5 product categories for which reusable packaging makes sense

Consumer products companies and retailers are redesigning packaging as state regulations in California, Colorado, Maine, Minnesota and Oregon take aim at single-use plastic in the form of fees on brands and retailers.

It’s a big potential liability: 225,000 tons of single-use packaging is used per day for everything from food and beverages to laundry detergent to shampoo, according to estimates by the U.S. Environmental Protection Agency. 

That has inspired dozens of reusable packaging trials such as the citywide test of reusable cups in Petaluma, California; Chilean startup Algramo’s refillable container program; and TerraCycle’s Loop program, discontinued in the U.S. but still available in France and Japan.

Regulations make reusable containers more feasible

“The hottest reason for companies to do this is complying with regulation,” said Carolina Lobel, senior director of the Center for the Circular Economy with investment firm Closed Loop Partners. “They will prioritize where they have to do it because of a mandate.”

The rationale is straightforward: Sustainability teams will find it easier to justify upfront investments when finance teams consider them against the expense of non-compliance.

Moving to reusable containers or packaging also requires investments in manufacturing changes, reverse logistics and container wash systems, among other things, according to an analysis of the reuse model by the Center for the Circular Economy and the U.S. Plastics Pact, a trade group also studying the issue.

Brands and retailers should assess these factors when considering reusable packaging: 

• Environmental benefits, including durability, weight and how many times the packaging can be used before it must be recycled. Dispensing candy in a steel container, for example, doesn’t make as much sense as switching a laundry detergent bottle. 
• Consumer acceptance, including the frequency with which an item is purchased and how the redesign might affect other dynamics, such as product safety.
• perational alignment, such as whether a category uses standardized formats and how existing back-of-house infrastructure can be used to support it. 

“It makes sense to activate around markets where reuse already happens,” said Anita Schwartz, founder and principal of Circularity Consulting. Many grocery stores, for example, have washing facilities to support preparation for hot food or salad bars. The same goes for the catering operations on corporate campuses, Schwartz said.

Source: DeliverZero

Where reuse makes sense in the near term

With that in mind, the Closed Loop Partners and U.S. Plastics Pact analysis identifies five consumer product categories where reusable packaging is best-suited for near-term adoption. All are sold in grocery retailers or convenience stores, which often have active, ongoing relationships with specific customers.

“The first mover should be at the retailer level,” said Schwartz. “You’re going to have frequency of return happening.” 

Prepared foods

Environmental benefits: A reusable salad bowl used at least two times has less of an impact than the single-used edition.  

Consumer acceptance: Items are consumed quickly, and purchases in salad bars and delicatessens are frequent. 

Operational alignment: Packaged on site — often by consumers at a salad or hot food bar — which reduces logistical overhead; repeat customers are more likely to return containers.

Example: DeliverZero, which offers reusable containers to restaurants, is piloting this model at Whole Foods stores in Denver and Colorado. 

Fresh produce

Environmental benefits: Unclear, although reusable containers that preserve cut vegetables longer than thin-plastic film could help reduce food spoilage and waste.

Consumer acceptance: Vegetables are bought frequently because of their shelf life, making it more likely for consumers to bring back packaging. Reusable packaging could also be important at the distribution level.

Operational alignment: Processes tend to be local and manual, making it simpler to optimize materials without significant adjustments.   

Example: Fresh Del Monte uses reusable plastic containers to transport bananas. 

Beverages (including milk, juice and alcohol)

Environmental benefits: Reusable bottles made of polyethylene terephthalate plastic are heavier than the single-use alternative, so it takes at least two return cycles for them to have a lower impact.

Consumer acceptance: Many consumers are familiar with bottle return schemes and refill models, such as those for local dairies.

Operational alignment: It may be possible to use existing collection points that offer small fees for returning cans or bottles. Existing dairy wash and refill infrastructure offer potential for other beverages, including fresh juice, beverage concentrates or wine.   

Example: Startup Olyns, which is installing reverse vending machines in California, uses artificial intelligence to sort many different types of containers for recycling; they could be used for reusable bottles or cups in the future.  

Home care items (especially detergents)

Environmental benefits: Some bottles, such as the ones for laundry detergent, are already reusable. Redesigning for durability would increase weight, but reusing the container at least four times would translate into a 50 percent emissions reduction.

Consumer acceptance: Consumers and businesses are less concerned about safety protocols compared with containers for food and beverage categories.  

Operational alignment: Items such as detergents or spray cleansers come in fairly standard shapes, which is important for scale.

Example: U.K. grocer Ocado uses a durable plastic, refillable container for delivering detergent. 

Personal care products (especially shampoo, lotions and soaps)

Environmental benefits: Items are purchased frequently as containers are emptied, and many are already made of durable glass or plastic. 

Consumer acceptance: Perfume or hand soap are often displayed on containers; consumers are more open to attractive designs that are durable and refillable.

Operational alignment: Packages already designed to handle multiple uses; they would fit easily into existing collection and wash systems.

Example: Kiehl’s and Body Shop are two brands that offer refillable bottles for their products.

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