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The world's biggest brands have a garbage problem. This man can help

The world's largest consumer goods companies have a big problem: The plastic waste that piles up in landfills and oceans has their corporate logos all over it. To try to fix it, they're increasing recycling efforts, sponsoring beach cleanups and switching up packaging materials, among other things. The most radical effort, though, is also the hardest to pull off: Get consumers to switch from single-use to reusable packages.   It may seem impossible, but Procter & Gamble, Unilever, Nestlé, Clorox and PepsiCo are all trying it out, thanks to Tom Szaky.   Szaky is the founder and CEO of TerraCycle, a recycling company based in Trenton, New Jersey. He's also the driving force behind Loop, an innovative service he likens to a 21st century milk man. Launched in May, the service sells brand-name goods like Tide detergent, Pantene shampoo, Gillette razors and Häagen-Dazs ice cream all in reusable packages. Participants pay a refundable deposit for each package, use the products, throw the empty containers into a Loop tote and send them back to be cleaned and refilled. Tom Szaky, founder and CEO of TerraCycle, convinced Procter & Gamble, Unilever, Nestlé and other large consumer goods makers to launch a new shopping service using reusable packaging. (Mark Kauzlarich for CNN) Tom Szaky, founder and CEO of TerraCycle, convinced Procter & Gamble, Unilever, Nestlé and other large consumer goods makers to launch a new shopping service using reusable packaging. (Mark Kauzlarich for CNN)   The stakes are high for all involved. For Szaky, failure could mean the loss of a significant investment and his reputation as a green business whiz. The companies, too, poured time and money into the project. For them, failure means one fewer solution to their plastic waste problem.   It's "the biggest risk we've ever done," Szaky told CNN Business's Rachel Crane. "It's in every way a massive gamble."   But Szaky is no stranger to risk.   Can one man bring back reusable packaging?    Durable packaging fell out of fashion decades ago, when cheap, disposable plastics replaced glass bottles and containersToday, reintroducing the public to a system of reusable packaging is a tall orderConsumers have become accustomed to the ease of quickly tossing things away. Reusing items, however, requires them to take an extra step to preserve the packages. That's why, when Lisa McTigue Pierce, executive editor of Packaging Digest, heard about Loop, she was skeptical.   "When I first got the information, I thought to myself, 'Wow, this is never going to take off,'" she said. But then she had another thought. "This is Tom Szaky at TerraCycle ... one of the best marketers I have ever seen," she said. "If anybody could make this work, it's going to be Tom."   That's because Szaky has a history of pulling off the improbable. A number of Loop products, all of which are in reusable containers, are arranged before a Loop tote.  (Mark Kauzlarich for CNN) A number of Loop products, all of which are in reusable containers, are arranged before a Loop tote. (Mark Kauzlarich for CNN)   Eighteen years ago, as a freshman at Princeton, he came up with the idea to sell worm poop as a natural fertilizer. Szaky turned it into a business, and soon dropped out of college to make it grow.   He convinced Princeton undergraduates to work for free, and persuaded older friends to leave their steady jobs for leadership positions at the company. In its early years, leaning on paltry funds from investors and winnings from entrepreneurship competitions, TerraCycle teetered on the edge of collapse.   But then Szaky convinced big-box retailers like Home Depot and Walmart, which were already stocking established fertilizers like Miracle-Gro, to take a chance on his product. It's easy to see why they might have turned him down. TerraCycle's plant food was not only made from waste but packaged in waste, too: used soda bottles and discarded caps.   While Szaky was chasing meetings with major retailers, other eco-friendly companies and environmentalists were swearing to never work with the likes of Walmart. But Szaky has always believed that in order for his green products to make a difference, he would have to work with — not against — corporate America. He's taking that approach with Loop today.   "My goal consumer is someone in the middle of America who may still even not be convinced on climate change, because if I can get him to participate, then we can really change the world," he said. "This is why we're working with the largest manufacturers, the largest retailers. Because that is what America likes today."   Szaky has always been able to get people's attention.   In 2003, when he was just 23 years old, the Canadian Broadcasting Corporation ran a short documentary about TerraCycle. In it, Szaky talks openly about his fears and the risk he's taken, revealing that he asked investors for money to build a facility that would help fill nonexistent orders, and that he was pushing a new product he wasn't sure worked. His openness is charming, as is his obvious commitment to the cause: Szaky lugs furniture left behind by Princeton students back to a dilapidated house dedicated to putting up staffers over the summer, and refuses to buy any new packaging — or do anything the "normal" way. Three years later, at age 26, Szaky had landed on the cover of Inc. Magazine, which lauded TerraCycle as "the Coolest Little Start-Up in America."   Since then, he's written four books and maintained his status as a media darling, even launching a TerraCycle reality show called "Human Resources" on the now defunct network Pivot. It lasted for three seasons. Szaky, left, speaks with a coworker in his office. Recycled plastic bottles form a curtain that walls off his office at the TerraCycle headquarters in Trenton, New Jersey. (Mark Kauzlarich for CNN) Szaky, left, speaks with a coworker in his office. Recycled plastic bottles form a curtain that walls off his office at the TerraCycle headquarters in Trenton, New Jersey. (Mark Kauzlarich for CNN)   Szaky, now in his late 30s, is still able to punch above his weight. Two years ago, at the ritzy World Economic Forum in Davos, Switzerland, he landed a spot on stage with the CEOs of Walmart, Alibaba and Heineken to discuss the future of consumption. And he is still successful at enticing employees, some of which have taken major pay cuts, to work out of TerraCycle's modest headquarters in Trenton, New Jersey, which is decorated with trash.   Heather Crawford, vice president of marketing and eCommerce for Loop, left a managerial position at Johnson & Johnson to join TerraCycle in November. "Tom is a visionary who genuinely dreams about a waste-free world," she said. "He has these idealistic goals that he drives the whole team towards, and he asks people to do the impossible."   Over the years, TerraCycle evolved, moving on from fertilizer to transforming items that are difficult to recycle into something new. Today, TerraCycle repurposes used batteries, backpacks, coffee capsules, cooking oil and more. The company is doing well: In the first six months of 2019, TerraCycle reported net income of $1.8 million on revenue of $11.2 million. Sales were up 19% from the same period a year earlier, driven in part by new recycling partnerships with Gillette, Williams and Sonoma, Reebok and General Mills.   In September, TerraCycle also launched a car seat recycling event with Walmart. The event proved so popular, Walmart shut it down early, citing an "overwhelming response."   "We have a successful, profitable, growing business," Szaky said. The new venture could change that. With Loop, "we are sort of putting that on the line," Szaky noted.   "We've put close to 10 million of our own dollars into it. We're going to put even more," he added. "Any big idea requires that leap."   Convenience is key   In order for Loop to work, it has to be easy for consumers.   Today, consumers demand convenience, noted Pierce of Packaging Digest. "Without that — even with Tom and all of his strong partners, the consumer packaged goods companies — I don't know that it would work.   Especially when you think of the cost premium for this service," she said. "That convenience angle is everything."   Although Loop products are designed to cost about the same as their traditional counterparts, users do have to put down a deposit when they make a purchase online. The deposit can range from 25 cents to $10, depending on the item.   Consumers get it back unless they break, keep or lose the package. But some customers may be unwilling or unable to put down a deposit upfront. Individual deposits add up, and if people use the service for long periods of time, they won't get that money back for a while.   Szaky, who recognizes that the deposit could be a roadblock for some, aims to make Loop as convenient as possible. His hope is that customers will toss their empties into a used tote just as they would toss their empty containers into the trash. There's no need to wash them first: Loop handles the cleaning. And thanks to the rise of e-commerce, consumers see delivery as the most convenient option already.   Plus, in 2020, Loop products are slated to be available in major retailers like Walgreens and Kroger. That means, in addition to at-home pickup and delivery, consumers will be able to buy and drop off Loop products in person. Ultimately, Szaky wants to build a big enough network to allow customers to pop into one local store to buy a Loop product, and swing by another to drop a Loop package off.   For Szaky, ubiquity will be a marker of success.   "I would sit back and start feeling like we're doing it when I see Loop pop up unconsciously," he said. "I would feel we really got there where it's a common question of, 'Hey, would you like that in disposable or durable?'"   Szaky thinks things are moving in the right direction. Companies that committed to join the pilot with just a few products have added others, and more are in the pipeline. Loop currently includes 120 products and the service adds an average of two new products every week.   When new brands join, their competitors tend to hop on board, as well, afraid of being outdone. For example, Loop launched with reusable Häagen-Dazs ice cream containers, and soon "the biggest ice cream companies, their competitors, called us and said, 'How do we get involved? How do we go even bigger?'" Szaky recalled. This is "what competition is supposed to do, is keep making products better and pushing each other." Nestlé designed a reusable Häagen-Dazs container for Loop, sparking envy from its competitors. (Brinson + Banks for CNN) Nestlé designed a reusable Häagen-Dazs container for Loop, sparking envy from its competitors. (Brinson + Banks for CNN)   Today, Loop operates in parts of France and the East Coast in the United States, and is used by more than 10,000 people. Orders are continuously increasing each week, and repeat order rates are strong, the company says. Next year, the service will launch in London, Toronto and Tokyo, as well as parts of Germany and California.   Scaling up so broadly and so quickly is risky, however.   "One of the things that keeps me up at night is building out the actual operational scale-up plan," said Crawford.   A lot had to happen just to get Loop to the pilot phase. Companies had to develop new durable containers that were easy to clean and use. It took Nestlé 15 tries to get that envy-inducing ice cream container right. Szaky and his corporate partners have to make sure that packages are delivered, collected, cleaned and reshipped in a timely manner — a complex logistical proposition, especially considering how many different companies are involved. Loop currently uses one cleaning facility in Southeast Pennsylvania to process its US-based orders. But as it continues to expand, TerraCycle says it will need to add more facilities in other parts of the country.   For now, the project is small, and the Loop team is taking careful notes on consumer behaviors, complaints and preferences. But if Loop gets as big as Szaky wants it to, the system will have to work, impeccably, on its own.   "All of the moving pieces, logistically, operationally, new facilities in all of these regions and all of the steps and pieces that need to happen in the expansion plan is something that's going to take a tremendous amount of time and attention from our team, and also support from partners," Crawford said.   If things go wrong — orders get held up, items are out of stock, or people feel burdened by yet another shopping platform — people could give up on the idea of reusables.   Historically, consumers have often valued convenience over the environment. Starbucks, for example, has tried for years to get consumers to use reusable cups, selling durable versions of their cup for a few dollars and offering discounts to customers who bring their own mugs. But the company has consistently found that despite its efforts, just a small fraction of consumers actually bring their own cup to the store. Can Loop finally crack the code, convincing consumers to switch to reusables?   Meanwhile, the clock is ticking: companies participating in Loop won't wait forever for the concept to prove out.   Eventually, "their primary concern is going to be return to shareholders," Crawford said. "At some point in this process it needs to become profitable."   Experts are optimistic that this time, things could be different.   With Loop, Szaky's "timing is impeccable," said Pierce. Consumers are looking for solutions to the plastic waste crisis, and Loop could be a good one. Ultimately, companies may go in a different direction, like biodegradable wrapping or package-free grocery aisles instead of reusable containers. Szaky's company TerraCycle transforms hard-to-recycle items, like batteries, backpacks and coffee capsules, into something new. (Mark Kauzlarich for CNN) Szaky's company TerraCycle transforms hard-to-recycle items, like batteries, backpacks and coffee capsules, into something new. (Mark Kauzlarich for CNN)   No matter what, big corporations will have to seriously reconsider the way their goods are being sold. Unilever said on Monday that it plans to cut its use of non-recycled plastic in half by 2025. To deliver on that promise, the company will have to collect over 660,000 tons of plastic per year, and continue to innovate its product line. In addition to reusable packages, Unilever has tried out soap-like shampoo bars, bamboo toothbrushes and cardboard deodorant sticks, among other things.   "The challenge around packaging is not going to go away," said Tensie Whelan, director of NYU Stern School of Business's Center for Sustainable Business. "Growing regulatory scrutiny of it is not going to go away. Growing consumer concern about it is not going to go away. And growing cost of waste disposal and the environmental impact is not going to go away."   Szaky knows that his partners are in desperate need of a solution. When he first approached companies about Loop, he targeted ones that were featured on a Greenpeace list of worst plastics polluters, because he knew they had a potential public relations crisis on their hands. He's hoping that the scope of the problem will inspire the type of changes needed to make Loop a success.   "Loop is a gargantuan ask," Szaky acknowledged. "We're going into a Procter & Gamble and saying, 'reinvent the packaging of these world-famous products completely, build production lines to fill this reinvented package, oh, and, by the way, I have no proof if anyone's going to buy it at all.'"   And Szaky knows that people are paying attention to what he's doing. Loop has "a very big responsibility," he said. "I think a lot of people are going to think about whether there's a future in reuse by whether we succeed or not."

