The refillable revolution - the sustainable future of grocery shopping

The refillable revolution - the sustainable future of grocery shopping

September 2024

by Rory Way of the Sustainability team at 42T

Refill shops are fundamentally reshaping our perspectives on consumption, waste, and environmental stewardship. For manufacturers, this transition presents significant benefits and is paving the way towards sustainable growth.

Imagine a future where your entire weekly shop—dairy, produce, frozen foods, canned goods, condiments, household items, and personal care products—is refillable. How would this work, what benefits would it bring, and how much of a mindset shift would it require?

Refill shops 

Sustainability is no longer a buzzword but is now a pressing necessity, and refill shops are becoming a new, eco-friendly innovation. Responding to an urgent global imperative, refill shops are an important element of the eco-friendly innovation movement.   

By offering this alternative to traditional shopping methods, refill shops are rapidly becoming a major factor in reshaping our perspectives on consumption, waste, and environmental stewardship. They challenge the deeply ingrained norms of single-use packaging and disposable culture, promoting a more conscientious and sustainable approach to everyday living.   

Benefits for brands and consumers 

Rory Way, Senior Consultant and Design Engineer at 42T, says “Plastic pollution is a pressing issue, heavily influenced by the packaging used in the food and healthcare industries. As we move towards a circular economy, it becomes essential for these sectors to shift from single-use packaging to reusable alternatives.   

For food and healthcare manufacturers, this transition presents significant benefits and could become the key part of a sustainable growth strategy. By embracing refill shops and reusable packaging, manufacturers can reduce production costs associated with single-use materials, enhance brand reputation by demonstrating environmental responsibility.

Refill shops are not only transforming consumer habits but also offering a pathway for manufacturers to contribute to a more sustainable future, ultimately reducing both environmental impact and operational costs.” 

The rise of refill  

Refill shops have gained traction over the past decade, driven by increasing consumer awareness of the environmental impact of single-use plastics and disposable packaging.   

The concept is simple yet revolutionary: bring your own containers to the store and refill them with a variety of products, from household cleaners and personal care items to dry groceries and beverages.   

Refill shops

This approach not only reduces waste but also encourages consumers to make more mindful purchasing decisions. 

And it’s not just the small shops that are embracing this mindset. Unilever recently unveiled a six-step programme to unlock successful reusable and refillable packaging models, basing its findings on systems currently operating in Africa and Asia. And in the UK, Ocado Retail is also trialling products in refillable packaging in collaboration with the UK Refill Coalition  - and they already offer cashback to consumers for returned delivery bags as part of their service. 

Logistical challenges 

The reuse model is centred on the principles of returning and refilling. In returning models, consumers have the option to return containers either from their homes through delivery and collection services or by visiting an in-store drop-off point.  

The ownership of the container remains with the company, allowing consumers to use it through a rental system, which may include a deposit fee. After use, the company retrieves the container, sanitises, refills, and redistributes it for reuse.  

A practical implementation of this idea is evident in Bristol’s ‘the Refill Return Cup initiative, which involves a network of coffee shops that utilise a shared pool of coffee cups. Customers are encouraged to return the cup to any participating outlet within a 14-day window - failure to do so results in a charge for the cup.  

Refill shops

Refilling offers the flexibility for consumers to replenish their products either at home, or in-store. In this case, the consumer retains ownership of the container and has the option to refill it at a designated in-store station or through a home delivery service.  

Another example of a company leveraging this opportunity is Zoflora with their concentrated antibacterial cleaner pods. The consumer places the pods into a clean spray bottle, fills the bottle and waits a few minutes for the pod to dissolve before commencing with cleaning.  This is a great initiative as often cleaning products are mostly made up of water, so this saves space and weight during delivery, as well as packaging material.  

Domestic storage challenges

A particular challenge around refillable product models is how to store packaging that is not being actively used. With limited space, consumers may have problems storing their refill packaging until they can get back to the refill shop. 

A potential solution to this could be to send refills via post or deliver like traditional grocery deliveries. The grocery delivery model can also be used to send packaging back for cleaning and refilling at the depot. 

