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Win Hearts and Wallets Like Patagonia by Giving New Life to Old Products

There's more and more pressure -- both internally and externally -- for companies to help the environment. But it can help companies, too

    Recycling isn't just about protecting the planet; it's also about profit. With market rates for recycled plastics at all-time lows, companies can build new products out of used ones for a fraction of the cost of fresh materials. A McKinsey analysis found that plastics reuse and recycling could produce up to $60 billion in new profits by 2030, or almost two-thirds of the plastic industry's potential profit growth. For entrepreneurs, that's a win-win. Cheaper and more widely available recycled materials mean lower production costs. Building products from recycled materials is also a brand differentiator, particularly with the growing cohort of socially conscious consumers. Which companies are getting ahead by giving products a new life? Four firms stand out:

1. Patagonia

Long known for its environmental stewardship, Patagonia goes beyond donating money or even company time: The outdoor apparel brand's Worn Wear program buys back used Patagonia products and resells them online. What sets Worn Wear apart from other used clothing programs is its educational component. Patagonia brand ambassadors travel around the U.S., showing people how to repair their own gear. It also posts product care guides online that explain how to sew up seams and patch tears. Consumers see product education as an added value. Minimize your carbon footprint and build brand loyalists by helping customers trade in or extend the life of their purchases.

2. Pela

Pela, which makes ecofriendly smartphone accessories and sustainable products, skipped straight from packaging to product recycling. Founder Jeremy Lang was inspired to start the company after seeing piles of plastic waste floating in the pristine waters off Hawaii. To that end, Pela created the world's first fully compostable phone case. Customers who don't compost can send their old cases back to Pela, who recycles the cases for them. What about the millions of other plastic phone cases that get thrown away each year? Pela announced at CES an expansion to its Pela 360 program, which is to accommodate all phone cases, no matter the manufacturer. If you've got a plastic product, why not let customers do double duty as suppliers? Making people feel like part of your initiative is the single best way to scale it.

3. Procter & Gamble

Consumer packaged goods, by their nature, have a short life cycle. From toothpaste to dish detergent, products that make our home lives comfortable tend to be disposable. What can be done to keep them out of the trash? Procter & Gamble has partnered with TerraCycle's Loop e-commerce platform to tackle that very question. Loop is a sustainability program that cuts down on waste by using refillable and recyclable packaging. Hair care brand Pantene is introducing shampoo and conditioner bottles made from lightweight aluminum. Tide's Purclean plant-based laundry detergent will feature a stainless steel bottle instead of its conventional plastic one. Crest Platinum mouthwash will be sold in refillable glass bottles.

4. Coca-Cola

It's barely 2020, but Coca-Cola already has big plans for 2030. By the next decade, the beverage giant plans to make all its bottles and cans fully recyclable anywhere in the world. What's more, it expects to build those bottles out of at least 50 percent recycled material. For a company the size of Coca-Cola, that's a herculean task. To get there, it's investing around the world in recycling awareness. Although recycling programs exist in nearly every country, many consumers are still unsure which materials can and can't be recycled. Take your cue from Coke: Start with your product's packaging. Not only is the container the portion sure to be thrown away, but it's generally easier to build containers out of recycled materials than it is goods like computers or clothing. Doing the right thing doesn't have to be costly. Through recycling, reusable packaging, and consumer education, plenty of companies are protecting their profits by protecting the world. Keep production costs down and customer satisfaction up by giving new life to old products.

