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Entrepreneurialism is alive and well in America. Just ask Tom Szaky, the founder of TerraCycle. His big idea: a commercialized liquid plant food made from biological waste—or as Szaky calls it “worm poop,” in reused soda bottles from school recycling programs (after making donations for them).
Cleaning the bottles, slapping homey labels on them, and fitting them with trigger sprays other manufacturers couldn’t use, or didn’t want, enabled Szaky to finally bring his product to market.
In a recent Brand Packaging article dubbed: “Spinning Garbage into Gold,” Szaky shares some terrific ideas that ought to inspire a new generation of business owners.
Szaky dropped out of Princeton and worked at the new business for three years until finally securing some retail distribution, thanks to Wal-Mart and The Home Depot. He hasn’t looked back. His philosophy: constantly finding ways to develop consumer products and consumer product packaging from consumer waste. Even better: refusing to price his green products at the high end of the spectrum, as some of his competitors are. “Since we’re not doing it, we’re gaining a lot”, Szaky is quoted as saying.
TerraCycle now enjoys distribution as a staple in thousands of retail lawn and garden departments, adding products like deer repellant and compost bins to their original plant food product. According to the Brand Packaging article, the company is now developing consumer products in many categories: household cleaners, reusable totes, office products, and even Christmas ornaments.
On the packaging front, a Stonyfield Farm challenge to TerraCycle to find an alternative use for the company’s polypropylene yogurt cups (since they aren’t recycled much), yielded the invention of planting pots, with Stonyfield funding the entire collection program, thank you very much.
When Honest Tea began funding TerraCycle to reuse its used drink pouches, Kraft’s Capri Sun and Kool Aid brands likewise, joined the effort. Net result? Recycled drink pouches manufactured into accessories now being sold at Target. As Szaky pointed out, for brands like Capri Sun, his reuse of their packaging solves a major problem since their packaging isn’t recyclable, and would end up in landfills.
High volume consumer brands: Balance Bar, Clif Bar, South Beach diet bars, Chips Ahoy and Oreos have subsequently come aboard. What TerraCycle is doing isn’t recycling in the classic sense. The company refers to its reuse of packaging as “upcycling”. Definition: ‘creative use of the shape and characteristics of existing packaging instead of crushing, mulching, melting it down or reforming it’.
Szaky loves what he refers to as his “Sponsored Waste” initiative. “You get paid for your raw materials and then you’re paid for your finished product.” While TerraCycle still sponsors collection programs in schools and churches, the company sees Sponsored Waste as its future. Apparently there’s money in collecting and repurposing packaging for new products: TerraCycle has posted a 300% growth rate for the past four years.
Questions:
• What other kinds of consumer products would you like to see made from recycled waste and repurposed packaging?
• Do you think more businesses will emerge based on the TerraCycle model?
• Do you think we can eventually eliminate most of our garbage by thinking in these terms?
I’d love to hear from you.
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Comments
Ted, what an interesting story! I liked that Szaky--from necessity--had used old soda bottles, and then continued to do so even when he made it big. My question is, have you seen the actual Terracycle packaging? I wonder if they tell their re-use "story" on the bottle itself, or are leaving it to their PR team to tell. I think both avenues would be a good approach.
Posted by: Paul Barsch | 06.18.08
Paul,
To answer your question, "No, I haven't seen the actual packaging yet, but after reading about Terracycle, I'll definitely check it out." I'm betting the packaging does tell the story, because in most cases, green companies use their web sites and every other marketing tool, including packaging, to share their unique viewpoints and stories. They're justifiably proud of their initiatives, and should be.
This really gives us all a lot of food for thought, doesn't it?
I'm not surprised in the least that Szaky still uses recycled containers for his product line. This goes to his whole philosophy to invent products and packaging entirely from waste. He is being true to his core and his mission.
Thanks for commenting, Paul. Your insights and questions are always welcome.
Posted by: Ted Mininni | 06.18.08
What other kinds of consumer products would you like to see made from recycled waste and repurposed packaging?
