Eco-Friendly Packaging in Ecommerce: Why It Matters and How Brands Can Get It Right

Ecommerce is booming. But with it? Packaging waste. Lots of it. 

From oversized boxes to unnecessary bubble wrap and returns shipped across the country, the environmental cost of convenience is quickly adding up to billions of pounds of waste per year.  

And in 2025, consumers have taken notice. They align themselves, and ultimately, their wallets, with brands whose identities reflect a consciousness of their impact, and sustainability is considered at every step of the supply chain. 

What is eco-friendly packaging in ecommerce? 

Eco-friendly packaging, also called green or sustainable packaging, refers to materials and strategies designed to minimize the environmental impact of a product’s packaging throughout its lifecycle. 

Key characteristics of sustainable packaging include: 

• Recyclable materials like cardboard, paper-based tapes, and certain plastics 

• Compostable or biodegradable materials that can break down naturally 

• Innovative design to reduce the amount of material required to protect the product 

• Reusable options that can be repurposed or returned 

• Sustainably sourced materials like post-consumer plastics or FSC-certified paper 

But eco-friendly packaging in ecommerce isn’t just about what you use…your shipping strategy matters, too. Sustainable shipping requires brands to consider more than just swapping plastic for paper; they must also optimize route planning, parcel size and weight, and fulfillment center locations.  

Why eco-friendly packaging matters more than ever  

In 2025, customers expect it 

Today, consumers expect more environmentally conscious behavior from their favorite stores. More than 60% of consumers say they’re willing to pay more for products with sustainable packaging, and that number leaps to 80% among Gen Z and young Millennial shoppers.  

When brands ignore this consumer expectation, they’re losing out on a large cohort of eco-conscious shoppers. 

Packaging impacts a brand’s perception 

Have you ever opened a box within a box… within another box? Overpacking isn’t just wasteful – it creates a frustrating customer experience.

Packaging is a brand’s first physical touchpoint with the consumer and can make or break the unboxing experience. Excess plastic and single-use materials can erode trust and send the wrong message about your brand’s values. 

When handled well, the unboxing moment can become a marketing opportunity. Thoughtful presentation and sustainable materials can:  

• Boost customer loyalty 

• Reinforce the brand’s environmental commitment 

• Inspire social sharing like unboxing videos, reviews, and other forms of engagement 

Eco-friendly packaging can elevate the unboxing experience from a simple branding opportunity to a statement that reflects not only your product, but also your priorities. 

Regulatory pressures are increasing 

Staying ahead of regulatory compliance is another reason why sustainable packaging should be on ecommerce brands’ radar.  

As customers increasingly demand corporate sustainability practices, governments locally and globally are tightening restrictions on single-use plastics, films, and other common materials, like Styrofoam.   

In international markets, ecommerce brands face growing expectations for Environmental, Social, and Governance (or ESG) reporting. Small and medium-sized retailers in the European Union (under $1 billion in annual revenue) may be required by law to report on ESG compliance to the Corporate Sustainability Reporting Directive (CSRD). 

The bottom line? Sustainable packaging isn’t just good for brand loyalty; it’s about protecting your business against regulation and rising to meet stakeholder expectations. 

How to implement more eco-friendly packaging and fulfillment 

Analyze your current packaging process 

The first step towards sustainable ecommerce fulfillment is understanding where waste is being created. Ask yourself: 

• Are our boxes correctly sized for the product? 

• Is it easy to recycle our packaging? 

• Where are we sourcing our materials from? 

• Are we using more layers of packaging than necessary? 

A quick audit can identify areas for low-effort, high-impact changes.  

Explore more sustainable solutions 

Once you’ve identified where there are opportunities to improve, you can introduce smarter, more eco-friendly materials: 

• Boxes made from recycled paper  

• Compostable mailers  

• Mushroom packaging – A compostable packaging alternative grown from organic waste and mycelium (the roots of mushrooms) 

• Plant-based inks  

• Water-activated paper tape 

Even small changes, like switching from bubble wrap to paper (or ditching fillers entirely!), can significantly reduce your environmental impact. 

Work with eco-friendly partners 

Consider partnerships with sustainable packaging providers or carbon offset platforms. Examples include: 

• EcoCart – A checkout optimization software that provides a carbon-offsetting option at checkout 

• Boox – Produces reusable shipping boxes that customers can return 

• noissue – Custom-branded, sustainable packaging for ecommerce brands 

Partners like these can help you source better materials, reduce emissions, and strengthen your brand’s message.  

Optimize your 3PL fulfillment for sustainability 

If you work with a third-party logistics (3PL) provider, they should be able to contribute to your sustainability goals. A good 3PL can help reduce your brand’s carbon footprint by: 

• Minimizing split shipments with streamlined inventory management  

• Offer carbon-neutral shipping options through partner integrations 

• Promote recycling through a custom waste removal strategy 

• Unlock multi-node fulfillment to reduce shipping distance  

Look for 3PLs that understand sustainable logistics and demonstrate those values in practice.  

Three brands leading the way in eco-friendly packaging 

These brands are proving that sustainable packaging can support brand identity and improve the customer experience.  

Lush  

Lush Cosmetics reduces waste by eliminating packaging wherever possible. In-store, shoppers can take their products home “completely naked,” or without packaging at all. 

Where packaging is unavoidable (like for online orders) 90% of it is made from recycled materials. For the rest, Lush created the “Bring It Back” program, where customers can return empty product containers for reuse in exchange for a credit or free face mask. 

Patagonia 

A longtime leader on the sustainability scene, Patagonia aims to become carbon neutral by 2025.  

Patagonia’s packaging champions the use of eco-friendly materials; all bags, boxes, and mailers are made from FSC-certified recycled materials and post-consumer waste. To keep the packaging as recyclable as possible, it is printed with soy- and algae-based inks.  

Plaine Products 

Carbon-neutral Plaine Products packages all its hair and skin care products in aluminum bottles. When customers run low on their favorite product, they can order a refill and return the empty bottle in the same box using a prepaid label, creating a closed-loop packaging system.  

Sustainability is no longer optional in ecommerce 

Packaging has become more than a protective layer; it’s an opportunity for brands to reflect their values and serve their customers. As sustainability in ecommerce gains traction, consumers are paying closer attention to what their orders arrive in.  

Sourcing sustainable packaging and implementing greener fulfillment methods will benefit the planet, strengthen relationships with customers, and build trust in your brand. 

Sustainable packaging supports operational efficiency, meets customer expectations, and reduces your brand’s impact on the planet. It’s no longer optional – It’s a necessity to remain competitive.