Tide Laundry Soap Eco Box

Tide laundry soap eco box is less waste than the plastic bottles.
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ORDER HERE–> Tide Laundry Detergent Liquid Eco-Box, Concentrated, Original Scent, 105 oz, HE Compatible, 96 Loads

  • More concentrated laundry detergent for 30% more cleaning power per drop *vs 150 oz bottle
  • Shipping-safe packaging to prevent laundry detergent liquid leaks on the way to your home
  • No-drip tap and stand to raise the box and allow for clean, easy detergent dispensing
  • Ramp inside the box to help you use every last drop of detergent
  • Tide Eco-box is created with 60% less plastic and 30% less water
  • Tide Eco-box is 100% recyclable through a partnership with Terra-Cycle
you may also like:
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Order HERE —-> Tide Pods Laundry Detergent Pacs (2x35ct), Downy Unstopable Scent Beads (14.8 oz) and Bounce Dryer Sheets (2x34ct), Better Together Bundle

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2020 Will Be The Year Major Brands (Finally) Rethink Packaging

This year, Coca Cola unveiled a bottle made from 25% recycled plastic while PepsiCo announced it will be investing $25 million in recycling infrastructure. As mbg recently reported in our natural beauty trends forecast, Dove also switched to bottles made from 100% recycled plastic in 2019, and its parent brand, Unilever, announced that it will use half as much new plastic in its products by 2025. Meanwhile, Olay began testing refillable pods for its most popular moisturizer. For mindbodygreen's brand-new line of nr+ supplements—released as a limited-edition run last month, to be launched in broader distribution in January 2020—we've packaged the recyclable glass bottles in completely compostable trays, made from mushrooms. Public awareness and unrest about plastic pollution have been building for years (hello, straw bans), but it wasn't until 2019 that major corporations really started to do something about it.  

What's driving the shift away from plastic packaging?

A new service called Loop has helped kick-start the push away from plastic. Launched in May of this year in Paris and a handful of states across the northeastern U.S, the service allows people to shop for grocery, household, and personal care products from brands like Tide, Febreze, and Crest. The kicker? For a small markup, these goods are shipped out in durable, reusable packaging that can be sent back in to be reused and refilled. Loop is a direct rebuttal to the idea that recycling can save us from the waste crisis: "Recycling is like Tylenol: You take it when you have a headache, but there are better ways to never get the headache to begin with," Tom Szaky, the CEO of TerraCycle and Loop, told mbg last year. In the six months since launch, Loop has kicked off in another five states and plans to enter six new markets before early 2021: The U.K., Canada, Germany, Japan, Australia, and potentially the West Coast of the U.S. Loop is also onboarding about one new brand to their platform every business day. "There's been a lot of organic demand from consumers. We just hear nonstop from people that they're really excited about the service, and they want to see it available in their state," explains Heather Crawford, the VP of marketing and e-commerce at Loop. Upward of 85,000 people have signed on to the waitlist so far, and they're not the only ones who want to see the service take off: Crawford has seen that the massive names—the Unilevers and P&Gs of the world—are eager to get involved and rethink the delivery of their products to keep up with the times. When mbg heard Unilever's CEO Alan Jope speak at this year's Climate Week NYC, he confirmed that Unilever is working to make its business more environmentally responsible— a change that investors are insisting on more often. "I'm noticing our investors increasingly asking us to run our business for the long term. This idea that the Street is only interested in short-term performance, I don't accept," Jope said. "We're going to see capital inflows into responsible business and capital outflows out of polluting and carbon-dense industries. It's that simple." For another signal that the low-waste life is trending in the business realm, we can look to Williamsburg's Package Free Shop: Opened in 2017 by zero-waste poster child Lauren Singer, the shop sells health, beauty, and living essentials that are free of single-use plastic parts and packaging (think shampoo bars wrapped in paper and compostable vegetable brushes). The company's recent $4.5 million seed funding round proves that investors are confident that people beyond the trendy Brooklyn 'hood want to opt into its zero-waste ethos. "In the past year, more people than ever before have realized the impact that single-use plastic and waste has on the environment," Singer tells mbg. The recent funding will help the Package Free team work toward their mission to make zero-waste products hyper-accessible to the average Joe or Jane: "Our goal is to manufacture products that are both the most sustainable ones on the market and are as accessible and convenient as buying a Unilever or P&G product."