Plastic waste is everywhere in grocery stores. Can they cut down?

Stores like Aldi and Trader Joe’s are trying to decrease excess plastic, but experts say it’s not enough. a woman and child exam plastic-wrapped vegetables in a supermarket Plastic packaging can be both a blessing and a curse. It’s usually deployed to protect food, preserve freshness, and prevent spoilage and waste, which are all good things. At the same time, supermarkets can’t seem to help themselves from overpackaging items to the point of perversion, like a single banana — which already comes in its own Mother Nature-approved wrapper — plated on a Styrofoam tray and shrink-wrapped in even more plastic. Other forms of plastic appear completely gratuitous. Do pasta boxes really need tiny film windows for previewing the noodles? Supermarkets aren’t the only source of packaging waste, but they’re a major contributor. They’re also where most people interact with brands like Nestlé, which sells more than 1 billion products a day, 98 percent of which come in throwaway formats. When the Break Free from Plastic initiative audited more than 187,000 pieces of trash from 42 countries across six continents last October, the names that reared their heads most frequently were Coca-Cola, PepsiCo, and — yes — Nestlé. Supermarkets have been promoting recycling as a way out of this morass, but it hasn’t been enough, according to environmentalists, who say that single-use plastic needs to be purged from the get-go. It’s a concept that a growing breed of “zero-waste” grocers are experimenting with, too. “If your bathtub was overflowing, you wouldn’t reach for a mop to clean it up; you would turn it off at the source,” says David Pinsky, an anti-plastics campaigner at Greenpeace. “And that’s what we need to do on plastics.” LESS THAN 14 PERCENT OF THE NEARLY 86 MILLION TONS OF PLASTIC PACKAGING PRODUCED GLOBALLY EACH YEAR IS RECYCLED The fact of the matter is we’re not doing a good enough job of recapturing plastics, which are made from nonrenewable resources such as crude oil and natural gas and contribute to climate change throughout their life cycle. Less than 14 percent of the nearly 86 million tons of plastic packaging produced globally each year is recycled, and of that, only 2 percent goes into high-value applications. The rest is landfilled, incinerated, or buffeted into the environment, where it clogs up the seas, the beaches, and the digestive tracts of sea life. Much of the trouble with recycling plastic is it’s “incredibly finicky,” says Darby Hoover, a senior resource specialist at the Natural Resources Defense Council. Different municipalities accept different types of plastic, and the little triangle with the number at the bottom of a plastic container — if you can even find it — refers to the type of resin and not if or how it can be recycled. Sometimes, despite a recycling facility’s best efforts, a plastics stream becomes contaminated, which impairs sellability. But even if a facility does get it right, there isn’t always a market to funnel all the different types of plastic. “What’s been happening with China, in particular, is that it was America’s No. 1 buyer of plastic and paper, but now it’s saying that the stuff we send to them needs a much lower contamination rate, and we can’t do that,” Hoover says. Complicating the matter is complex packaging such as Tetra Pak cartons — the type plant-based milks, soups, and broths come in — and Capri Sun-type juice pouches — which contain different layers of material fused together — are even more difficult to reclaim. “So they’ve got aluminum and different types of plastic, then a bunch of glue that holds it all together,” Hoover says. “It’s very, very hard to separate out all those materials and figure out how to recycle any of them.” THE GLOBAL PLASTIC PACKAGING MARKET IS EXPECTED TO SOAR TO $412 BILLION IN 2024 The problem isn’t going away anytime soon. Plastic packaging is a booming industry with a powerful lobbying presence that can block lawmakers from enacting bans on plastic bags, Styrofoam containers, and other landfill fodder. Fueled by growing demand for flexible and functional food and beverage packaging, the global plastic packaging market is expected to soar from a value of $344 billion today to $412 billion in 2024. We throw away most single-use plastics within minutes of use, yet they can persist in the environment for 1,000 years. “We do need to fundamentally rethink the way that we use plastics,” says Sara Wingstrand, project manager of the Ellen MacArthur Foundation’s New Plastics Economy initiative, which has rallied more than 350 businesses, governments, and other organizations, including Coca-Cola, PepsiCo, Unilever, Walmart, and Target, in 2018 to support the elimination of unnecessary plastic packaging and transition the rest to reusable, recyclable, and compostable versions by 2025. “Recycling is a part of the solution, but it’s becoming evident that there is no way that we can recycle our way out of the plastic pollution crisis.” One key hurdle is that supermarkets are often blissfully unaware of how much plastic they’re employing. The material is relatively cheap and it makes up a fraction of a business’s operating expenses, Wingstrand says. And the thing is, you can’t reduce what you haven’t measured. Some supermarkets are trying, though. In South Africa, the supermarket chain Pick and Pay is trialing packaging-free “nude zones,” where customers can bring their own containers for fruits and vegetables that are laser-etched with the supplier code and sell-by date in lieu of plastic stickers. Similar “food in the nude” campaigns are taking place at grocers in New Zealand, which banned single-use plastic bags in July. This past April, Metro, a supermarket chain in Quebec, became Canada’s first major grocer to allow its customers to fill up their own reusable containers with meat, seafood, pastries, and ready-to-eat meals. https://cdn.vox-cdn.com/thumbor/u-Xqw_V0nRmznEIr5ktTg8u209A=/0x0:7200x5141/1200x0/filters:focal(0x0:7200x5141):no_upscale()/cdn.vox-cdn.com/uploads/chorus_asset/file/19235711/GettyImages_1168981697.jpg Shoppers examine bags of salad at a PriceChopper supermarket. Robert Nickelsberg/Getty Images The United Kingdom, where a “polluter’s tax” on any single-use packaging that doesn’t contain at least 30 percent recycled materials is poised to debut in April 2022, is also making strides. Its major supermarkets have committed to a UK Plastics Pact to design out “problematic or unnecessary” single-use packaging by 2025. Waitrose is piloting refill stations at select stores for pasta, wine and beer, and detergent, and Sainsbury’s plans to introduce refillable packaging “at scale.” As part of its pledge to use only reusable, recyclable, or compostable packaging by 2025, Aldi has banned black plastic trays, which near-infrared sensors at recycling centers have trouble picking out from a sorting belt. Tesco, Britain’s largest supermarket, has convened with its suppliers to examine solutions that may require a design or materials overhaul. It’s even mulling banishing brands that use “excessive or inappropriate” packaging. It should come as no surprise that supermarkets in the US — bolstered by America’s corporate-friendly policies — have lagged behind. “Europe is probably more favorably predisposed to regulation and restrictions,” says Neil Saunders, managing director of retail at GlobalData, an international data-analytics consultancy. (Case in point? The European Union has a roadmap for making all plastic on the European market recyclable by 2030.) “Whereas the US is much more focused on freedoms of companies and individuals, and government is probably