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Laurence Carr explores how sustainable and circular design influence retail, tackles integration in home brands, and investigates how retail-packaging can adapt to demand for less waste.

About Chez Laurence:
Designer Laurence Carr meets manufacturers and brands who are employing circular, regenerative, and sustainable practices. See how they're seeking to change the end-of-life concept with eco-friendly techniques.

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Transcript
00:00🎵
00:29🎵
00:36Retailers who sell furniture, lighting, pictures, decor and accessories
00:43are on the front line interacting with consumers.
00:46They see first-hand how consumer demand is shifting towards sustainable products.
00:53Large retailers with a broad reach have a unique perspective on global trends.
00:59Smaller retailers have a more homegrown perspective to share.
01:04And we mustn't overlook the topic of packaging and the amount of waste it generates,
01:10particularly in the online world.
01:13Today, we'll do a deep dive into the world of retail.
01:18I'm curious what they are seeing regarding changing consumer behaviour
01:22and how they might accelerate the shift.
01:25Let's examine how they are adapting to meet the moment.
01:30🎵
01:38The rise of online shopping has led to a big problem.
01:42Cardboard, plastic and other packaging waste is increasing almost exponentially,
01:48filling landfills, clogging waterways and polluting our natural environment.
01:54Michael Newman, the CEO of an innovative company called Returnity, is disrupting that flow.
02:02His work at the intersection of the supply chain and sustainability
02:06is helping huge corporations reduce their impact by adopting new packaging models
02:12and shifting to a circular economy.
02:17Mike, what motivated you to create such a sustainable and circular concept?
02:21Just in the United States alone, we do over 20 billion parcel deliveries every year.
02:26Globally, it's 230 billion and it's growing double-digit percentages every year.
02:32That's enough cardboard in the United States to pave a road a mile wide
02:36from New York to LA and back three times a year.
02:39So we are just flooding the world with packaging.
02:43But at the end of the day, packaging has to work.
02:45It has to get the product to where you want it, it has to keep it protected.
02:49That is something that we've become very accustomed to with cardboard.
02:53So if you want to compete with cardboard and replace cardboard and do something better,
02:57it has to be, I call it, dumb and cheap.
03:00Because cardboard is dumb and cheap and that's part of what makes cardboard great.
03:03So I think that is one of the areas where reasonable packaging has maybe missed the mark to start.
03:09It is a product designer's dream to create reasonable packaging
03:13and to tell the world how durable it is and how functional it is and how amazing it is
03:19and then say it's going to be used for 50 or 100 or 1,000 uses.
03:23The practical reality is that reasonable packaging almost never will last that long in the marketplace.
03:28Not because it isn't built to be durable or easy to use,
03:32but because consumers will end up forgetting to return it
03:36or throwing it in the garbage by accident or it gets lost or something more practical happens.
03:41And so if you think about changing that system, you have to realize it's not simple.
03:47You've launched several pilot programs now that a lot of brands are embracing recyclable packaging,
03:55such as, you know, you worked with Walmart grocery shopping,
03:59delivery, Estée Lauder and Electrolux packaging.
04:04What have these programs taught you about the nature of the industry and how to adapt?
04:10The Aveda project that we have in the field today,
04:13they take their branding very seriously, how they engage with their customers.
04:16They take the material composition and the type of packaging very seriously.
04:21You know, exactly how much recycled content, where is its source?
04:24You know, it's really refined and detailed.
04:27And then the customer engagement part of that and how do we know when is the right time to use it?
04:31You're not going to just be able to make this big switch overnight.
04:34You really have to work through a process, but that's going to make it that much better at the end.
04:40Where and how do you source Returnity's materials and produce packaging solutions?
04:46And what are your plans for the future?
04:49We figured out how to make one thing and adapt it to different circumstances,
04:53but doing it that way with a partner in China was a really important first step for us.
04:58But there's limitations in that, being reliant on one market, of course,
05:02and also in one production style and one type of material.
05:05And now with supply chain being so disrupted from the pandemic,
05:09it's really accelerated our work to try and localize and give additional options.
05:15With Stora Enso out of Finland,
05:17we've been co-developing reusable packaging that's made from cardboard
05:20and can be produced in factories that are already localized,
05:24making cardboard boxes that traditionally are used one time.
05:29We're developing boxes that will last four or five shipments.
05:32What is the biggest challenge in getting companies and consumers
05:37to make the shift in circular packaging?