All signs point to more packaging innovation in 2020.

David Feber, a partner at McKinsey & Company who works primarily in the consumer packaged goods space, tells mbg, "Sustainability is combining with other powerful trends such as e-commerce and digitalization to drive major disruption in packaging over the next several years in the consumer products space." This year, a McKinsey report on Gen Z buying habits found that this "hypercognitive" generation, born between 1995 and 2010, will likely only push the needle toward more sustainable packaging solutions as they come of age. And sustainable packaging is just the start: A report by BBMG and GlobeScan predicts that in order to stay relevant with the next generation, companies will have to take more mission-driven action. "While Gen Z is ready to champion brands who show bravery on the issues that matter, they are also the first to call bullshit when they see it, especially when they see brands promoting their commitment to 'doing well by doing good' while staying silent about the negative impacts at the heart of the business practices that make their success possible," it reads.  

Loop CEO: Zero-Waste Shopping Service Continues to Grow

hero It’s been nine months since the startup Loop, brainchild of TerraCycle founder and CEO Tom Szaky, took the world by storm with its zero-waste circular delivery service. If you’re like us at TriplePundit, you’re probably wondering how it is doing as it nears the one-year mark. While the company does not disclose its total number of subscribers, Szaky gave a candid update at last week’s Bloomberg Sustainable Business Summit in New York.

Adding one brand per day

First announced at the World Economic Forum in January, Loop made its initial start with pilots in metro New York and Paris. Ever since, Szaky says, business has been quickly growing. Today, Loop is available in select areas in New Jersey, New York, Pennsylvania, Delaware, Vermont, Connecticut, Rhode Island, Massachusetts, Maryland and Washington, D.C. It is in the process of expanding throughout the United States, as well as the United Kingdom, Canada, Germany and Japan, Szaky said. And with comments such as “When is Loop coming to Illinois….I can’t wait!” sprinkled across Loop’s Instagram account, it seems expansion can’t come soon enough for many. Loop’s value proposition is enabling the consumer “to responsibly consume a variety of commonly used products from leading consumer brands in customized, brand-specific durable packaging delivered in a specially designed reusable shipping tote.” When finished with the product, the packaging is collected, cleaned, refilled and reused. There are no monthly membership fees or subscriptions, although customers do pay a refundable one-time deposit to borrow the reusable container. “Loop will not just eliminate the idea of packaging waste, but greatly improve the product experience and shopping convenience,” Szaky said at the launch. The initial coalition included 28 partners such as Procter & Gamble, Unilever, PepsiCo, Mondelez International, Nestlé, Danone and UPS.  Today, the list has grown to 42 partners selling brands such as Häagen-DazsTide, Tropicana and Colgate. Essential to Loop’s success is its ability to offer consumers the same choice they would find in brick-and-mortar retail stores, and the Loop management team knew that quickly scaling up offerings was key. According to Szaky, Loop is now adding approximately one new brand per day. The brands themselves seem to be having fun with new packaging design, such as Procter & Gamble, whose ProPantene shampoo and conditioner containers are emblazoned with “I Reuse….I Love the Oceans.”

Shoppers love ice cream from Loop, but not for the reason expected

While the products do come shipped in reusable Loop containers, critics on social media have pointed out that some of the products that Loop sells—including detergent pods and wipes—contain plastic that is not recyclable. But it turns out that this may not be relevant to the majority of Loop consumers: Only a third of Loop subscribers joined the service based on sustainability concerns, Szaky said; the majority claim to have joined because of the model itself, including its convenience, something that even Szaky found surprising—and, it seems, a little frustrating given his zero-waste zeal. To date, the company says beverages in glass bottles such as Evian and Tropicana have been among the top-selling products among Loop subscribers in France. In the United States, top sellers include Clorox wipes, Cascade dishwasher detergent tabs, Pantene shampoo and Häagen-Dazs ice cream.

