How Green Is My Packaging?

With the increased focus on the environment, food packaging is coming under greater scrutiny and consumers are weighing the benefits. In fact, according to a Nielsen Global Food Packaging Survey, half the worlds consumers would give up what they term convenience packaging to help the environment. However, the survey notes theyre less apt to forgo packaging that provides hygiene and protects foods.

The Nielsen Company headquartered in NewYork and Haarlem, the Netherlands, found nearly one in two consumers across the globe would give up all forms of packaging provided for convenience purposes if it would benefit the environment, including: packaging designed for easy stacking and/or storing at home (49%); packaging that can be used for cooking, or can double as a resealable container (48%); and packaging designed for easy transport (47%). However, global consumers were least willing to give up packaging designed to keep products clean and untouched by others (27%); packaging designed to keep products in good condition (30%); packaging information in the form of food labeling, cooking and use instructions (33%); and packaging that preserves products so they last longer and/or stay fresher (34%). Approximately 10% were unwilling to give up any aspect of packaging for the benefit of the environment.

Our survey found consumers responses towards packaging reflected regional and lifestyle factors which are all important considerations for FMCG (fast-moving consumer goods) manufacturers, said Patrick Dodd, president, The Nielsen Company, Europe.

Europeans and North Americans were more likely to give up packaging designed for stacking and storing at home, packs for cooking in, or those designed for home use as resealable containers. However, Asians were less likely to give up stack-and-store packaging or easily transportable packaging. Asian homes tend to be smaller and have limited storage space, so stack and store options are more practical and preferable, explains Dodd. Asian lifestyles also determine that Asians were least likely to give up convenience packaging that can be cooked in or kept at home as a resealable container, and easy-to-transport packaging.

Overall, the two types of packaging consumers would find the most difficult to give up are protective packaging, which keeps products in good condition, and hygienic packaging, which serves to keeps products clean and untouched by othersespecially by European and North American consumers. Globally, Europeans (23%) and North Americans were least prepared to give up packaging for hygiene and protective purposes.

To underscore the growing importance of green packaging, Nielsens twice-yearly global Environmental Concerns survey found that consumers who said they were very concerned about packaging waste increased from 31% to 40% between May and Nov. 2007. As global concern and awareness for the environment continues to grow, consumers around the world are demanding more action from retailers and FMCG manufacturers to protect the environment, says Dodd. And while eco-friendly packaging might not be the top priority for shoppers today, its certainly a growing priority the food industry cannot ignore.

Nielsens 360° proprietary pack research system, packs@work, notes food retailers and manufacturers are striving to meet consumer demand for more eco-friendly packaging solutions that minimize environmental impact. In more eco-aware markets, there is an increasing expectation of packaging with minimal environmental impact, although for most consumers, this doesnt necessarily translate into a willingness to pay more, says Dodd. What most consumers expect is packaging that provides an added feel eco-good factor, by minimizing environmental impacts.

One U.S. industry that is feeling the heat of this increased eco-awareness is the bottled-water industry. The Container Recycling Institute estimates U.S. consumers drink 70 million bottles of water per day, yet only one out of every six plastic bottles gets recycled. The Earth Policy Institute, a federal program to reduce fossil-fuel emissions, estimates producing these bottles requires 10 million barrels of oil per year. Pressure from environmental groups has resulted in cities such as San Francisco, Salt Lake City, Minneapolis and New York publicly promoting tap water instead of bottled, and  national bottle-recycling bill has been introduced into the U.S. House of Representatives.