05:40Packaging is something that you don't actually really see in life.
05:44You get deliveries every day and you see through the packaging to the product.
05:49If you get something in a cardboard box,
05:51you're tearing that box open and you're right to the product.
05:54That is a challenge when you're trying to change consumer behavior.
05:58There is this hope that consumers will just make some quick overnight change
06:03in how they behave with packaging.
06:05I think, unfortunately, that isn't quite so simple.
06:08People have to learn new behaviors, the systems have to mature.
06:11So I think the most important thing that we have found is companies, governments, consumers,
06:17everybody needs to appreciate that they are both part of how we got here
06:21and need to all be a part of how we move forward from here
06:25and that it's going to take some time.
06:28But the sooner you start, the sooner we'll get there.
06:31You're seeing consumers who are now voting with their dollars,
06:34which is really important and exciting.
06:36It's new ways of getting products like shampoo and soaps
06:40that don't require shipping a lot of water, but where you add water locally.
06:44What advice would you give our viewers who want to reduce packaging waste in their homes?
06:52When I tell people working on replacing cardboard boxes for delivery,
06:56they get very excited because most people look at them and they say,
06:59I recognize this is very wasteful.
07:01But then if you ask them, are you buying more online or less online than you did a year or two ago,
07:07they will inevitably say, well, I'm buying more.
07:10So for consumers, I think acknowledging that what you are doing by just hitting click
07:15and purchase every day on one item and one item and one item is a part of the problem.
07:22But I think also for companies, they have to be ready to do the work now too.
07:26You have to recognize that you're also a part of this circle,
07:30that you are creating the avenue for the waste.
07:33We have to do it all together, but we really have to start now.
07:37And we have to be honest as a society and as businesses for sure
07:42about how we're contributing to this problem.
07:45You know, I say our packaging is dumb and cheap on purpose,
07:48but it's dumb, cheap, and also smart in the sense that it can be the facilitator
07:53towards a more sustainable way of moving products and experiencing e-commerce in this world.
08:00We have to confront these issues head on.
08:03You know, packaging is often the last thing to be thought of when it comes to manufacturing products
08:10and how we consume goods as humans.
08:13But packaging is found in every ocean and in every wetland and on every street today.
08:20Returnity needs to be a part of how we make change and change for the better.
08:25And that's what gets us going every day.
08:27The New Democracy
08:40When buildings inevitably age and renovations are necessary,
08:45the waste usually ends up in landfill.
08:48Well, when Stacey Barosz found herself in Hungary in the mid-90s,
08:53the newly democratic country was getting a facelift.
08:56When others saw decrepit buildings, Stacey saw an opportunity.
09:02Now her line of upcycled wood accents for the home is carried in stores such as William's Sonoma.
09:12Hungary was just coming out of communism and it was just opening up to the West.
09:16So for me, it was a treasure hunt.
09:19There was so much opportunity and so many amazing utilitarian pieces,
09:25like antique dough bowls or found bread boards, pizza boards, baguette boards.
09:30All of these objects were amazing because they had a very specific utilitarian purpose back in the day.
09:36And my thoughts were, how do we repurpose these?
09:40How do we make these important for the American home?
09:43We really started with found objects.
09:46My husband moved to Europe for his work and I found myself as an expat in Hungary.
09:52I started exploring the country, exploring the countryside.
09:56Its heyday was basically 1890 to 1910.
10:00It was this glorious, wonderful time in preparation of their millennium.
10:04And all of these buildings came up and they all had these giant, massive wood beams in them.
10:11And so as the buildings, a hundred years later, began to get renovated,
10:15companies would come in and take out the beams and then, of course,
10:18put in steel beams to renovate them for the future.
10:21Everything that we do comes from these beams, so it's basically 100-year-old wood.
10:28My husband is Hungarian and so he has family living in the countryside.
10:33Breakfast turned to lunch and lunch turned to dinner and we sat at this tiny farmhouse table.
10:37There was so much warmth and it was all about conversation versus time.
10:42I felt like this is not what we do in the U.S.
10:45You know, we're rushing and we're not really enjoying each other and we're not talking
10:50and we're not coming together as a family.
10:52So when I first started the company, we would get some complaints and the customer would say,
10:57oh my gosh, I got this beautiful wood board and I see it looks like a V and a one.
11:04Like somebody wrote in the board and we're like, no, you need to embrace this and this is why.