Having worked in a ski shop, we often have people try to trade-in old, straight traditional skis, which we no longer accept. I'm assuming a majority of these get thrown in the trash or sit rusting in the basement if they're not ebayed.
A cool use I've seen for this equipment is removing the bindings, cutting the skis, and fashioning them into a lawn or porch chair. Despite the hard surface these chairs are rather comfy. Maybe Szaky could make that a product offering for his business.
Do you think we can eventually eliminate most of our garbage by thinking in these terms?
I think it's possible. But if it's going to happen we'll need better efforts to educate the average consumer about alternative options, rather than have them take the path of least resistance and throw things out.
Does it say on the packaging that you can send your Capri drink pouch to TerraCycle and get paid for it? My school days are over, so I haven't had the chance to see. This seems to be the best way to make people more knowledgable about an alternative option to the trash.
Or perhaps TerraCycle might sponsor classroom days where elementary students are educated about ways they can re-use items at home. Make it a craft day, where they're taught the skills to create. The hope being that the lessons learned will rub off on their parents when it comes to trashing versus reuse.
Posted by: Jesse Kanclerz | 06.18.08
Great story, Ted. Necessity sure is the mother of invention.
I'm waiting for the day when we can toss our garbage into our fuel tanks - just like in Back to the Future #2. :)
Posted by: Elaine Fogel | 06.18.08
Wow, Jesse, great ideas. Thanks for answering these questions with so many insights. Love your ideas about reusing old skis to make chairs. In fact, I once wrote a post about a British designer who makes modern chairs from cast-off, hard to recycle plastics. While his furniture isn't for everyone, the idea is an inventive one and necessary since landfills in the UK are reaching critical mass.
You're right: if Terracycle isn't already doing so, they ought to work with the manufacturers whose packaging they're recycling to inform the public in a joint effort.
Elementary schools are the perfect place to instill recycling and repurposing efforts with the kids, too. The idea of having them make crafts from discarded materials is a great one. Who knows what kinds of ideas might emerge from that, too.
As you say, at least a portion of the stuff we're throwing out now, might be reused if we all give it a little thought. Thanks, Jesse, for adding significantly to this post.
Posted by: Ted Mininni | 06.18.08
Thanks, Elaine, for the kind words.
What a great idea! I wonder whether we could recycle most of our garbage by putting it directly into our fuel tanks. If we can do it soon, easily and cheaply--preferably without a nasty emissions problem--I'll bet consumers would get on board quickly with "garbage fuels".
Thanks, Elaine, for the chuckle. You made my day!
Posted by: Ted Mininni | 06.18.08
Jesse & DF Blog Readers,
Take a look at this idea for recycling garbage:
http://www.mpdailyfix.com/2007/06/no_such_thing_as_plastic_waste.html
This may not be everybody's cup of tea, but it's another idea for recycling the huge amount of plastic waste modern society creates. . .
Posted by: Ted Mininni | 06.18.08
I have used the TerraCycle products and my lawn and veggies definitely profitted.
The previous owners of my home had used "bark mulch" made from shredded automobile tires. It actually took us about a year to figure out that the stuff wasn't wood.
Posted by: Scott | 06.19.08
Scott,
Nice to hear from someone who has actually used the Terracycle products! Glad to hear that it worked so well. BTW: recycled tires would probably be better used for products other than mulch!
Thanks for weighing in, Scott.
Posted by: Ted Mininni | 06.19.08
I think it's possible. But if it's going to happen we'll need better efforts to educate the average consumer about alternative options, rather than have them take the path of least resistance and throw things out.
Posted by: tom | 06.21.08
Agreed, Tom. And, as Jesse pointed out in an earlier comment, it's not a bad idea to engage school children in finding creative ways to use refuse in art projects. Kids are very bright and I'm willing to bet they can find myriad inventive ways to repurpose garbage.
Thanks for commenting, Tom.
Posted by: Ted Mininni | 06.23.08