retailer or have it picked up and shipped. (TerraCycle recently announced that it would expand its reuse platform Loop across the contiguous United States including in physical retail stores.) Earlier this year, the company announced partnerships with Walgreens and Kroger that would allow consumers to drop off totes in bins within their stores, starting this fall. Once the tote reaches a Loop distribution center, it is checked in and the packages inside it are sorted based on the contents and type of packaging material. Then each type of packages is stored until there are enough to start cleaning, which takes place in a proper cleanroom where people are in full gear. "The process to clean — which is what chemistry is used, dwell times both in drying and washing and temperatures, and all those different types of knobs and dials on the cleaning protocol — are set to be specific to that content and the type of material that content was in," said Szaky, noting that both factors have meaningful effects on the cleaning process. Once the packages are cleaned, it is immediately shipped to the manufacturer, which has protocols for maintaining cleanliness for the packaging. Szaky noted that each time the cleanroom is used it is reset — pipes flushed for potential allergens and air vented — for the next batch of cleaning. Lauren Phipps, GreenBiz Group’s director and senior analyst for the circular economy, who led the conversation with Szaky, asked if there was an opportunity for retailers and restaurants to implement similar practices for their reusable items and how they could communicate their practices with consumers. Szaky responded by sharing that he’s been working with the group Consumers Beyond Disposability — which is housed under the World Economic Forum and includes the Ellen MacArthur Foundation, City of Paris and PepsiCo — to develop guidelines for companies that want to put reuse in play. The group plans to share those guidelines during the Davos gathering in January. But for now, Szaky gave an example of how safe reuse could work in a coffee shop. "I would recommend that there’s some process that when you give your cup to the barista, maybe the barista looks at the cup and only accepts certain types of cups … then has some process that is consumer-facing, that you can see and that you can be proud that that process is strong and you can trust it," he said. "Trust is a critical commodity that we have to build with individuals right now, or in fact almost re-earn."

While there’s no scientific evidence to support this claim, there’s a widely shared consensus that most people eat ice cream directly out of the container. While a seemingly unimportant detail in the production of this popular dessert, for Nestlé, it was one of the most critical considerations as it planned out a new, radical design for its Häagen-Dazs ice cream brand. In January of 2019, Nestlé announced a partnership with TerraCycle, a global recycling organization that was rolling out a first-of-its-kind home delivery service called Loop. TerraCycle, known for its mission to eliminate waste by creating new products from the collection of hard-to-recycle materials, has been around for two decades. Last year, during the World Economic Forum in Davos, Switzerland, TerraCycle founder Tom Szaky unveiled Loop, a shopping platform that will enable people to consume products in customized, brand-specific, durable packaging that is collected, cleaned, and refilled. As the world shines a spotlight on sustainability initiatives that factor in recycling single-use packaging, Loop takes the eco-friendly, green model to the next level by introducing reusable containers. And some of the biggest food and beverage and consumer package goods (CPG) companies including Unilever, Procter & Gamble, Clorox, Mars, Coca-Cola, PepsiCo, Nestlé, and more, were onboard for the pilot program that launched last year. For its part, Nestlé joined Loop as it committed to expanding its global efforts to develop new packaging designs that minimize the impact on the environment, noting that by 2025 the company plans to make 100% of its packaging recyclable or reusable. As part of the Loop pilot program, Häagen-Dazs ice cream was delivered in a reusable, stainless-steel, double-walled ice cream container, which keeps product fresh and cold while maintaining the pint at a comfortable temperature for the person eating the ice cream straight from the container. The design also enables the ice cream to melt quicker at the top, and its rounded edges means the last spoonful doesn’t get stuck in the corners of the container. “The package design process was a critical part of the entire Loop process,” said Steve Yeh, a project manager at Häagen-Dazs. “It’s not just about making a reusable container, it’s also about creating a high-touch consumer experience.” According to Yeh, the Häagen-Dazs package went through a total of 15 iterations before it finally launched. “Nestlé committed major resources to design and develop the original package.” The team also worked closely with Loop on developing breakthrough cooling technology for the Loop Tote, which the ice cream container is delivered in via UPS. Terracycle officials admit there is a cost to manufacturing partners committing to Loop—from the investment in new durable packaging to the design of the product to the time spent understanding how to handle new packaging lines and how to scale to meet demand. But the reality today is that sustainability efforts are here to stay. And any new endeavor is going to require an upfront investment. According to a new business intelligence report from PMMI, the Association for Packaging and Processing Technologies (and Automation