11:09Let me tell you what that V and one is.
11:11It's the number Roman numeral six and it's where that beam got fit into the ceiling of that old building.
11:16It was the sixth slot.
11:18So you are so lucky.
11:20You've got a board with, you know, hand marked numbers on it that had a specific purpose long ago
11:25and now it's being repurposed for you and your family to enjoy on your table.
11:30You have something really special.
11:32What happened was the business just grew and grew and grew.
11:35The soul behind Etu Home and behind everything we do is the authenticity.
11:41When you start with something real and you add craftsmanship to it, it becomes a generational piece.
11:47So obviously we ship via container and what we do that I think is very different from a lot of other manufacturers
11:54is we really maximize the footprint of our container to reduce our carbon footprint.
12:00There's incredible amount of packaging materials and incredible amount of boxing and waste.
12:07So we do not want to bring that waste into our business.
12:12So we do not box anything in Europe.
12:15Every single piece comes stacked.
12:17So we totally maximize what's coming across the water and then when it comes into our warehouse
12:24we're able to make sure that all the packaging is sustainable.
12:27One of the things that we are able to do managing our large retailers is to ask questions and to share
12:36how is the product going to be shipped, how is it going to be delivered,
12:39so that we can think ahead and plan our packaging requirements.
12:44It's going to make the entire industry more responsible, but if we're responsible in what we're selling
12:51then the end user can start to understand and appreciate that.
12:55We start with the old beams. We also do recycled glass.
13:00So everything is mouth blown and everything that we do is about the hand of the artist.
13:05We are sustainable through the entire life cycle and I think our business, our B2B partners are appreciative of that.
13:11And they're actually embracing it in a bigger way.
13:14They're asking us more questions.
13:16They're wanting to know about our wood certificates, our sourcing certificates.
13:22When we say we're sustainable, they're actually making us prove it.
13:25I'm glad that they're asking.
13:28I'm proud of the fact that I feel we've taken some part in educating the American consumer
13:35about artisanal crafting, about reclaimed wood, and to appreciate the imperfections.
13:51In 2013, Vicky Meyer Ekström realized that the textile industry had a problem.
13:5995% of textiles could be recycled, but only 25% of them actually were.
14:07The rest was burned or disposed in landfills.
14:11She founded a company called Realy to upcycle used cotton and wool
14:16into premium materials that can be recycled again and again.
14:21Fashion brands, designers, and architects use her acoustic textiles and wall panels
14:26to create furniture and interiors.
14:29With the backing of CADAT, the global leading manufacturer of design textiles,
14:35Vicky has her sights set on a goal, a completely waste-free industry.
14:41Who are the Realy's customers, and why do they buy upcycled products?
14:46We have two products, which is a composite board for tabletops or shelving systems.
14:53We call it cotton white because it is basically based on industrial laundry's white linen.
15:02And then we have another product called cotton blue, and it's based on denim.
15:08Our fashion clients, they will use our solid textile board, our hardboard products,
15:15as shelving systems in their shops, as podiums, as front desks, as display areas, and so on.
15:26Our acoustic panels, it's both an art piece,
15:30but it's also something that regulates the sound in the area.
15:35Do you see an increased desire for eco-friendly and sustainable products
15:40from fashion brands and retailers?
15:43The market, actually, especially after COVID,
15:47there is kind of this massive request for sustainable solution and circular solution.
15:53There's also quite massive regulation coming in.
15:56Industries are more preoccupied with finding these new materials
16:01that actually fits into, you could say, the next paradigm.
16:05A lot of fashion business now are entering the take-back scheme system.
16:12We take stuff back here, and we actually use the material for decorating our stores.
16:21Retail spaces need to tell much stronger stories.
16:25You don't go there only to get a very cheap T-shirt.
16:29You go there because you want to be part of a community.
16:32We are part of the solution, but we are also part of the problem.
16:37Therefore, we need to be more enlightened.
16:42It will go all the way from the way we shop out there in our society,
16:47and all the way back to where we work and how we live.
17:00Shalini Unnikrishnan, Managing Director and Partner at the Boston Consulting Group,
17:06is the global lead for societal impact in BCG's consumer and social impact practices,
17:13as well as a co-leader of a circularity practice.
17:17She is a renowned scholar who focuses on the intersection of the private, public,
17:23and social sectors.
17:25She explores how private sector companies can transform their business models,
17:31supply chain, manufacturing, and technology in their core operations
17:36to achieve societal impact as well as grow.