a lot more reluctant to legislate on certain things.” “THE [US] GOVERNMENT IS PROBABLY A LOT MORE RELUCTANT TO LEGISLATE ON CERTAIN THINGS” That isn’t to say there has been zero progress. Target is working on ditching expanded polystyrene foam packaging from its own-brand packaging by 2022. Select products in its Everspring line of home essentials are packaged in containers with up to 100 percent post-consumer recycled plastic. Costco has eschewed PVC clamshell packaging, which is not recyclable and can leach toxic chemicals when it degrades, for recyclable PET or recycled PET made from water bottles. Straws and Styrofoam meat trays are now verboten at Whole Foods, which is also replacing its hard plastic rotisserie chicken containers with bags that use roughly 70 percent less plastic, a spokesperson says. Walmart, the world’s No.1 brick-and-mortar retailer, aims by 2025 to incorporate at least 20 percent post-consumer recycled content in its own-brand packaging, which will also be 100 percent recyclable, reusable, or industrially compostable. In terms of general merchandise packaging, Walmart says it will work with suppliers to nix PVC by 2020. But a June report by Greenpeace, which rated 20 leading US supermarkets on their efforts to eliminate single-use plastic, found a universal failure to “adequately address the plastic pollution crisis they are contributing to.” In fact, no supermarket scored more than 35 out of a possible 100 points. Even the American iteration of Aldi, which rose to No. 1 for setting out a plastics reduction target and plan, needs to ramp up its ambitions, according to Pinsky. Since 90 percent of the products on its shelves are private label, rather than from name-brand suppliers, Aldi has a bigger say in its packaging decisions. “Aldi’s only committed by 2025 to reduce its plastic footprint by 15 percent,” he says. “So while some supermarkets are starting to take small steps in the right direction, none are acting with the urgency or the ambition that’s needed to truly tackle the plastic pollution crisis.” Transparency, Pinsky says, is a sticking issue. No supermarket, for instance, publicly reports its plastic footprint, which makes it difficult for the public to evaluate progress year over year. Time-bound, comprehensive plans are still few and far between. And some grocers are merely substituting one single-use material for another, as in the case of Trader Joe’s, which drew plaudits earlier this year for plans to strip its stores of 1 million pounds of plastic by removing plastic bags from its checkout counters, switching to compostable produce bags, and replacing Styrofoam trays with recyclable alternatives. But plant-based bioplastics, which stores increasingly favor, can still contribute to microplastic pollution if released into the environment, Pinksy notes, and molded fiberboard could harbor cancer-causing chemicals. “WE NEED TO SHIFT OUR CULTURE BACK TO MORE REUSE SYSTEMS” “It’s clear that recycling or substituting materials is not going to solve this problem; we need to see a focused reduction of plastic production in the first place,” he adds. “We need to shift our culture back to more reuse systems.” One result of the plastics backlash is the idea of the zero-waste supermarket. Brianne Miller, a marine biologist, was so sickened by the swaths of plastic that greeted her in different dive sites around the world — even the remote ones — that she left academia to co-found Nada, a zero-waste grocer that is not only the first of its kind in downtown Vancouver but in all of Canada. At Nada, everything, including fruits, vegetables, meats, grains, cheeses, nut butters, and sauces, is sold loose. Customers can load up their own jars, containers, and drawstring bags, or pick up cleaned and sanitized ones that are available for sale. Depending on what they need, they can pick up a barrel of crackers or just a handful. But customers are just one piece of Nada’s master plan; the store also works with its suppliers to deliver their products free of disposable packaging. “In many instances, suppliers are dropping off products every couple days or every week, so it’s quite easy, for example, to have things like coffee beans dropped off in a reusable Rubbermaid tote,” Miller says. “And then when the next shipment comes in, the container goes back to the supplier, and then it’s refilled and reused again, so we have this circular loop of containers that are coming and going from our store.” Nada sources as close to the store as possible, which helps with the minimalist approach, since products don’t have to be coddled across vast distances. “Instead of shipping cucumbers from across the country, we have the local farm, so that packaging isn’t necessary in the first place,” she says. Zero-waste supermarkets, especially full-service ones like Nada, may seem like an answer to our plastic packaging problem, except they’re still a rarity. In.gredients, an East Austin business that billed itself as America’s first zero-waste grocery store, shuttered permanently in 2018. There is a smattering of others in London, Berlin, Amsterdam, Stockholm, and Hong Kong, but they are largely boutique outfits with narrow aisles and more hipster appeal than options. For the vast majority of people, single-use plastics are still an inescapable aspect of their shopping reality. One other solution is a return to the old “milkman delivery” model of yore. The brainchild of TerraCycle, a New Jersey-based “waste solution development” firm, Loop offers popular products — think Häagen-Dazs ice cream, Hidden Valley ranch dressing, Tropicana orange juice, and Quaker Oats oatmeal — in durable glass and aluminum tubs designed to be returned, cleaned, and refilled. Nestlé, Procter & Gamble, Unilever, PepsiCo, Coca-Cola, and Danone are just some of the marquee names that have thrown in their support. Loop has also roped in a number of retail partners, including Kroger and Walgreens in the United States, Tesco in the United Kingdom, and Carrefour in France. “It’s super important to us to meet consumers where they’re already shopping,” says Heather Crawford, Loop’s vice president of marketing and e-commerce. Unlike with bulk or zero-waste supermarkets, customers don’t have to sling their own containers or wash them, which could help adoption. “People want a better, more sustainable option with less waste, but they’re not always willing to change their behaviors to get there,” she says. “Loop removes all of the friction from the systems that exist in the current zero-waste solution.” Tory Gundelach, vice president of retail insights at the consulting agency Kantar, sees a growing desire from customers for forward-thinking efforts such as Loop. “Younger shoppers, particularly, are becoming more attuned to the effect of their actions on the environment or society as a whole,” she says. “Shoppers increasingly want to see the retailers and brands they engage reflect their own personal values.” Nearly two-thirds of millennials and Gen Z-ers say they prefer “brands that have a point of view and stand for something,” Kantar’s research has found. And therein lies supermarkets’ business proposition. Reducing packaging through resource-efficient design or losing it altogether can save money on raw materials and shipping costs — always a plus for the bottom line — but it can also win over a demographic that is only going to grow into its spending power. “Shoppers are telling us, ‘I’m putting my dollars against the retailers and the brands that feel like they have values that line up with my values,’” Gundelach says. “And to do that, of course, brands and retailers have to put out what their values are that they stand for.”

