September 25, 2025 – Waste reduction is playing a huge part in how consumers are purchasing beverages. From the types of materials to the impact on the environment, helping consumers better understand recycling methodologies has never been more influential. This report by Innova Market Insights examines trends and developments in waste reduction within the beverage industry, exploring consumer attitudes toward packaging and sustainability.
Trends in Waste Reduction Strategies
Waste reduction is a major part of consumer lifestyles, as cutting back on the use and amount of discarded materials becomes a more common practice. As this movement gathers pace, various trends are taking place in a bid to balance the scales of what we create and consume from a packaging perspective. One of these is connected packaging, which will continue to proliferate across the fast-moving consumer goods (FMCG) industry, but at an accelerated rate. With these trends, more transparency should be present, as artificial intelligence speeds up the processes and the connection with consumers moves beyond circular packaging strategies.
The paperization or fiberization transition will also continue this year amid increasingly stringent regulations targeting non-recyclable packaging, which will continue to promote a shift from plastic to paper-based packaging. Speaking of regulatory demands, the ongoing push for recyclable packaging will be evident. Although plastic is favored for safety and shelf life, its ability to be recycled is inadequate, and in this space, there may be a solution in monomaterial alternatives. As preferences show a sign of a move away from petrochemical plastics to bio-based packaging, the rise of reusable and refillable packaging models will be further part of a push for a circular economy.
Are Consumers Expressing an Interest in Reducing Waste?
Innova Market Insights found that feedback on various aspects of waste reduction favored reducing waste. For two out of every three people researched, many said that they like topics such as sustainability in packaging, and especially at a time when they feel pollution from waste in this category needs to be addressed. Reducing, reusing, and recycling are the top actions that consumers are already making an effort with. When asked what they had done in the past year to be more environmentally responsible with packaging, reducing single-use plastics, choosing products with reusable packaging, and packaging that can be recycled were the most popular outcomes.
What Is the Most Pressing Issue for Beverage Producers?
Despite consumer interest in the reduction and reuse of packaging, recycling remains the number one focus for top beverage companies. In various climate pledges and company goals, many have set targets for more reusability strategies, but have since watered down these ambitions to refocus on recycling. Across beverages, recycling claims are in action right now, and over the last twelve months they have been prominent across 58% of soft drinks launches, 43% of new hot drinks, and 21% of alcoholic drinks.
On the other hand, products that held the made with recycled plastic claims are still only making up 2.3% penetration in total beverage launches, while biodegradable and compostable claims are only tracked on 1.5% of new products. In fact, 48% said that recycling guidelines are often unclear to them and this needs to be addressed to improve the processes around recycling.
Is the Health of the Planet an Important Factor?
Of course, when you hear about waste reduction and reusability, climate change and the health of the planet are synonymous with each other. Yet, with the emergence of climate adaptation strategies, there is renewed focus on the health of the planet as many see it as an extension to personal health, food security, and economic stability. The health of the planet is the top global issue of concern for consumers and that is across all age groups. More specifically, it is one of the top three concerns in all countries except the United States, where 59% of consumers say they are at least moderately engaged in action to help the environment.
Data from this report found that of those researched, 31% said they strongly agreed that sustainability in packaging was important, with a further 34% feeling the same but not as strongly about it. This ties in with the sentiment for many that there are multiple concerns about the impact on the environment. The top three environmental issues related to packaging that concern consumers the most were ocean pollution, microplastic pollution, and food waste.
What Are the Top Strategies for Sustainability in Packaging?
Consumers have numerous concerns about the impact on the environment. So, they are also approaching environmentally responsible packaging choices in different ways. The common phrase “reduce, reuse, recycle” is present in communicating strategies globally in some form and is often associated with better packaging practices. While this has a degree of familiarity, the evolution of these practices now extends to the use of recycled or biodegradable materials.
Other interesting results from this report show that many consumers would pay more for environmentally responsible packaging. More than 8 out of 10 of those researched were in favor of purchasing a sustainably packaged soft drink if they had the choice between that and one that shows no consideration for such issues.
Are Reduction Strategies Emerging in Beverage Packaging?
Much of what has been mentioned in this report shows motivation to reduce the use of plastic packaging or the amount of waste going to landfill from beverages. There is already a degree of familiarity with biodegradable and compostable packaging in hot drinks, where new varieties of tea bags and coffee pods are on trend. There has also been a fivefold increase in penetration in both the hot drinks and soft drinks categories for packaging claims that are made from recycled material over the past five years. Reduction strategies remain niche in the market for alcoholic drinks by comparison.
Do Consumers Gravitate Towards Recycling Plastic?
Research by Innova Market Insights found that two in three consumers say they always separate packaging waste, especially in Europe, but not so much in China. It may come as a surprise that plastic is the top packaging that many find easier to separate or distinguish, as recycling plastic is less common than glass, paper, or metal. However, this reflects consumer recognition of the environmental impact of plastic packaging and a desire to tackle it. It also supports the results that say recycling is the most recognizable sustainable packaging claim in use. This is particularly true amongst soft drinks, where this claim is most prominent on 58% of all new packs that claim to be recyclable.
Can Recycling Guidelines Be Improved?
Confusion still exists for consumers who cite a lack of clarity on how to separate and dispose of packaging. Based on the exact packaging materials and the location of the buyer, requirements vary widely, so better on-pack messaging and information is necessary.
In North America, a non-profit initiative has tried to address such confusion by taking steps to clarify disposal instructions. They worked on developing a clearer, actionable label, and a new dynamic system, allowing consumers to follow QR codes for disposal information. As mentioned, the separation of packaging can also be an issue for consumers, with many packs using multiple materials requiring different sorting for disposal. In the European Union, one method implemented to try to solve this issue was tethered caps, which are now required for plastic bottles and are designed so that they do not escape the recycling system.
Do Beverage Customers Generally Prefer Recyclable or Biodegradable Materials?
As discussed a little further back, there was a notable increase in the carbonated drinks category when it came to claims around recycling and packaging. These drinks are one of the most consumed products generally and that means there is an impact on how the packaging is disposed of afterward. As consumers consider the sustainability of the packaging for the products they purchase, this has left an impression on the materials used too. Glass is particularly popular due to its quality as well as relatively sustainable image, while biodegradable or compostable plastic and bioplastics are more popular than traditional plastic across the board. This is because biodegradable or compostable plastic has a positive image for consumers, more so than bioplastics, which is another relatively new concept. Yet, among those researched by Innova, it was found that paper, glass, and board-based materials had a relatively strong environmental image.
What’s Next for Waste Reduction Strategies in Beverages Globally?
Looking ahead, the results from this report suggest that brands need to work on consumer engagement around packaging for beverages. Ambition may be bold, but the rate of innovation and uptake is slow. Without truly convenient formats and really engaging awareness on the topic with shoppers, there is unlikely to be any real change. Innovative materials have helped progress things further, but simplifying overall packaging for recycling and reuse remains a key target to facilitate better management of waste.
While regulations are tightening all the time, new product development cannot be overlooked to avoid degradation of packaging disposal and other consequences associated with the frameworks brands will have to work within. The high levels of interest in greener options will stagnate unless convenient solutions are found. Plus, the green innovation can not rest at the post-consumption stage of beverage conception, but rather within the foundations of the materials used to package them.
This article is based on Innova’s Waste Reduction in Beverages – Global report. This report is available to purchase or with an Innova Reports subscription. Reach out to find out more