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What’s Next for Sustainable Packaging: Material Innovations¹

The conversation around sustainable packaging is evolving rapidly. As brands and manufacturers aim to meet growing consumer expectations and regulatory demands, the path forward requires balancing innovation, functionality, and cost. A recent survey conducted by Packaging Dive reveals insights into the challenges and opportunities companies are navigating to deliver truly sustainable packaging solutions.

Meeting the Market’s Demands¹

One of the key findings from the survey of over 200 companies—including leaders in e-commerce, consumer packaged goods (CPGs), and the beverage industry—was that sustainable resins must do more than exist; they must be available at scale, compatible with current manufacturing equipment, and able to meet performance standards without disrupting operations. Cost remains a significant factor in every decision, especially in today’s climate of unpredictable supply chains.

According to the survey:

• 64% said the cost of materials is the biggest challenge.
• 44% would pay up to 15% more for sustainable materials.
• 24% would pay up to 10% more for sustainable materials.

Despite these challenges, the primary strategy emerging from the survey was a focus on "improved technology and materials." Companies are turning to solutions such as lightweighting, incorporating recycled content, and utilizing compostable materials. Through thoughtful design and material innovation, converters and CPGs are finding ways to reduce material usage without compromising product safety or performance.

Balancing Innovation with Practicality¹

Cost concerns, while valid, do not have to inhibit progress. Sustainable packaging must be viewed holistically. Material costs are only one part of the equation. Damaged products due to inadequate packaging can be extremely costly, eroding brand trust and increasing waste. Regulatory non-compliance, especially in regions that have implemented extended producer responsibility (EPR) legislation, can result in significant fines.

Survey respondents emphasized key considerations beyond cost:

• 91% cited product protection as critical.
• 89% are focused on meeting publicly stated sustainability goals.
• 79% are concerned with current or expected legislation and regulations.

Additionally, if consumers perceive packaging to be excessive, non-recyclable, or subpar in protecting the product, brands risk losing market share. Therefore, successful sustainable packaging strategies must prioritize both protection and environmental responsibility.

The Opportunity Ahead¹

The push for sustainable packaging is creating new growth opportunities across the value chain. As innovation in material science advances, brands have greater options to meet sustainability goals without sacrificing performance. Whether it’s through the development of stronger recycled resins, compostable films, or innovative lightweight designs, the future of packaging lies in balancing functionality with environmental stewardship.

As Packaging Dive highlights, the companies that embrace material innovations and make strategic design choices will be better positioned to succeed in a market increasingly defined by sustainability expectations.

Nexeo Plastics is committed to supporting your sustainability efforts by offering materials that align with recognized environmental standards. Our portfolio includes biobased, compostable, post-consumer, post-industrial, recycled, and reclaimed plastic resins, which are certified in accordance with industry standards, such as ASTM D6400 and ASTM D6866. We emphasize transparency and accuracy in our certifications, in an effort to ensure the materials we sell genuinely contribute to a lower carbon footprint. By prioritizing the sourcing and usage of more sustainable materials, we can help you incorporate sustainable practices into your products by supporting your design, manufacturing, and material selection, without compromising on quality and while aligning with the latest European environmental regulations.

Sources:

1. https://packagingdive.tradepub.com/free/w_defa7914/