A few habits that throw this circular economy model for a loop

Another interesting learning that Szaky shared was that while Loop customers want similar prices for products they would buy in traditional stores, they have not been price sensitive to the deposit fees. “It’s exciting that consumers are willing to temporarily invest in the reusable containers,” he remarked. While temporary, the cost of the containers, in some cases, are not inexpensive. Take two of the top-selling products: The container for Clorox Wipes requires a $10 deposit, while the deposit for the Häagen-Dazs ice cream container is $5. Only time will tell if the model will continue to be successful, especially as more and more companies, from Unilever to Nestlépledge to reduce their use of plastic packaging in the next 10 to 20 years. For now, however, this service seems to be a model in high demand.

This Company is Designing Reusable Packaging For Major Corporations

One company is working with giants like Tide and Häagen-Dazs to re-fill, reuse and deliver household staples right to your door.   Household products, toiletries, food, and more currently utilize single-use plastic containers and wrappers that end up in the trash. One company is changing that with reusable, refillable packaging.   Tom Szaky is the CEO and Founder of TerraCycle, based in New Jersey, and he says his mission is to make recycling a convenient and streamlined part of everyday life. TerraCycle For nearly 20 years, Szaky has been working with some of the biggest companies in the country to create recycling-friendly packaging for their products, and now, he has a new division called Loop, which “feels like disposability as much as absolutely possible,” explains Szaky.   While the service, in some ways, is a mimicry of people’s existing bad habits, Szaky says that minimal effort on the part of consumers is key in making a big change. “The more we ask a consumer to do, the less likely they are going to take part,” he adds.   A few years ago we started thinking about, ‘how do we solve waste at the root cause?’” - Tom Szaky, TerraCycle   Loop will refill everything from your laundry detergent, to your favorite ice cream in reusable packages that are easy to ship out. As of now, they’ve partnered with Kroger and Walgreens, and the service will soon be coming to Detroit locations.   “A few years ago we started thinking about, ‘how do we solve waste at the root cause?’ and we believe the root cause of waste is using something once and throwing it out. From that question came a new division called Loop which is all about shifting packaging from single use and disposable to multi-use and reusable, without feeling like a reusable system,” says Szaky.

Click on the player to hear TerraCycle’s Tom Szaky talk about the challenges of single-use packaging.

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."

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.

The Modern Milk Man: Loop Ships Your Favorite Brands in Durable, Reusable Packaging

From food manufacturers to e-commerce giants, the pressure is on to have at least some form of sustainable business practice as more consumers align with environmentally-friendly businesses. Loop is one way some larger brands are starting to dabble in becoming greener without resorting to completely uproot their existing supply chains. Created by recycling company TerraCycle, the online platform allows customers to shop from their favorite brands in a cleaner, more environment-friendly manner using reusable containers. After filling out your online shopping bag via the Loop online shopping platform, the products are stored in several sturdy, reusable containers before sending the bulk of them to you. Users simply just have to pay a small deposit for the durable, multi-use package designs—not unlike glass milk bottles from the days of milkmen. Rather than using discardable containers that usually end up in the trash, food items like your favorite Häagen-Dazs ice cream are stored in containers designed specifically for the product (in this case, the ice cream is stored in a stainless steel container). Not only is it greener, but the reusable container keeps the ice cream frozen for much longer—proving that functional upgrade considerations also went into the design of the new containers. https://www.solidsmack.com/wp-content/uploads/2019/09/Loop-2-1100x397.png Says the company: “Most products today are “linear” – thrown away after they’re used (typically once). This one-way model sends valuable resources to the trash. In a “circular” system, that line is bent into a circle that keeps resources in use and cycling through the system for as long as possible. The goal of the circular economy is to make those circles as tight as possible by reducing the number of steps (and the resulting energy, transportation and resources needed) to get our products from useless to useful again.” This call towards reusable packaging is inspiring brands to think about how they design their products. Toothpaste, for instance, doesn’t fit well in a reusable container; so Unilever has created several chewable toothpaste tablets which are stored in a tin (think of it as chewing gum which cleans your mouth). Participating Brands and Updated Package Design Details (via Packaging World):
  • Pantene is introducing a unique bottle made with lightweight, durable aluminum for its shampoo and conditioner.
  • Tide is participating in Loop with its Tide purclean plant-based laundry detergent in a new durable bottle made from stainless steel with a simple twist-cap and easy-pour spout.
  • Cascade, continually looking for ways to make the dish cleaning experience better and environmentally friendly, has developed a new ultra-durable packaging for Cascade ActionPacs, which enable consumers to skip the prewash.
  • Crest is introducing new Crest Platinum mouthwash, a unique formula that delivers fresh breath and stain prevention in a sustainable, refillable glass bottle.
  • 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.
Once you’re done with the containers, all you have to do is store the containers back in the provided tote bag (no cleaning needed) and call Loop to pick it up. You’ll get your deposit back and have free space to store new shopping items.
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Meanwhile, the empty containers taken by Loop are cleaned and sanitized before being returned to the manufacturers for a refill. According to TerraCycle co-founder and CEO Tom Szaky, Loop encourages companies to use their containers at least a hundred times before considering to make new ones. Could this be the future of food packaging? Only time will tell.

