Sustainable Packaging
Industry Experts discuss all the new materials and ways that packaging can be more sustainable and how we can do our parts to help recycle and reuse. Sustainable Packaging is and will continue to affect us all in our daily lives. We have lots of fun and get down to the real data of what's working to help our planet!
Sustainable Packaging
Packaging Europe Speakers from PRE ZERO Int. Alex Reitz and Alexander Root
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Welcome to Sustainable Packaging with Cory Connors. Today's guests are Alex Reitz and Alexander Root from PreZero International. How are you guys doing today?
Alexander Root:I'm very well and I'm excited to be here. Thanks for having us.
Cory Connors:Thank you both.
Alex Reitz:Thank you for the invitation. Corey
Cory Connors:really appreciate it. We're excited to talk about, the packaging Europe sustainable packaging summit and talk about pre zero international what you do there, but we'll start with introduction. So, if you don't mind, just tell us a little bit about yourselves and your backgrounds.
Alexander Root:Yeah, absolutely. as we told him, Alexander Root, from prezero, I am managing director of the sustainable packaging department. And my basis, I'm a computer scientist and business psychologist, and I'm tasked with creating. This beautiful department. And we are the packaging company center for the companies of Schwartz group. We have three primary files, fields of work, packaging projects. So we bring sustainable packaging projects into the shelves, working with our purchasing departments of Lidl and Kaufland together with PreZero. Then we built the packaging data infrastructure for the companies of Schwartz group. And finally, third one is our customer development and consulting team with my colleague, Alex. Which is with me here today.
Alex Reitz:Yes, I'm Alex Reitz, and as you heard, I lead the consulting team of Preserve Sustainable Packaging. And basically, in a nutshell, this means that I help companies to design and implement packaging that minimizes negative effects of the packaging and the product on their environment in the long term. So basically what we're trying to do is. Make the packaging future ready. More recyclability, more recycled materials, more reuse and less waste. in terms of my backgrounds, I guess I'm in our team at least an auto duck. like most people working at Azure, sustainable packaging. I'm not a packaging engineer, but having background in management. So for me, it's really all about the work experience and my sister network because. like, three years ago, I think it was, and, but I've been working in the packaging industry, basically my whole adult life, before joining PreZero, I was, authorized representative and project leader at GVM. GVM is short for Gesellschaft für Verpackungsmarktforschung and in typical German fashion, a very needlessly complicated word and name, but it roughly translates to company for packaging market research. That already explains. Basically everything there was to it, market research and consulting specifically for the packaging industry. So primarily consulted for the German environmental agency, German central packaging agency and associations and NGOs like WWF, Plexus Europe and the like.
Cory Connors:Wow, this is great. Really impressive scope of work that you two and your team handle at pre zero. So it sounds like you're really helping companies improve their packaging and being prepared for the future to be more sustainable. I'm excited to talk about, the sustainable packaging summit in Amsterdam. both of you, will be speaking there. can you tell us about, what you plan to speak about? And, that event in November in Amsterdam?
Alexander Root:Absolutely. I am in session, on November 13th at 2 p. m. on the strategy stage, and I will talk about how we can make scalable circular solutions a reality. The background is that brands and retailers are under pressure to meet mandatory targets for recycled content packaging materials, and they also need to focus on their own targets and what the competition is doing right at the moment. That also includes contact sensitive applications. Therefore, there's an urgent need for alignment to, to identify and nurture scalable solutions in every package of material. And that's what I will focus on in my speech.
Alex Reitz:Yeah, I will be talking on the strategy stage as well at 11am on the day before on November 12th, I'll have the great honor to be in a joint session with Philip Blank of Henkel, and what I will talk about will in a way, set the stage for Alexander's talk the day after by focusing on a topic that really requires a lot of alignment in the value chain, because the session is called reporting headache. reporting might sound a bit boring, but it's really not. And why not? Because it's so impactful. In fact, it's a key driver for many of the developments on the packaging market that we see right now. There's so many new sustainability requirements that also go along with new reporting obligations. PPWR, GCD, ECGT, EUDR, SBTI. even all these abbreviations can send you head spinning and make you a bit dizzy, but seriously, there's a lot coming, right? packaging waste regulation, green claims directive, empowerment of consumers for the green transition, EU deforestation regulation, science based target initiative. This really goes on and on and basically all these things, they have two things in common. First, they raise the bar in terms of requirements and sustainability and traceability for packaging because none of these laws is like, now you have to do less. It's quite the opposite. And second, fulfilling these requirements of these regulations You need an enormous amount of data. Data that in a lot of cases, the company is not able to generate themselves, but they have to collect from another part of the value chain. So basically partner A has to pass the data along to partner C, B, and then to C and then to D and then maybe back to a, so that is a huge challenge. And to be able to do this without going crazy, you need three things. We are convinced cooperation, standardization, digitalization, or to be more precise, not digitalization. But. Even digital transformation of the entire industry, and this is basically what we will explore in the session and explore and explain how data hygiene, harmonized standards, common data sets are crucial to meeting them. The new obligations and cleaning up the data mess and the companies right now.