World parent company), packaging sustainability has moved beyond a trend and is now a global shift. Released in March 2020, the report, “Packaging Sustainability: A Changing Landscape,” reveals how sustainable packaging initiatives at CPGs are affecting machines, materials, and packaging formats. The report states that the global sustainable packaging market reported that total value of revenue was estimated at $220 billion in 2018 and is predicted to reach $280 billion in 2025, growing at a compound annual growth rate of approximately 6%. The report is based on information collected from 100 sources and 60 interviews. The majority of the CPGs interviewed are looking to switch to lighter weight, recyclable, and sustainable materials to reduce waste. About 36% of the CPGs interviewed are exploring the circular model of reuse/return/refill. The circular economy For decades consumers have been participating in the “throwaway lifestyle,” where single-use products are disposed of resulting in massive amounts of waste. According to the Environmental Protection Agency, the total generation of municipal solid waste (MSW) in 2017 was 267.8 million tons or 4.51 pounds per person per day. Of the MSW generated, more than 94 million tons of MSW were recycled and composted, equivalent to a 35.2% recycling and composting rate. In other words, we don’t have a good track record for recycling. TerraCycle thought there must be another way—which is Loop. “The genesis of Loop is a tighter, closed-loop system that has manufacturers taking back ownership of their packaging,” said Ben Weir, Loops’ business development manager for North America. “It’s bringing about the reusability of packaging in something that is durable and long-lasting and that can be cleaned and used hundreds of times.” It’s not a new concept, but rather a throwback to the milkman model in which consumers returned the glass containers. What’s new is the aesthetic benefits that will drive consumer brand perception—and, while not obvious at first—it is a better economic model for the manufacturer. “The concept of a circular economy is an economic model, not a sustainability framework,” said Tim Debus, president and CEO of the Reusable Packaging Association (RPA). “By decoupling growth from the consumption of finite resources, maintaining product values at their highest, and building market resilience to source material disruptions. It is estimated that the circular economy offers $4.5 trillion of value from new growth and innovation opportunities, and the world today is only 8.6% circular.” There is an enormous opportunity, but manufacturers may hesitate due to the upfront investment related to packaging design and retooling machinery. According to Nestlé’s Yeh, the company used its Bakersfield, Calif., facility to ramp up its production of ice cream in reusable and durable containers for the Loop pilot project. “We decided to retrofit an existing line to support the platform versus investing in a new line. It was not an easy changeover and required some reengineering. Some of the changes involved installing more modern equipment including better code daters and more modern metal detection.” Yeh said they also incorporated improvements to existing processes, which requires additional staff to handle the containers. “Once the platform expands, we would then visit a fully automated system.”

In the midst of the COVID-19 pandemic, many high-profile sustainability initiatives have taken a back seat to single-use packaging, with many grocery stores banning reusable bags and Starbucks no longer accepting refillable mugs. Despite this, Loop is going all in on reusable packaging, launching its waste-free CPG delivery platform nationwide through retailers Walgreens and Kroger with heavyweight brand partners including PepsiCo, Nestlé and Unilever. Loop, which launched a pilot last spring in New York and Paris, sells products like Nature’s Path granola and Haagen Dazs ice cream, with products from beverage brands like Chameleon Cold Brew and Tropicana currently in development. It also offers household and personal care items from companies like Procter & Gamble and The Clorox Company. The products are offered in reusable jars and containers delivered to consumers in a reusable tote, and when the containers are empty, consumers pack them up in the tote and schedule a pickup with partner UPS, who sends them to be cleaned and sterilized. If consumers have a subscription (about 30% of Loop users do), returning a container triggers the purchase of a new item to be sent. Non-subscribers put down a small deposit on the container and get it back when it’s returned. “Loop tries as best as it can to emulate the convenience of disposability to make it feel like a disposable system,” said Loop CEO Tom Szaky, who is also CEO of parent company TerraCycle. The worries surrounding reusability that have arisen amidst the COVID-19 pandemic haven’t seemed to apply to Loop, said Szaky, though they have been experiencing similar supply chain backups as other food and beverage companies. Though the nationwide online launch with Walgreens and Kroger was already in the works, it’s actually been accelerated to early this summer as more consumers have shifted to purchasing products online. “It’s not that single use is safe or unsafe, it’s not like reusable is safe or unsafe, it’s how you deploy those ideas that makes it safe or unsafe,” he said. “It’s the systems behind it that govern safety.” TerraCycle’s larger mission is to “eliminate the idea of waste,” said Szaky, through collecting and recycling materials that are not traditionally recyclable, like toothbrushes and candy wrappers, and also integrating waste back into