BEAUTY PRODUCT 'CAPSULES' MAY BE THE CUTTING EDGE OF SUSTAINABLE SKIN-CARE INNOVATION

Don't be fooled by their squishy outsides. Eve Lom Cleansing Oil Capsules. Photo: Courtesy  Eve Lom Cleansing Oil Capsules. Photo: Courtesy There is a revolution happening in skin care, and it's occurring inside tiny, squishy spheres. Beauty "capsules" — oils, serums and powders housed in self-contained, monodose pods — are popping up everywhere in the beauty market, it seems, from high-tech treatment systems to cleansers. They might not look like much, but inside those rubbery orbs are unique formulas and textures, not to mention of host of eco-friendly possibilities. They’re not a completely new idea, per se — witness Elizabeth Arden's iconic Ceramide Capsules, born in the ancient times of 1990 A.D. Since then, however, we've mostly realized the folly of dumping small plastic beads into waterways and capsules have been largely viewed as a relic of the past. But that view has shifted of late. "Encapsulated beauty products could be more or less sustainable than comparable products that are not encapsulated," explains Mia Davis, Director of Mission for Credo Beauty, "providing they are made of naturally-derived, biodegradable casings." And as consumers become increasingly diligent about supporting brands with sustainable practices, that's exactly where beauty companies are headed. Elizabeth Arden Vitamin C Ceramide Capsules. Photo: Courtesy Elizabeth Arden Vitamin C Ceramide Capsules. Photo: Courtesy Take, for example, the aforementioned Elizabeth Arden. These past few years, the brand doubled down on its capsule-based heritage, launching the Advanced Ceramide Capsules in 2017 and a retinol version in 2018. In September of this year, it launched a new Vitamin C Ceramide Capsules Radiance Renewal Serum. The main selling point for these single-serving capsules is that they take an already potent ingredient, and remove the need for things like fillers or stabilizers that would minimize their strength. As New York City-based dermatologist Dr. Dendy Engleman explains, "[Elizabeth Arden Vitamin C Ceramide Capsules] are formulated in an oil base, so it is much better absorbed [by skin], and up to 178 times more potent than vitamin C in an aqueous base. Because the formula is encapsulated, it is not degraded by light and air." Interestingly enough, the brand claims that its capsules have been biodegradable since day one — a practice it is continuing to improve upon as green tech advances. "The Vitamin C Ceramide Capsules Radiance Renewal Serum are vegetable- and mineral-based," explains Kelly Quinn, Arden's Senior Marketing Manager. "They also meet industry standard guidelines for biodegradability — drop it in water and watch it dissolve." Pubic-grooming brand Fur went the extra biodegradable mile by introducing a casing for its new Bath Drops, which debuted in October, that is also certified vegan. It's made from red seaweed, a material the brand claims is an environmentally friendly version of the gelatin used to encase bath beads from days of yore. Drop it in the tub and it dissolves, releasing its blend of conditioning oils and the brand's signature clary sage oil to moisturize skin and soothe post-shaving irritation. Fur Bath Drops. Photo: Courtesy Fur Bath Drops. Photo: Courtesy Another benefit of biodegradability as it pertains to these types of products is that it forces formulators to come up with ways to make products anhydrous (a.k.a. water-free), mostly removing the need for preservatives; no water means no threat of mold. And, being monodose (as in, one application per capsule) means no worries about degradation or bacteria growth from exposure to air, and therefore less product waste in general. Luxury skin-care brand Eve Lom is no stranger to anhydrous products — its cult-classic Cleanser is water-free — so the recent introduction of Cleansing Oil Capsules takes that bestselling balm and translates it into a liquid encapsulated form. The casing is made from a vegetable-based material that's fully biodegradable, says Eve Lom Master Esthetician Erica Maccallum, and features the brand's signature blend of essential oils from chamomile, eucalyptus, hops and clove. Each tiny bead has enough product to completely remove dirt, oil and makeup from the skin. That single-dose ideology is also a less obvious green move: Brands tout it as convenient for travel and making application dummy-proof (my words, not theirs) because each capsule is one use. And that's all true. But what's less often discussed is the fact that this method can prevent the impulse for overdoing it on a product, cutting down on waste and enabling consumers to be more conservative in their use. However, as Davis warns, everything isn't sunshine and rainbows in capsule world. "In theory, capsules could reduce waste, but it is also likely to lead to more packaging, not less," she asserts. "In all likelihood, the beads will go into a jar or bottle, and most of those will go into a box." One alternative that does, indeed, cut down on packaging and reduce waste is present in Unilever's Signal oral-care line. As part of TerraCycle's Loop initiative (TL;DR version: The modern-day milkman scenario where you order products, use them, then have the service pick up the used containers to be cleaned, sterilized and put back in the supply cycle to be used all over again. It's a pretty cool concept worth reading up on.), the company created a unique chewable toothpaste tab. Simply pop one of the Signal 8 Integral Tooth Tabs in your mouth, then start brushing — no water needed. The container itself is made up of a glass jar with a plastic cap with ceramic printing, which gives it added durability to stand up to repeated sterilization and washing by Loop facilities. Sadly, it's currently only available through Loop's Paris program, but here's hoping Unilever eventually adapts it for the U.S. market. As Davis says, in theory capsules have a lot of potential, but it's up to brands to go that extra mile if they really want to make this category a sustainable alternative for the future. With the ability to increase potency, prevent product degradation, decrease reliance on plastics, and reduce product waste, capsules are a great first step toward a different kind of environmental responsibility. "A bio-based casing that could biodegrade in the environment over time is the right start," says Davis. "A clean formula with reduced reliance on preservatives, which can be done because the product is protected from natural breakdown and contamination, is great. And, ingredients like vitamin C could be kept more active and potent. But, brands using this format [need to] prioritize one exterior package, not two, since breakage and leakage is not nearly as much of a concern with this type of product. There is huge potential if this is done right."

Why Marketing Can Save the World: 5 Examples

As I write this, the words of Greta Thunberg are reverberating around the world.   Wherever you stand on climate change, I hope everyone can agree hers is a powerful story. A 16-year-old, still a minor, getting up in front of the leaders of the world and clearly giving them a performance review: “You are failing us.” And she did it in English — not her native language.   I don’t know about you, but I wouldn’t have been able to do that when I was 16. And certainly not in Swedish.   I am not trying to convince you about whether she is right or wrong. I am simply trying to tell you that she is. She exists. That just happened. And she illustrates the power and purpose of marketing — to get a conversion.  

People Are Lazy and Selfish

  And it’s not necessarily bad. I am. You are. We’re lazy, because it’s an evolutionary trait to conserve energy. And when I say we’re selfish, we’re simply hardwired to act in our best interest.   But …   These human characteristics make the job of saving the world really hard.  

Most People Don’t Want to Save the World, They Want to Save Themselves

  Climate change is a maddeningly complex topic. We’re literally talking about a combination of …   scientific study of the entire planet for thousands of years + an entrenched economic system — hardwired for brilliant, innovative change; yet, challenged by factoring in externalities + change on an such an epic scale that individual impact is difficult to feel x politics   And … oh look, a Kardashian just did something shocking on social media!   Where were we … oh, yes. How do you get humans to focus intently on such a deep problem that you change behavior when there are so many shiny and more fun options out there?   Well, you tell a better story. Thunberg is what Apple was talking about in its legendary “Think Different” campaign. As the ad states, you can “glorify or vilify them.” The most recent AP story about Thunberg talks about how she was both praised and criticized.   Will Thunberg be the one who helps bend that hockey stick of climate change somewhat downward? It’s unfair to even speculate.   But I can tell you her role. It’s marketing. Marketing has a bad rap sometimes, but that shouldn’t come across in a bad way.  