My first Loop: Early days in the circular shopping platform

https://www.supplychaindive.com/user_media/cache/bf/6c/bf6c1afb999b7b0626ef5d606dc49cd3.jpg Over the last few months, I and dozens (if not hundreds) of others have placed orders for common household items from Loop — a new e-commerce site that attempts to eliminate the immense amount of single-use packaging and filler that comes with shopping, online or in-store. The platform officially launched its e-commerce site in May with roughly 25 vendors and two major retail partners in Kroger and Walgreens. The platform is currently available to consumers in select zip codes in New Jersey, New York, Pennsylvania, Delaware, Vermont, Connecticut, Rhode Island, Massachusetts, Maryland, Washington D.C. and Paris. At the launch event in May, participating vendors and retailers, along with CEO Tom Szaky of TerraCycle (the recycling company behind the concept), made it clear the early days are an experiment from which the various stakeholders will learn how consumers use the platform. These insights would inform future evolutions of the product. A good start but, by no means, the ultimate form Loop will take.

It feels like good old e-commerce but ...

The process feels very much like a traditional e-commerce transaction with a few exceptions. Shoppers choose their items, each with a base price and an additional container deposit to be refunded when the item is returned empty. Then the items are shipped via UPS in a reusable zippered box the size of medium-sized cooler. I placed my order Friday, May 31 and received it Tuesday, June 4.
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Once the products are used up, the idea is to put the empty packages back in the Loop box for UPS pickup and the containers will be cleaned, sanitized and recirculated — everything is reused. Even the shipping label was a thick piece of paper that slides into a slot in the top of the box that simply needs to be flipped over to send the box back. One of the most striking elements about the experience was how the consumer is never without instructions as to what to do next. Every item has some form of return direction on it encouraging the user to complete the Loop. Even the tiny plastic zip tie that secures the delivery box (and the fresh one inside for the return shipment) is well-marked with instructions. https://www.supplychaindive.com/user_media/diveimage/IMG_4817_xCMz688.jpg Every item, from reusable box filler to each product, is marked with instructions so the user is never unclear as to what to do next.  |   Credit: Emma Cosgrove   The product selection in the store is so far fairly limited — spanning dry bulk food products like nuts, spices and pasta, a few personal care items like razors and hand wash, household cleaners and ice cream. Many more brands are advertised as partnering with Loop, so hopefully the assortment will grow soon. In my first order, I tried to choose items from every category and receive a variety of products — and more importantly, a variety of containers. The packaging, after all, is a key part of the innovation. TerraCycle worked with the committed vendors like Unilever, Mars, Nestle, PepsiCo, Colgate-Palmolive, Procter & Gamble and more to develop versions of selected products in largely non-plastic packaging with the aim of getting 100 cycles out of every container. https://www.supplychaindive.com/user_media/diveimage/Anchor-Product_Family.jpg "Reusable packaging is more expensive from an environmental perspective to make the first time ... but every time it goes around, you don't have the cost of remaking it. All you do is have the cost of collecting it and cleaning it. And by using really efficient supply chains to do the collection, it’s very efficient to transport," Szaky said at the launch. Most of the containers I received were stainless with some plastic components like pumps and spray nozzles. I also received peanut butter in a glass jar (with a $2 deposit, which admittedly caused a bit of sticker shock). All were perfectly functional (even in the shower) and certainly better to look at than logo-adorned plastic.

