Packaging leaders have grown accustomed to looking at sustainability through the lens of internal environmental initiatives. The reality is that in addition to corporate Environmental, Social, and Governance (ESG) programs, sustainable packaging includes business strategies shaped by consumer behavior, retail requirements, and evolving regulations.
That means brands need to account for extended producer responsibility (EPR) exposure, recyclability claims and labeling, material choices, operational performance, product protection, and measurable environmental impact.
Consumer expectations are a major part of this shift. Shorr’s 2025 Sustainable Packaging Consumer Report found that 39% of consumers have switched to alternative brands because of their sustainable packaging options, for example, packaging that is curbside recyclable or made with recycled content. This means that sustainable packaging is a driver for both ESG considerations and customer loyalty, brand perception, and competitive positioning.
This guide breaks down what you need to know about sustainable packaging in 2026 and how to balance compliance, environmental impact, cost, performance, and consumer purchasing behaviors.
What Sustainable Packaging Means for Brands in 2026
Sustainable packaging encompasses material and design considerations, including whether packaging is recyclable or compostable, contains recycled content, utilizes fewer or less environmentally detrimental materials in its production, or has undergone third-party environmental testing and certification. Ultimately, the best solution for your product will depend on the application, consumer expectations, and supply chain considerations. The most appropriate packaging solution will reduce environmental impact while maintaining product integrity.
Shorr’s approach to sustainable packaging helps customers eliminate waste, develop innovative products and operational solutions, keep materials in circulation, and successfully deliver products. As regulatory requirements continue to evolve and expectations increase, Shorr’s approach encourages businesses to rethink their packaging designs to ensure compliance and lower environmental impacts.
The Regulatory Shift: EPR, Recyclability Laws, and Retail Requirements
Many companies have embraced sustainable packaging to achieve their environmental goals. However, three closely related areas of outside pressure are driving organizations to reconsider their role within the supply chain and their packaging impacts, beyond their corporate sustainability targets.
- Extended Producer Responsibility (EPR) Programs
More states are adopting EPR laws that place end-of-life responsibility on the packaging producer (i.e., the brand owner, product manufacturer, or licensee/trademark holder). The goal of these programs is to improve end-of-use recycling rates, encourage producers to incorporate more sustainable materials into their packaging designs, and consider the long-term environmental impact of packaging decisions. Brands face fees and fines based on the weight and type of material used and for not complying with regular reporting. Shorr helps companies evaluate their packaging to reduce exposure to EPR fees and help navigate and understand the legislation. - Recyclability Laws
Consumers and regulators are taking notice of packaging labels indicating recyclability. One example of this is California’s SB 343. This legislation prohibits packaging from displaying recyclability labels if material manufactured after October 4, 2026, is not widely recycled in the state. Evolving regulations are important to factor into packaging and labeling decisions, especially for brands that ship to multiple states. Shorr empowers clients to stay ahead of regulatory requirements and review data tracking processes and supplier documentation that support recyclability claims. - Retailer Requirements
Many retailers are setting expectations requiring sustainable packaging components. Some have already implemented programs to highlight sustainable brands they offer. Target Zero and Ulta’s Conscious Beauty are examples of retail programs that promote sustainable products and circularity programs in-store and online. Brands that design packaging with sustainability in mind can gain public visibility and increase their leadership position with consumers without added marketing budget.
Brands risk financial and reputational exposure if they don’t proactively evaluate materials, claims, and state reporting requirements. Shorr’s subject matter experts provide guidance ahead of compliance deadlines, helping you avoid last-minute pivots and costly mistakes.
While regulators and retailers focus on materials and the validity of claims, consumers are paying close attention to whether packaging aligns with their sustainability expectations.
Consumer Behavior: How Sustainable Packaging Influences Brand Choice
Consumers are holding brands to a higher standard and are actively seeking packaging solutions with sustainable components. In our 2025 Sustainable Packaging Consumer Report, we found that 90% of consumers are more likely to buy from brands with sustainable packaging, and 54% deliberately chose products with sustainable packaging in the past six months.
These results reveal that sustainability is more than a consumer preference. Sustainability considerations have become a driving force in everyday purchasing decisions, brand differentiation, and loyalty. Our report also found that 43% of consumers are willing to pay extra for brands with sustainable packaging.
For brands to fully capitalize on this behavior, sustainability claims must be clear and credible.
Labeling plays a critical role here, with 70% of consumers saying they prefer packaging with clear sustainability labels. When it comes to the sustainability features that consumers value most, recyclability tops the list with 77% of consumers saying it’s extremely or very important.