As a Marketer, You Can Save the World

  Or destroy it. But let’s stay positive.   Marketing has that all encompassing power to affect human behavior. Thunberg is a person, of course. Let’s respect that. But she’s grown to be something far greater.   She’s become a narrative. A way for people to comprehend climate change and how they can impact it. An easy-to-understand personification of a complex issue. In other words, marketing. From sailing across the ocean to reduce carbon emissions instead of flying to that speech in front of the UN, she has created a compelling brand. Something for people to pull for and choose to act due to her actions.   Marketing can save the world, because it is the marketers who create these stories. The stories that get people to change behavior. To wear Nikes instead of generic shoes. To spend more for an iPhone. To take their valuable time to attend a webinar.   No matter what engineers create or researchers discover or politicians utter, products, services, and ideas only succeed because people choose them.   So marketing has the power to save the world. To make the world a better place. To have more people choose good.   Marketing is ultimately the optimization of perceived value to help influence that choice. Some examples:  

Example No. 1: Chilean Sea Bass

  I got the idea for this article in a discussion with Flint McGlaughlin, Managing Director and CEO, MECLABS Institute, while he was preparing this YouTube Live session filled with conversion optimization ideas for viewer-submitted landing pages.   In it, he discusses how marketing essentially created the Chilean Sea Bass.   Marketing can help with environmental issues by making eco-friendly, but previously unpopular, options more popular in the marketplace (although, that can cause other issues).   For example, as Alexander Mayyasi states in the article "The Invention of the Chilean Sea Bass," “Far from unique, the story of the Chilean sea bass represents something of a formula in today’s climate of overfishing: Choose a previously ignored fish, give it a more appealing name, and market it. With a little luck, a fish once tossed back as bycatch will become part of trendy $50 dinners.”

Example No. 2: Strong Passwords

  In this Wall Street Journal article, "People Need an Incentive to Use Strong Passwords. We Gave Them One," professor Karen Renaud provides a great example of creating a process-level value proposition for creating a strong password (instead of just telling people they should create one)— the stronger the password is, the longer they can keep it before having to change the password again.

Example No. 3: Brushing Teeth

  Why did you brush your teeth this morning?   Let me stop you right there and tell you that you’re wrong. Whatever reason you gave is an attempt to logically explain a societally ingrained habit.   And that habit came into being thanks to headlines and body copy in advertising for Pepsodent made by advertising pioneer Claude Hopkins.   He didn’t just tell consumers they should brush their teeth because it’s the good or right thing to do. He created a value proposition for it by advertising the need to brush teeth to remove a film that builds up on them and “robs teeth of their whiteness.”

Example No. 4: Tesla

  Electric cars did not gain much traction until Elon Musk came along. Public perception was that electric vehicles — or EVs, for short — were akin to wearing a hair shirt. Yes, they kept the air we breathe cleaner, but it was a subpar experience.   Elon Musk changed that by leveraging the inherent quickness of EVs and created objects of desire with Tesla. These weren’t three-wheeled, two-seater econoboxes. These were high-end sportscars to be lusted after.   He did it by cultivating an innovative (and larger than life) persona on social media. By creating cars with tech-savvy features, like a car that turns off and door handles that retract when you simply walk away from the car. He also did it with smart branding — you can buy a Tesla Model X with “Insane Mode” or “Ludicrous Mode” acceleration.   In other words, marketing.   And in so doing, he changed the entire arc of the car industry from a group of companies that simply couldn’t get off fossil fuels to an industry that has invested billions in electrification and sees EVs as the auto propulsion of the future.

Example No. 5: Tom Szaky

  This story is still in progress, but I flag it up to you as an example that is going on right now. Tom Szaky founded TerraCycle with the idea of increasing recycling — especially for hard-to-recycle items that you couldn’t just set out on the curb.   But he didn’t do it by running ads telling you that recycling is good. He partnered with major brands from Bausch + Lomb to Colgate to Tide to leverage their brands and marketing muscle (i.e. co-op marketing) to get the message out to schools and non-profits, encouraging them to recycle in groups in exchange for donations. (And there is your process-level value prop … in addition to making the world a better place, of course).   Now he’s launching Loop, an e-commerce platform in which you can buy your favorite brands in reusable containers by, again, leveraging what is essentially co-op marketing. This small company is trading on some of the biggest and most valuable brands in the world.

'With Great Power There Must Also Come — Great Responsibility'

  The Peter Parker principle. If you are a marketing leader, you have a super power. The power to influence human behavior.   To heal … or to destroy … the world.   Use it wisely.

Beyond plastic: How Ontario retailers are ditching single-use packaging

A growing number of businesses in the province are doing away with oh-so-easy disposable packaging — and trying to promote a waste-free culture plastic food containers You may already use a refillable bottle for your water and a travel mug for your coffee. The move toward sustainable packaging in Ontario means that you can now also use your own container for kombucha. That’s because Vitaly, on Queen Street West in Toronto, lets you serve yourself from kegs. If you don’t have a bottle to hand, you can buy a glass one for $5. Station Cold Brew, the company behind the concept, is calling this Toronto’s first package-free beverage shop. It’s just one of a growing number of companies trying to figure out what zero waste looks like on the ground. “We work in the beverage industry, so we’re really aware of the issues around single-use packaging,” says Steve Ballantyne, founder and CEO of Station Cold Brew. While the company sells most of its cold coffee products in cans and bottles, since 2014, it has delivered kegs of brew to offices — employees use their own bottles and mugs. More recently, it set up self-serve kegs at the 10 locations of Goodness Me! natural-food stores, which offer customers glass bottles for a refundable deposit. “This was a natural extension of what was already going on,” says Ballantyne. The Queen iteration is called Compound Café — Vitaly will be rebranding its Queen location as Compound in the coming weeks — and is kitted up with six taps serving such beverages as iced tea, cold brew with tonic, and flavoured kombucha, all made by Toronto-area brands. (Moving forward, drink kiosks run by Station Cold Brew will be called Craft on Draft.) It’s all part of a larger effort to cut down on what we throw out — and Ontarians throw out a lot. As Matt Gurney noted in a recent TVO.org series, the province generated 9,475,472 tonnes of non-hazardous waste in 2016. The federal government has announced its intention to take action on single-use plastics: Canada will ban them as early as 2021. And, in Ontario, Bill 82 — which “identifies measurable targets and sets out timelines for the immediate reduction and eventual elimination of the distribution and supply of single-use plastics in Ontario and that requires the immediate elimination of certain single-use plastics” — passed first reading in March. But just how consumers will manage a transition to waste-free culture remains to be seen. That’s why companies are testing out new approaches that could prove that, even without oh-so-easy disposable packaging, products can be convenient. “What we’re trying to do is create a service that closely mirrors the single-use experience,” says Anthony Rossi, vice-president of global business development for New Jersey-based TerraCycle. The company is partnering with Loblaws to offer a service, called Loop, to Toronto-area customers in early 2020. Loop resembles a teched-up version of the old milkman system: customers go online to buy name-brand products that are then delivered to their doors in reusable packaging. When they’re finished the shampoo, ice cream, or dishwasher pellets, they leave the empty container out for pick-up and order more. TerraCycle offers about 150 products at the moment and works as a go-between to handle orders, delivery, and cleaning. Since May, Loop has been operating in the Greater Paris area and in the northeastern United States. The company capped its customer base at 5,000 in each market and now has wait-lists “in the tens, almost hundreds of thousands,” says Rossi. “They love the packaging. They love the e-commerce mode. They love the convenience. We’re even reaching customers who aren’t motivated by environmental reasons.” Ontario has also seen a stream of bulk-style food stores operations open up, including Nu Grocery in Ottawa and Unboxed Market in Toronto. At Zero Waste Bulk in Waterloo, owner Ellin Park says she sells about 1,000 products, many of them local. The 1,900-square-foot location opened last December, and sales have been “better than expected,” says Park. While the store offers some containers, such as washed yoghurt tubs donated by customers — a form of upcycling — and sells paper bags, patrons have been showing up prepared. “People are really good at bringing their own containers, and they bring their own bags, too,” says Park. “Since we’ve been open, we’ve sold less than 50 paper bags.” Indeed, customer demand is a big driver for these new approaches to selling consumer products. According to a June study from Dalhousie University, 93.7 per cent of Canadians surveyed said they are personally motivated to reduce single-use plastic food packaging. Ballantyne says he’s been heartened to find that other beverage companies are eager to give the package-free approach a try. Over the past few months, he and his partners asked seven companies to work with them on the project. “No one said no. It points to this concept having legs,” he says. Park, though, notes that she has had challenges finding the right products for her shelves. “Some are really eager, some are already doing it, and some are, like, no,” she says of suppliers’ reactions to her zero-waste requests. She does think her store opened at the right time, as companies are increasingly innovating and offering new product lines. For example, she stocks — and uses — shampoo in bar form. And she keeps an eye out for new products, such as laundry strips, that could lend themselves to package-free bulk. Much of the waste in retail happens out of the public eye. “We’re trying to reduce waste behind the scenes,” says Park. She’s negotiated with her suppliers to send her products in plastic containers that can be washed and used again for the next shipment. Some companies already have systems in place to keep waste to a minimum: Beyond Meat, for instance, sells her plant-based burger patties in large, recyclable bags. Ballantyne has become increasingly careful about back-room waste at his company. The stainless-steel kegs he uses can be washed and reused. The kombucha, though, comes in a single-use plastic keg, because even a drop of fermentable product left after washing could affect the next batch. Steven Young, associate professor in the School of Environment, Enterprise and Development at the University of Waterloo, says it’s important to pay attention to the supply side. Free municipal-waste recycling and composting programs serve only residences. Factories, shippers, construction companies, large retailers, and hospitals must pay to get rid of their waste — and most send their garbage, plastic, metals, paper products, and food waste straight to landfills. “That’s the cheapest thing to do,” says Young, adding that, to change that, governments will need to incentivize waste diversion from the business sector. “If we can get into habits of reduction and reuse, this is a good thing,” he says. “The more zero-waste stores there are, the more demand there will be,” Park says. “So there will be more options.” Ballantyne believes that the move to a less packaged consumer culture must necessarily involve new ideas and experiments. “Right now, single-use packaging feels like a necessary evil,” he says. “We have to pilot new things.”

