A Guide to Environmentally Friendly Packaging by Industry

Then consider the environmental impact and tightening governmental regulations around packaging waste, and the time is ripe to make sustainable packaging a key part of your business proposition.  

Read on to discover new trends in eco-friendly packaging, and some best practices to follow.
 

Why sustainable packaging matters

Environmental impact

From overflowing landfills to ocean plastic, the environmental cost of packaging waste is hard to ignore. Traditional materials like single-use plastics and non-recyclable composites often end up polluting the planet for decades.

Switching to sustainable packaging – like recyclable paper, compostable mailers, or reusable containers – helps reduce your carbon footprint and cuts down on waste. Even small changes in packaging design can add up to a big difference, especially at scale.

Growing consumer demand

Eco-conscious shoppers are actively seeking out brands that use sustainable packaging, and many are even willing to pay more for it – a survey by McKinsey¹ found that 25% of high-income Gen Z consumers are prepared to pay “a lot more” for sustainable packaging.

Whether it’s a recyclable mailer, minimal packaging, or a "plastic-free" badge on your website, these choices influence buying decisions – showing customers that your business values the planet as much as they do.

Sustainable packaging across different industries

So, what environmentally friendly packaging designs are currently shaking things up? Let’s look at some of the innovations being used in the fashion, beauty and food sectors.

Recycled mailer bags

Mailer bags made from 100% recycled, FSC*-certified paper are gaining popularity in the fashion industry. These bags significantly reduce material usage and weight compared to traditional designs. For instance, UK-based outdoor brand Finisterre² utilizes these mailers, cutting material usage by 70% and weight by 50% compared to their previous designs.

*Forest Stewardship Council

Biodegradable garment bags

These bags offer excellent protection for clothes, ensuring they remain pristine during transit and storage. PANGAIA³, a global fashion brand, has adopted these compostable bags for their entire product line. By exclusively using TIPA® compostable packaging, PANGAIA has eliminated 39.2 tons of plastic waste and 1.5 million polybags from its supply chain.

Refillable makeup containers

Refillable containers, such as compacts and jars, are crafted from materials like aluminium and glass, reducing the need for single-use plastics. “Clean” beauty company Alima Pure⁴ is one of many brands to have adopted these containers – customers can purchase eyeshadow, blush, and pressed foundation refills to pop into their existing cases.

Plastic-free

Some beauty brands are going beyond recycled content and aiming to eliminate plastic altogether. This means turning to alternative materials like glass, metal, bamboo, or paperboard for everything from lipstick tubes to deodorant sticks. For example, French brand La Bouche Rouge⁵ uses upcycled leather for its lipstick cases, with refills available for the inner product. Meanwhile, in Japan, Shiro⁶ has developed glass packaging with minimal plastic use across its skincare and fragrance ranges.

Compostable clear bags

These bags, such as those made from NatureFlex⁷ (a biopolymer derived from renewable, plant-based resources), offer an eco-friendly alternative to traditional plastic bags. They are 100% biodegradable and compostable in both home and industrial composting systems, and are FDA-approved for food contact, making them suitable for various perishable items like sandwiches, bakery goods, and dry snacks.

Molded fiber packaging

Molded fiber packaging, created from recycled paper or plant fibers, is used for various food items. ThermoFibre⁸ produces laminated molded fiber trays and bowls that are microwavable, ovenable, and home compostable, providing a sustainable solution for food packaging.

Challenges in sustainable packaging

Switching to eco-friendly packaging brings big benefits, but it’s not without hurdles. Here are the main challenges businesses face – and how to overcome them.

Cost & affordability

One of the most persistent obstacles is cost. Sustainable materials tend to be more expensive – whether due to higher raw‑material prices, newer or smaller scale supply chains, or extra R&D and testing.

Shop around suppliers for the best deals, and be aware that whilst passing cost increases on to customers is an option, not everyone is willing or able to pay more.

Performance & material/design limitations

When considering eco‑friendly materials, ensure they match the performance of traditional materials in every respect. Durability, barrier properties (e.g. protecting against moisture, oxygen), compatibility with existing machinery, and ensuring product safety (especially for food/perishables) should all be considered.

Infrastructure & end-of-life considerations

It’s not just about making more eco‑friendly packaging – the systems to collect, recycle, compost, or otherwise dispose of packaging properly need to be in place. If waste infrastructure is weak, a compostable package may end up in a landfill where it doesn’t degrade properly, or recyclable packaging may not be collected or processed.
 

Trends in sustainable packaging

As technology advances and consumer expectations rise, new solutions are reshaping how businesses approach packaging. Here are some of the biggest trends to watch:

• Smart packaging with eco benefits: Expect to see QR codes and embedded sensors doing more than just tracking – they’ll educate customers on how to recycle or reuse packaging, and even verify sustainability claims.
• Mono-material packaging: Designed to be easier to recycle, these packages use just one material instead of mixed composites (which are often unrecyclable).
• Mushroom-based and seaweed-derived materials: Bio-based alternatives to plastic are growing fast, offering compostable and biodegradable options made from unexpected sources.
• On-demand packaging: Reducing waste by creating custom-sized packages for each order, which cuts down on filler material and shipping volume.
• Minimalist and 'naked' packaging: Brands are stripping things back, focusing on delivering only what’s necessary. In some cases, that means skipping outer packaging altogether and simply attaching a shipping label directly to the product’s existing box.
• Label-free returns via QR codes: By replacing printed labels with scannable QR codes, brands are making returns more sustainable – cutting down on paper waste while offering a smoother customer experience.

What to consider when making sustainable packaging choices

Eco-friendly packaging is rarely a one-size-fits-all solution. Here are the key factors to weigh up.

Balancing sustainability with functionality & cost

Sustainability is important, but so is performance. Your packaging still needs to protect the product and perform well in transit.

It also needs to make financial sense. Start with small swaps that have a big impact – for example, switching to recycled mailers or reducing excess packaging. Over time, you can scale your efforts as suppliers and materials become more cost-effective.

Evaluating the lifecycle of packaging materials

A package may be recyclable – but only if the local infrastructure supports it. Another might be compostable – but only in industrial facilities, not home bins.

This is where lifecycle thinking comes in. Consider:

• Where and how the material is sourced
• Its energy and water use during production
• Its weight and volume (affecting transport emissions)
• What happens after the customer is done with it

Use lifecycle assessments (LCAs) or supplier data where available to make informed choices that align with your sustainability goals.
 

Transparently communicating sustainability

Finally, tell your customers what you’re doing – and why. If you're investing in better packaging, make it part of your brand story.

Be specific, too: rather than vague terms like “eco-friendly” or “green”, say things like “compostable mailer – breaks down in 90 days.” This will help your brand avoid claims of greenwashing, and build greater trust with customers.

Lead the change in sustainable packaging for your brand

For SMEs looking to run a more sustainable logistics operation, packaging is a smart place to start. From using recycled materials to reducing excess or redesigning for efficiency, remember – even small changes can have an impact!

For fast, international shipping, open a DHL Express Business Account.