Closing The Loop: The End of Disposable Plastics

Fortune Magazine

12 Jun 201906:36

Summary

TLDRThe video discusses the concept of waste and the role of TerraCycle, a company focused on recycling non-recyclable items and promoting circularity in disposability. It highlights how single-use materials like plastic contribute to waste and introduces 'Loop,' an innovative platform that provides durable, reusable containers for everyday products. Through collaboration with major brands, Loop enables consumers to return empty packaging for cleaning and reuse, addressing the root cause of waste. This shift from disposability to reusability allows companies to innovate packaging design and reduce environmental impact.

Takeaways

♻️ Most products we use today will end up in the garbage industry within a year, and we pay for their disposal.
😔 Only 2% of waste gets recycled, with most being dumped or burned, leading to a lack of innovation in waste management.
🌍 TerraCycle is dedicated to eliminating the concept of waste by recycling traditionally non-recyclable items like diapers and cigarette butts.
🔄 TerraCycle integrates recycled materials back into new products, making disposability more circular and sustainable.
💡 The Loop initiative addresses the root cause of waste—single-use packaging—by introducing reusable, durable containers.
🏪 Loop allows consumers to buy products in reusable packaging, which is returned, sanitized, and reused after use, eliminating waste.
💼 Brands like Unilever, Coca-Cola, and Nestlé are incentivized to create durable, luxury packaging since they maintain ownership of it.
🚀 Loop’s reusable packaging opens the door for brands to innovate by making packaging more functional, such as keeping products fresh longer.
🤝 Loop is a multi-stakeholder collaboration between brands, retailers, and consumers, aiming to revolutionize the way we consume.
🛒 Consumers have the power to drive change by voting with their purchases, pushing manufacturers and retailers toward sustainable solutions.

Q & A

What is the main problem discussed in the transcript?
-The main problem discussed is the large amount of waste generated from disposable products, with 99% of it becoming garbage within a year. Most of this waste is either burned, piled up, or recycled at a very low rate.
What is TerraCycle's mission?
-TerraCycle's mission is to eliminate the idea of waste by recycling items that are traditionally non-recyclable, such as dirty diapers, cigarette butts, and flexible food packaging, and then reintegrating recycled materials into new products.
How does TerraCycle address the issue of disposability?
-TerraCycle addresses the issue of disposability by focusing on recycling non-recyclable items and creating systems that make disposable items more recyclable and recycled, rather than challenging the concept of disposability itself.
What is the root cause of waste, according to TerraCycle?
-The root cause of waste, according to TerraCycle, is the single-use nature of many products, rather than the materials themselves, like plastic or metal.
What is the purpose of Loop, a platform introduced by TerraCycle?
-The purpose of Loop is to create a system where consumers no longer own disposable packaging. Instead, they borrow durable, reusable packaging that is cleaned, refilled, and reused, reducing the amount of waste generated from single-use products.
How does Loop's reusable packaging system work?
-In Loop's system, consumers receive products in durable containers, which they use and return in a reusable shipping tote. These containers are cleaned, sanitized, and returned to brands to be refilled and reused, completing the cycle.
Why is Loop's model financially motivating for manufacturers?
-Loop's model is financially motivating for manufacturers because they retain ownership of the packaging, making it a valuable asset. This encourages companies to design durable, high-quality packaging that can be reused, saving costs in the long run.
What are the benefits of reusable packaging over disposable packaging?
-Reusable packaging can be made from durable, luxurious materials and offer new features such as keeping products fresh longer. It also reduces waste and environmental impact compared to single-use disposable packaging.
How does Loop involve major consumer product companies in its initiative?
-Loop partners with major consumer product companies like Unilever, Coca-Cola, Pepsi, and Nestlé to create durable alternatives to their disposable products, helping them transition to a reusable packaging system.
How do consumers influence change in the industry, according to the transcript?
-Consumers influence change by voting with their money. The choices they make in purchasing products can drive manufacturers and retailers to adapt and offer more sustainable solutions based on consumer demand.

Outlines

00:00

♻️ The Waste Crisis and Lack of Innovation

The paragraph discusses how everything we own eventually ends up as waste, with 99% of it becoming property of the waste industry within a year. It highlights the uninspiring fact that only 2% of waste is recycled, while most ends up in landfills or is burned. The waste crisis is framed as a huge opportunity for innovation, especially in the recycling and waste management sectors.

05:01

🌍 TerraCycle's Mission to Eliminate Waste

TerraCycle is introduced as a company that started 16 years ago with a mission to eliminate the concept of waste by recycling non-recyclable items, such as diapers and cigarette butts. TerraCycle integrates recycled materials into new products, making disposable items more recyclable. The company realized that recycling addresses the symptoms of waste, not the root cause, which is single-use consumption. The true challenge is using materials only once, not the materials themselves.

🔄 Loop: A Solution for Reusable Packaging

The concept of Loop is introduced, focusing on reducing the waste caused by single-use packaging. Loop is an interactive platform where consumers receive products in reusable, durable containers. These containers are returned, cleaned, and reused, creating a circular system. The packaging remains owned by manufacturers, motivating them to make long-lasting, beautifully designed, and potentially feature-rich containers. This innovation enables brands to rethink packaging and reduce disposability while maintaining convenience.

