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Leading the sustainable pack(aging)

Grocers can gain a competitive edge while boosting sales and social capital by investing in sustainable packaging.

June 15, 2023

4 Min Read
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Sponsored by Tetra Pak

Today’s shoppers are more concerned about sustainability and are increasingly seeking out low-carbon packaging options at their go-to grocery stores.

According to a recent sustainability survey conducted by McKinsey, 55% of U.S. respondents report that they are extremely or very concerned about the environmental impact of product packaging.

Shoppers’ growing interest in sustainability is having a dramatic effect on how grocery stores do business. According to a January survey of grocery executives and consumers conducted by Grocery Doppio, 71% of grocers identified sustainability as a key priority for 2023.

The survey found that the shift in operations is already making a mark on grocery aisles, with 61% of shoppers indicating that their preferred grocer has adopted sustainability practices in the last year and 23% said their grocer does a good job in communicating their sustainability efforts.

Yet, many shoppers are still not finding enough products with sustainable packaging on store shelves — either because they aren’t there, or because it’s not obvious where to find them.

About 36% of survey respondents reported they would buy additional sustainably packaged products if they were more available in stores, available for more products, and better labeled to indicate green packaging. Furthermore, nearly 70% of respondents said they would pay more for sustainable packaging, which they consider having “premium value.”

Going forward, trend experts say shoppers concerned about the environment want products that feature some aspect of sustainable ingredients, upcycled ingredients, or environmentally friendly packaging. Below are some of the many benefits of carrying products with environmentally friendly packaging and how they can make a difference.

Easily increase sales

Some 78% of the world’s consumers are concerned about the environment, especially pollution and plastic litter in oceans, according to a recent study by Tetra Pak®. And 70% of concerned shoppers are also doing something about it like recycling and purchasing products with biodegradable packaging or recycled material packaging. By stocking products such as those in mainly paper-based packaging that is recyclable and shelf-stable, grocers stand to increase sales. Indeed, research from McKinsey and other firms shows that brands that invest in environmental and social concerns enjoy a positive impact on the bottom line.

Another benefit to sustainable packaging is preventing wasted food, an ongoing concern for both shoppers and grocers. Food waste and loss is a large contributor to greenhouse gas emissions that can be prevented and reduced through the use of innovative packaging like shelf-stable options. Stocking products packed in mainly paper-based cartons, such as those made by Tetra Pak®, protect food and beverages from physical damage, heat, light and potentially harmful bacteria. Less waste also means fewer lost profits.

Additionally, shelf-stable processing and packaging technologies for such products make it possible to protect perishable foods by extending shelf life and ensuring essential food products can reach even remote corners of the world. The milk category, for example, makes up 12% of global liquid consumption and is expected to continue to grow by 2.5% annually through 2023. UHT milk, which is regular milk that is ultra-pasteurized and packaged in sterilized containers, also known as shelf-stable packaging, is helping to meet the growing demand.

Gain competitive advantage

The grocery business is as competitive as ever, especially for local retailers and small chains competing with big-box chains. But that also holds true for every segment dealing with the impact of the post-pandemic popularity of online grocery shopping. Sustainability can be an effective strategy to gain a competitive advantage.

Tetra Pak® carton packages allow retailers and consumers to easily make more sustainable choices and feel confident about their selections because each package comes from certified or controlled sources such as Forest Stewardship Council® (FSC®), Bonsucro, How2Recycle and Carbon Trust — and by making the green packaging apparent with labeling.

Tetra Pak's innovative packaging solutions that are recyclable from cap to carton enable retailers the opportunity to uniquely distinguish themselves from other brands and influence sustainably minded shoppers to choose them over other brands.

By making sustainable packaging solutions available and apparent, grocers are first and foremost helping to preserve our planet for future generations. On top of that, grocers stand to gain far more than they give — from competitive advantages to increased sales and social capital, and a host of operational efficiencies.

>Ready to make a sustainable shift? To learn more about sustainable packaging solutions, visit Tetra Pak.

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