National Packaging Covenant CEO Edward Cordner believes retailers could do more to embrace sustainable packaging solutions. Melinda Oliver explores what key fashion companies have pledged so far.
Australian fashion retailers and labels looking to boost their eco-credentials often focus on fabric, manufacturing and transportation. But apparel packaging, whilst not always foremost in the consumer eye, is an area where large green improvements can be made.
Ten years ago, a National Packaging Covenant (NPC) was established to encourage Australian businesses to put on paper specific goals to reduce product packaging, with time-line targets key to the plan. It is a voluntary initiative, run by government and industry, which also encourages the re-use and recycling of used packaging materials.
Key apparel and footwear companies involved to date include Myer, David Jones, Country Road, Giorgio Armani, Gazal, Birkenstock and Zoggs.
However, National Packaging Covenant chief executive officer Edward Cordner says despite fashion being a cutting-edge industry, its approach to environmental change in packaging has been somewhat slow.
“They don’t all come willingly – there can be some reluctant starters,” he says. “But it shouldn’t be too hard – the fashion industry is all about taking new steps.”
Cordner says the covenant is due to be updated mid-year with a new name and refreshed goals. To be renamed the Australian Packaging Covenant, guidelines will be adjusted to give a greater emphasis on design of packaging. The idea will be to build sustainability into packaging from the outset.
“The covenant does not have all the answers, nor does it profess to, but if retailers are looking to do things better the covenant provides a sound framework to go about it,” he says. “Companies that sign have to prepare an action plan, formalise things and speak to the rest of the company about it. It starts to provide a more formal and structured approach.”
Cordner encourages brands to assess garment packaging from many angles, including protective covering in transport, clothing hangers and the bags given to customers.
He says while many companies import product and therefore have less control over the packaging, they should still discuss with their suppliers possible steps towards improvement.
He points to Country Road as a brand that is taking its involvement in the NPC particularly seriously.
“Indications are that they are enthusiastic about things and from my point of view they could well be a role model in their field. They are very interested, active participants.”
Ragtrader offers a snapshot of what key fashion players have pledged so far, with Birkenstock first off the rack.
Birkenstock
Giving customers choice when it comes to packaging waste is a strategy which Birkenstock boutique owner John Harrison hopes will make a difference to the environment. At his new Brisbane store for the German comfort footwear brand, Harrison has implemented both ‘Go Green’ or ‘gift with purchase’ options for customers to elect when they take shoes home from the shop.
Developed in conjunction with Sydney company The Bag People, the ‘Go Green’ option is a 100 per cent bamboo drawstring bag designed to fit a pair of shoes. The shoe box is left behind in the store for staff to recycle. The ‘gift with purchase’ option is a polyester bag with an attached ‘stuff’ sack, so the bag can easily be carried in a handbag and re-used. With this choice, the customer will keep the cardboard shoe box.
Harrison says to date 40 per cent of customers have opted for ‘Go Green’, while the remaining 60 per cent have chosen the polyester bag. “It is about giving people choice at the point of sale and it is invoking thought.”
Birkenstock has long had an association with environmental consciousness. “They are always thinking about renewable sources – and our customers are skewed towards environmental awareness.” The store’s bag policy is part of an overall packaging improvement strategy for the brand in Australia. Its Melbourne-based importer, Birkenstock Australia Ltd, recently joined the National Packaging Covenant, with an agreement from January 2010 to February 2013.
Managing director Marcel Goerke says signing the covenant forced the company to not only think about what it could improve, but encouraged it to take action. The Birkenstock NPC states while its products come from Germany already packaged, the domestic warehouse reuses the outer boxes to ship product on to retailers. Key to the change is the introduction of a cardboard recycling system at the Melbourne Birkenstock boutique.
“If a customer wishes to leave the shoebox behind he/she can safely assume that the box will be re-used or recycled,” he says. “We currently pick up around 30kg of cardboard per week from the store. The cardboard is transported with our regular delivery of repairs to our warehouse/ workshop.”
Goerke says this prevents the boxes becoming household waste. Other recent change has included ceasing to order Birkenstock plastic bags for retailers, providing them with a calico option instead. “We have not received any complaints. It seems we do things a certain way out of habit rather than conviction,” he says.
