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EPR in Action: TerraCycle, CPG Giants Close ‘Loop’ on Single-Use Packaging

A first-of-its-kind, global shopping platform, Loop™ aims to offer zero-waste packaging options for the world’s most popular consumer products. Just a week after the launch of the Alliance to End Plastic Waste — a cadre of global companies from the plastics, chemicals and CPG value chain that has banded together to advance solutions to environmental plastic waste — a coalition of the largest consumer product companies, along with international recycling leader TerraCycle, today unveiled a first-of-its-kind, global shopping system called Loop™. The initiative is designed to change the world’s reliance on single-use packaging and offer a convenient and enhanced circular solution to consumers, while securing meaningful environmental benefits.   Launched at the World Economic Forum’s Annual Meeting in Davos, Loop will enable consumers to responsibly consume a variety of products in customized, brand-specific, durable packaging that is collected, cleaned, refilled and reused. The content, if recoverable, will be either recycled or reused.   The idea for Loop was founded at the World Economic Forum by TerraCycle and consumer product companies BeiersdorfBICThe Body ShopBurlap & Barrel Single Origin SpicesThe Clorox CompanyCoca-Cola European PartnersCoZieDanoneGreenhouseGrillianceJacobs Douwe EgbertsMars PetcareMondelēz InternationalNature’s PathNestlePeople Against DirtyPepsiCoPreserveProcter & Gamble(P&G), RBReinberger Nut ButterTeva Deli, Thousand Fell and Unilever. Additional partners are leading food retailer Carrefour as the founding retailer, with leading UK retailer Tesco to pilot Loop in the UK later in the year; along with primary transportation company UPS and sustainable resource management company Suez.   This approach to shopping was made possible as a result of innovation investments made by the founding partners, and their commitment to developing more circular supply chains from package design to manufacturing through consumer use. The aim was to offer a zero-waste option for the world’s most popular consumer products while maintaining affordability, improving convenience and returning used disposable or durable items to a circular life cycle either through reuse or recycling.   The environmental benefits of Loop durable packaging vs. single-use packaging have been proven and verified in Life Cycle Assessments under usage pattern assumptions that will be further validated in pilots scheduled to launch in the first quarter of 2019 in France and the northeastern United States. Additional markets are expected to launch throughout 2019 and 2020.
image.png “As a response to the global challenge in managing waste and the opportunity to improve consumers’ experience, a group of committed global brands, retailers, infrastructure companies, along with the World Economic Forum have come together to create a new way to more responsibly consume products.” said TerraCycle CEO Tom Szaky. “Loop will not just eliminate the idea of packaging waste, but greatly improve the product experience and the convenience in how we shop. Through Loop, consumers can now responsibly consume products in specially-designed durable, reusable or fully recyclable packaging made from materials like alloys, glass and engineered plastics. When a consumer returns the packaging, it is refilled, or the content is reused or recycled through groundbreaking technology.”   How Loop works:
  • Shop: Consumers will go to the Loop website or Loop partner retailer’s websites and shop for trusted brands now redesigned to be packaging waste-free.
  • Receive: Consumers receive their durable products in Loop’s exclusively designed shipping tote that eliminates the need for single-use shipping materials such as cardboard boxes.
  • Enjoy: Consumers experience elegance and convenience all while eliminating the idea of throw-away packaging waste.
  • Loop picks up: There is no need to clean and dispose of the package; as consumers finish their products, they place the empty package into one of their Loop totes, which Loop will pick up directly from their home.
  • Loop cleans: Loop’s team of scientists has developed custom cleaning technologies so that each product packaging may be safely reused.
  • Loop refills, recycles or reuses: Loop promptly replenishes products as needed and returns the refilled shipping totes to the consumer. If there is recoverable product, it will be reused or recycled.
  “At P&G, we are building on 180 years of innovation and world-class consumer insight to enable responsible consumption at scale,” said Virginie Helias, VP and Chief Sustainability Officer at P&G, also part of the Alliance to End Plastic Waste. “Through leading brands such as PanteneTide and Cascade, we have developed new, durable and refillable packaging that is delivered in a waste-free and hassle-free way as part of the LOOP platform.”
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  Along with the P&G brands Helias mentioned as being included in the service, CrestAriel and Febreze are also available in durable, refillable packaging; and toothbrush heads by Oral-B, and razors and blades by Venus andGillette will be recycled by the service. And Pampers and Always will be test-collecting used hygiene products from consumer homes for further recycling, using groundbreaking, proprietary technology developed by Fater — a P&G and Angelini Group Joint Venture — that turns used absorbent hygiene products into secondary raw materials for higher-value applications.  
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Roberta Barbieri, Sustainability VP at PepsiCo, commented: “Taking action to design our packaging to be recyclable and reusable is a critical goal of ourPerformance with Purpose agenda; and as we look to build a PepsiCo where plastics need never become waste, we are also exploring a number of ideas to reinvent the ways consumers can enjoy our products. Our participation in Loop builds on this commitment as well as providing the added convenience of e-commerce and home delivery.   “Initially we will be launching Quaker and Tropicana offerings in Paris, and have created vessels which we hope will excite our consumers, combining durability with high aesthetic design. As we work towards our sustainable packaging goals, we will continue to explore our own in-house innovations as well as participate in collaborative efforts to reduce waste.” image.png
Brands are responsible for designing their own packaging; TerraCycle consults on the packaging development process and tests all packaging for cleanability and durability prior to approval in the platform. The lifespan of each package will vary, as variables including aesthetics can cause a package to be taken out of circulation and recycled.   “We want to put an end to the current 'take-make-dispose' culture and are committed to taking big steps towards designing our products for reuse," said Alan Jope, CEO of Unilever. "We’re proud to be a founding partner of Loop, which will deliver our much-loved brands in packaging which is truly circular by design.” Loop already offers hundreds of products across its two dozen partners; as partners are added, this number will constantly increase.