How do the prices compare?

In short ... it varies. At today’s prices, Loop's more premium items are more comparable to the market price than the mass-market brands. For example, 19.5 oz. of organic lemon-flavored almonds cost $16.65 plus the container deposit — a slightly cheaper per ounce rate than the product is priced on the brand’s website. While dry black beans are priced at $3.25 a pound plus the container deposit – at least 60% more than a bulk price in a grocery store. Tide detergent is fairly competitively priced, while a pint of Haagen-Dazs is at least $1 more than at the grocery store and carries a hefty $5.00 deposit for the much-hailed stainless container that allows the eater to hold the pint comfortably, and shovel directly into their mouth, even after pulling the metal directly from the freezer. https://www.supplychaindive.com/user_media/diveimage/IMG_4829_2.jpg The Haagen-Dazs container is designed with an inner and outer stainless steel layer to enable faster melting only at the top and comfortable eating from the pint straight form the freezer.   |   Credit: Emma Cosgrove And those deposits add up. On my first order, I paid $30.50 in deposits including the $15.00 deposit for the shipping box — 23% of my total order. Cleverly though, upon return, the deposits go into a deposit balance on the site instead of being refunded back through your payment method, so the blow will be much softer next time around. (The circular nature of the platform not only keeps your shopping nearly waste-free but also is a fairly effective marketing tool to encourage subsequent orders since not all products empty out on the same schedule.)

Would I order again?

The experience of opening the Loop box and producing no immediate waste is exactly as I expected – a relief. The box itself, especially for a relatively small order of seven items like mine, came with a lot of foam packaging and a cooler with many ice packs for the ice cream I ordered. I had to remind myself that though it seemed excessive, none of this was waste. When I finished with about half of the items, I sent the box back and received an email within 24 hours acknowledging receipt of my empty products. https://www.supplychaindive.com/user_media/diveimage/IMG_4837.jpg Every bit of package filler protecting the Loop products is reusable.  |   Credit: Emma Cosgrove   All in all, Loop is still for true believers. As an avid online shopper, especially for household basics and groceries, keenly aware of how much waste that generates on a nearly daily basis — I am such a believer. I will order again to reduce my waste, to support the initiative and to satisfy my curiosity as this program grows and changes. The platform doesn’t meet quite enough of my needs to cancel out any of the other vendors I currently shop with — though I’m watching eagerly for the day that it does. The brands available now don’t all work for me, and I imagine with mass market and niche brands accounted for in a relatively small assortment of products, this will be true for almost everyone. It's not a platform for value or selection yet. But it is relatively guilt-free and offers a smooth, responsive and guided user experience that is enjoyable. The supply chain innovation when it comes to Loop is mostly in the products themselves. The return, wash and recirculate model is borrowed from various industries like commercial linens (though the product variety is much larger and the per-order minimum much smaller for Loop) and the transport itself is simple logistics and reverse logistics. But scaling the products as the platform grows will be something to watch — and so will the shifts in consumer behavior as the platform expands its products and customer base. Did it change my consumption life? No. But I see how it could one day.