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The Rise of eCommerce and the Australasian Business Reducing the Environmental Impact

November 25, 2020 Business News No Comments Email Email

The impact of COVID-19 has changed the world in so many ways, significantly influencing consumer behaviour and habits.Mandated lockdowns and people’s reluctance to spend time in crowded shopping centres, means
2020 has been a year like no other for eCommerce. Australian Post’s recent Inside Australian Online
Shopping: 2020 eCommerce Industry Report shows eCommerce parcel growth of over 80 per cent
(year on year) in the eight weeks since the COVID-19 pandemic was declared by the World Health
Organisation.

eCommerce packaging provider, The Better Packaging Co. has seen this first-hand. The company’s
co-founder Rebecca Percasky points out that while online shopping offers positives such as
additional safety to the health of individuals, convenience and the importance of continued sales for many organisations; the rise of eCommerce can have a hugely negative impact on the environment if companies are not using low impact, sustainable packaging options.

“The vast majority of courier bags are made of single use plastic that end up in landfill and take
hundreds of years to breakdown. More Australians are shopping online than ever before – up 31 per cent – and the amount of additional waste generated will be significant.”

The Better Packaging Co. is the first and largest provider of home compostable packaging solutions
for eCommerce, with at least 85% market share in Australia. They produce a range of packaging
solutions from courier bags to padded mailers, poly bags, magazine flow wrap, labels, gloves and
custom branded packaging.

With distribution centres in Australia, the United States of America, Asia, New Zealand and the United Kingdom servicing 42 countries, the Australasian business continues to grow at 15 per cent per month, and was profitable within nine months of being established in March 2018.

Percasky’s co-founder, Kate Bezar strongly believes that consumer behaviour will not revert to the
original pre-COVID-9 eCommerce shopping levels.

“Australia Post reported that 200,000 households shopped online for the first-time during lockdown and human nature will dictate that many will continue to do so. The solution is to encourage businesses to first reduce the amount of packaging they are using, and then see where they could be using more sustainable alternatives.”

Percasky says The Better Packaging Co. is experiencing massive growth with consumers demanding
more sustainable approaches from the brands they love to buy from. This is backed up by a recent
survey from Couriers Please in Australia, that states 87 per cent of shoppers are more likely to
purchase products that are ethically and sustainably produced.

“Conscious consumerism is definitely a driver of our growth. Our courier bags are certified with the
most stringent independent certifications and being home-compostable they are easy for consumers to dispose of themselves. Since we launched, we have sold upwards of 25 million bags.”
The Better Packaging Co.’s Australian customer list is impressive and includes Sendle, Super
Pharmacy, Seko Logistics, Volcom, Fila, Rip Curl, Fila, PE Nation, Pony Rider, Assembly Label,
Modibodi and Karen Walker, to name a few.

Courier company Sendle’s own research from the US backs up the shift in consumer behaviour
towards purchasing from companies that act responsibly for the sake of the environment.

• 64% of consumers said they would be more likely to make a purchase from a retailer that
offered compostable packaging (especially if it did not cost more).
• 57% said they get frustrated with the amount of packaging the products they order come in.
• 52% said they would be more willing to make repeat purchases or sign up for a subscription
from a retailer who offered more sustainable packaging or shipping options.

Sendle’s chief marketing and customer officer, Eva Ross, says the response from customers to the
compostable satchels has been overwhelmingly positive.

“Our Australian small business community loves how we offer low impact green packaging, that’s
easy to dispose of in the home compost or worm farm. We are a company with sustainability at our
core and we consider the environment a key stakeholder, so it’s really important to use and sell
products that adhere to the highest environmental standards and are independently certified. We
chose to partner with The Better Packaging Co. to produce our mailing satchels because they share
the same ethos.”

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