Consumer goods giants team up to launch 'zero-waste' refill service

Unilever, Procter & Gamble (P&G) and PepsiCo are among the 24 corporate co-founders of a new 'waste-free' retail platform, whereby businesses will provide product refills while retaining ownership of their reusable packaging.
image.png Loop will enable customers to buy refillable products online and have them delivered in reusable containers   The platform, called Loop and founded by recycling firm TerraCycle, will enable shoppers to purchase refillable versions of food and drink, health and beauty and cleaning products, as well as office supplies, online.   Once they have used the products, TerraCycle will collect the empty packaging from their homes for cleaning and refilling, with any damaged or end-of-life packaging sent for recycling. Transport will be undertaken by UPS’s fleet of low-carbon shipping vehicles, while waste management firm SUEZ will recycle any packaging waste.   Ahead of the unveiling of the scheme at the World Economic Forum in Davos, Switzerland today, the 24 companies taking part – P&G, Nestle, PepsiCo, Unilever, Mars Petcare, The Clorox Company, The Body Shop, Coca-Cola, Mondelēz International, Danone, Jacobs Douwe Egberts, Lesieur, BIC, Beiersdorf, RB,People Against Dirty, Nature’s Path, Thousand Fell, Greenhouse, Grilliance, Burlap & Barrel Single OriginSpices, Reinberger Nut Butter, CoZie and Preserve - have collectively designed more than 250 alternatives to their single-use packaging. Innovative products and packaging designed for Loop include double-walled aluminium ice cream tubs from Haagen Daas, metal stick deodorant holders from AXE and P&G’s stainless-steel toothbrushes with detachable, fully recyclable heads. None of the designs contain any single-use plastic components.   The Loop-certified items will be available to customers for the first time when the scheme is made live in Paris and New York City in March, with TerraCycle set to roll the concept out to an undisclosed number of additional cities by the end of 2020.   The recycling firm confirmed at the World Economic Forum in Davos today (24 January) that Tesco will pilot the UK scheme before the end of 2019. The supermarket is yet to reveal which products it will include in its refillable offering.   Speaking exclusively to edie ahead of the unveiling of Loop, TerraCycle chief executive Tom Szaky said he hoped the platform would help make reuse the most “viable and desirable” option for consumers who typically buy products in single-use packaging.   “The root cause of waste is not any one material like paper or plastic, it’s the concept of single-use, which has created a culture of disposability,” he said. “From the 1950s, disposability began to win customers over very quickly, because it brings unparalleled convenience and affordability – factors which are more important to the average person than the waste crisis.   “But by designing ever-cheaper packaging and selling it to the customer as part of their product, companies are losing money and resources while consumers are losing trust. Refill is therefore having a little bit of a resurgence at the moment, but it hasn’t yet hit the mainstream nerve. We want major retailers, brands and the general public to embrace this model.”   Recycle vs reuse The launch of Loop comes at a time when the plastics recycling industry is facing scrutiny from consumers and policymakers, largely due to China’s announcement last January that it would stop accepting 24 types of plastic waste imports. Countries such as Malaysia, Vietnam and Poland were initially touted as alternatives, but have since implemented import restrictions, exacerbating backlash.   At the same time, the UK’s plastic recycling industry is estimated to be costing local authorities £500,000 per year and is now facing an investigation into suspected widespread abuse and fraud within the export system.   These events, compounded by research suggesting that only 9% of all plastic ever made has been recycled, have led several sustainability professionals and green campaign groups to tout reuse and refill as the only viable solution to the world’s plastic pollution problem. They include A Plastic Planet co-founder Sian Sutherland and Reboot Innovation's director Chris Sherwin.   Despite the majority of TerraCycle’s consumer-facing schemes rely on recycling, Szaky told edie that he also sees recycling as “just one piece of the circular puzzle”. Such schemes include its UK-wide crisp packet recycling scheme, operated in partnership with Pepsico subsidiary Walkers.   “The model we are really known for is asking whether a certain object is recyclable and, if the answer is ‘no’, establishing national schemes to collect and recycle that waste stream,” he explained.   “This echoes a lot of the commitments businesses are making around resources, particularly in partnership with the Ellen MacArthur Foundation or WRAP. But in several discussions with our corporate partners, we have been asked whether this approach is enough – whether it will truly be the solution to waste.   “Recycling and using recycled material are critically important, but are, unfortunately, not the solution to the idea of waste at the root cause. It’s one thing to dig out the plastic from the ocean, but another to stop it from going into nature to begin with – you need to do both.”

