Sustainable packaging is no longer a nice-to-have option. Today, more and more brands are using some type of eco-friendly packaging and are working toward making all their packaging sustainable. It’s not only the right thing to do for the environment, but it will likely help brands reduce waste and gain good will with their customers.
The Waste Problem
While many suppliers are introducing sustainable innovations, some are even decoding the challenge new packaging is designed to address. For instance, more than 10% of beauty and personal care products go to waste, per a new report from Avery Dennison, including the discard of 4% of stock due to perishing, spoiling or damage, as well as disposing of 6.2% due to overproduction.
Notably, the beauty sector has the highest amount of lost inventory (6.2%) when compared to other industries analyzed by the report, such as apparel (3.9%), pharmaceuticals (3%), food (2.9%) and automotive (1.1%).
The total sale value of the beauty industry’s discarded product stock may total as much as $4.8 billion.
The waste is a result of inefficiencies that may drive as much as 2.8% of total profitability loss for beauty and personal care companies.