Cory Connors:That's it. That's exactly right. There's a massive gap right now in expectation of what's expected and expectation of what's actually happening. And, you're exactly right. People don't understand their day, their data. They don't understand how to report. They don't understand what's coming. And, so it sounds like your company is going to help with that. That's great. Well done. Speaking of data, you have an online tool called PreZero SPOT. Can you tell us about that? What does that tool do?
Alex Reitz:Sure, I'm happy to, because it really tries to address the issue that we just talked about. SPOT stands for Sustainable Packaging Optimization Tool. It's a free digital platform for packaging sustainability. That PreZero offers in a cooperation with the company Packaging Cockpit, which is based in Vienna, where we found this corporation, to offer this tool for everyone on the market for free, right? In simplified terms, try to keep it brief, but it works like this, right? You go to spot. prezero. com, you write us, and you get your login data. After you receive it, you log into your own personal account. Think like Facebook, Instagram, LinkedIn, stuff like this. So you log into the platform, you can enter your packaging data. Your packaging specifications, right? Ideally, you even put in packaging specifications of different packaging components like labels, closures, main bodies, and so on because then you can easily combine those into different packaging units. Think of it like a Lego set for packaging specification, where you can mix and match, say I want a label of this and the closure of this and the main body of this and then, and create the packaging units. But at some point of time, You're gonna have complete data or information on the packaging unit, and that's then where the fund begins. Because getting the day to day there, as we talked about, can be quite a headache. But once you're there, the fund begins because then you will be able to lot, a lot to run, a lot of very interesting analysis. First spot will show you the recyclability of the packaging unit in right now, 20 different countries considering the country specific rules and regulations and infrastructure. So, for example, there's a packaging recyclable in Germany, but not in Poland. Spot will show you that. It's a recyclability in the UK, 87%, but then due to different regulations, only 74 percent or something like this in Spain. You can see that. Even get a neat overview map of all the countries you distribute your packaging to and have drill downs for further analysis, right? Secondly, SPOT will also show the cost of the packaging for license and fees in EPR schemes and for plastic taxes. So again, for 20 different European countries. So if you can enter different versions of your packaging, whether one has recycled material and the other one doesn't, this tool will show you how much money you could save by avoiding the UK plastic tax. All right. Third, it allows you to calculate a streamlined LCA for the packaging. So it's a full on life cycle analysis tool. Shows you the carbon footprint, land use, water use, and so on. Overall, there are 16 different environmental impact categories, meaning if you go back to the same example as before, where you now use recycled plastic instead of virgin material, you'll see how much CO2 and so on you say. and last but not least. Please actually probably the most important part and what also brings it back around to what we will be talking as a standard packaging summit in Amsterdam is it allows you to exchange data with other players in the value chain directly from the tool, right? So, no more sending Excel files back and forth. You can send data and exchanges with other players in value chain right from the tool.
Alexander Root:Yeah. As you might be able to tell, we are very excited about this tool because we're not only confident that it's the best tool of its kind in the whole market right at the moment. I think the best part is that it's core features that we just described are completely free for everyone. No strings attached. And to be able to do this, we partnered with Packaging Cockpit, which is a company based in Vienna and it can trace its way back to the environmental consulting company, Circle Analytics, and a program on packaging sustainability of University of Applied Science Vienna. So they are not only Tech nerds, they also are deeply rooted science. They really know what they are doing and they have a very long history and a lot of experience with digitalization and digital transformation of business processes. And this resonates very well with the companies of Schwarz group because we always have believed in creating new value for customers by means of operational excellence. So it's a very. Good tool, a quick tool, a powerful tool, and other tools, lock crucial functionalities behind the paywall. Our core features are free, like recyclability analysis or the EPR fees, calculations, basic access all over Europe, and you get a powerful data management and sharing tools on top of it so that you can scale the solution. You can even use it as a repository if you don't. Have one of these solutions at home.