products, like using ocean plastic in a Head & Shoulders bottle. With Loop, Szaky has taken the goal of waste elimination one step further, starting a division that “tries to solve waste without it ever occurring.” The root cause of waste is using things once, but single-use packaging hasn’t always been the norm, said Szaky, with milk bottles delivered by a milkman being a prime example. In fact, it only rose to prominence in the mid-1900s as packaging moved from being the property of the manufacturer to property of the consumer. “Do you want to own a coffee cup when there’s no coffee in it, or own a toothpaste tube when there’s no toothpaste in it?” said Szaky. “Why should we?” Owning the packaging comes at the price of the consumer, and as packaging is made cheaper, it’s usually made less recyclable. To address this problem, Loop partners with CPG companies to create reusable versions of their products that lower their carbon footprint, in a concept that Szaky said is “sort of like the idea of organic but instead of caring about farming practices, we care about reusability.” According to Szaky, brands are motivated to join Loop for two reasons: they get to innovate in ways they never have before, and they’re able to upgrade their sustainability. Once brands partner with Loop (and pay an onboarding fee), the company works with them to support the creation of sustainable packaging, like stainless steel ice cream containers and glass jars for beverages and nut butter. “Loop provides a much-needed innovation platform, challenging companies to take a fresh look at our value chains and integrate reusable product packaging as part of our efforts to waste-reduction,” said Laurent Freixe, Nestlé CEO for Zone Americas, in a press statement. “Nestlé is proud to be a founding investor and partner of Loop with the debut in the U.S of the Häagen-Dazs reusable container. It’s a critical part of our commitment to work with consumers to protect our planet for future generations.” Because new product development takes time, it can take from one to two years from the time brands sign on to the platform to actually begin shipping product to consumers. Szaky said of the 400 brands that have signed on, about 100 are currently shipping within the Loop system and the rest are in various stages of development. Partners like PepsiCo’s Tropicana orange juice, Purely Elizabeth granola, oatmeal and bars, Canadian brand Greenhouse’s kombucha and Nestle’s Chameleon Cold Brew are still in development. Retailers like Walgreens and Kroger are first launching Loop stores digitally, offering a selection of Loop products on their respective websites, before brick-and-mortar rollouts this fall where Loop will have its own section in the stores. Loop will also be rolling out in the United Kingdom, Canada, Germany and Japan. The company has also created its own private label brand, Puretto, to test consumer interest. Puretto items, which include products like cheddar crackers, pretzels and bagel chips, are usually sold for six to 12 months, long enough to show proof of concept, and indicate that a national brand is considering developing a product for the category. While individual companies, not Loop, ultimately set the price for items, Szaky said prices are typically kept close to that of the original product. In a time when certain products like baking ingredients or cleaning wipes are seeing online surges, there hasn’t been a push for one particular item on Loop. According to Szaky, products typically don’t perform “better or worse” on the platform. “If you buy a certain ecosystem of products and you like the idea of reusable, you’re buying that same ecosystem of products, but now in reusable,” he said.

CAMBRIDGE (CBS) — Home delivery services for groceries have been booming during the coronavirus pandemic. One of those companies has an added environmental benefit.   Loop is selling food and cleaning supplies in reusable metal containers that can be returned and shipped out again.   “Loop is the milkman re-imagined,” said company executive Anthony Rossi. “We are bringing that idea of the refillable milk bottle to thousands of different products.” Liz Walker of Cambridge was motivated to cut back on the waste she created in her home. “The climate crisis is the most important issue. It’s so existential,” she said.   Reusable Loop containers (WBZ-TV) Her concern comes as cities and towns have been struggling to keep up with recycling since China stopped accepting our single-stream recycled material. So she began ordering coffee, rice, and personal care items like shampoo from Loop. When the containers are empty, she sends them back and they are cleaned, refilled and shipped out to another customer. Many of the items on Loop’s grocery list are generic staples. But the company has also teamed up with some well-known national brands like Haagen Dasz. “It’s in a special container that keeps it cool,” Walker said. Price can be a downside for Walker, with a pound of pasta going for $5, but Loop expects prices to fall as the company grows. Walker is also concerned about the environmental impact of the deliveries but Loop is working on that, too.   Liz Walker orders from Loop (WBZ-TV) “We are going to bring Loop in-store as well, which is why we are partnering with Kroger and Wallgreens,” Rossi said. The first items available in those retail stores are expected to be out on the west coast later this year. There is no timeline for retail stores in Massachusetts. Walker hopes other companies will get the message that consumers are choosing their brands based on environmental impact. “I think companies are listening. A lot of people are thinking about this problem now,” she said.