Unilever pledges to halve use of virgin plastic by 2025

https://www.supplychaindive.com/user_media/cache/19/b0/19b0847eae6ee664aef7be724b02a620.jpg Dive Brief:
  • Unilever has committed to halving its virgin plastic use by 2025 by increasing the amount of recycled plastic in the packaging for its products and developing alternative packaging materials.
  • The company will also boost its collection and recycling of plastic packaging, aiming for 600,000 metric tons per year by 2025 — slightly less than the 700,000 metric tons the company produces, the company announced in a press release Monday.
  • "This demands a fundamental rethink in our approach to our packaging and products. It requires us to introduce new and innovative packaging materials and scale up new business models, like re-use and re-fill formats, at an unprecedented speed and intensity," Unilever CEO Alan Jope said in a statement. 
Dive Insight: Packaging is a major contributor to plastic waste. It represented 36% of all plastic production in 2015 and its share of the waste stream is even larger. A 2017 study by researchers at the University of California, Santa Barbara; University of Georgia; and the Sea Education Association found most packaging plastic enters the waste stream within one year of production. Jope's statement explains the extent of the work ahead for Unilever, and any manufacturer looking to substantially reduce virgin plastic use. The company's steps to meet these goals will include:
  • Investment and partnerships in waste collection and processing.
  • The purchase and use of recycled plastics in its packaging.
  • Participation in extended producer responsibility schemes where Unilever directly pays for the collection of its packaging.
Unilever is not alone in making drastic plastic reductions. PepsiCo pledged to reduce virgin plastic in its products by 35% by 2025. Walmart, with its private-label brands, and Keurig Dr. Pepper are working toward full recyclability. Recycling players like Terracycle, with its waste-free e-commerce platform Loop (Unilever and PepsiCo are partners) are working on solutions for reducing single-use or non-recyclable plastic packaging, but so far no radical solutions have scaled. Greenpeace is skeptical that Unilever's Monday announcement, or any of the existing corporate initiatives to reduce single-use plastics in the supply chain, will make a real dent in the fundamental problem. "While this is a step in the right direction, for a company that uses 700,000 metric tons of plastic annually, Unilever’s continued emphasis on collection, alternative materials, and recycled content will not result in the systemic shift required to solve the growing plastic pollution problem," said Graham Forbes, global project leader at Greenpeace USA in a public statement reacting to Unilever's pledge. Just days before the Monday announcement, Greenpeace published a report calling out such corporate efforts as "false solutions" that don't actually move away from the single-use plastic paradigm in any real way. Unilever's actions to date — working on collection in developing countries and creating refillable products in some markets — are not enough, according to Greenpeace. "We encourage Unilever to prioritize its efforts upstream by redesigning single-use plastic and packaging out of its business model, and being more specific about the investment it will be making in reusable and refillable alternatives," said Forbes.

Putting the ‘We’ in Wellness

Recently, there has been a notable shift in consumer mindset from “What’s better for me?” to “What’s better for us?”   Today’s “mindful mindset” represents consumers’ focus on the bigger, broader picture and what’s best not only for a person, but also for their family, the community and the world. Customization and personalization still matter and appeal to consumers, but there is a growing and increasingly ingrained sense of responsibility when purchasing products, especially in regard to sourcing, sustainability, social accountability, health and wellness.  

The mindful mindset: From ‘me’ to ‘we’

  Consumers are increasingly holding businesses to new standards, expecting companies to look beyond what’s merely good for the bottom line and consider what’s good for employees, customers, communities and future generations.   This shift started with millennials and has become an industry priority—especially among the emerging Gen Z demographic. Gen Z, composed of people born between the mid-1990s and the early 2000s, is increasingly concerned with how businesses are run and how they incorporate the idea of mindfulness. A recent report from McKinsey noted that Gen Z consumers are “mostly well educated about brands and the realities behind them, […] and try to learn the origins of anything they buy.”   This “good for we” philosophy is gaining momentum with Gen Z around issues such as zero-waste initiatives, climate-positive efforts and fair labor practices. And these trends aren’t specific to Gen Z.   Such examples of mindfulness play out across the attitudes and behaviors among various age groups. In that same report, McKinsey found that 70% of respondents across generations “try to purchase products from companies they consider ethical.” And Technomic’s 2019 Value and Pricing Consumer Trend Report indicated that the definition of what constitutes value is also changing to include more aspects of quality and service.

The product development and merchandising approach: From ‘yours’ to ‘ours’

  Those who make and sell products to consumers are thinking collectively, too, aligning with their customers and partners. Accordingly, product development and merchandising processes are increasingly collaborative with different and transformative partnerships between consumer packaged goods (CPG) manufacturers and retailers. The connections between individual, consumer, purveyor and retailer are stronger today than even just a few years ago.   As a result, production processes around sourcing, product development, packaging, transportation, merchandising, storage and waste are being reevaluated to determine if these areas are meeting more collective standards.   A shifting mindset and a more comprehensive approach to products and processes are reflected in the strategy of one global company with a history of innovation in the CPG industry: Procter & Gamble (P&G). P&G describes this as being “a force for good and a force for growth.” While sustainability has been a priority for decades at P&G, the concept of doing what’s right has expanded in definition and implementation in recent years.   “Now more than ever, consumers expect brands to take action in solving some of the most complex challenges facing our world today,” said Virginie Helias, chief sustainability officer for P&G. “At P&G, we have a responsibility to be a force for good and a force for growth. We work hard to enable and inspire a positive impact on society and the environment.  We do this by innovating across products and packaging, making responsible consumption irresistible and mainstream for the 5 billion consumers we serve each day.”  

Making the connection: The eco-footprint within the retail footprint

  Consumers want to do the right thing. They want interconnectedness and positive change, but they also seek more information about the products they use, eat and drink.   Retailers can help make this connection at the store level by educating shoppers and employees about sustainable products and usage, and offering information about the mutual commitment to doing the right thing for consumers, the world and the future. This can be done in a number of ways, including educational point-of-sale signage via social media or other forms of digital communication, sampling or tastings, or retailer educational classes that are focused on improving health, wellness and lifestyle. Store team members should be educated about the sustainability of products in the store in order to serve as on-site ambassadors for the retailer and its offerings.  