Alex Reitz:From the whole design point of view, it's quite flexible because we need to take account all the different standards that are already existing at different companies. So sure. The fast and easiest way to start using the tool as well, as I explained, go to the login for your, for the web application, but that's not the only way you can. If you want even take it a step further and go for IT system integration, right? So if you're already doing a good job of managing your packaging data and your ERP, your PIM system, or so your Oracle, your SAP or something like this, you could use this data and then feed it just into a packaging cockpit model module as a calculation engine kind of, and then just get the analysis done. The results basically back and then manage the data and the system that you want. It's also, possible, from the design point of view. And I think something that's really crucial, to scale it in the industry.
Cory Connors:It sounds incredible, man. It sounds like it's going to help companies, achieve their science based target initiatives. is that what you, is that kind of the goal here?
Alex Reitz:yes and no. I certainly hope so that it will be good to help. But. The tool itself lets you analyze and determine the best course of action. Basically, it shows you the potential impacts of packaging design changes in terms of all the environmental impact and the secondary costs so that you're enabled to make good decisions. And in the end, it's of course, up to the companies to act upon this knowledge that they gained from using the tool. And if they change something, then they can also document the changes and report upon them for the STPDI targets with a tool. So I think it will be a good help. But overall, it's upon all the companies to take actions and use the knowledge that they gain from using a tool like this, to also put it into practice. So digital tools, really great, but they can only take you so far, right? A lot of work has to be done by packaging engineers, still an expert that cannot be done by a tool, at least not yet checking feasibility, running tests, assessing marketing impact of packaging changes and stuff like this. Right.
Alexander Root:I think this is very important. Part is that having a tool is just a part of the journey. It's a powerful tool. Yes. But, Even if it's a good one, like spot a fool with a tool is still a fool. And we know that it starts with, for example, I set up a supplier academy with which we want to help us suppliers to create science based targets on their own and educate them and how to lower their own CO2 footprint. It's a mission. It's part of the pre zero DNA. and it's important to note that it's very prudent to look out there what you have to do and to get in touch. And this is the reason why I'm speaking on the stages about that and have two sessions with it. But on the other end, it's also important that it's not just having something, it's creating something. The tool can assess you, but it can't do the work for you.
Cory Connors:Yeah, excellent point. we have to all work together. And I think that kind of leads you to the next question here. we've been talking a lot about from the perspective of the company, the brand of the manufacturer, but let's talk about the retailers will the retailers have more influence on sustainable packaging and in those programs in the future.
Alexander Root:They absolutely will have because they are not in direct, not only in direct contact with the customers and therefore the best place to see how the customers react to sustainable solutions. the focus of retailers is not just on the standard packaging, but also on quality of the products and the content helps living, making sure that social standards are met on the whole value chain. So it's only a part of the whole truth. Customers usually don't look for sustainable packaging in the stores. Look for products. If customers buy shower gel, they do it primarily because they want to show enough, because you want a beautiful bottle and visuals, right? So the standard in packaging is one criterion of many in which customers decide what the product they buy for. And for retail company sustainability, it's like a big dance with an individual set up of instruments for each product in which sustainability and packaging is merely one instrument, albeit very important one. And now that. In every retail company, it's mandatory to also focus on packaging. The retailers have an opportunity here, a real opportunity to add sustainable packaging to the concert. And so they are very explicitly focusing on packaging right at the moment.
Alex Reitz:Yes, absolutely. And I think one concrete example, so we'll see the changes. soon as in terms of style guides, right? Right now, a lot of retailers have those. These are Kaufland, sure, but also Ali Tesco and so on. And those style guides on packaging design, they basically define what today, what a retailer would like the packaging to look like, and it's supposed to give guidance for suppliers and packaging sustainability principles. But have you ever read those style guides? And then thereafter, right thereafter went into a supermarket. What will you see? We'll see a lot of packaging that does not comply with the Style Guides. You will see packaging that in the Style Guides themselves will be marked as big red, light, stop sign, or something like this. Whatever the specific Style Guide uses in terms of a rating scheme. Because, Today, a lot of these style guides could in essence start with, Dear Santa, this Christmas I would like my packaging to look like this. P. S. Don't forget to bring the unicorn. Stuff like this, right? But I'm saying, sure, style guides exist today. They are important and they offer some sort of guidance. But, obviously, today they are not the only consideration. And other factors like price, availability, existing relationships, and so on. They decide what hits the shelves and what doesn't. And in the future, this will no longer work, right? Cygads will have to become much more impactful and thoroughly enforced. And honestly, I think that's where we're headed. A world where the retailers watch much more clearly what the packaging they want and what they don't want, that they also enforce it more strictly.
