The Economics of Reuse Systems

The report The Economics of Reuse Systems, developed by Zero Waste Europe and Searious Business, examines the financial viability of reusable packaging systems compared with single-use plastics. Using a cost-benefit analysis framework, it explores three representative cases—takeaway food containers, transport packaging in the form of business-to-business polypropylene big bags, and beverage bottles—focusing on return on investment (ROI) for system providers, costs for users, and broader externalities such as waste management and resource depletion.

In the case of takeaway food containers modeled in Spain, where 36.4 million meals per year require packaging, the analysis assumed 50 reuse cycles per container, a 98% return rate, and an average retention time of 12 days. Under these conditions, 2.39 million reusable containers were needed compared to 36.4 million single-use containers annually. The financial assessment revealed an ROI for system providers of 17.9% over a 10-year period, with break-even achieved between the third and fourth year. For system users, the per-use fee of €0.17 was lower than the €0.20 purchase price for disposables, demonstrating clear cost-competitiveness.

In Italy, the study assessed reusable polypropylene big bags used for transport packaging. With each bag undergoing 10 reuse cycles, a 98% return rate, and a 30-day retention time, 20,850 reusable bags were required annually compared to 104,000 single-use bags. Over 104,000 annual cycles, the reuse system achieved an ROI of 86% across ten years. User costs were equivalent to single-use alternatives, as pay-per-use fees matched the purchase price of disposables. However, the reuse system also removed disposal costs and reduced waste management burdens, strengthening the business case for adoption.

The German beverage bottle case, built upon the country’s established deposit return scheme, modeled 6 million liters of bottled water consumed annually. Each reusable PET bottle completed an average of 10.4 cycles per year, requiring 581,744 reusable bottles compared to 6 million single-use units. The reuse pool operator achieved a 16.4% ROI over ten years, with a break-even point between the fifth and sixth year. While single-use bottles were marginally cheaper to purchase, the deposit system and cleaning costs offset this difference, while also dramatically reducing litter and municipal cleaning costs through effective recovery.

Across all cases, reuse systems demonstrated economic viability within a time horizon of two to six years, depending on packaging format. Although upfront infrastructure investment remains substantial, profitability improves steadily with high return rates, short retention times, and greater reuse cycles. Externalities such as reduced municipal waste costs, lower environmental damage, and the impact of policies like single-use plastic taxes and eco-modulated extended producer responsibility fees further reinforce the advantages of reuse.

Overall, the report concludes that reusable packaging systems can be both financially and environmentally beneficial when paired with supportive policy frameworks, standardized systems, and strong consumer engagement. Their success depends critically on achieving return rates of at least 95 percent, reuse cycles exceeding 15 annually, and well-managed logistics that ensure containers circulate efficiently within the system.