17:39Shalini is here to share insights about how retailers can partner with consumers
17:45as we tackle the climate change crisis.
17:52Can you talk about why BCG is prioritizing sustainability?
17:57For BCG, we've been working in the circularity space for a long time,
18:01supporting our clients in designing circular products,
18:05and thinking about the implications to their supply chain.
18:09We've supported our clients in thinking about their agendas
18:12and helping them set their net zero strategies,
18:15in figuring out what their roadmap would be,
18:18how they think about trade-offs,
18:19and helping countries develop national adaptation plans
18:23and set the journey for net zero.
18:26What are you seeing in terms of consumer demand
18:29for sustainable and circular products?
18:31It will continue to grow because the group that cares about this the most
18:35is the younger generation,
18:37and as that generation starts to get more and more buying power,
18:40it is going to become a very integral part
18:43of how consumers make decisions on products.
18:47If there wasn't the consumer pressure,
18:50I would speculate that many companies would continue to
18:53put out single-use products
18:55and not really think about redesigning their products as much.
18:58We're also seeing supply chain challenges all over the world at the moment,
19:02and creating circularity is a fantastic way to build resilience
19:07and reduce the risk and the volatility in your supply chains.
19:12Retail is one of the most exciting spaces for circularity
19:16to really come to life and get to scale.
19:19IKEA is an iconic lighthouse in the circularity world.
19:23They have, first of all,
19:24set an ambition of being a fully circular business by 2030.
19:28They are doing that in every part of their organization.
19:31They're thinking about it in product design.
19:33They're thinking about it in store design.
19:36Every time they're refurbishing a store,
19:37there's no part of it that they don't think about how to reuse.
19:41Even the flooring, they figure out a way to reuse that.
19:44But they're also playing with new business models
19:46like furniture as a service.
19:48By going after furniture as a service,
19:50they're expanding their value proposition
19:52to a completely new set of consumers and a new way of going to market.
19:57Consumers want to engage on this agenda,
20:01and the companies that figure out a way to engage consumers
20:05on what consumers care about
20:07will really have an opportunity to drive value.
20:11Retailers have a really important and interesting role to play.
20:15So they can convene and bring together a whole range of partners.
20:21They can engage with all the companies upstream
20:24and help curate choices,
20:26help consumers understand their options.
20:29Wouldn't it be amazing if you could walk into a store and say,
20:32I care about these issues?
20:34And a retailer could help you navigate how to select products,
20:38how to make choices,
20:40what to do less of or more of,
20:42what to swap out of your basket
20:44and get something else instead.
20:46There's just so much power that the retailer has
20:48because they are that interface with the consumer.
20:52I think there's a lot of reason for optimism in this space.
20:56Pretty much every top global company
20:59has set a bold agenda for what they plan to do
21:04to help tackle this crisis in waste.
21:06We're seeing novel collaborations of companies coming together
21:10that would have been traditional competitors,
21:12but coming together and investing in new technology together,
21:16investing in delivering solutions together.
21:19We're seeing heightened consumer awareness, new business models.
21:23It's easy to be pessimistic because the problem is big,
21:27but there's definitely cause for optimism
21:30because of the momentum that we're building.
21:32When people found out that I'm an expert
21:35in sustainable and circular design,
21:38they always want to know,
21:40what can I, as an average consumer, do to make a difference?
21:45And my answer is always the same.
21:48Shop with retailers that you can trust,
21:51who offer transparency about their methods and materials,
21:55and make the most of the opportunity.
21:58As we learned today,
21:59sustainability can happen at any scale.
22:03Smaller, independent brands like A2 Home
22:06excel at giving found items a new life by repurposing them,
22:11while large global retailers
22:13revisit their choice of eco-friendly brands.
22:16And that's why I'm so excited to be here today
22:19to talk to you about the new A2 Home.
22:21It's an eco-friendly, eco-friendly, eco-friendly,
22:25eco-friendly, eco-friendly, eco-friendly,
22:27but the opportunities for sustainability don't end there.
22:31Retailers who upgrade to revolutionary packaging
22:34from companies like Returnity
22:37can make a difference beyond what's sold in stores.
22:40For the consumer,
22:42supporting these businesses and their efforts
22:44is the best path toward a more circular retail future
22:48and a safer Earth for all.
22:52Until next time,
22:53I am Laurence Gare,
22:54designing a more circular future.

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