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

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

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

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

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

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

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

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

Loop, the zero-waste, refillable packaging delivery service, has announced that it is expanding nationally in the US this summer and coming soon to the UK, Canada, Japan, and Australia. Terracycle, which runs the service, has partnered with Kroger and Walgreens in the US, Loblaw in Canada, Tesco in the UK, and Carrefour in France. Terracycle piloted the Loop service in New York and Paris and later expanded to a few regions along the US east coast. Consumers order products from over 200 brands, including products from major international consumer goods companies such as Unilever, Nestlé, Coca-Cola, and Procter & Gamble. Customers place orders online and receive it in a reusable Loop tote, with all of the products within coming in refillable packaging. Goods range from pantry items, perishables, home goods, and personal care products. Once finished, users request a pickup for empties, which is then picked up. Your empty containers go back to Terracycle, where they are then cleaned, sanitized, and refilled for the next customer. The announcement comes as consumers flock to grocery delivery services from companies such as Instacart and Amazon over fears of contracting COVID-19 and being in the vicinity of possibly contagious shoppers in-store. While delivery services provide relief from possible contact with coronavirus, Loop is the only service that offers zero-waste packaging. Loop is currently inviting interested consumers to sign up on their waiting list.

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

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