Reusable packaging companies are closing at an alarming rate, and the recent liquidation of Hipli is just another example of a difficult period for the industry. This phenomenon is not just about competition, but raises broader questions about the sustainability of business models in the packaging reuse sector.
Although the innovation and entrepreneurship of these companies are remarkable, the reality is that many of them have failed to overcome basic challenges: insufficient capital, premature market entry, or an unsustainable economic base. A key lesson is that communication cannot replace sound financials. Reuse solutions are often presented as immediately economically and environmentally beneficial, while the data itself shows that this is not always the case.
Unlike other technology sectors, the “grow first, profit later” model does not seem to work here. Reuse requires behavioural and infrastructural changes that take time and significant resources, which is beyond the capabilities of many start-ups.
The future of the industry likely lies in more realistic and targeted applications, such as B2B deliveries or corporate canteens, where adoption is easier and costs are more manageable. Focusing on sustainable business models based on existing consumer behavior and existing infrastructure can ensure the creation of resilient businesses that offer real environmental and economic benefits.
Source: “Why are so many reusable packaging companies failing?”, https://packagingeurope.com/comment/why-are-so-many-reusable-packaging-companies-failing/13955.article