CPGs and TerraCycle Launch Zero-Waste Packaging Platform

A coalition including many of the world’s largest consumer product companies, along with international recycling leader TerraCycle, today unveiled a global, first-of-its-kind, shopping system called Loop. The initiative is designed to change the world’s reliance on single-use packaging, offer a convenient and enhanced circular solution to consumers, while securing meaningful environmental benefits.
Announced at the Davos World Economic Forum, Loop will enable consumers to responsibly consume a variety of products in customized, brand specific durable packaging that is collected, leaned, refilled and reused. The content, if recoverable, will be either recycled or reused.
Terracycle CEO Tom Szaky explains the details of the Loop program in the Packaging Perspectives podcast below. 
“As a response to the global challenge in managing waste and the opportunity to improve consumers’ experience, a group of global brands, retailers and infrastructure companies, along with the World Economic Forum, have come together to create a new way to more  responsibly consume products.” says TerraCycle CEO Tom Szaky. “Loop will not just eliminate the idea of packaging waste, but greatly improve the product experience and the convenience in how we shop. Through Loop, consumers can now responsibly consume products in specially designed durable, reusable or fully recyclable packaging made from materials like alloys, glass and engineered plastics. When a consumer returns the packaging, it is refilled, or the content is reused or recycled through groundbreaking technology.”
The idea for this new shopping system was founded at the World Economic Forum by TerraCycle and consumer product companies Procter & Gamble, Nestlé, PepsiCo, Unilever, Mars Petcare, The Clorox Company, The Body Shop, Coca-Cola, European Partners, Mondelēz International, Danone, Jacobs Douwe Egberts, Lesieur, BIC, Beiersdorf, RB, People Against Dirty, Nature’s Path, Thousand Fell, Greenhouse, Grilliance, Burlap & Barrel Single Origin Spices, Reinberger Nut Butter, CoZie and Preserve.
Additional partners are leading food retailer Carrefour as the founding retailer and the first to believe in Loop’s model, with leading UK retailer Tesco to pilot Loop in the U.K. later in the year; primary logistics and transportation company UPS and sustainable resource management company Suez.
“Loop is a disruptive solution led by a visionary entrepreneur,” says Laurent Vallée, general secretary of Carrefour Group. “Carrefour has a strong commitment to eliminating waste and plastic. It was a natural fit for Carrefour to commit to this great project, thus becoming the first player in the retail space to join Loop. We believe our clients are increasingly concerned with unnecessary waste and we expect them to embrace this new solution. We hope other international manufacturers and retailers will join us to adopt new standards and fight waste.”
This approach to shopping was made possible as a result of innovation investments made by the founding partners' commitment to developing more circular supply chains from package design to manufacturing through consumer use. The aim is to offer a zero-waste option for the world’s most popular consumer products while maintaining affordability, improving convenience and returning used disposable or durable items to a circular life cycle either through reuse or recycling.
The environmental benefits of Loop durable packaging vs. single-use packaging have been proven and verified in Life Cycle Assessments under usage pattern assumptions that will be further validated in pilots scheduled to launch this spring in France and the northeastern United States. Additional markets are expected to launch throughout 2019 and 2020.
“At P&G, we are building on 180 years of innovation and world-class consumer insight to enable responsible consumption at scale,” says Virginie Helias, P&G vice president and chief sustainability officer. “Through leading brands such as Pantene, Tide and Cascade, we have developed new durable and refillable packaging that is delivered in a waste-free and hassle-free way as part of the LOOP platform. We’re proud to partner with TerraCycle as the first CPG company to be part of this transformative program, which is just one of the many ways we are delivering on our Ambition 2030 goals to accelerate sustainable innovation and drive circular solutions.”
Nestlé CEO for Zone Americas Laurent Freixe adds, “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. It’s a critical part of our commitment to work with consumers to protect our planet for future generations.”
How Loop works:
• SHOP: Consumers will go to the Loop websites, www.loopstore.com,www.maboutiqueloop.fr or Loop partner retailer’s websites and shop for trusted brands now redesigned to be free of packaging waste.  
• RECEIVE: Consumers receive their durable products in Loop’s exclusively designed state-of-the-art shipping tote that eliminates the need for single-use shipping materials like cardboard boxes.
• ENJOY:  Consumers experience elegance and convenience all while eliminating the idea of throw-away packaging waste.
• WE PICK UP: There is no need to clean and dispose of the package; as consumers finish their products, they place the empty package into one of their Loop Totes. Loop will pick up directly from their home.
• WE CLEAN: Loop’s team of scientists has developed custom cleaning technologies so that each package may be safely reused.
• WE REFILL, RECYCLE OR REUSE: Loop promptly replenishes products as needed and returns the refilled shipping tote to the consumer. If there is recoverable used product such as diapers, pads, razors or brush parts, they will be recovered to be reused or recycled.

Davos 2019: TerraCycle launches reusable and refillable packaging initiative for e-commerce

Davos 2019: TerraCycle launches reusable and refillable packaging initiative for e-commerce 24 Jan 2019 --- Recycling specialist TerraCycle has launched a first-of-its-kind reusable packaging home delivery service in partnership with a host of leading global brands. Taking place today in Davos at the World Economic Forum (WEF), the launch fuses e-commerce and sustainability in a way that a green-minded public has long been calling for. Consumers will be able to use durable, reusable or fully recyclable packaging made from materials such as alloys, glass and engineered plastics. Could this be a step closer to saying goodbye to single-use plastics? Innovation in the booming e-commerce market must, arguably, go further than recyclability. Within the online groceries market alone, growth is occurring at a double-digit rate in the past years. However, the levels of waste in e-commerce packaging remain high, which coupled with extended fuel usage for personal deliveries, makes it a market with sustainability issues. Within the booming industry, only 2 percent of companies use reusable or returnable packaging models, according to Jan Berbee, Partner in the reusable packaging for e-commerce startup, RePack, tells PackagingInsights. https://resource.innovadatabase.com/admin/editor/4499dd5e-0596-467b-9052-54695a1db856ScreenHunter%201266.png Global giant P&G will be introducing reusable and refillable packaging on some of its most popular products. The freshly launched Loop is a global packaging and shopping circular solution which aims to offer an improved environmental performance compared to current e-commerce solutions. The basic premise of the initiative is that consumers will order their product, receive it via shipping then after use it will be picked up at their homes. The products are then cleaned, refilled and either reused or recycled. Available products range from detergent and toothbrushes to ice-cream and peanut butter. The platform will launch in Paris and New York in the spring of 2019. Among the brands taking part are Procter & Gamble (P&G), Nestlé, PepsiCo, Unilever, Mars Petcare, The Clorox Company, The Body Shop, Coca-Cola European Partners, Mondelēz International, Danone, Jacobs Douwe Egberts, Lesieur, BIC, Beiersdorf, RB, People Against Dirty, Nature’s Path, Thousand Fell, Greenhouse, Grilliance, Burlap & Barrel Single Origin Spices, Reinberger Nut Butter, CoZie and Preserve. “As a response to the global challenge in managing waste and the opportunity to improve consumers’ experience, a group of committed global brands, retailers, infrastructure companies, along with the World Economic Forum, have come together to create a new way to more responsibly consume products,” says TerraCycle CEO Tom Szaky. “Loop will not just eliminate the idea of packaging waste, but greatly improve the product experience and the convenience in how we shop. Through Loop, consumers can now responsibly consume products in specially designed durable, reusable or fully recyclable packaging made from materials like alloys, glass and engineered plastics. When a consumer returns the packaging, it is refilled, or the content is reused or recycled through groundbreaking technology.” Personal care Global giant P&G will be introducing reusable and refillable packaging on some of its most popular products. An array of the company’s brands, including Pantene, Tide and Oral-B, will be participating.
  • Pantene is introducing a unique bottle made with lightweight, durable aluminum for its shampoo and conditioner.
  • Tide's purclean plant-based laundry detergent will be available in a new durable bottle made from stainless steel with a simple twist-cap and easy pour spout.
  • Cascade has developed a new ultra-durable packaging for Cascade ActionPacs which enable consumers to skip the prewash.
  • Ariel and Febreze are participating with durable, refillable packaging that is also available in stores, testing a new direct-to-consumer refill and reuse model.
  • Oral-B will test circular solutions for both its electric rechargeable and manual toothbrushes.
  • Oral-B CLIC, a new iconic design for manual toothbrushes features a durable handle equipped with a unique mechanism that allows consumers to only exchange the brush head. The Loop platform will recycle used brush heads for both manual and electrical brushes.
  • Pampers and Always will test collecting used hygiene products from consumer homes for further recycling using ground-breaking proprietary technology developed by Fater, a P&G and Angelini Group Joint Venture. The technology turns used absorbent hygiene products into secondary raw materials for higher value applications.
“The time to act is now. We are passionate about harnessing the power of our global reach and the strength of our trusted global brands to scale-up more sustainable solutions. Transformative partnerships are key to achieve this mission as no one can succeed alone,” says Virginie Helias, P&G’s Vice President and Chief Sustainability Officer. https://resource.innovadatabase.com/admin/editor/dbcddfb0-0c36-41c0-924c-c50671c35452ScreenHunter%201265.png Among the participating brands is also Nestlé’s Häagen-Dazs. Food and beverage Among the participating brands is also Nestlé’s Häagen-Dazs. With the launch of Loop, Häagen-Dazs is debuting a reusable stainless steel double-walled ice cream container, designed by Nestlé’s global research and development group in Bakersfield, US. The design and transportation will keep the ice cream fresh and cold from the moment the canisters are filled until they are delivered to consumers’ homes, the company report. The canister also ensures that when it is opened, the ice cream melts more quickly at the top than at the bottom of the container. Consumers shopping for Häagen-Dazs on Loop can select from non-dairy options (Chocolate Salted Fudge, Coconut Caramel and Mocha Chocolate Cookie) or from traditional favorites (Vanilla or Strawberry) during the New York City pilot of the program, scheduled to launch in the first half of 2019. At the moment of the launch, no information on the costs of the initiatives on the participating consumer have been shared. A key theme at the World Economic Forum is the adoption of a circular economy over a linear one. The Loop initiative is a clear example of how a rapidly growing market, which will undoubtedly continue to grow as the year continues, can adapt to sustainable calls. It no longer needs to be “business as usual.” By Laxmi Haigh