Examples of actions taken

  P&G has taken several “we”-minded actions with its partners as it works toward sustainability goals around climate, water and waste. After the company achieved its many of its 2020 environmental sustainability goals, it announced “Ambition 2030,” which also added new targets to align with consumer values as they relate to sustainability and social responsibilities. For example, P&G reached its goal of reducing greenhouse gas emissions from its facilities by 30% before 2020 and has since increased that goal to reducing emissions by 50% before 2030.   Looking forward, the company is transitioning to 100% recyclable or reusable packaging as part of its 2030 initiative, keeping with consumers’ burgeoning interest in more sustainable packaging solutions. Already, many P&G brands, including Pantene, Tide, Cascade and Crest™, have developed new durable and refillable packaging. Earlier this year, the company’s Herbal Essences brand, in partnership with TerraCycle, created recyclable shampoo and conditioner bottles made of 25% recycled beach plastic. P&G scientists and engineers are also testing new capabilities such as circular solutions for electric rechargeable and manual toothbrushes, as well as the recycling of used hygienic products.   Transformative partnerships are integral to these kinds of improvements. Earlier this year, P&G teamed up with Loop, a circular e-commerce platform developed by TerraCycle, which allows packaging to be collected, cleaned, refilled and reused. Loop collects used products from consumers’ doorsteps for reuse or further recycling. Eleven of the company’s brands will take part in the Loop platform, including Pantene, Tide, Cascade and Oral-B, among others.   The value of these kinds of partnerships is pivotal in providing consumers not only with products that meet their evolving values, but also with information to help them make decisions at the point of sale that align with their more mindful priorities. In parallel, P&G’s retail partners bring the “we” to life by underscoring the mutual commitment to doing the right thing for their consumers.  

Unpackaged Eco explores shop, refill, return model

https://insidefmcg.com.au/wp-content/uploads/2019/09/Unpackaged-Eco.jpg With climate change front and centre in the mind’s of consumers in Australia and around the globe, FMCG businesses and retailers are removing plastic, cutting back on packaging and reducing food waste, to say the least. But pressure is building to reduce waste further across the supply chain and in stores. Zero waste retailers are no longer a myth and are starting to gain momentum in the current climate. In August, Australia’s largest bulk foods and zero waste retailer The Source Bulk Foods unveiled its first outlet in Singapore. And earlier this week, Coles announced that it was trialling its first zero waste to landfill store as part of its sustainability initiatives. Irene Chen, founder and CEO of Unpackaged Eco, is working with Australian suppliers and retailers to help make zero waste achievable. Unpackaged Eco is a Melbourne-based shop, refill and return model, similar to the Loop model developed by Terracycle and used by Nestlé, Coca-Cola, PepsiCo and Mondelēz, to name a few. The start-up was founded just under 12 months ago, borne from Chen’s own frustrations about waste as a consumer. “I saw the plastic waste issue and felt a little bit helpless about what I could do from a practical perspective, and I realized that perhaps there’s another solution to this,” Chen told Inside FMCG. With a background in retail, she started to examine it from that perspective. https://insidefmcg.com.au/wp-content/uploads/2019/09/Unpackaged-Eco-1.jpg “Unpackaged Eco is a way for consumers to purchase their everyday products in reusable and durable packaging. We give them the option to come back and refill in-store. When they’re done with their container, they return it back to us, we clean and return it back to be reused,” Chen explained. Unpackaged Eco has launched a private label range across four shops in Melbourne with manual dispensers in-store to test the refill model for products such as dish washer liquid, handwash, laundry liquid and multi cleaner. The team are also looking to venture into shampoo and conditioner as well as dry food and eventually dairy and other groceries. “I think one of the learnings that we’ve had from early trials and feedback from customers is that, they want to shop zero waste across the board, not just two or three items. Otherwise, it’s just a lot of trouble to go to five different shops. Our aim is to offer a good basket of products to customers, and obviously, with brands involved it will really elevate the offering.” https://insidefmcg.com.au/wp-content/uploads/2019/09/kindeco-600x401.jpg The business is also developing technology that uses a combination of radio-frequency identification (RFID) and quick response (QR) to track every single container. “We want to harness that whole refill, shop, return model, and collect data to enable us to make better decisions around packaging; to understand consumption patterns a bit better, to help brands and retailers really get some customer insights on how they shop. So that’s very exciting. We’re just under six months away from a trial launch.” Customers will be able to tap to borrow containers, and tap to return. The container deposit management system is automated to make borrowing and returning seamless. “The technology will help us get a little bit closer to the customer. We’re so used to disposing so to actually encourage a shift in behavior, I think we need to do a bit more than just put a refill station there. I think we need to actually engage with the customer,” Chen said. Commenting on industry efforts on sustainability, Chen believes the intentions and goals are right. “I’m talking to most of the brands, they all have the similar 2025 packaging targets, which is great. I think what’s missing for us as a means to get there.” She expects brands may be reluctant to commit to costs of such a project but said it needs to be viewed as a long-term solution. “Packaging now, instead of being a single use disposable thing, is an investment. So you lay out more upfront, but the more times you reuse it, and refill, the more you save,” she said.

Sustainable smiles

Colgate designs the first recyclable toothpaste tube. “Our ultimate goal here is to convert the tube industry,” says Tom Heaslip, worldwide director of global packaging at Colgate-Palmolive, headquartered in New York City. Colgate is the first company to successfully design a recyclable toothpaste tube. The tube has gained Critical Guidance Recognition from the Washington-based Association of Plastic Recyclers (APR), making it the first oral and personal care tube to earn this APR recognition.   Colgate used APR’s high-density polyethylene (HDPE) bottle-to-bottle protocol to evaluate the effects of adding a new item to the HDPE bottle recycling stream. Although meeting the bottle-to-bottle protocol was not mandatory to receive the recognition, it provided additional data and displayed Colgate’s confidence that the tube would perform well in the recycling stream, says John Standish, APR technical director.   “This is a groundbreaking activity,” says Steve Alexander, president of the APR. “This is a seminal event in potentially [creating] recyclable tubes across the spectrum. [Colgate is] taking historically nonrecyclable packaging types and setting a standard for others to follow.”   Colgate spent five years redesigning the tube, and now it can be recovered through municipal recycling programs.  

Building a better tube

  Although traditional toothpaste tubes are made of low-density polyethylene (LDPE), a recyclable plastic, Heaslip says it is nearly impossible to recycle them because an aluminum layer is present. “The layer that is a problem is an aluminum foil core to the laminate that is then surrounded by plastic materials. The combination of the aluminum and the plastic render this nonrecyclable under any normal streams of recycling.”   Designing a recyclable toothpaste tube is not as straightforward as removing the aluminum layer and creating a tube made completely from plastic. Heaslip says all-plastic tubes already exist, but Colgate needed to create tubes that could be recycled within existing recycling streams.   “All-plastic tubes do exist in the market today,” he says. “It’s the challenge of using plastic resins that are compatible with existing recycle streams.”   In the U.S., Heaslip says, that means using polyethylene terephthalate (PET) or HDPE.   “We did try PET tubes in the past, but they are not very tube-like; it ends up being more like a very thin bottle than an actual tube,” Heaslip adds. “That is why we settled on HDPE, because it is more naturally made into a tube. The characteristics of the HDPE stream are much more friendly toward performance attributes like consumer hand feel.”   Using LDPE to make tubes ensures the tube is soft and pliable; Colgate was looking for an alternative material that would be able to retain these positive attributes.  