A strong sustainability marketing story alone cannot drive your packaging strategy. Brands must carefully weigh material components and performance across the entire packaging lifecycle.
Practical Packaging Decisions: Materials, Design, and Supply Chain Trade-Offs
The “best” packaging not only fits the product itself but also performs optimally within real supply chain scenarios. A sound strategy includes planning for carrier networks, distribution centers, direct-to-consumer eCommerce shipments, and retail shelves.
First and foremost, the packaging design must protect products across these environments. Then, brands should consider regulatory compliance and fees, fulfillment workflows, budgetary constraints, the shelf or unboxing experience, and end-of-life disposal or recovery requirements.
There are many options when designing a sustainable packaging solution. Key considerations include:
- Recycled Content: Incorporate recycled materials into your packaging to help reduce the need for virgin materials. Confirm what percentage of the materials come from recycled material and whether the materials are strong enough to withstand the demands of your shipping lanes.
- Recyclability: Recyclable materials help support closed-loop systems and waste diversion goals. Make sure you include clear labeling to encourage consumer recycling behaviors.
- Paper-Based Alternatives: Paper materials can help brands move away from overuse of plastics and are often curbside recyclable. However, it is important to consider ancillary materials, such as tape, labels, and coatings, with these options.
- Reduced Plastic: Consider durability, product shelf life, and load stability needs when incorporating plastic materials. Brands can reduce the amount of plastic used in load containment and other packaging simply by targeting application-specific requirements.
- Compostability: Foodservice is one area where compostable materials may make sense, but it’s important to understand how the product will reach the appropriate end-of-life facilities and label it accordingly.
- Right-Sizing: Keep a close eye on the size of packaging in relation to the product. Right-sized packaging reduces shipping weight and void fill packaging requirements, lowering overall packaging and transportation costs. A more appropriate packaging- to- product ratio also improves the unboxing consumer experience.
- Durability: Sustainable packaging that fails to prevent products from damage leads to costly replacement shipments and wasteful environmental emissions. Your brand’s reputation can also take a hit. Always test for real-world scenarios before finalizing design.
- Damage Reduction: Secure and reinforce products to prevent damage in transit and ensure successful delivery. Products that arrive damaged lead to product waste and costly reshipments, generating unnecessary emissions.
- Dimensional Weight: Optimize packaging dimensions and weight to help reduce transportation costs, carbon emissions, and potentially added EPR fees. High-volume shippers stand to see the biggest benefit from careful dimensional weight considerations.
- Operational Compatibility: Sustainable packaging works best when the equipment, labor, storage, and material supplies are all being considered. Brands should look for a packaging solution that is scalable to meet future demand.
Shorr guides customers through the trade-offs associated with each material type and brings the operational expertise needed to help brands match packaging design to both the product and supply chain requirements.
Measuring Impact and Avoiding Greenwashing
Once brands have selected and tested the appropriate sustainable packaging solution, the next step is to measure impact and communicate results in an honest and transparent way. This helps brands tell their story and avoid greenwashing or overstating the environmental impacts of their packaging in a way that misleads consumers.
To communicate claims responsibly, it’s critical for brands to accurately track and measure material and design impacts on the environment. Shorr helps brands capture meaningful and actionable metrics with several tools and services:
- The Cut and Weight Tool measures how much film is stretched from its original length, how tightly the film holds the load together, and how much total film is used, allowing brands to optimize equipment and stretch film usage for secure load containment. Click here to learn how this tool helped cut 13,000 pounds of carbon for a food distributor.
- Manufacturer data on recyclability and post-consumer recycled (PCR) content helps brands accurately label packaging and track waste diversion.
- Packaging design services and consulting help customers reduce material use and product damage while meeting compliance requirements. See how Shorr helped a leading agricultural manufacturer save more than 506,241 trees by incorporating recycled packaging materials.
- Trusted suppliers engage in industry sustainability initiatives and certification programs to help ensure material claims are accurate and verified.
Measuring sustainability outcomes requires credible data, clear labeling, end-of-life tracking, and full lifecycle review. Brands that do this well can tell their sustainability story while building trust and credibility with their consumers.
Building a Sustainable Packaging Strategy
An effective sustainable packaging strategy is much more than swapping out materials. It requires thoughtful planning around compliance, performance, consumer purchasing behaviors and expectations, operational realities, and cost.
As a full-service packaging solutions partner, Shorr helps translate sustainability goals into practical solutions that are measurable and built for real-world supply chains. Shorr’s vetted supplier partnerships also give you access to innovative products with reliable reporting. Together, we can help reduce and communicate environmental impact, while also promoting and ensuring business growth.