Big brands like Häagen-Dazs and Tide are testing reusable packaging

Major brands are testing out reusable packaging in an attempt to cut down on plastic waste. https://cdn.vox-cdn.com/thumbor/9b9m4g_PGm6cvXHlF0rfXA6R9Co=/0x0:3614x2990/1200x800/filters:focal(674x1109:1252x1687)/cdn.vox-cdn.com/uploads/chorus_image/image/62926432/Haagen_Dazs_Lifestyle_Photo1.1548367804.jpg Häagen-Dazs ice cream in a reusable metal container. Loop The Goods Some of the world’s biggest companies, including Unilever, Nestlé, and PepsiCo, are rolling out reusable packaging for certain products in an attempt to phase out single-use plastics — and to alleviate their own reputations as polluters. This move, still in the planning stages, is a necessary step in shifting the conversation on reducing carbon emissions from a consumer focus to one that holds companies responsible. Starting in May, Unilever’s Axe and Dove deodorants will come in refillable steel containers that are expected to last eight years. PepsiCo will start selling Tropicana orange juice in glass bottles and certain flavors of Quaker cereal in steel containers. Häagen-Dazs, owned by Nestlé, will come in refillable stainless steel tins. Procter & Gamble’s Pantene shampoo will come in aluminum bottles, and its Tide brand detergent will come in stainless steel containers. The idea is to get consumers to cut back on the single-use plastics that have become an indispensable part of everyday life. Businesses and consumers have long concentrated on the third “R” in “reduce, reuse, recycle,” but with this initiative, companies are renewing focus on the first two. (By the way, an estimated 25 percent of all recyclable products end up in landfills anyway.) And instead of encouraging changes on the supply side — i.e., putting the onus for sustainable living on the consumer, which was a common theme in arguments about whether plastic straws should be banned — this move indicates that companies are starting to accept their outsize contribution to global carbon emissions. This initiative, which is part of a partnership with the recycling company TerraCycle, according to a report by the Wall Street Journal, suggests that businesses are becoming increasingly uncomfortable with the suggestion that their practices contribute to global pollution. “I sometimes wonder if it’s a fair accusation that we’re in the branded litter business,” Unilever CEO Alan Jope reportedly said at a conference this week. Helping people cut down on plastics is certainly a good way of challenging that accusation, but there’s a catch. For now, the TerraCycle program is in a pilot phase. It will be available to 5,000 shoppers in Paris and New York City in May, according to the Journal’s report, and will expand to London later this year and to 10 additional cities, including Toronto and Tokyo, in 2020. Here’s how it works: Consumers who get selected for the trial get the chance to order hundreds of products online. Those products arrive in a reusable tote bag with no extra packaging. Once the containers are empty, TerraCycle picks them up, cleans them, and delivers refilled containers back to customers. “People talk about recyclability and reuse and say they’d like to be involved in helping the environment, so let’s see if it’s true,” Simon Lowden, the president of PepsiCo’s global snacks group, told the Journal. “You simply have to start somewhere to test it and see what the barriers are and who actually buys into the model,” David Blanchard, chief of research and development at Unilever, told the paper. It’s not surprising that these companies would want to test out costly new initiatives before offering them to the general public. But given the urgency of climate change — an October 2018 report by the United Nations’ Intergovernmental Panel on Climate Change said we have just 12 years to make unprecedented changes if we want to stave off the worst effects of global warming — it’s worth asking whether a lack of consumer interest or a perceived lack of sufficient profits will prevent reusable products from being offered to a wider consumer base. Nestlé, one of the companies participating in the TerraCycle initiative, is also planning to phase out many of its single-use plastic products and make all of its packaging recyclable by 2025. The company plans to completely eliminate certain “hard to recycle” plastics — like films, ice cream cone wrappers, and laminated paper cups — from its packaging. As Fast Company’s Mark Wilson pointed out, this isn’t going to come cheap — there’s “no immediate financial gain” to be made from going green. Companies can either absorb those costs, as Nestlé appears to be doing here, or pass them on to shoppers, which seems to be the case with the TerraCycle program. According to the Journal’s report, the reusable versions will cost “roughly the same” as their single-use counterparts, but users will have to pay deposits of $1 to $10 per container. Shipping starts at approximately $20. Given a choice between cheaper single-use products and more expensive reusable ones, why wouldn’t a cash-strapped shopper go with the cheaper option? (The answer, of course, is existential guilt and fear of watching a climate catastrophe play out in their lifetime, but not everyone can afford to go green.) Megacorporations aren’t the only ones redesigning products to make them more eco-friendly. The period underwear company Thinx recently designed a reusable tampon applicator that retails for $60, and other startups are making reusable versions of common household products like plastic wrap and Ziploc bags. In a world where consumers are often blamed for not being green enough — remember all the debates about whether banning plastic straws is actually good for the environment? — the TerraCycle program, despite being in its initial stages, suggests a future where the onus for changing consumption habits is placed on corporations rather than individuals.  

