A March 23, 2012 article in the New York Times entitled Companies Pick Up Used Packaging, and Recycling’s Cost discusses how some companies are recycling their packaging where municipal recycling facilities cannot. It suggests that this is following a trend in Europe where manufacturers are increasingly responsible for the pick up and reprocessing of their packaging. In Germany this is done by state mandate but through a private consortium. Mandates are in place in the US for things like CRTs, batteries and various chemicals including oil, where the manufacturer must offer to take the product back. So far, only Maine has a law that might shift discarded packaging’s cost to manufacturers.
On the consumer end, the reality is that this only works if there is a large volume of recyclable material associated with the product name (Coke has a recycling subsidiary for cans and bottles) or where the brand owners values are closely entwined with social responsibility (Stonyfield Yogurt is partnering with Whole Foods to recycle its #5 plastic yogurt containers and Starbucks is recycling its cups if customers put them in the appropriate container in the store).
I have a great deal of respect for those companies that are thinking ahead of their consumers and anticipating where they want to go. The problem is that overloaded and price-pinched consumers are confused and hurried. Figuring out at the time of purchase what to do with packaging requires effort. In the most recent research conducted by Perception Research Services, more shoppers report the would like to choose environmentally friendly packaging compared to 2010 (36% vs. 28%), but they are frustrated by the information provided (26%vs. 20%) and confused by the environmental claims made (20%vs. 12%).
Those statements having to do with recycling are better recognized by consumer and have more impact on buying. Perception Research Services also noticed a significant increase in shoppers checking to see if a package can be recycled prior to buying it. Two thirds of shoppers self-report that they recycle on a regular basis.
Perception Research Services’ EVP Jonathan Asher concludes that there is ” a great opportunity for manufacturers to provide truly value-added packaging to their target shoppers by making it more environmentally friendly- primarily in the form of recyclability and recycled content – and clearly communicating these aspects.”
Cone Communications reports that 69% of American consumers routinely or sometime consider the environment when making a purchasing decision. 90% report that they are motivated to buy an environmental product if they think it will save them time or money. 42% report they are most influenced by information about how to dispose of a product. This is likely due to their ability to control that.
While we recognize that the consumable in the wrapping process- film or paper – is not easily recycled due to its volume, we want our customers to be aware of what is possible for all their packaging.
Since we recognize that the consumer will not recycle wrapping material, the push at Package Machinery is for minimizing the manufacturer’s energy and material costs, as they relate to wrapping. Since more than half of consumers continue to believe in common environmental marketing terms, reduction of material and/or energy used in production allows the manufacturer to claim its product is “green” or “environmentally friendly” which has a positive (36%) or neutral (18%) impact on the consumer’s perception of the product. This needs to be backed up by data for those consumers who dig deep.
On April 3, I am off to the Sustainable Packaging Symposium in Houston. Look for more from me on this topic after that.