Country Road
Country Road has over 60 stores nationally and around 80 concessions in Myer and David Jones stores. The unisex apparel and homewares brand has an NPC action plan valid until July 2010, with a new draft under development.
The existing plan outlines steps to reduce packaging in regard to shopping bags and gift boxes. It intends to influence its suppliers in the use of materials in the packaging of homewares and accessories, and in how apparel is packaged for delivery to stores.
The covenant states Country Road has worked to develop in-store recycling programs and has audited the use of clothing hangers. In the financial year 2008/09, 63,557 plastic hangers were returned to its supplier. Of these, around 42,755 were estimated to be reused. A key move has been the introduction of a reusable cotton bag for purchase in stores. It has also ensured all take home bags are made with 70 per cent recycled material and are 100 per cent recyclable.
Myer
Department store Myer has over 65 sites and generated total sales of over $3.2 billion in the 2008/09 financial year. It signed an NPC action plan in January 2008 until December 2010.
Myer launched a team to specifically look at packaging procedures within its business. It then implemented many preparatory steps to measure its packaging use. These included assessing the weight of consumer packaging, the weights of non-recyclable packaging and the tonnage of consumer packaging which is recycled and sent to landfill from its stores. It detailed intent to review its own-brand product packaging and to work with suppliers to achieve change.
David Jones
Department store David Jones’ current NPC action plan began in August 2007 and is due to expire in July. Key goals include the recycling of distribution packaging and minimising carry bag waste. Also key is investigating the feasibility of re-usable carry bags and examining the packaging of its own-brand products. Early changes included developing procedures to measure the amount of packaging that is recycled or sent to general waste, the amount of material used in carry bags and the amount of distribution and outer packaging associated with its own brand products.
David Jones initially joined the NPC in 2003 and its first action plan set out to increase the recovery and re-use of its garment hangers, as well as collecting and recycling packaging that contained furniture and whitegoods delivered to customers’ homes. Another step was to reduce the amount of plastic it uses in its carry bags by 40 per cent.
Gloweave
Melbourne-based shirt company Gloweave has a number of brands in its portfolio including Gloweave Men’s, Gloweave Women’s and Brooksfield. The predominantly wholesale-based company has an existing NPC action plan, valid until 2012.
It states its product packaging is based on the display requirements of its major retail outlets, such as Myer and Target, which limits its ability to make changes to packaging. “However, we have already initiated discussions with Target to reduce packaging in a Target business shirt, designed and sourced by us,” it states. Gloweave is also looking to produce some business shirts on hangers instead of in the traditional packaged form.
Giorgio Armani
Giorgio Armani’s Australian division operates four stores and a Sydney head office. It has an NPC dated from April 1, 2009 until March 31, 2014. The luxury apparel brand’s products are pre-packaged before being shipped in from overseas, however it says it will make environmental improvements where possible domestically. Steps include reusing cardboard cartons, plastic garment bags and hangers when distributing products to boutiques or customers.
Hugo Boss
Luxury label Hugo Boss has an NPC valid from 2008 until 2011. The German company’s Australian division operates eight stores nationally as well as a warehouse, outlet shop and head office. Internationally it has over 1000 stores and around 5700 stockists. Its NPC states that its products are created and packaged internationally before shipment to Australia.
However, it intends to work with its suppliers to ensure members of the packaging supply chain conform to NPC guidelines. Hugo Boss intends to establish baseline data to measure the tonnes of packaging it generates, the tonnes of packaged product sold and the ratio of product weight to packaging as a gauge for future improvement. Currently, its BOSS Orange collection products are packed in reusable fabric washing bags.
Gazal
Gazal has a number of brands in its stable including Lovable, Crystelle and Calvin Klein underwear. It turns over approximately $247 million in annual revenue. The company’s NPC is valid from July 2009 until June 2012. Key to the action plan is to reduce the amount of non-recyclable packaging used in covering its garments. Also, it has determined to increase its recycling program for cardboard boxes in its warehouse. Other steps include reducing the weight of and number of clothing hangers used, to investigate options to purchase recyclable plastic hangers and to print ‘please recycle’ on its boxes.