Loop and big brands boldly reinvent waste-free packaging

Loop represents a seismic shift in product consumption to a circular economy model—for ecommerce and retail—with reusable, luxury packaging at its core.

The new Loop circular shopping platform—unveiled today at the World Economic Forum in Davos—enables consumers to buy their favorite products in durable, not disposable, packaging. Supported by top brand owners such as Nestlé, Coca Cola, Unilever and Procter & Gamble, Loop relies on premium and long-lasting packaging that is designed for multiple reuse before ultimately being recycled. Loop is a business venture of recycling/upcycling and waste management company TerraCycle. Taking an audacious first step in solving what he sees as a global waste crisis that has been growing more than half a century, TerraCycle founder and CEO Tom Szaky recreates the “21st century milkman” by collaborating with more than 20 partners that represent more than 40 brands, global retailers, and package delivery and waste management companies. On top of massive environmental benefits as determined by lifecycle assessments, Loop elevates the consumer’s experience with the brand and its high-end reusable packaging. The shopping platform will launch this spring in two pilot markets—New York and Paris—with additional expansion underway. In an exclusive interview (see video at the top of this page), Szaky… • Tells us how Loop was developed and why; • Identifies the root causes of waste; • Explains how Loop challenges the idea of who “owns” product packaging—from consumer back to the brand; • Outlines the price-value equation for consumers, brands and retailers; and • Shares Loop’s additional growth plans, including expansion in the United Kingdom and Japan. The 43-minute video above showcases several brand’s Loop packages (some throughout, but most starting at 40:31) and also identifies the 20+ partners involved so far. Nestlé is one of the initial partners. Tommy See Tho, packaging manager at the Nestlé Product Technology Center for Ice Cream, has been working on the project from the beginning and designed the Loop packaging for five Haagen-Dazs products: non-dairy options Chocolate Salted Fudge, Coconut Caramel and Mocha Cookie; as well as traditional favorites Vanilla and Strawberry. Why participate in Loop? See Tho explains, “Nestlé is working to reduce its environmental impact in all its business operations, while also finding innovative new ways to connect with and provide great products to consumers. As part of these efforts, Nestlé is proud to join TerraCycle as a founding partner of Loop.” It took packaging specialists from Nestlé’s Product Technology Center for Ice Cream in Bakersfield, CA, one year to revolutionize the Häagen-Dazs pint to bring the brand to the Loop platform with a reusable container. See Tho tells us that the package—etched with the familiar Häagen-Dazs brand tapestry and design—is made of stainless steel and features a twist-off top. The metal canister keeps ice cream cold much longer than traditional paper-based ice cream packaging. “When creating more sustainable packaging, we also wanted to prioritize the consumer experience,” See Tho says. “For example, when opened, the package is designed so ice cream melts more quickly at the top to provide the perfect texture for enjoyment. The container is double-walled which keeps the ice cream cold but also makes the outside of the canister pleasant to hold. The metal lid is easy to open—it juts out so there’s a higher surface area to hold and twist. And, we rounded the corners of the container to make it easy to scoop and enjoy.”   The Häagen-Dazs double-wall stainless steel container keeps ice cream cold for a long time outside the freezer yet is comfortable to hold.   See Tho’s colleague, Walter Peterson, who is packaging sustainability manager at Nestlé USA, will be speaking at WestPack 2019 (Feb. 5-7; Anaheim, CA) at 1:00 - 1:55 p.m. on Tues., Feb. 5. In his presentation “How Nestlé Is Innovating Its Way to 100% Recyclable or Reusable Packaging,” Peterson will talk about Loop and about the company’s ambitious goal of moving to 100% recyclable or reusable packaging by 2025. So how does Loop work? In addition to the high-level interview with Szaky in the video above, multiple people at TerraCycle provide more details about this ground-breaking development.   Have consumers experienced this concept? If so, what was their reaction? TerraCycle: We’ve been running Consumer Insight Testing over the last year (12 months in Greater NYC and six months in Greater Paris). The majority of consumers who have tested Loop like the platform and name three major hooks in varying orders: convenience, premium products and no waste.   Which brands are participating? TerraCycle: These are the initial partners. However, partners are continually being added. Procter & Gamble, Nestlé, PepsiCo, Unilever, Mars Petcare, The Clorox Co., The Body Shop, Coca-Cola European Partners, Mondelēz Intl., Danone, Jacobs Douwe Egberts, Pladis, Lesieur, BIC, Beiersdorf, People Against Dirty, Nature’s Path, Thousand Fell, Greenhouse, Grilliance, Burlap & Barrel Single Origin Spices, Cozie and Preserve; retailer Carrefour; primary logistics and transportation company UPS and sustainable resource management company Suez.   Procter & Gamble has created reusable, refillable packaging for 11 of its most popular products as part of a new effort that aims to change the world’s reliance on single-use packaging and disposable waste. (Photo: Business Wire)   How can other brands get involved? TerraCycle: Loop participants must apply and be accepted into the platform. Brands interested in getting involved are welcome to contact the Loop Business Development team. Please email Anthony.Rossi@TerraCycle.com.   Are there product categories better or less suited to participating in Loop and why? TerraCycle: Any product category can be integrated into Loop. Currently Loop operations are flexible enough to handle ambient, chilled and frozen supply chains, as well as [temperature-]control items.   You say some packaging is being “scientifically” designed. Explain more, please. TerraCycle: For example, Nestlé partnered with TerraCycle to create brand-new packaging for its Haagen-Dazs brand that will keep ice cream frozen without the use of conventional refrigeration for an extended period of time—which is essential for doorstep delivery. The Loop Tote is also scientifically designed and, coupled with the Haagen-Dazs package, it enables the ice cream to stay frozen longer.   Who designs the packaging? Does each brand create its own packaging or is there a Loop or third-party design firm involved? TerraCycle: Each brand is responsible for designing its own packaging. Loop acts as a consultant in supporting each brand’s packaging innovation.   