JUST 1 STEP AWAY - BORROWING AND RETURNING CUPS, QUENCHING YOUR THIRST AND ALLEVIATING ENVIRONMENTAL DAMAGE
2024/08/05
The Circular Cup Business Association
Taiwan FamilyMart Co Lin Hong-cheng (center), director of the Freshly Made and Prepared Foods Department of Taiwan FamilyMart Co., Ltd., and team
On the occasion of its 35th anniversary in 2023, Taiwan FamilyMart Co. Ltd. (FamilyMart), formulated the "Convenient Sustainability, You +1" ESG implementation strategy, which leverages its 4,234 stores across Taiwan to continue promoting various green lifestyle services.
"Our initial goal was to announce the launch during Earth Month in April,so we pushed it back about 100 days to reach out extensively to external channel operators to discuss the idea and framework of ‘The CircularCup Business Association.' A total of 6 industries and 8 brands joined,exceeding the expected number of participants."Reflecting on that day, the excitement and joy can still be heard in the voice of Lin Hongcheng, director of the Freshly Made andPrepared Foods Department at FamilyMart.
Altruistically Building An Open Platform to Maximize Synergistic Effects
To reduce plastic waste at its source,the Environmental ProtectionAdministration announced in April2022 the "Single-Use TakeawayBeverage Cups Restrictions."With government regulations in place, corporate social responsibility in mind, and the trend of green consumption continuing to grow,FamilyMart responded as early as 2021 by testing relevant processes and planning, including borrowing and returning methods, as well as integrating payment, logistics, and information flow. Lin also mentioned that they met Blue Ocean Vision, an advocacy organization for reducing plastic use, by chance during the process. The two organizations immediately hit it off, agreeing that reusable cups should not only be easy to borrow and durable, but also returnable anywhere. As a result,they decided to collaborate to create an open cooperation platform,inviting other channel operators to participate.
FamilyMart convenience stores simplify the process of borrowing and returning reusable cups. You only need to open LINE on your phone, scan the QR code on the reusable cup once, and show your screen to the staff to enjoy the convenience of borrowing from one store and returning to another.
Addressing Pain Points with Specialization and Turning Convenient Services into Points of Sale
After the formation of the "The Circular Cup Business Association," both sides then turned to focus on their respective roles, devising various detailed frameworks. Lin picks up a cup and explains, "For example, Considering that consumers often find it difficult to handle hot drinks, the upper rim of the cup is designed with waves to prevent scalding." To increase adoption rates, free membership registration accounts were set up within the LINE app, the most commonly used social media platform in Taiwan. As for the public's foremost concern about hygiene, Blue Ocean Vision established a cleaning factory that covers the 5 major stages of cleaning and 25 cycles of sterilization procedures, integrated with FamilyMart's logistics system spanning the entirety of Taiwan.
1.In response to the Year of Reusable Cups” in 2023, FamilyMart collaborated with Blue Ocean Vision, inviting 8 channel brands to create the first cross-industry, cross-channel The Circular Cup Business Association in Taiwan. (Image provided by FamilyMart) 2.The Circular Cup Business Association has created an open platform on which Both businesses and consumers can enjoy the convenience brought by sustainable solutions created together. (Image provided by FamilyMart)
Environment Emerges as the Biggest Winner as Pioneering Association Gathers Channel Brands
On the day The Circular Cup Business Association was announced, plans were declared to connect 700 locations spanning different channels across Taiwan by the end of 2023. As of January 15, 2024, they have far surpassed that goal, reaching 1,500 locations with 1,000 of them being FamilyMart stores. Lin also points out, "Taking FamilyMart as an example, the number of times reusable cups were borrowed in the fourth quarter of 2023 increased by 120% compared to the third quarter, reducing 12,000 single-use paper cups per month," confirming the success of this model in gaining support from both the supply and demand sides.
Though at the current stage, this initiative requires channel operators to bear the explicit and implicit costs to provide cups for free and cover the expenses of collection and cleaning. Additionally, marketing incentives need to be offered and educational training must be provided. Lin emphasizes that FamilyMart is currently willing to absorb these costs. Moreover, with the members and locations of The Circular Cup Business Association continuing to expand, the hope is to further reduce the per-use cost of reusable cups.