PepsiCo Doubles Down on Reusable Packaging Options
Food and beverage giant PepsiCo has announced a new packaging goal to double beverage servings delivered through reusable models from 10 to 20 percent by 2030. The announcement is part of the company’s broader sustainability strategy called “PepsiCo Positive,” through which the company looks to transform its business by focusing on sustainability and people to produce growth across the value chain. Commitments to expand sustainable packaging options are not new for PepsiCo. The latest commitment follows an announcement the company made in 2021 pledging to cut virgin plastic by 50 percent per serving across its global food and beverage portfolio by 2030, scale its SodaStream business globally and use 50 percent recycled content in its plastic packaging.
“Fundamentally transforming the traditional beverage consumption model will require making reusable and refillable options accessible and convenient, at scale, for consumers—and that’s what PepsiCo aims to do,” said PepsiCo’s Chief Sustainability Officer Jim Andrew.
More food and CPG companies are launching moonshot goals to reduce their packaging material and shift toward more sustainable packaging options. As our team predicted a couple of years ago, the move toward circular material cycles continues to rise and companies are looking for ways to disrupt the traditional take-make-waste production model. Scalability has been—and will continue to be—a big challenge. While single-use plastics remain the norm for beverage companies, emerging legislation, increased consumer awareness and investor pressure will hopefully turn the tide toward more sustainable packaging. PepsiCo’s latest focus on reusable and circular options will surely have a ripple effect in the market, with hopes to unlock perceived barriers to scale that have prevented others from adopting similar pilots. PepsiCo, along with many peers like Coca-Cola and General Mills, have been targeted by the investor community asking for increased ambitions around sustainable packaging. We expect to see plastics and circularity to continue to be strong issues for shareholder advocacy over the coming year.