Durable graphics on Seventh Generation's soup pumps withstand aggressive cleaning between fills.   How does the package design take into consideration user experience or package functionality, as well as where the product is used or stored? TerraCycle: We encourage each Loop brand to design the most premium, durable, innovative packages to give the consumer the best experience possible.   Do different brands (of shampoo, for example) all use the same style package? How do brands maintain their image/equity/branding? TerraCycle: As of now, there is only one brand per category. Packaging style is up to the brand and Loop encourages them to be innovative and creative.   Are the packages direct-printed or do they have labels? If labels, are they durable, too, or are they easy to remove and reapply? TerraCycle: All packages are intended to be zero waste. Loop advises brands to utilize etching and printing.   Are all the packages rigid or is flexible packaging an option? Are flexible packages durable enough to be cleaned and reused? TerraCycle: All packaging in Loop is durable and all packaging material is agnostic. Brands/partners can use the material of its choosing provided it’s durable. Flexibility doesn’t necessarily equate to bad—that is, silicon is flexible but hyper durable.   How many minimum trips does the packaging have to withstand? How is it determined/tested that the package will, indeed, survive that many uses/reuses? TerraCycle: Packages are designed with durability in mind. The lifespan of each package will vary depending on each. There are variables in lifespan including aesthetics that can cause a package to be taken out of circulation and recycled. Loop partners use materials that can be recycled and turned back into a future pack at end of life.   Can packs at end of life be recycled into other products, following the TerraCycle model? Or does it have to be package-to-package recycling only? TerraCycle: The concept of the model is there is no waste. So, anything generated in the platform has a recycling solution.  Some things will not be package-to-package, but all will be recycled.   Just how durable are these packages? Scuffs and other visual defects could be a deterrent to some consumers in the whole reuse consumption concept. TerraCycle: Durability varies by package and consumers participating in Loop are aware the packaging is reused. It is determined by the brand when the package is taken out of circulation and recycled. The exact number of times is dependent on the specific packaging.   Signal innovated the product, a single dose of toothpaste in a "tab," as well as creating a reusable jar.   If consumers return the package for refilling/reuse once it’s empty, won’t they run out of product? Or is the concept to create a pool of packages that are reused for/by different consumers? For that matter, is the concept to create a pool of packages that are used/reused for/by different brands? TerraCycle: Loop brings to market a new subscription model: subscription based on consumption. Since the empty packages are returned to Loop, we are aware of consumers’ consumption rates and replenish only when they have finished the product. The target for turnaround is two days.   Will Loop use parcel carriers for product distribution or is it all direct delivery by Loop? TerraCycle: In the United States, Loop has partnered with UPS for its delivery.   What about Paris? TerraCycle: In Paris we have a delivery partner, but UPS is not the primary delivery partner.   Will Loop be doing the fulfillment/shipping of these products or will the brands have that responsibility? TerraCycle: All Loop products are stored at the Loop warehouse and sent to the consumer from the Loop warehouse. Loop receives empty packages back from consumers, sorts them, cleans them and returns the clean packages to the brands to be refilled.   How many Loop facilities are there and where are they located? TerraCycle: There are four Loop facilities: a warehouse in central NJ and a cleaning facility in Eastern PA; and a warehouse in the outskirts of Paris and a cleaning facility in Eastern France.   Who pays for shipping? Anything available like the Amazon Prime example of a membership with free shipping? TerraCycle: The consumer pays for shipping. However, the more product ordered—and the more full each Tote—the less the cost of shipping.   Who will be doing the cleaning and refilling? TerraCycle: All packaging is cleaned by Loop’s proprietary cleaning system.   Was or is there a need for any new type of packaging machinery to handle the cleaning, handling or refilling? TerraCycle: Yes, there was a need to develop new packaging machinery to handle the cleaning. The cleaning system is state-of-the-art and designed specifically for Loop packaging. Loop has designed cleaning processes specifically for Loop products. All packaging is sanitized and adheres to strict brand audits.   PepsiCo's Quaker cereal replaces the typical and often-criticized bag-in-box with a steel canister that is easy to open and pour from—and then can be resealed to keep the product fresh.   For any food or beverage products, how will brands ensure that packages are properly cleaned before refilling? How are they able to guarantee safety? What more can you tell us about the custom cleaning technologies developed by Loop scientists? TerraCycle: Loop’s state-of the-art cleaning systems have been scientifically developed to sanitize each item. The cleaning process was built in response to the stringent quality assurance controls of each of the brand partners. The system is proprietary, so we can’t provide more information. Loop partners with some of the world’s biggest brands and those brands have very stringent standards to which Loop adheres. All packages inside the tote are sealed and must pass strict quality assurance.  There will also be a tamper-evident seal on the Loop Tote to ensure the Loop Tote was not tampered with before opening.   Will this be for any consumer-initiated sales or only for recurring/subscription purchases? TerraCycle: Each product has a one-time purchase and subscription option.   What more can you tell me about the “groundbreaking technology” used for recycling the packaging? TerraCycle: Here are a few examples of some of the items being recycled for the first time through new and innovative technology. • Gillette/Venus Razor Blades: Through Loop, razor blades will be recyclable for the first time in France. • Always Pads: Through Loop, panty liners and pads will be recyclable for the first time in France. • Pampers: Through Loop, used baby diapers will be recyclable for the first time in France. • Oral-B Electric Toothbrush and CLIC Manual Toothbrush: Loop will collect used toothbrush heads and recycle them.

