Biodegradable products, especially in packaging, can appear to be a straightforward solution to the plastic waste and recycling crisis. However, the term “biodegradable” suggests that these products will vanish effortlessly into nature, and this is not always the case. The challenge lies in what happens after disposal and whether these items truly decompose in a way that does no harm. For this reason, businesses are moving towards certified compostable materials. Fortunately, compostable bio-based plastics are rapidly evolving and effective replacements for traditional single use plastics, presenting a significant business opportunity.
Companies like Earthbound Farms replaced plastic tubs for their lettuces with compostable plant fiber boxes. Oak View Group, which owns and operates venues such as Fenway Park, the Climate Pledge Arena and Prudential Center, offers a suite of compostable products at some of their venues and events. In retail, brands like Pangaia are built around material innovation and feature plant-based down puffers, bio-based leathers, and compostable apparel bags.
Business leaders must recognize that the shift toward compostable and bio-based solutions is already underway…
Business leaders must recognize that the shift toward compostable and bio-based solutions is already underway, and those who fail to adapt risk losing relevance and market share in an increasingly eco-conscious world. Over the last decade, a number of CPG brands made public commitments to, among other things, moving their materials to 100 percent recycled, recyclable, or compostable by the year 2025. The time to act is now.
Understanding the Demands of Younger Generations
The World Economic Forum reports that more than one-third of Gen Z respondents say they prefer brands that uphold environmentally sustainable practices and values. Additionally, 28 percent have stopped supporting brands due to poor ethical or sustainability standards. Gen Z is drawn to brands that place sustainability at the core of their operations and won’t shy away from publicly holding companies accountable if they sense a lack of authenticity. This generation is unafraid to speak out against brands that fail to live up to their claims.
By adopting measurable and transparent practices, companies can build trust and establish themselves as leaders in the movement toward a more sustainable future. The “home compostable” designation in particular provides an opportunity to demonstrate genuine commitment to sustainability in ways that resonate with this audience.
Why Home Compostable is So Important
Decades ago, the first wave of biodegradable plastics entered the market, promising an eco-friendly alternative to traditional petroleum-based products. Yet, the technology was imperfect, often failing to live up to its claims under typical landfill conditions. Municipal and commercial composting facilities quickly realized that many of these materials did not break down within a viable timeframe, leading facilities to ban bioplastic inputs. Further, awareness of the growing global plastic pollution crisis drove demand for materials that could biodegrade should they escape into the environment. Certified home compostable materials are tested by third party labs to verify they will biodegrade within 6 months in ambient temperatures in home compost setups. Nonprofits like 5Gyres have run tests on compostable bio-based products in soil and water in California, Florida and Maine to confirm the biodegradation rates of bio-based compostable materials like PLA and PHA.
Innovations in bioplastics, particularly home compostable and soil degradable options like PHA, have advanced to meet and even exceed expectations. Companies like PlantSwitch, VEJA, Better for All (Geosphere), and Notpla are using materials like agricultural waste, PHA, natural rubber, and seaweed to create products designed to return to the earth without the risk of microplastics or toxins contaminating our soil and water.
At last year’s goPHA conference in Atlanta, representatives from CPG giants like PepsiCo, Mars and Kimberly Clark extolled the virtues of PHA, calling for material innovators like Kaneka Green Planet, CJBiomaterials, Danimer Scientific, and BluePHA to increase capacity and bring material costs down to accelerate adoption, now. The number of product applications tailor-made for bio-based and compostable materials is immense.
C-Suite executives have the opportunity to future-proof their brands, align with the evolving market, and position themselves ahead of the curve.
The evolution of bioplastics is well underway, driven by consumer demand and environmental necessity. Businesses that can anticipate and adapt to this shift will secure their place as leaders in sustainability and innovation. By embracing compostable materials like PHA— as Rock the Ocean did during their 2024 Tortuga Music Festival — and taking seriously the demands of younger generations, C-suite executives have the opportunity to future-proof their brands, align with the evolving market, and position themselves ahead of the curve. The choice is clear: act now or risk being left behind
Designing with a compostable end in mind encourages companies to think “end-first,” a concept emphasized in William McDonough and Michael Braungart’s book Cradle to Cradle. Products designed to be composted shift our approach from waste management to waste elimination. In this way, compostable products not only reduce waste but contribute to a circular economy. Thoughtful design is reshaping how consumers think about their consumption, and how they use and dispose of everyday items. Brands that prioritize bio-based and compostable are viewed as true leaders in innovation.
The Leaders of Tomorrow Act Today
According to data from McKinsey, reducing plastic waste and finding ways to contribute to a circular economy represents a $1 trillion opportunity. As Generation Z gains a foothold in the financial and business sectors, organizations are currently positioned in a unique position to listen to the demands of this group, and make business decisions that meet the moment with a new generation.
Bob Meers is CEO of Better for All. He served as CEO of Lululemon Athletica, Inc., from December 2005 to June 2008, taking a small yoga apparel business to a billion-dollar international public enterprise. Before that, Meers served as president and CEO of Syratech Corp. During Meers’ 15-year tenure at Reebok, the company grew from $13 million to $3.5 billion in sales. Meers served as President and CEO of Reebok International from 1996 to 1999.