💡 A Multi-Stakeholder Collaboration

The paragraph emphasizes that Loop is a collaboration between various stakeholders, including manufacturers, retailers, and competitors, who are rethinking the disposable culture. It argues that consumers have more power than they realize by influencing market trends with their purchasing decisions. By aligning consumer demand with sustainable solutions, manufacturers will follow suit, leading to innovative consumption systems like Loop.

🛒 Consumer Power and Shifting Market Trends

This paragraph highlights the importance of consumer choices in shaping the future of consumption. Manufacturers and retailers follow consumer demand to offer what is desired. As consumers demand more sustainable options, the products on store shelves will change. The goal is to provide high-quality products that address important issues, such as single-use plastics, while learning what sustainability means to consumers in real-time.

🚀 Reinventing Consumption for a Waste-Free Future

The paragraph concludes with the idea that if systems like Loop become the dominant way we consume, waste as a concept could disappear. It highlights the need for a reimagined future of consumption where reuse is prioritized, thus eliminating waste through circular systems.

Mindmap

Keywords

💡Garbage Industry

The garbage industry refers to businesses involved in waste collection, disposal, and recycling. In the video, it's presented as owning 'everything' people discard, illustrating how much of what is consumed ends up as waste. The video critiques the lack of innovation in this industry, noting that only 2% of waste is recycled, while most is either burned or piled up.

💡Waste

Waste is defined as any material that is discarded after primary use. In the context of the video, the idea of waste is challenged. TerraCycle aims to 'eliminate the idea of waste' by making items recyclable, even those traditionally considered non-recyclable, such as dirty diapers or cigarette butts.

💡Recycling

Recycling involves processing used materials into new products to prevent waste. TerraCycle promotes recycling as a key approach to managing waste, particularly focusing on recycling materials typically considered non-recyclable. However, the video suggests recycling addresses the symptoms of waste rather than its root cause, leading to a discussion about more sustainable consumption models.

💡Disposable Packaging

Disposable packaging refers to single-use containers, often made of plastic or other cheap materials. The video identifies single-use packaging as a major contributor to waste, particularly plastic, which is the most common material found in landfills. The key question posed is whether consumers need to own disposable packaging after its use, pushing for reusable alternatives.

💡TerraCycle

TerraCycle is a company dedicated to reducing waste by recycling items that are traditionally considered non-recyclable. Founded 16 years ago, the company focuses on integrating recycled materials back into new products, aligning with its mission of eliminating the concept of waste. TerraCycle’s efforts paved the way for the creation of Loop, a platform aimed at rethinking disposability.

💡Loop

Loop is a reusable packaging platform introduced by TerraCycle. It allows consumers to receive products in durable containers that can be returned, sanitized, and reused. Instead of owning the packaging, customers borrow it, which motivates brands to create long-lasting, high-quality packaging. This system aims to solve the waste problem at its root by moving away from single-use packaging.

💡Disposability

Disposability refers to the use of products designed for single use before being discarded. The video critiques the culture of disposability, especially with materials like plastic. Loop offers a solution by encouraging consumers to borrow packaging, thus promoting reuse and reducing waste generated by disposable products.

💡Root Cause of Waste

The root cause of waste, as identified in the video, is the single-use consumption model, where products are discarded after one use. Instead of focusing only on recycling, which addresses waste after it's created, Loop seeks to tackle this root cause by promoting reusable packaging, thereby preventing the creation of waste in the first place.

💡Durable Packaging

Durable packaging refers to packaging designed to last for multiple uses, unlike single-use or disposable packaging. In the Loop system, durable packaging becomes an asset for brands, incentivizing them to create more sustainable and innovative designs. These containers can offer features like keeping products fresh longer, which isn’t possible with disposable packaging.

💡Consumer Demand

Consumer demand refers to the preferences and purchasing choices of consumers. The video emphasizes that consumers have the power to shape the future by choosing what to buy. As demand for sustainable, reusable products grows, brands and retailers will respond by offering more environmentally friendly options, thus shifting the market away from disposable products.

Highlights

The garbage industry will one day own everything we use, as most items end up as waste within a year.

Only 2% of waste is recycled, indicating a dire need for innovation in waste management.

TerraCycle was founded to eliminate waste by recycling items not typically recyclable.

TerraCycle's mission is to make disposability more circular by integrating recycled materials back into products.

Loop was created to challenge the root cause of waste, which is using something only once.

Plastic is not evil; the problem lies in its single-use format leading to a garbage crisis.

Loop is a platform where consumers can get products in reusable, durable containers.

Products in Loop can be purchased as a subscription or a one-time purchase.

Once empty, containers are returned to Loop, cleaned, refilled, and sent back out, completing the loop.

In Loop, consumers borrow packages that remain the property of manufacturers, incentivizing durability and reusability.

Loop has partnered with major consumer product companies to create durable alternatives to disposable products.

Loop allows brands to innovate with durable packaging, offering features like extended freshness.

Loop's system does not require consumers to change their shopping habits, as it integrates with existing stores.

Loop is a multi-stakeholder collaboration, involving competitors and partners working together.

Consumers have the power to vote for the future they want with their purchasing decisions.

Manufacturers and retailers are motivated to meet consumer demands for sustainable products.

Loop provides an opportunity for real-time learning about consumer preferences for reusable products.

If systems like Loop become mainstream, the concept of waste could be eliminated.