Global CPGs embrace transformative Loop circular shopping platform

In late February at the World Economic Forum, in Davos, Switzerland, Tom Szaky, Founder and CEO of TerraCycle, Inc., unveiled what could be one of the most significant and disruptive advances in packaging to date. Along with a number of the world’s largest Consumer Packaged Goods companies and retailers, TerraCycle has created Loop™, a first-of-its-kind shopping platform that will enable consumers to responsibly consume products in customized, brand-specific, durable packaging that is collected, cleaned, refilled, and reused. The platform will launch in France and in the northeastern U.S. this spring as a pilot, offering more than 300 products in reusable packaging from such heavy-hitters as Procter & Gamble, Nestlé, Unilever, PepsiCo, Mondelēz International, and Danone, to name a few, as well as from smaller companies. The products will be available through the Loop e-commerce site as well as through retail partners’ e-commerce sites and brick-and-mortar locations.
The Loop platform is designed to transform the relationship between consumers and packaging, with the consumer now borrowing the package from the brand owner, much like the milkman model. Through its circular system, Loop offers the convenience of single-use packaging while at the same time removing the responsibility from the consumer of disposing the empty packaging. It gets to the root of packaging waste, rather than trying to manage waste through recycling and other methods after it’s been created. Loop is also proving to have an extraordinary effect on package design. “It’s not just about eliminating waste; it’s about enabling the future,” says Szaky. “What brands have really started to see is that this is a platform through which they can commercialize innovation in packaging that was never possible in a disposable package—it was not even conceivable.” Metal containers for Häagen-Dazs ice cream that keep contents cold, toothbrushes with removable, replaceable heads from Oral B, and a stainless-steel Clorox package that keeps wipes wetter longer are just some of the innovations created for Loop. Enhancing the consumer experience, reimagined packaging for products such as Pantene, Seventh Generation, and Crest transform the products into premium, luxury items. A vision for a world without waste For 15 years, recycling company TerraCycle has promoted and advanced the idea of a world without waste. It offers a range of free programs for the collection and recycling of hard-to-recycle materials, creating new products from the waste. Its most recent project was to establish the world’s largest supply chain for collecting and recycling ocean plastics, which are used by P&G for its Head & Shoulders haircare product bottles and its Fairy dish soap containers, as well as for packaging for Unilever’s prestige REN Clean Skincare line. While these efforts are critically important, Szaky says they are not enough to reach the goal of a world without waste. Hence, TerraCycle created Loop—a circular economy shopping platform whose time has come. “It was far less difficult than I thought it would be to get CPGs and retailers to invest in the platform,” he shares. “It’s like the world is ready for it.”
Szaky says he believes there were three factors that influenced the decision by CPGs to participate, even though it involved a complicated and expensive commitment. First was their trust in TerraCycle, built through longstanding relationships. “They knew we were not just a ‘fly-by-night’ operation,” he says. Second was the packaging crisis brought on by the issue of ocean plastics—a topic that didn’t exist three or four years ago. “People always cared about waste, but it’s more of a crisis now,” Szaky says. “And companies at their board levels are declaring it as a crisis in a way that’s never been done. In addition, there’s also a lot of legislation in the pipeline around anti-disposability [of packaging].” The third factor, as mentioned earlier, was brand owners’ realization of the functional and aesthetic innovation opportunities afforded by reusable packaging. “What packaging people love about this is that now it’s not a race to the bottom on a price per unit, which it sort of was before. It was always how to make the pack cheaper,” says Szaky. “With Loop, cost is not the primary question. The primary question is, how durable is it?” Design for reuse To enter Loop as a manufacturer, the first “rule,” Szaky explains, is that you must move to a reusable package—“that’s simply not negotiable,” he adds. Each CPG partner is responsible for their own package design, aided by guidelines and best practices developed by TerraCycle and logistics partner UPS. Through testing procedures conducted at its Package Design and Test Lab in Addison, IL, UPS identified solutions to issues related to shipping primary packaging via e-commerce. TerraCycle enumerates some of these suggestions in a design brief it provides brand owner partners when they sign on to Loop. What TerraCycle looks for in a finished package design is durability, cleanability, and a positive Life Cycle Analysis. “Those are the three things we watch for,” says Szaky. “But then everyone gets to do everything they could ever want to in a pack. You get a far greater range of design choices, because you’re not restricted to a tiny little price. So, a $1 package with 10 uses is 10 cents per use, but a $5 package with 100 uses is 5 cents per use. That’s actually pretty neat in the sense of being able to change the relationship with the economics of packaging.” The goal for a Loop package is to be able to withstand 100-plus uses, which is not such a stretch if you consider how many times a consumer might refill a reusable water bottle. “Here’s the point,” says Szaky, “once you get to 100 uses, it’s actually not that hard to get into the thousands. It’s hard to know, because we haven’t been able to prove 10,000 uses. For now, we’re aiming for 100 or more uses for every container.” The three most common types of materials being used for Loop packaging are, in order, stainless steel and aluminum, glass, and engineered plastics such as polycarbonate. So far, materials such as flexibles, disposable plastics, fibers, or leathers have not shown up in any Loop packaging. Given that the aim of Loop is zero waste, the tote in which products are delivered and empty containers are returned is also reusable. Consumer convenience Another factor that makes Loop so timely is consumers’ growing acceptance and use of e-commerce for CPG products. Loop will have its own e-commerce sites—Loopstore.com in the U.S. and maboutiquelook.fr in France—and Loop products will also be available on some CPG and retail partner websites. Retail partners such as Carrefour in France, Tesco in the U.K., and others will also be selling Loop products in their physical stores. In fact, Carrefour is so enthusiastic about the system it has put many of its private-label products into reusable packages. In the case of products ordered through e-commerce, the “loop” begins when a consumer places an order online. Their products are then delivered to their doorstep in the reusable Loop tote. When they are done with a product, the consumer places the empty package in one of the totes and alerts Loop to pick it up. (Both products ordered through Loop as well as through its partners’ sites are collected by Loop.) For staple products the consumer wants replenished immediately, the pickup triggers a new shipment. Consumers who purchase Loop products at a brick-and-mortar store can bring their empties directly back to the store. The beauty of the program at end of use is that consumers don’t have to clean or sort the empties. “It’s a completely disposable experience,” says Szaky. Sorting and cleaning is done by TerraCycle, which not only has the technology for straightforward cleaning jobs (e.g., cleaning rigid containers), but is also developing a range of technologies to handle more complex packaging components such as trigger sprayers and pumps. The company plans to have a warehousing and cleaning facility in every region in which Loop products are sold. With Loop, zero waste also means zero product waste. So when TerraCycle receives the containers for cleaning, it evaluates the leftover or used product to see if it can be recovered or recycled. Products are categorized as non-recoverable, as in the case of orange juice or window cleaner, or recoverable. “For recovery, there are two types of products,” Szaky explains. “The first is a product you can recover, but it would be unreasonable to reuse it, such as a razor blade or a toothbrush, which we then recycle. The other is a product, such as the casing of a pen, that it’s not unreasonable to reuse.” The final stage of the loop is the return of empty, clean packages to brand owners for refilling. The loop is closed when consumers receive new products. To ensure consumers return the empty packaging and the Loop totes, they pay a deposit for the items when they order the products. “This is key, since these are expensive packages,” says Szaky. “They are never owned by the consumer; the consumer borrows them. And, like anything you borrow, you put a deposit around it.” When the consumer returns the package, they receive 100% of the deposit back—no matter the shape in which they return it. TerraCycle’s view is that the durability of the package is not the consumer’s responsibility; it’s the responsibility of those who made it. Will Loop succeed? There are many reasons Loop should succeed—and in a big way. Among them, the furor over disposable, single-use packaging, the ease of e-commerce, the enhanced consumer experience allowed through higher-quality packaging, and Loop’s appeal to CPGs that are pushing to meet their own aggressive sustainable packaging goals. But will it take off? Szaky says signs are good. As more of the world’s largest CPGs join the platform, momentum is building, spurring others to join or be left behind. In just one week, he shares, SC Johnson with its Method and Ecover brands, global snacking company Pladis, and Reckitt Benckiser signed on. “And it wasn’t even a unique week,” he says. Another sign boding well for Loop is the response it has received from the 25 families in New York and the 25 in Paris that have already trialed the platform. Szaky says TerraCycle learned from these trials that once consumers start receiving their products in reusable packaging, they start getting “allergic” to disposability. “The question is, what is the tipping point?” he questions. “Do 20 percent of the products in your life have to be durable for you to say, ‘Forget disposability, I’m done.’” Compared with other strategies launched to reduce or eliminate packaging waste, such as “package-free” stores and self-dispensing systems, Loop celebrates packaging, enhancing its many functions, such as beauty, product protection, and convenience. “Packaging isn’t evil,” declares Szaky. “Neither is the idea of plastic or metal or paper. The evil, I think, is spending a lot of effort creating something awesome and then using it once and throwing it away.”