In-store innovation 

Specialised refill equipment is necessary either in-store or at a warehouse to ensure efficient operations. It’s important to consider food safety and hygiene when designing these systems. 

Automation could play a part in this process, enabling customers to leave their packaging for refilling while they either exit the store or spend time browsing. An alternative approach could involve a container swap system where customers leave their used containers at the entrance and pick up pre-filled ones.

Refill shops

This could be facilitated through an app that allows customers to notify the store of their intended purchases in advance. Upon arrival, their selected products would be prepared and ready for collection. 

To facilitate this process, there is a need for more standardised containers. This standardisation would help lower the barriers to entry for smaller suppliers by reducing costs. 

There are already examples of such systems being trialled by companies like The Body Shop, Aldi, and Ocado, indicating a move towards more sustainable and customer-friendly shopping experiences. 

Changing consumer and supplier habits and mindsets

  • Support through policy and regulation  

Government policies and regulations will play a crucial role in the future of refill shops. Incentives for businesses to adopt refill models, along with regulations that limit single-use plastics, can accelerate the growth of the refill movement.   

Supportive policies can also help standardise practices and ensure that refill shops meet high standards of hygiene and product quality.  

- The UK government's Plastic Packaging Tax encourages businesses to reduce plastic waste and adopt more sustainable practices, supporting the growth of refill shops.  

- The European Union's Single-Use Plastics Directive aims to reduce the impact of certain plastic products on the environment, promoting refillable and reusable alternatives across member states.  

- In the US, the California Plastic Pollution Reduction Act incentivises businesses to reduce single-use plastics and supports initiatives that promote refillable and reusable products.  

Refills shops

  • Encouragement through education and incentives 

Despite their many benefits, refill shops face several challenges. One of the most significant is changing consumer behaviour.   

Many people are accustomed to the convenience of pre-packaged products and may be hesitant to switch to a refill model. Education and awareness campaigns are essential to highlight the environmental and economic benefits of refilling. 

  • Increasing convenience through innovative solutions 

The future of refill shops is closely tied to technological advancements. Digital platforms and mobile apps are being developed to streamline the refill process, making it more convenient for consumers.   

These technologies can help track inventory, manage subscriptions for regular refills, and provide customers with information about product origins and environmental impact.  

Smart dispensers and automated refill stations are also on the horizon. These innovations can enhance the user experience by offering precise measurements and minimising waste, making the process as efficient and user-friendly as possible.  

A more interesting and sustainable future 

Rory sums up, “As we look towards the future, refill shops hold immense potential, particularly for manufacturers seeking sustainable growth. With successful models already emerging across the world, it's clear that sustainable shopping is on the brink of becoming mainstream.  

As consumer awareness of environmental impact rises, the demand for eco-friendly shopping alternatives will continue to expand. Refill shops, with their focus on reducing waste and promoting a circular economy, are well-positioned to lead this change alongside alternatives such as compostable packaging. 

Manufacturers that align with the principles of refill shops - reducing waste, promoting a circular economy, and integrating compostable packaging - stand to lead this transformation. By investing in technological innovations, diversifying product offerings, and collaborating on educational initiatives and supportive policies, manufacturers can position themselves at the forefront of this movement.” 

By embracing technological innovations, expanding product ranges, and overcoming challenges through education and policy support, refill shops can become a cornerstone of sustainable living, paving the way for a greener, cleaner future. Using the principles of refill, recycle, and repair will not only drive sustainable growth but also help build a resilient, green economy ensuring a thriving future for businesses and the planet alike. 

Consumer vision and innovation

If you're ready to embark on a journey of sustainable growth, contact us to explore how we can collaborate to bring your vision to life.

Read our Consumer case studies here.


If you would like to find out more, please contact 42T's Head of Consumer, Robin Ferraby:

Robin Ferraby

robin.ferraby@42T.com | +44 (0)1480 302700 | Robin Ferraby | LinkedIn

Robin leads 42T's work in the consumer sector, developing and managing our client relationships in the fast-moving consumer goods and appliance sectors.

Share this article:

Background

What will you ask us today?

We believe in asking the right questions to drive innovation; when we know the right questions, we generate the ideas to answer them.