Alexander Root:Yeah. And it's important to notice. It is one part of the story to state what you want, and a style guide is always a statement. But at the other hand, you also have to make it somehow work, you have to get it done. And how to do this through the whole value chain is one of the biggest issues right at the moment. And so they are the first step, style guides are the first step, but how we work together in a value chain will be the most prudent answer. To the questions out there.
Cory Connors:Yeah, said. I think, you're exactly right. People, can suggest what we, what they expect of us as a retailer. and unless they're enforcing those rules, they're. Often taken lightly, but, we'll see how that shapes up in the future, especially with the retailers, becoming more involved with the recycling process. I'm excited to see how that unfolds in, in our global, circular economy. I'd also like to talk to you about, just how working with I know the sports group is very vertically integrated. how's working with. That group, helped you in your work.
Alexander Root:Oh, it helps in a variety of ways. So we get strong feedback on what the customers are ready to accept and what they don't accept. We also can see the outcome of a work directly in the sales numbers together with our colleagues from the purchasing departments. And we can bring so much more value to the customers because we directly get the feedback. So solutions can only be truly sustainable if customers are ready to buy them. You can have the most, intelligent, sustainable solution out there, but if it's just somewhere in a drawer and it can't be realized or the customers don't buy it, it can't really produce worth. So what we can do is we can focus on solutions that really work.
Alex Reitz:Yes, exactly. It really helps us to give good advice to our customers by being active in so many steps in the value chain as a vertically integrated company. We have so much access to many experts that have an abundance of practical knowledge I mean in the beginning we didn't really talk a lot what prezero actually does And focus on sustainable packaging because that's what we're here But I have to realize prezero has been itself been quite a massive company, right? We are one of the 10 largest I think Environmental service providers in the world, even ranking higher. If you exclude like, water waste water treatment that a lot of our other companies in the sector do and with our 3 main business areas, waste management, recycling, packaging. We are really active in all this part of the value chain at prezero and then we can add this knowledge as alex explained with all the knowledge that is in the retail business. we even have within schwartz group I mean we have own transportation on logistics branch. We have it departments that really handle all this stuff So this is a whole ecosystem of different solutions that are in the end necessary to come up with good solutions. So that's really helpful So we are not Basically in the group, just talking what we're doing and have practical knowledge and firsthand experience with a lot of what, what goes into as a standard packaging solution, hitting the shelves.
Cory Connors:Well done. thank you both for your wisdom and taking some time to be on the podcast. I really appreciate it. What's the best way for people to get in touch with you so they can work with you?
Alex Reitz:for me, it's certainly just to follow me on LinkedIn. So if you're a packaging manufacturer, brand owner, just interested in sustainable packaging, just connect on LinkedIn, send me a DM. And if you follow me there, we also get a lot of relevant news on PreZero Spot, packaging sustainability in general, and learn how PreZero can support you with your packaging challenges.
Alexander Root:Yeah, that's the same for me. Get in contact simply by LinkedIn and we're on there quite a lot. Another option is, you can start working, collaborating with us. If you simply start using Resilient Spot, as we said, it's free. And for some reason, if you don't like it. Then it's completely okay. Cancel your account. We will leave you alone. we, we are also not able to see you access your data. And it's not like, Hey, no, legal has my data. No. All data entered with a cloud based service is hosted by Packaging Cockpit in Austria. But here into EU data security standards. So neither PreZero nor any other company, of Schwarz group and outside of them can see access to use your data. It's completely protected. So just go to spot. prezero. com register for a free account and get your CO2 streamlined LCA and recyclability values for your packaging for free. Right away.
Cory Connors:Thanks again. I look forward to seeing you both speak at the sustainable packaging summit in, put on by packaging Europe in Amsterdam, November 12th and 13th. Thank you.
Alexander Root:Thanks. Thanks again for having us.