TerraCycle's Bold Waste Reduction Idea

By now, everyone is aware that over-packaging is ruining the environment. But how to remedy the situation? Certainly FMCG companies don't want consumers to use fewer products, less often—that's a radical idea that would certainly work, but will certainly lead to lower sales and profits.  
Instead, Some of the world's largest consumer-goods companies are trying to tackle the global plastic packaging problem by offering consumers an alternative to recycling. Today, at the World Economic Forum in Davos, Procter & GambleNestléPepsi and others are unveiling Loop, in which their products, like detergents and shampoos, would all be sold in reusable packaging. After using the products, customers put the empty containers in a Loop tote on their doorstep. The containers are then picked up by a delivery service, cleaned and refilled, then shipped back out to consumers. Details of this innovation will be announced today at the World Economic Forum in Davos, Switzerland.These FMCG giants are working with US waste recycling firm TerraCycle on the Loop project. "There is no need to clean and dispose of the package. As consumers finish their products, they place the empty package into one of their Loop Totes. Loop will pick up directly from their home," TerraCycle said in a joint statement. We assume that all these Loop advocates conducted LCA on the program. If Loop passed the test, it could be innovation with legs, er, wheels.  At least it shines a brighter light on the packaging problem that plagues the planet.

KFC, Walmart Canada Latest to Target Plastic Use Reduction

Plastic is a hot topic in Davos this week and more big-name companies are stepping up commitments to reducing plastic waste -- playing catch-up to other industry leaders.
Fast-food chicken chain KFC said Thursday that all plastic-based, consumer-facing packaging will be recoverable or reusable by 2025. Walmart Canada announced plans on Wednesday that include reducing plastic bag use by 2025 that will take about 1 billion bags out of circulation, and replacing single-use plastic straws with paper alternatives by 2020.
“This commitment represents a public acknowledgment of the obligation we have to address these serious issues” of environmental sustainability, KFC Chief Executive Officer Tony Lowings said in a statement.
Waste from plastic has become a flashpoint with environmentalists and consumers, and companies are reluctant to be seen as falling behind. Oreo maker Mondelez International Inc. and Nestle SA are among food giants that announced similar sustainability goals last year. KFC parent Yum! Brands Inc. previously said it will source all fiber-based packaging from certified or recycled sources by 2020, as a supporting partner of the NextGen Consortium. Starbucks Corp., McDonald’s Corp. and Coca-Cola Co. are also partners.
Walmart Canada, with 411 stores and more than 85,000 employees, announced additional goals, including a 2025 target to have 100 percent recyclable, reusable or compostable packaging for its own private brand products as part of a global commitment launched by The Ellen MacArthur Foundation in 2018. Thus far, more than 290 companies have signed on for the 2025 date.

‘Aspirational Goal’

    “This is an aspirational goal when you think about it,” said Conrad MacKerron, senior vice president of As You Sow, a nonprofit group focused on shareholder advocacy. Still, publicly committing to such a target helps investors and consumers hold companies accountable, MacKerron said. There are also cities in the U.S. that have made zero-waste commitments, MacKerron said, citing San Francisco as an example.
Nestle SA and PepsiCo Inc. are among some 25 consumer companies taking part in a program announced Thursday at the World Economic Forum in Davos that provides products in reusable packaging that can be returned for a refund. The “Loop” initiative, which refers to a theoretical circular economy where nothing is wasted, is led by New Jersey-based recycling company Terracycle Inc. KFC also said Thursday it made good on a promise that by the end of last year all chicken purchased would be raised without antibiotics important to human medicine. That initiative got underway in 2017 after pressure from shareholders. Other fast-food chains began phasing out chicken with antibiotics years earlier. Chick-fil-A Inc. began in 2014, Subway eliminated it in 2016 and Taco Bell, also owned by Yum! Brands, reached the goal in 2017. Still, KFC helped tip the chicken industry in an important way, according to Lena Brook, director of food campaigns at the Natural Resources Defense Council. “KFC proved that even in perhaps a more complex reality that change is possible if you commit to it,” Brook said.