A sustainable future

  Colgate, New York City, works with other companies and organizations that prioritize sustainability to accomplish its own sustainability goals, garner support for recycling and strive for a circular economy.   Ann Tracy, vice president of global sustainability, environmental and occupational health sciences and supply chain strategy at Colgate, says, “We’re committed to using less plastic and more recycled material in our packaging. We’re helping to strengthen recycling by supporting the Closed Loop Fund and other efforts. And we’re exploring new ingredients and models, including TerraCycle’s Loop initiative, for reusable, refillable packaging.”   TerraCycle, Trenton, New Jersey, and Colgate have created a free recycling program for oral care product packaging, including toothpaste cartons, toothbrushes and floss containers. The products are recycled into new eco-friendly products, such as playgrounds and picnic tables.   Closed Loop Partners, New York City, is an investment firm that focuses on building a circular economy. Its Closed Loop Fund provides capital to cities and companies that want to achieve their sustainability goals. In 2014, Colgate became one of the initial investors in the fund.   By supporting these companies, as well as other companies and initiatives, Colgate says it aims to promote a sustainable future.   Because HDPE normally is not compatible with Colgate’s performance standards, Heaslip says the company experimented with different formulas before finding one that provided the necessary elements for consumers to use the product comfortably and for the tube to be recycled successfully.   “The trick was getting the right recipe of resins in order to end up in a structure that felt like a normal toothpaste tube,” Heaslip says. “The first tube we are putting out is nine layers. We are already working on the second generation, which will be 13 layers. As we optimize, we will probably stick between a seven-to-13-layer range. The initial launch will be with a nine-layer laminate.”   Changing the number of layers of HDPE affects the level of protection for the product, the performance of the tube-making and tube-filling equipment and the aggregated resin specifications, which was the basis for the APR recognition.   “Using more layers allows for a greater level of fine-tuning toward optimal performance against our specifications,” Heaslip says.   Although Colgate switched from LDPE to HDPE, he guarantees the product will be just as functional. “When it comes to performance attributes of the tubes, we maintained all of our existing test standards. That was a goal and a priority from the beginning. We did not want to see any negative trend, whether that was in physical performance or consumer reaction to it.”  

Tracking results

  Outside of choosing which resin should be used to create the tubes, Colgate took several other steps to achieve the recyclability standard. Colgate worked with the APR and followed its Design Guide.   “There were several partners that we were actively involved with,” Heaslip says. “First and foremost, the APR, making sure that we fully understood and met all their guidance. Without their partnership and guidance on this, it would have been very difficult to do on our own.”   Alexander explains APR’s role in helping Colgate achieve its recyclable tube. “It is the same role we play for the industry as a whole. If companies are serious about making their packaging recyclable, the APR Design Guide is really the industry standard. If you want your packaging to be recyclable, that is the document you need. We play that role for many companies.”   Colgate worked with the APR for five years to attain its goal. “What [the Design Guide] has allowed Colgate to do over the years, because this was a five-year effort on their part, was give them a benchmark upon which to refer as they developed the package. If they were trying to develop a package so it is recyclable, they would do some work on it and then refer back to the guide,” Alexander says.   Standish says the five years it took Colgate to achieve its goal of a recyclable toothpaste tube was “not unusually long.” He explains, “Technical innovation can be challenging and complex. A consumer packaging product has to meet many demanding criteria to satisfy 100 percent of the technical and consumer requirements.”   To track the tubes throughout the sorting process, Colgate used radio frequency identification (RFID) tags. This allowed the company to know if the tubes got sorted properly at material recovery facilities (MRFs). The tagged tubes were tested at three MRFs in North America. “We tested our two main sizes of our tubes via the APR Size Sortability Protocol. [The tubes] were deemed ‘Preferred,’ requiring a rate at 90 percent or above,” says Anne Bedarf, packaging sustainability manager at Colgate.   “When optically sorted, our tubes were sorted and baled successfully with colored HDPE,” Bedarf continues. “We saw the same with manual sorting systems but also learned that some sorters removed the tubes thinking they were a contaminant. We recognize the need for widespread education and partnership with MRFs and their recycling supply chains, and we are partnering with several organizations to address that need.”   Following the sorting tests, the tubes were reprocessed at an APR-approved lab. “The tubes were reprocessed at up to a 50 percent level—50 percent tube flakes and 50 percent control HDPE bottle flakes—with the yield close to 100 percent,” she says.  

Seeking wider adoption

  Alexander explains that Colgate’s recyclable tube creates the opportunity for other companies to follow suit. Prior to Colgate’s accomplishment, no precedent had been set.   Now, other toothpaste tube manufacturers can follow the same steps Colgate did. “There is no more excuse for people to say that they are making tubes that are not recyclable,” he says.   “The full intent is that this is not just a Colgate project, but we are working to get all tubes converted,” Heaslip says. “We are fully engaged with the industry with the full intent on working with our competitors in a precompetitive nature to evolve the whole industry to get to this point.”   Even though Colgate has set a standard, other brands and companies might not be ready to take that step. Therefore, Alexander says, it is crucial to alert consumers that not all tubes are recyclable.   “We certainly applaud and encourage what Colgate has done, but we have to make sure the message gets out that not every tube is recyclable. Otherwise, you are going to be throwing tubes in, and it will be contaminating the stream even more. And that is what recyclers don’t need; they don’t need more contamination,” he says.  

Expanding its plans

  Going forward, Heaslip says Colgate plans to continue its sustainability efforts. “For 2020, we have three commitments. One is 100-percent-recyclable packaging in three of our categories: personal care products, home care products and pet nutrition products. We will have 50 percent recycled content. We will be using zero PVC (polyvinyl chloride),” he says.   By 2025, Heaslip says Colgate’s oral care packaging will be added to its 100-percent-recyclable goal, expanding it to the company’s entire business.   The author, based in Cleveland, interned with the Recycling Today Media Group.

Responsible Beauty: 3 easy ways to adopt clean beauty

A big green wave is breaking in our bathrooms. And it's not just about finding organic formulas. Today, consumers demand a lot more : transparency on the origin of ingredients, respect for harvesters, reduction of the impact on the environment, a recycling program "zero waste" ... All with formulas always more sensory! More than an awareness, a real philosophy now advocated by many brands that multiply commitments for both the well-being of the skin and for that of the planet. Welcome to the era of "Clean Beauty".  

Commitment 1: I offer the best to my skin

  Why ? To bring him maximum benefits with safe formulas.   With natural ingredients Plant oil , butter, essential oils , hydrolats or herbal extracts: the skin loves! And for good reason, they are more in affinity with her than synthetic molecules. Rich in vitamins, nutrients, fatty acids and even minerals, the ingredients from nature are real benefit concentrates . In addition, they are usually integrated into formulas without controversial components such as silicones or some preservatives, that's good!   And what for? For everything ! Today you will find soothing, purifying or anti-aging formulas for body, face and hair.   With simple compositions The trend of formulas that use a limited number of ingredients is gaining ground. The goal: to reduce the risk of intolerance but also to offer maximum transparency by eliminating controversial or superfluous components. Without perfume, without alcohol, without silicone or paraben, these products advocate the return to the essential but especially an effectiveness adapted to all the skins, even sensitive .   And where do I find them? Essentially in face or body care for fragile skin.  

Commitment 2: I preserve nature

  Why ? To limit the consequences of the products I use on the land and oceans.   With respectful solar filters Every year 14,000 tonnes of sunscreens are poured into the oceans *. In order to limit their impact on the aquatic environment and in particular on coral reefs, some brands have decided to develop solar products without using controversial filters such as oxybenzone, zinc oxide or titanium dioxide. in the form of nano-particles . These products are also often more resistant to water and have a high biodegradability.   And protection side? No worries, the formulas are just as effective against the sun's rays. They display indices 30 to 50 and UVA protection like the others.   With biodegradable formulas This is the product itself and not the packaging. For the moment, this mainly concerns rinsed formulas such as shower gels , facial cleansers or shampoos . They are said to be "biodegradable" if after their use, they can be transformed naturally by micro-organisms (in CO2 for example).   And for the other types produced? Some brands are already working on biodegradable formulas for body milks, for example, which can also leave residues during the shower.  

Commitment 3: I reduce my impact on the environment

  Why ? To minimize waste and consume more reasonably.   With products made in France The made in France is on the rise and that's good for the environment. Choosing a product manufactured closer to the place where its ingredients are grown, and therefore reduce the transport required for its development, is significantly reduce its carbon footprint. It is also a good way to support local production, sustainable supply chains and the protection of the diversity of flora.   And for me it changes what? Choosing cosmetics made in France is also ensuring the traceability and consistent quality of natural ingredients that contains the formula of your care.   With recyclable packaging Many brands are engaged in this fight. First to reduce waste but also to reduce the consumption of raw material. The aim is to encourage packaging made from recycled materials , to limit their weight or single use parts (spatulas), to replace cellophane with a compostable material. Some brands also participate in programs like TerraCycle. They make it possible to recycle unsupported packaging by conventional channels such as "travel" formats.   And to go further? Visit the Loop Zero Waste eCommerce site which, associated with some brands, offers a new consumer model by offering returnable, reusable or recyclable packaging.